Most of the time, investors don't know if they have been defrauded. If an investors ever wonders why the lost money, the best approach is to investigate the reasons for the loss. If you suspect that you have lost more money than what you expected you might, you should certainly investigate whether any wrongdoing has taken place.

Generally, an investor's risk tolerance may also indicate whether losses are within such tolerances, with aggressive and speculative investors willing to put more money at risk in hopes of achieving higher returns. The key is often making sure that your risk tolerance and investment objectives are properly determined, and that the recommendations reflect the same.