Open Door to Ruin.
Men do not blush at being seen in a "bucket shop" as they would if caught in a faro bank or poker room though they are drawn thither by the same passion for gambling that takes them to the regular gambling den. The "bucket shop" successfully carries on a worse swindling game than the "blacklegs." The wealth the chief "bucket shop" men of the country have acquired proves this. Men can be pointed out in Chicago, New York and other cities of the country who have amassed fortunes at the business while their thousands of victims are impoverished and ruined.
Persons desiring to speculate or invest can avoid "bucket shops" and "fake" brokers by making a preliminary and independent investigation into the character of the broker and the merits of the enterprise. If they accept the statements and references of promoters of schemes without making such investigations they are not entitled to sympathy if they are robbed.
Legitimate brokers do not resort to sensational advertising; they do not guarantee profits; nor do they solicit funds to invest on their judgment. The functions of a broker or commission merchant are to receive and execute the order of his customers. When he offers to do more (except in the way of giving market news, advice or conservative opinions) he should be avoided. Promoters of pools and syndicates and disseminators of advance information should be carefully avoided.
[ON "SURE THINGS."]
HOW TO LEARN THEIR REAL CHARACTER.
The cleverness and boldness with which the up-to-date investment swindler plies his craft are almost incredible. Wherever you find a fraudulent scheme you will find both of these elements present in some degree—but the comparative proportion of one to the other is generally determined by the element of time of operation.
For example, if the projectors of a scheme are old hands at the game and have established records of the wrong sort, then the idea of quick results is not only attractive, but often imperative. There are many "old offenders" in the profession of investment swindling who have been convicted and have "done time" in jails and penitentiaries, but have not yet learned to prefer straight to crooked finance.