Podcast
Questions and Answers
What change occurred in the U.S. crowdfunding landscape as a result of the JOBS Act in 2012?
What change occurred in the U.S. crowdfunding landscape as a result of the JOBS Act in 2012?
- Enforced strict rules allowing only high net-worth investors to invest in equity issues
- Required crowdfunding sites to charge a commission for transactions
- Allowed equity investment by non-qualified individuals (correct)
- Barred U.S. crowdfunding sites from offering equity to investors
What type of investors are firms allowed to promote crowdfunding offers to under FCA regulations?
What type of investors are firms allowed to promote crowdfunding offers to under FCA regulations?
- Experienced or sophisticated investors (correct)
- Institutional investors only
- Retail investors without any restrictions
- Investors with a high net worth
Which platform emerged post the JOBS Act that charged fees based on the performance of the investment?
Which platform emerged post the JOBS Act that charged fees based on the performance of the investment?
- Kickstarter
- Indiegogo
- AngelList (correct)
- SEC
What is the maximum amount individuals whose income or net worth is less than $107,000 can invest in crowdfunding-based equity?
What is the maximum amount individuals whose income or net worth is less than $107,000 can invest in crowdfunding-based equity?
Which type of investors are Limited Partners (LP) in venture capital firms?
Which type of investors are Limited Partners (LP) in venture capital firms?
What is the main function of Venture Capital Firms?
What is the main function of Venture Capital Firms?
What is the maximum amount companies can raise through crowdfunding in any given year?
What is the maximum amount companies can raise through crowdfunding in any given year?
What is a key difference between donation and reward-based crowdfunding platforms and investment-based crowdfunding?
What is a key difference between donation and reward-based crowdfunding platforms and investment-based crowdfunding?
Why does the Financial Conduct Authority (FCA) recommend seeking more information about high-risk investments related to crowdfunding?
Why does the Financial Conduct Authority (FCA) recommend seeking more information about high-risk investments related to crowdfunding?
Why does FCA regard investment-based crowdfunding as a high-risk investment activity?
Why does FCA regard investment-based crowdfunding as a high-risk investment activity?
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