Step 1: Pull Up The SEC’s IAPD
The SEC’s Investment Adviser Public Disclosure (IAPD) database at adviserinfo.sec.gov is the master list of US-registered investment advisers. Search by firm name. If a legitimate adviser doesn’t show up, that’s a problem.
Read the registration section carefully. Which states can they operate in? What services are they registered for? If someone pitched you “international forex managed accounts” but the firm is only registered as a state RIA for financial planning, something is off.
Step 2: Cross-Check FINRA BrokerCheck
If the person who contacted you claims to be a broker, head to brokercheck.finra.org. Search for the individual by name and look for:
- Which firms they’ve been registered with (and when);
- Any disclosed customer disputes, regulatory actions, or criminal matters;
- Which licenses they hold (Series 7, Series 63, etc.) and whether those cover what they’re offering.
Multiple prior firms in short order is a yellow flag. Any disclosed regulatory action is a red flag.
Step 3: Match The Domain & Contact Details
Clone firms are a huge problem. A real company’s name and brand are copied by scammers who build a lookalike website with a slightly different URL and ask you to send money there. Compare:
- The website address shown on IAPD vs. the one the pitch came from (even one letter off is bad);
- The phone number on IAPD vs. the one you were given;
- The email domain on IAPD vs. the one in your inbox.
If anything differs, call the number on IAPD and ask whether the person you spoke to actually works there.
Step 4: Find Out Who Actually Holds Your Money
A legitimate adviser does not hold your money themselves. They direct it to an independent custodian — a bank or brokerage like Charles Schwab, Fidelity, Pershing, or similar. Ask: “Which custodian will hold my funds?” Then verify that custodian independently.
If the answer is “we hold it”, “we have our own in-house custody solution”, or anything vague — stop. That’s the structure most fraud uses.
Step 5: Google The Firm And The Names
Search the firm name plus “scam”, “complaint”, “fraud”, and “SEC enforcement”. Search any individual’s name plus their state. Look at results more than 6 months old. Fresh websites with no history are themselves a red flag.
When It’s Still Unclear
Some firms are fine but their paperwork is messy, or the person pitching you is new. If you’re stuck, book a firm & offer audit. We charge a flat fee and send you a written report in days.