Safeguard Metals Review: Uncovering the Truth Behind the $68 Million Elderly Investment Scandal

In the wake of a $68 million scandal, trust in Safeguard Metals hangs in the balance. Our detailed Safeguard Metals review examines the grievances and legal troubles that have marred its reputation, offering critical insights for anyone eyeing precious metal investments.

Key Takeaways

Exploring Safeguard Metals’ Reputation and Services

Safeguard Metals LLC office building

As a participant in the precious metals market, Safeguard Metals has attracted attention due to its questionable reputation. A slew of complaints regarding customer satisfaction, a limited product portfolio, and a shadow of regulatory scrutiny have cast a long shadow over the company. Could the company’s tarnished reputation be a red flag for potential investors? Let’s delve into the details.

These concerns have undeniably damaged the company’s reputation. While Safeguard Metals prides itself as a full-service investment firm, customer satisfaction ratings tell a different story. With average ratings on Trustpilot and a failing grade from the Better Business Bureau, the company’s reputation is far from sterling. Allegations of being a scam targeting inexperienced buyers of precious metals and affecting traditional retirement accounts have further tarnished the company’s image.

The Reality of Customer Satisfaction

Customer reviews, which significantly influence a company’s reputation, often paint a less than flattering picture of Safeguard Metals. The company’s average rating of 3.3 out of 5 on Trustpilot is indicative of the mixed feedback from its clientele.

Despite some customers praising the company’s outstanding service and personalized attention, there are contrasting narratives. Testimonials from dissatisfied clients reveal stories of excessive markups, miscommunication, and poor customer service. These complaints, coupled with legal troubles, have raised questions about the company’s commitment to customer satisfaction and its business practices.

Product Portfolio and Investment Options

Safeguard Metals doesn’t quite hit the mark in terms of providing a diverse array of investment options in its product offerings. The company’s product portfolio primarily consists of gold and silver products, with little information available about investment strategies and wealth preservation services.

Despite offering investment strategy guidance, Safeguard Metals’ approach has been questioned, particularly when it comes to their gold and silver IRAs. The company has been accused of rendering unlawful investment advice, further eroding confidence in its services.

Compliance and Regulatory Scrutiny

Adherence to industry standards and regulations, including commerce and consumer affairs, is fundamental for any business. Unfortunately, Safeguard Metals has raised concerns in this respect. Despite asserting adherence to high standards of compliance, the company has been embroiled in legal issues, including violations of the Commodity Exchange Act.

Regulations governing precious metal dealerships are stringent. Safeguard Metals’ non-compliance with these regulations has led to legal issues, further tarnishing its reputation. The company’s past is marred with compliance and regulatory challenges, including a $68 million fraud scheme targeting elderly individuals.

Investigating the Legal Troubles of Safeguard Metals

Legal documents and gavel

Safeguard Metals’ legal issues are indeed worrisome. The company has been implicated in a $68 million fraud scandal, resulting in various state-level repercussions. This scandal has left investors questioning the safety and legitimacy of their investments with the company.

From October 2017 to at least July 2021, Safeguard Metals is alleged to have orchestrated a nationwide fraudulent scheme. The company reportedly obtained around $68 million, predominantly from retirement funds of over 450 individuals. These funds were ostensibly collected for the acquisition of precious metals, predominantly silver coins.

The $68 Million Fraud Allegations

Safeguard Metals’ alleged involvement in a $68 million fraud scheme has raised significant concerns. The company is accused of deliberately targeting elderly individuals, particularly those with retirement-aged accounts.

The company reportedly carried out a fraudulent precious metals scheme by manipulating inexperienced investors into purchasing overpriced silver coins. As a result, approximately $66 million out of the $68 million was fraudulently solicited from customers.

State-Level Repercussions

The fallout from Safeguard Metals’ fraudulent practices has not been limited to individual investors. State regulators have also taken action, imposing penalties on the company and revoking accreditations.

The company has reached a settlement with 29 state regulators, including California and Washington, over the $68 million fraud scandal. Nevertheless, the specifics of the penalties imposed remain undisclosed, adding to the cloud of uncertainty surrounding the company.

Impact on Investors

The consequences of Safeguard Metals’ legal issues go well beyond monetary penalties and regulatory repercussions. The scandal has had a direct impact on investors, many of whom have suffered significant losses.

Investors have reported substantial declines in their retirement investments due to overvalued silver coins and increased fees. The company’s misleading claims about profits and high-pressure sales tactics have further compounded the financial distress of investors.

Financial Protection and Red Flags

Regulatory compliance concept illustration

The scandal surrounding Safeguard Metals underscores the necessity of financial protection and vigilance when interacting with precious metal providers. Investors must be aware of potential red flags and take appropriate measures to ensure their investments are protected.

Grasping the concept of false and misleading statements, recognizing the role of regulators, and knowing how to sidestep illegal investment advice are fundamental aspects of financial protection. Taking these factors into account can help investors navigate the complex world of precious metal investing safely and confidently.

Understanding False and Misleading Statements

False and misleading statements can be a major red flag, and in the case of Safeguard Metals, they have been at the heart of the company’s alleged fraudulent practices. The company stands accused of making false and misleading statements to mislead investors, leading to significant financial losses.

