An investment not monitored through the mechanism is a clear warning sign for the investor. There are additional warning signs that have arisen in cases in Israel and around the world that indicate risks that investors should be aware of:
The world of real estate includes many types of investments and different ventures. A person interested in investing his money in real estate can do so in a variety of ways while adjusting the type of investment and the risk inherent in it to his needs. In Israel, the legislation and the supervision aim to reduce the many risks that buyers have in a real estate transaction, especially in light of crises such as the "Haftzivah" case. The legislation and supervision cannot prevent investment risks altogether, but today in Israel they constitute an essential framework for the security of the transaction which together with professional and correct legal advice Lead the buyer towards a safe purchase as much as possible.
Promises of high profits without risk or with low risk - Every investment involves a certain risk. Therefore, a company that declares that there is no risk at all in the investment it offers or that the risk is very low, but on the other hand the investment is expected to yield high profits, reflects a state of affairs that is not economically reasonable. In general, there is a direct relationship between risk and return in an investment. The higher the yield, the greater the risk.
Companies or entities that are not registered or information about them cannot be found - It is important to check if the company carrying out the activity is officially registered in Israel or the destination country. Many times unsupervised companies are not registered in Israel but in countries like the Seychelles, the Virgin Islands, or the Cayman Islands. Listing in these places is likely to worsen the investor's situation when a problem arises
