WHEN WE THINK OF WELLNESS, we most often think of physical wellness. At Speakwell, we believe there are other kinds of wellness such as financial wellness and community or global wellness. To that end we are including a financial section in each issue along with some very worthwhile causes under the heading of "Global Wellness" that we invite you to consider. Take a look at each one and decide if there is something you could throw your support behind. « The concept of total wellness recognizes that our every thought, word, and behavior affects our greater health and well-being. And we, in turn, are affected not only emotionally but also physically and spiritually. » :: Greg Anderson
Don't Worry | Playing For Change | Song Around the World
MUCH ATTENTION HAS BEEN GIVEN recently to a number of ponzi schemes that are being revealed in both Canada and the USA. Thousands of investors have lost billions of dollars by trusting so called ‘financial advisors’ without doing proper due diligence about these investments or these ‘advisors’.
In light of these horrific stories, I would like to share with you the following media release addressed to consumers from ADVOCIS (the Financial Planners Association of Canada).
Please become aware of the warnings signs so that you never become a victim of one of these crimes.
Advocis: There are ponzi scheme warning signs
Toronto — In the wake of the Bernie Madoff ponzi scheme recently uncovered in the US and the one currently under investigation in Montreal allegedly perpetrated by Earl Jones, Advocis, The Financial Advisors Association of Canada, offers some red flags for investors and potential investors.
“A ponzi or pyramid scheme is an investment opportunity built on a fraud that will eventually collapse,” warns Greg Pollock, Advocis’ president and CEO. “The first and most important warning sign is the advisor offers you some unrealistic and/or consistent returns on the investment. Such promises are fundamentally contrary to the very nature of a stock market. Stock markets go up and stock markets go down. Legitimate results vary.”
Other warning signs include pressure to invest beyond your comfort level. An ethical and responsible financial advisor or planner will understand your financial goals and objectives but, most importantly, how much money you are willing to risk in any investments. A fraudulent advisor will also supposedly place all of a victim’s money into one financial vehicle when in fact returns are that of the investors’ own money or more recently recruited investors.
Another warning sign is a promise of exclusivity or a ‘special deal.’ Legitimate investment opportunities are generally available to a wide range of clients.
“Each investor is their own best advocate,” said Mr. Pollock. “They should take the necessary steps to research, verify and question the advisor and his recommendations. But in the end it comes down to the simple old saying, if it’s too good to be true then it probably is.”
There are steps an investor or potential investor can take to prevent being a victim of this crime. The first step is to do the research. Get referrals from other clients. Does the advisor have a license to do business? Does the advisor have a professional designation?
The next step is to verify all the information gathered. Verify that the money invested is going to a legitimate third-party financial institution. The statements should include key information such as a street address (not a post office box), a list of the investments and their activity over a period of time. Verify with the appropriate licensing body that the advisor is duly authorized to do business in the province.
Finally an investor should ask questions of the advisor. A fraudulent advisor may refuse to answer questions or may dismiss your questions with an “it’s too complicated to explain” response.
Finally, Pollock advises to contact the RCMP or www.phonebusters.com if anyone suspects any wrong doing. Also, Advocis investigates and disciplines its members for any violation of its Code of Professional Conduct. The code requires that members act competently, diligently and with integrity, in the client’s best interest and according to the spirit and letter of the law.
Advocis, The Financial Advisors Association of Canada, is the oldest and largest voluntary membership association of financial advisors and planners in Canada. With more than 10,000 advisors and planners in 43 chapters across Canada, Advocis members provide financial advice, product service and employee benefit planning to millions of Canadians in a number of areas including estate and retirement planning, wealth management, risk management and tax planning. For more information about Advocis, visit www.advocis.ca.
:: This article was provided by Advocis.
:: David Mason is a financial advisor in Victoria, BC. He is a Chartered Life Underwriter, Certified Financial Planner and Registered Health Underwriter He can be contacted at david@donnellyadvisors.com »
ONLY ONE CLICK A DAY on a button at the Hunger Site » and you will freely have given someone in need a cup of food each time.
The Hunger Site was founded to focus the power of the Internet on a specific humanitarian need: the eradication of world hunger. Since its launch in June 1999, the site has established itself as a leader in online activism, helping to feed the world's hungry. On average, over 220,000 individuals from around the world visit the site each day to click the yellow "Click Here to Give—it's FREE" button. To date, more than 300 million visitors have given more than 573 million cups of staple food.
WE ARE TRYING SOMETHING NEW! Those of us at Pacific Rim Wellness (and we invite you to join us) want to do things ‘well’. In all that we do and in all that we are, we strive for excellence and wellness. We will be the first to admit that we often fail in reaching our goal but we continue to strive, nevertheless.
The person who succeeds is not the one who holds back, fearing failure, nor the one who never fails ... but rather the one who moves on in spite of failure :: Teddy Roosevelt
To that end (that of living WELL), we are offering our version of Live WELL cards. Blank inside, our aim is to give you images that evoke feelings of peace, relaxation, beauty or simply speak to the idea of Living WELL.
Each set of 10 cards (with envelopes) will reflect 5 images (2 cards of each image), and each set will retail for fifteen dollars. More sets will be added over time so please check back on a regular basis.
How to Detect a Ponzi Scheme
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