The Alberta Securities Commission and the British Columbia Securities Commission have had reports about a scheme being offered at free, public seminars where people are introduced to a way to participate in extraordinary investment returns with references to money moving offshore and Canadian tax avoidance – some of the “red flags” that regulators typically warn investors about. Read the recent alert, hear the radio ad and view the print ad.
Sometimes the riskiest investments don’t feel that way at all.
The Alberta Securities Commission gives you the warning signs of an investment club or a group that may be an unstable pyramid/ponzi scheme — and could take you by surprise.
Recognize these warning signs:
- You’ve been invited to a meeting for a secret or private (or once-in-a-lifetime) opportunity
- The investment promises unreasonably high, annual rates of return
- You’re pressured to put all of your money into the deal
- You don’t understand the investment set up
- The club talks of moving funds offshore and frequently refers to tax avoidance
- You’re encouraged to pursue the opportunity without seeking independent expert advice
… then read on to find out what you can do before you risk your money.
How can I look up the company's record with the ASC?
How can I check the credibility of company information?
How do I find out if a person is registered to sell investments?
What do I do if I just signed up for an investment with a company or advisor that I no longer feel comfortable with?
Can I get my money back?
If I have been involved in a scam like this, what can I do?
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