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  Basic Due Diligence - Get a second opinion

SITUATION: You have been presented with an investment and told that this investment has a huge upside potential. When you ask about the downside, you have been told that it can't lose and the worst case is you break-even. The investment can be a stock purchase in a small company that will be going public, an overseas investment in China, or an insurance product that will earn you 12% tax-free. It also could be that perfect joint partnership investment in condos next door to the White House. The best one is always a retirement package that will be worth $5 Million on the day you retire with no downside and a guaranteed upside insured by the biggest insurance company in America.

ACTION TO BE TAKEN: Get a second opinion from people who have firsthand experience investing in every conceivable investment under the sun.
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