Understanding what constitutes false and misleading statements can help investors protect themselves from potential scams. Here are some steps to take:

  1. Verify the source of investment information.

  2. Be vigilant for inconsistencies in the information provided.

  3. Scrutinize financial statements for unusual transactions or sudden changes in accounting methods.

By following these steps, you can better protect yourself from fraudulent investment schemes.

The Role of Federal Regulators

Federal regulators have a pivotal role in safeguarding investors from deceptive practices. Their involvement in the Safeguard Metals case serves as a stark reminder of their role in maintaining the integrity of the financial markets and safeguarding investor interests.

Regulators like the DFPI, Commodity Futures Trading Commission (CFTC), Illinois Securities Department, Indiana Securities Division, New Mexico Securities Division, Mexico Securities Division, Tennessee Securities Department, and the Securities and Exchange Commission have taken measures against Safeguard Metals, securing a court-approved settlement that includes a permanent injunction against the company. This action signals a clear warning to potential investors about the consequences of non-compliance with securities laws.

Avoiding Unlawful Investment Advice

Illegal investment advice can result in substantial financial losses for investors, a situation exemplified by Safeguard Metals. The company, llc and jeffrey ikahn, has been accused of providing unlawful investment advice to its clients, further compounding its legal troubles.

To protect themselves from such unethical practices, investors should:

Comparison with Other Precious Metal Providers

Comparison of service quality

A comparison of Safeguard Metals with other precious metal providers can shed light on the issues that engulf the company. This comparison can provide a broader perspective and help investors make more informed decisions.

While Safeguard Metals offers a range of precious metal products, the company’s service quality, investment performance, and retirement savings security are lacking when compared to other providers in the industry.

Evaluating Service Quality and Transparency

Investor confidence is largely shaped by the business and consumer services quality and transparency a company offers. In the case of Safeguard Metals, these areas are sore points for the company.

Compared to other providers such as Augusta Precious Metals, which is known for its transparency and high customer satisfaction, Safeguard Metals falls short. While there are positive reviews for the company, the overwhelming number of negative experiences expressed by customers paints a concerning picture.

Investment Performance and Fees

When selecting a precious metal provider, the performance of investments and associated fees are vital considerations. Unfortunately, these are areas where Safeguard Metals has been found wanting.

While the company offers a range of precious metal products, the lack of clarity about their investment performance and fees makes it challenging for investors to make informed decisions.

Retirement Savings Security

One of the main reasons investors turn to precious metals is to secure their retirement savings. However, Safeguard Metals’ involvement in legal scandals raises serious concerns about the security of retirement savings with the company.

While the company asserts to offer protections and insurance for retirement savings, the scandal involving fraudulent practices and the loss of investors’ retirement funds paints a different picture.

Steps to Take Before Investing in Precious Metals

Thorough research and due diligence

The scandal involving Safeguard Metals underlines the significance of exercising due diligence when investing in precious metals. To avoid falling victim to such scams, investors should follow certain steps before making their investment.

From researching precious metals to understanding the fine print of investment contracts, these steps can help investors protect their investments and avoid potential pitfalls.

Research and Due Diligence

When investing in precious metals, meticulous research and due diligence are indispensable. This involves not only understanding the basics of precious metal investing but also thoroughly researching the company you are considering investing with.

In the case of Safeguard Metals, a lack of due diligence led to significant losses for many investors. By understanding the company’s history, business practices, and legal issues, investors can avoid similar pitfalls.

Seeking Professional Advice

Professional advice can offer invaluable perspectives and direction for those investing in precious metals. A reputable financial advisor can help you understand the complexities of purchasing precious metals and make informed investment decisions.

Reading the Fine Print

Perusing the fine print is a necessary step before committing to an investment. This involves understanding the terms and conditions of the investment and being aware of potential risks and hidden charges.

By taking the time to understand the fine print, investors can protect their investments and avoid potential losses.


In conclusion, the Safeguard Metals scandal underscores the importance of due diligence when investing in precious metals. From understanding the company’s reputation and legal issues to seeking professional advice and understanding the fine print, these steps can help investors protect their investments and avoid potential pitfalls. As the old adage goes, “Caveat Emptor” – Let the buyer beware.

Frequently Asked Questions

What were the specific allegations against Safeguard Metals?

Safeguard Metals was alleged to have engaged in a nationwide fraudulent scheme, obtaining around $68 million from at least 450 individuals for the ostensible acquisition of precious metals, predominantly silver coins. This was revealed recently.

How has Safeguard Metals’ legal troubles impacted its reputation?

Safeguard Metals’ reputation has been significantly tarnished by its legal troubles, including a $68 million fraud scheme and regulatory scrutiny. This has had a substantial impact on its standing in the industry.

What steps should investors take before investing in precious metals?

Before investing in precious metals, it’s crucial to educate yourself, determine your investment method, set a budget, choose a reputable dealer, consider storage options, monitor the market, and diversify your portfolio for a well-informed and balanced approach to investing.

How can investors identify false and misleading statements from precious metal providers?

To identify false and misleading statements from precious metal providers, investors should verify the source of information, be vigilant for inconsistencies, and scrutinize financial statements for unusual transactions or sudden changes in accounting methods. Be thorough in your research to avoid potential scams.

What measures can be taken to avoid unlawful investment advice?

To avoid unlawful investment advice, it’s important to conduct thorough due diligence, approach investment advice with skepticism, and seek professional advice before making investment decisions.