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They’re baaaack! Thanksgiving is on the horizon and we’re starting to welcome our friends from the cold white North back to Paradise signifying the start of “season.”

The advent of “season” plus the fact that we live in one of the most affluent zip codes in the country equals an influx of invitations to parties, receptions and seminars. If you’re the recipient of such invites enjoy the events but please remember caveat emptor — let the buyer beware!

The axiom or principle in commerce that the buyer alone is responsible for assessing risk and quality of a purchase before buying has Latin origins. The etymology of “let him or her beware” is from the Latin “caver, caveo, cavi, cautum” to heed and “emptor” is from emptio, a buying, a purchase.

It’s become common to see headlines in local newspapers about investors being the subject of investment scams. These crimes aren’t isolated to the senior citizen population or to a specific geographical location. Victims are being reported all across the country and across gender lines. The quest for money transcends gender, age, and race. The question becomes “How do you protect yourself from becoming the next victim and a statistic?” And speaking of statistics; did you know that 75 percent of the elderly people living in this country below the poverty level are women? As they say, “Caveat Emptor.”

Here are some tips:

n Never spend money on investments solely on the basis of a phone call.

n Don’t be rushed by “buy now” investments. Legitimate investments will always be available.

n No one can guarantee a risk-free investment.

n Never give personal information over the phone, especially social security number, credit card or bank account information.

n If you don’t understand it, don’t buy it.

n Always remember, if it sounds too good to be true, it probably is.

n Do not invest due to fears (e. g., health care, inflation, or interest rates). Fear clouds judgment.

n Request written information and run it by your financial advisor.

The road to successful investing is paved differently for each investor. One investor’s road to success may be the high road while another’s may be the low road. But common to both investors is basic principles that are true to form no matter which road an investor finds themselves taking.

Below is a listing of some of these basic principles that may lead an individual along the road to successful investing.

n Formalize your goals. As with the achievement of any goal, commitment to the goal is half the battle. Formalize your commitment to attaining your goals by writing them down, both short-term and long-term. Follow your progress by updating them at least annually. How else will you know if you are actually going to attain your goals?

n Invest as early as possible. Procrastination is an investor’s worst enemy. Though there is no perfect or ideal time to start investing now may be the best time of all.

n Invest in what you understand. If you do not understand how an investment works you will not fully understand the risks associated with that investment. Is it really worth it placing your hard-earned money in this type of investment? No.

n Consider the impact of inflation and taxes. Inflation and taxes erode an investor’s purchasing power. The consideration of investments that minimize the impact of these two forces may be key in meeting your goals.

n Your portfolio is for you and you alone. The design and formulation of your portfolio is based on your goals, time horizon and risk tolerance. Understand that what may work for your friend, cousin, or co-worker may not work for you because one size does not fit all.

n A basket of eggs is better than just one. Diversification of your investment assets may bring the positive benefits of potentially reduced volatility to your investment portfolio basket. Mutual funds are a cost efficient way to invest while at the same time reaping the potential benefits of diversification. However, diversification does not guarantee a profit or protect against a loss.

n Use time, not timing when investing. Trying to correctly time the ups and downs of the market is a risky, if not impossible, task. Most investors will fare far better by keeping their investment assets in the market the entire time. It is time in the market, not timing the market.

n The old team player may be better than a young hotshot. Try to avoid the temptation of investing in the new “hotshot” investment that may lose its luster quickly. Seek investments with solid track records that will benefit you more over the long run.

n Know when to cut your losses. Many investors do not know when to get out of an investment. If your investment selection is heading south and most likely won’t return to previous form, face the music and consider getting out before your lumps get too big.

Darcie Guerin, Financial Advisor & Branch Manager, Raymond James & Associates, Inc. located at 606 Bald Eagle Drive, Suite 401, Marco Island, and FL 34145 provides this article. If you have questions please contact Darcie Guerin via e-mail at Darcie.Guerin@RaymondJames.com. Phone (239) 389-1041, toll free (866)-343-0882 or at RaymondJames.com/Darcie. Past performance may not be indicative of future results.