David Salzano, Senior Compliance Officer with the BC Securities Commission, delivered a strong message to all members who attended the March meeting: know yourself and know your advisor.
He offered a list of fraud warning signs and suggested that doing your own research (into the advisor and the offering) was key. “If you don’t understand it, don’t invest!” he said.
His portrayal of an investment scam that resulted in total losses of $1.5 million for 27 people (mostly pensioners) in Kamloops a few years ago illustrated how easily intelligent people can be duped. In this case it was by a “trust-worthy” city Alderman.
The BC Securities Commission is on a mission to make more people aware of fraud cases and their own vulnerability for fraud. They have invested a great deal in educating as many people as possible and have an excellent website which provides a wealth of information including worksheets and questions to ask yourself before investing. They also access a database of investment advisors who have been in trouble in the past.
David started his talk “I’m here to show you how not to get ripped off”.
We are all much wiser for his advice