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An investment scam is a fraudulent business or scheme that pretends to be a profitable investment opportunity. They promise high returns with little or no risk. But in reality, the investment doesn't exist and the 'returns' are just money from other investors. Scammers are good at making their scams look real. They might have a professional looking website and documents. They might also pretend to be a legitimate investment firm. But they're not. They're just trying to take your money. Common types of investment scams include Ponzi schemes and pyramid schemes. In these scams, the money from new investors is used to pay returns to earlier investors. This makes it look like the investment is successful. But it's not sustainable, and eventually the scam falls apart. Protecting yourself from investment scams is crucial. Always do your research before investing. Check if the company is registered and has a good reputation. If it sounds too good to be true, it probably is.