More advice to my friend from Jakarta

"Similar to market development in the West, Forex companies began to appear across Asia - Singapore, Pakistan, India and the Philippines. But in the West, people tend to be more educated in market analysis and possess firsthand understanding of how bonds and broker licenses operate. In Asia, however, people tend to be more naive. They have a hard working mentality but their laws are muddy. Government payoffs aren’t out of the ordinary. And ultimately, the paths these Forex firms take resemble those of many Las Vegas casinos -- built on broken dreams and broken homes.

Never underestimate the effects of psychological trauma, either. Forex “clients” can be well-educated, sure, but that doesn’t inoculate them from fraud. Many are shocked to learn how boldly and rudely they have been robbed of their hard-earned money. The moral repercussions, more than the money, leave the deepest scars, too. Turning to the courts, these “clients” are shutout by big shot Forex lawyers equipped with signed documents. Justice, and retribution, become near impossibilities.

But you’ll say, “I want to trade. I’m aware of the risk. I’m a big boy/girl and I can handle the shark infested Forex oceans. Heck – I took a class and read the book. I’m a market expert!”  Not so fast. You see, the Forex people are impervious to discouragement. They’re mentally prepared to effectively communicate with, and pacify, threatening, crying and begging “customers.” Even if you take them to court and win, the settlement – once you factor in court costs and lawyer fees – will be minimal.

These companies are clever. They know exactly who to target. They’re not going after one big fish with a million dollar account. They want the whole school. Besides – if you have a million dollars to invest, you’re probably well versed in market management. No, the type of person they’re after is the regular investor. The entrepreneur with $10,000 to invest. The middle-class American. (A diminishing demographic, I think we’ll all admit.) And worst case scenario, if these companies are brought up on charges, they have the means to evaporate their holdings, open a brand new office in a brand new city in a brand new country – easy money. A sucker born every minute.

Don’t believe in easy money? Just turn on the Discovery Channel and watch predators identify, stalk, and take down the weakest prey in the pack.

Don’t be prey for these Forex frauds.