The Globe and Mail’s Janet McFarland and the Vancouver Sun’s David Baines both wrote about our recent notices of hearing about responding to investment offers on Craigslist.
In March, we alleged that a BC man and two companies he controls made materially false statements while promoting an investment on Craigslist. Gaia Equity claimed to guarantee BC investors a risk-free monthly rate of return of up to 9.83% through investments in renewable energy projects in developing countries. Samuel Richard Allaby also claimed that these risk-free investments were guaranteed by the World Bank and the International Monetary Fund.
In May, we alleged that Paul Stiles told investors through ads posted on Craigslist that investors could earn returns ranging from 12% annually to 100% within six months by investing in Velocity Entertainment Inc., a private company that he claimed was producing feature films.
Two messages: There is no such thing as a guaranteed return and the returns promised in both of these cases are completely unrealistic; and, don’t respond to any investment offers on Craigslist.
Learn about elder financial abuse in Canada
Interesting article in the Vancouver Sun this week by Vancouver-based portfolio manager, Michael Schaab, of Leith Wheeler Investment Counsel. Schaab tells investors they need to take a closer look at the risks of chasing yield. “Making investment decisions based on yield alone can frequently end in disappointment. Higher yields do not indicate better investments. In […]