National Equity Holdings, Inc.

The BCA warns potential investors that before you trade in commodities or futures, know the kinds and signs of fraud and the basics of futures trading.

Protect yourself from the many types of commodities fraud that exist in today’s financial markets. Be suspicious of a promise of high profits with low risk. Scams that falsely promise high profits with low risks are everywhere. Many are targeted at specific ethnic communities using the language of that community, from New York to South Florida, from the Southwest to California, and in other areas. Be wary of any firm or individual offering to sell you commodity futures or options on commodities, including precious metals, such as silver or gold, foreign currency, such as Euros, Yen, or Deutschmarks, or crude oil, heating oil, unleaded gas, or agricultural products such as corn, soybeans, or cattle.
Be wary of any firm or individual offering to trade your money for you in commodity futures or options, or to pool your money with other customers.

The commodity futures and option markets are very risky and you can lose your entire investment very quickly. Anyone who claims otherwise might be breaking the law. Always ask for proof. Consider your financial experience, goals, and financial resources and know how much you can afford to lose above and beyond your initial payment. Understand commodity futures and option contracts and your obligations in entering into those contracts. Understand your exposure to risk and other aspects of trading by thoroughly reviewing the risk disclosure documents your broker is required to give you. Understand what it means to trade on margin: margin trading can make you responsible for losses much higher than the amount you invested. Know who to contact if you have a problem or question.