Pamela Reid highlights the importance of employing a thorough due diligence process when choosing investments
When you shop for shoes, you generally check that they not only fit, but also that they will not immediately fall apart. Before you buy them, you effectively do your due diligence. Even though you have the potential recourse of the consumer laws if they do fall apart, this inevitably involves a fair amount of hassle. If the problem is not dealt with swiftly and to your satisfaction, you would also think twice about shopping there again. The same principles apply to investment. Due diligence is about checking before you buy. Even where a financial loss is covered by a compensation scheme...
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