by Greg Klein | March 18, 2016
And you thought those stuffed-shirt compliance officers had no sense of fun. Much to the surprise of patrons at a Victoria coffee shop last week, the British Columbia Securities Commission staged a two-minute musical. The purpose? To warn about some common investment pitfalls, especially the no-risk, high-return kind.
One of the most significant reasons people fall for investment fraud is that they can’t actually recognize an outrageous offer when they see one.—Paul Bourque,
BCSC executive director
“One of the most significant reasons people fall for investment fraud is that they can’t actually recognize an outrageous offer when they see one,” said BCSC executive director Paul Bourque at the video’s March 17 premiere.
“A good rate of return in today’s markets is 4% or lower,” he added. “Not knowing this can make it hard to evaluate much higher returns if someone presents them as an opportunity. If you are offered an investment with high returns and no risk, or that is offshore and tax-free, it’s a scam. You should reject the investment and report it to the BCSC immediately.”
The musical marks the latest feature of the BCSC’s BeFraudAware campaign. Launched in 2011 and emphasized during Fraud Prevention Month, the program uses the Web, TV, radio and print to encourage people to take precautions before investing and to tip off the commission about known or suspected frauds.