The SEC believes you should ask certain basic questions, whether you are a beginning investor or have invested for many years. Consider if the seller of the investment is licensed to sell the investment, as most financial fraud is perpetrated by unlicensed dealers who are trying to separate you from your money. You should also look into the accreditations of your adviser. Thousands of people have been given poor advice from unlicensed financial advisers, who may try to steer their clients into the wrong investment choice in order to make a bonus or commission on the sale of that investment choice. The SEC also recommends that you check if it has registered and approved the investment sale.