Take Control of Your Take Control of Your Financial FutureFinancial Future

What is the New Brunswick Securities What is the New Brunswick Securities Commission?Commission?

Crown CorporationEstablished in 2004Double role

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INVESTMENT ADVISER INVESTMENT ADVISER RELATIONSHIPRELATIONSHIP

Know who you’re dealing withKnow who you’re dealing with

RegistrationRegistration

Check your adviser’s registration

– The NBSC can tell you if a firm or individual is registered in New Brunswick

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What an adviser can’t do for What an adviser can’t do for youyou

Your adviser will not be able to:Predict the performance of the markets with certaintyRecommend investments that are always profitableAct on vague or general instructions to buy or sell investmentsMeet unrealistic goals or expectations of profit

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Do I have a complaint?Do I have a complaint?

You may have a complaint if your financial adviser: is not registered to sell the investments being recommended;

takes money out of your account, or buys or sells securities with your money, without first getting your permission (unless one of the exemptions previously discussed applies)

switches you from one mutual fund to another when there is no legitimate reason;

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Do I have a complaint?Do I have a complaint?

does not take reasonable care to see that your investment request is executed at the best possible price, given the market conditions at the time; or

recommends you buy or sell a security that is unsuitable based on the information gathered from you in the Know Your Client form (KYC).

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What the NBSC Can DoWhat the NBSC Can Do

answer general questions about investment products and services,tell you if a firm or representative is registered in New Brunswick,tell you if an individual or firm has ever been disciplined by the NBSC,suggest options for pursuing your complaint and tell you which organization may be most helpfulenforce compliance with securities legislation, andact against market misconduct, including removing from the market those who do not comply with the law or who cheat investors.

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What the NBSC Can’t DoWhat the NBSC Can’t Do

undo a transaction,give advice on an investment,give legal advice, orcomment on an ongoing investigation.

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AVOIDING & AVOIDING & REPORTING FRAUDREPORTING FRAUD

Invest in Knowing More™Invest in Knowing More™

Avoid, Recognize, ReportAvoid, Recognize, Report

Avoiding a scam before it happensRecognizing a scamTypes of scamsHow you might be approached

See: “Protecting Your Money from Frauds and Scams” in your kit.

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Avoid – Do a Background CheckAvoid – Do a Background Check

Step 1- Check your adviser’s registration

Step 2 - Check for disciplinary action

Step 3 - Check the company’s history

Step 4 - Check the news

Step 5 - Check other search tools

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Recognize - Red Flags of FraudRecognize - Red Flags of Fraud

Guaranteed high returns – no riskInsider tips – get in now!Offshore investment – tax free!Profit like the experts!Great investment opportunity – your friends can’t be wrong!

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Recognize – Common ScamsRecognize – Common Scams

Boiler rooms (See: “Boiler Room Scams – Could you be vulnerable?” in your kit)

Internet Fraud (See: “Investment Fraud and the Internet” in your kit)

Affinity Fraud

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Recognize – Common ScamsRecognize – Common Scams

Double Dip

Ponzi

Pyramid

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Why a Ponzi Scam FailsWhy a Ponzi Scam Fails

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Why a Pyramid Scheme FailsWhy a Pyramid Scheme Fails

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Reporting FraudReporting Fraud

www.nbsc-cvmnb.ca1-866-933-2222See: “Complaints Resource Kit” in your kit

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Remember:Remember:

Do a background checkHang up on unsolicited phone callsNever respond to spamUse common senseContact us:

1 866 933-2222www.nbsc-cvmnb.ca information@nbsc-cvmnb.ca @NBSecuritiesCom

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