By: Jack WaymirecloseAuthor: Jack Waymire Name: Jack Waymire
Email: jack@paladinregistry.com
Site: http://paladinregistry.com
About: Jack writes for the InvestorWatchdog website and Worth magazine. He worked in the financial services industry from 1976 to 2004. For twenty of those years he was the president of a Registered Investment Advisory firm and a Broker/Dealer. Jack is the author of Who's Watching Your Money? The 17 Paladin Principles for Selecting a Financial Advisor and is a co-founder of PaladinRegistry.com.See Authors Posts (87) | September 16, 2009 | Investor Information

U.S. Senator Kirsten Gillibrand announced an effort to protect New York seniors from investment scams. Her announcement followed a report from her office that showed more than 200,000 senior citizens in New York City had been damaged by investment scams and financial fraud. Their losses exceeded $70 million.

Scam artists target seniors because they are susceptible to marketing pitches that promise high interest payments for little or no risk. This is exactly what seniors want to hear so they can maintain their standards of living and have something left over for savings. Telling people what they want to hear is a common scam sales tactic.

There is no question lack of knowledge makes seniors vulnerable to scams, fraud, and deceptive sales tactics. However, very few seniors will commit time to being educating about problems that they do not believe will ever impact them. They turn deaf ears to warnings and educational opportunities until it is too late.

I don’t mean to be pessimistic, but Senator Gillibrand’s very worthy endeavor faces an uphill battle to educate large numbers seniors about investment scams and financial fraud.

The solution is not hit or miss education. It is complete, accurate disclosure in a format that is easy for all investors to understand.