One of the responses I received regarding Cyprus-based Genius Funds really puzzles me. In one of my blogs, I ask “is Genius registered with any securities commission or any other regulatory body?”
The comment back was “YES! If you had done your due diligence you would have been easily able to find out that they are licensed to operate as a Cypriot Investment Services firm since 2007.”
They may be incorporated as a company in Cyprus, but they are not registered with the regulator to trade securities. Check for yourself on the Cyprus Securities and Exchange Commission.
We issued a temporary order against web-based Genius Funds on February 12. Since then other Canadian provinces have also issued warnings to investors not to do business with this Cyprus-based company.
I have been writing about this for a week to question the very high returns Genius is offering to investors and to ask anyone interested in this fund to do their due diligence first before sending any money.
Get a second opinion. Ask your banker or accountant what they think of Genius’ offer of 1.2% daily or 9% weekly returns.
To read previous posts on this and other topics, click on Let’s talk about investing.
Under the new rules, registrants must provide clients with more information about any limits on the products they offer, as well as the costs and risks associated with them.
With Fraud Prevention Month winding down, I thought it would be a good time to point people to a special information feature in the Globe and Mail’s Special Reports section. The Canadian Securities Administrators (CSA) and other organizations participated in a three-page supplement that ran at the end of the Globe’s business section on March 22, 2011. […]