People looking to make private investments in the stock market should use a nominee service to help protect themselves against scams, according to one expert.
According to Sue Concannon, managing director of Halifax Share Dealing, when people make investments directly their details are listed on a firm's register of shareholders and many fraudsters then use these to contact individuals.
However, if people make investments through a nominee service, then their information does not enter the public domain.
She said: "If you are considering buying shares as a way of building up your financial portfolio, you can protect yourself by buying through a nominee."
Anyone who is contacted by a cold caller offering them an investment opportunity should always say no, Ms Concannon added.
Yesterday, the Financial Times reported that moves by the US government to nationalise mortgage firms Freddie Mac and Fannie Mae seem to have boosted the stock market.
Nominees best for investments, expert claims
Nominees best for investments, expert claims
Tue, 09 Sep 2008
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