Final answer:
True, Market participants must avoid committing fraud by ensuring all factual claims about financial returns are accurate and include necessary qualifications; false facts are not allowed in advertising as mandated by the FTC.
Step-by-step explanation:
If a return is being marketed without any qualification disclosure, it is considered fraud. This is because, as per the Federal Trade Commission (FTC), any factual claims about a product's performance must be accurate and cannot be untrue. While exaggerated or ambiguous language and images are permissible to some extent in advertising, outright false facts are prohibited. In the marketing of financial returns, it is critical to be clear and truthful about the qualifications, risks, and realistic expectations to avoid misleading consumers. In this context, the principle of 'Caveat emptor,' which means 'let the buyer beware,' is also relevant but does not absolve the marketer of the responsibility to be truthful.