Date: 5th October 2016
Author:

Equity Crowdfunding means people investing in an unlisted company – usually at an early stage of its lifecycle – in return for shares.

However, the Financial Conduct Authority (FCA), UK-based financial regulatory body found out that most companies in equity crowdfunding misled investors about the risks involved.  Information regarding the companies was often – if provided at all– incomplete or selective, leading to significant losses for the investor.

Read the Financial Times article here.