Investigation

Stock Trading Scams

Get your money back from stock trading scams. Thousands of clients have used our Investigation Report to retrieve their losses.

How it works

From case review to action plan and expert support-we give you the tools to pursue recovery.

Review your case

Based on our experience, we perform preliminary checks to assess whether your case can result in a substantial retrieval of losses.

Gather the evidence

We then gather every piece of evidence you have from your contact with the scammers along the way.

Investigation Report

We investigate your case and the people who scammed you to provide a detailed Investigation Report.

Action Plan

With our Investigation Report, you'll receive a step-by-step action plan explaining how we believe you can retrieve your losses.

Expert Assistance

Our team of experts can guide you in the execution of the recommended action plan.

Get your money back

Once you successfully execute the suggested action plan, you could retrieve a substantial part, if not all, of your money.

Committed to investigating and educating

We at EuroTrace are committed to investigating each client's case with the same diligence and determination. We're equally determined to provide educational resources to raise awareness of stock fraud and teach people how to protect themselves.

Overview

How does the stock market work?

Stock markets are centralized exchanges where investors buy and sell ownership (stocks) in companies. Most are highly regulated, with legal, nationally registered brokers facilitating trades. Examples include the NYSE and NASDAQ in the US. Access has never been easier and barriers to entry keep falling-but that ease brings danger. We are all susceptible to investment scams, so due diligence is essential to protect ourselves from stock fraud.

Is the stock market rigged?

The US stock markets are regulated by the SEC and FINRA, which monitor exchanges and brokers. That doesn't eliminate fraud. Companies have deceived investors (e.g. ENRON, Valeant); individuals have run Ponzi schemes (Bernie Madoff); and some regulated brokers have failed their fiduciary duty (e.g. Robinhood and the GameStop episode). While there are real risks and bad actors, the vast majority of brokers and exchanges operate legitimately, ethically, and legally.

Key points

Avoid anyone approaching you with 'investment opportunity,' 'guaranteed return,' or anything that sounds too good to be true.
Avoid high-pressure sales and cold outreach-if you didn't seek the company out, be cautious.
Do your own due diligence. Speak with a registered financial advisor; don't rely on strangers for what to buy or sell.
Learn the basics: Dow Theory, bull vs. bear markets, conservative investing, and blue-chip stocks.

Watch out for

Types of securities fraud

Ponzi schemes

Profits to old investors are paid with new investors' deposits. Perceived legitimacy and a history of returns make them successful for years-Bernie Madoff's lasted over 20 years. Red flags: 'guaranteed income,' 'offshore investment,' 'secret invite-only fund,' or any 'too good to be true' pitch.

Pump and dump

Scammers buy cheap stock ($1-$10), campaign to drum up enthusiasm, then sell as new investors push the price up. The stock is often on a regulated exchange (e.g. NASDAQ); the fraud is in the coordinated promotion and dump. Classic and persistent form of stock fraud.

Penny stock scams

Often paired with pump and dump. Touted as low-priced shares with massive future returns-a get-rich-quick pitch. Many penny stock scams use OTC or 'Pink Sheets' securities not on major exchanges; they may be sold directly by the company or through non-centralized brokers.

Stock broker fraud

Less common as markets are more regulated, but it still happens. 'Front-running' is one example: the broker places his own order before executing yours, so your order moves the market in his favor. Hard to detect with high-frequency trading. Other issues: encouraging excessive day trading, undisclosed fees, unclear shorting rules.

Boiler room scams

High-pressure call centers (e.g. 'Wolf of Wall Street') have evolved into subreddits, forums, emails, fake webinars, and social media. The goal is the same: FOMO and high-energy sales tactics. Modern boiler rooms are more prevalent and sophisticated than the old call-center model.

Signal providers

Services that send you buy/short signals, entry, profit target, and stop loss. They profit from your subscription; many are legal but low value. Free signal providers are often part of pump-and-dump schemes-you provide liquidity while they dump. Treat with skepticism.

Can you get your money back after a stock trading scam?

If you've lost money to a stock market scam, our Stock Trading Scam Investigation services can help you uncover the truth and expose the perpetrators. We'll help you gather crucial information about those responsible and provide a comprehensive investigation report plus an action plan with potential next steps to pursue recovery. Get in touch for a free consultation.

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Stock scam and fraud FAQ

SEC Rule 10b-5 makes it unlawful to commit fraud or deceit on anyone, including by giving untrue information or omitting material information. It underpins much of securities fraud enforcement.

Manipulation is a broad term. Stocks are influenced in many legal ways. Illegal forms include front-running and naked short selling (shorting without borrowing the stock). For example, in the GameStop situation, hedge funds had short interest above 100% of the float.

No. The stock market itself is not a pyramid scheme. Some fraudsters run pyramid schemes within or alongside markets, but the market is not one.

Start with a free consultation. We'll explain how our Investigation Report and Action Plan have helped thousands pursue recovery after a scam, and how we can do the same for you.

Let's start your investigation

Get in touch and our team of experts will work tirelessly until they provide you the tools you need to get your money back.

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