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Microcap & Penny Stocks : Microcap Kitchen Canadian Stocks -- Ignore unavailable to you. Want to Upgrade?

To: forbrydelsen who wrote (33328)	2/4/2015 11:37:46 AM
From: robnhood	Read Replies (1) \| Respond to of 49402

Google-- google.ca

To: forbrydelsen who wrote (33328)	2/4/2015 11:42:29 AM
From: ogi	Respond to of 49402

It refers to Canadian securities regulations stipulating who can participate in Private Placements. Generally when talking individual investors it means an individual with 1 million in assets. There have been some changes to the rules for individuals who already hold the common stock of an issuer. It is meant to be a "protection" against naive investors buying risk they cannot afford. Also amounts to an elite clause. Accredited Investor Exemption Under the accredited investor exemption, you can sell securities to an accredited investor in any amount without providing any disclosure about the issuer. There is no limit on the number of purchasers or the amount that can be raised using the accredited investor exemption. An accredited investor includes: financial institutions registered advisers or dealers pension funds mutual funds selling only under a prospectus or to accredited investors or persons buying at least $150,000 of securities corporations, limited partnerships, trusts or estates having net assets of at least $5 million individuals who have at least $1 million in financial assets (cash and securities) before taxes. (In calculating an individual's financial assets, any outstanding loans incurred to acquire those assets must be deducted.) individuals whose net income before taxes exceeds $200,000 (or $300,000 combined income with spouse) in each of the two most recent years and who reasonably expects to exceed that net income in the current year individuals who have at least $5 million in net assets

To: forbrydelsen who wrote (33328)	2/4/2015 12:35:20 PM
From: madmax123	Read Replies (2) \| Respond to of 49402

perhaps you are like me and you see the value of being included in a private placement rather than buying on the open market at a higher price, almost always being associated with extra incentives such as warrants or half warrants. My long-term goal is to be able to include in my investment strategies the ability to participate in private placements. Since it's an even longer term goal to meet the criteria of an "accredited investor", the only way that I've seen that I could participate is through the process described by the below link. canadiansecuritieslaw.com There are a couple of things I don't completely understand because I've only just begun to look into this sort of thing. Something that I think is ridiculous is that you would be limited to participating in no more than 15,000 dollars a year, unless you get the approval of an investment advisor. Can you imagine asking some random investment advisor if you could be able to invest 30,000 dollars in the ACKROO private placement that just happened? I'm sure they would say, "never invest in penny stocks! They're too risky!" Maybe I'm wrong. Maybe it would be more or less a rubberstamp if you demonstrated that you weren't a total idiot. I feel like most people who are for example reading this board have discount brokerages because we want to manage our own investments. The other unfortunate thing about this I think is the lack of clarity around the term "existing shareholder". For how long do I need to be an existing shareholder? Could I buy stock on the open market the day a private placement is announced? That would be ideal. Has anyone Actually used the existing shareholder provisions to participate in a private placement? If so, would you mind sharing your experience here?