In her lecture, SEC Bacolod City Information Officer Clyde Padilla said if someone receives an investment offer, an investor should look for the following data- the company’s certificate of incorporation from the SEC and the articles of incorporation containing the information about the company.

She said the investment firm should also have its company’s by-laws that show its policies and regulations and the Order of Registration that specifies the investment contracts.

Investors should also check for a Certificate of Registration bearing the name of the broker o salesperson who is licensed to sell investment contracts.

The interested investor should further look for a Registration Statement or prospectus that contains the nature of the business, track record, and the possible risks of the investment.

Padilla said that if one is scammed, he or she should stop investing in that company and alert other potential investors not to invest in it.