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Tjw32

11/07/18 12:50 PM

#9780 RE: elkonig #9779

Yep, here's why the OTC posts the Stock Promotion warning symbol.
Identifying Fraudulent Promotional Campaigns We believe stock promotion is misleading and manipulative when information is publicly disseminated to disrupt the efficient market pricing of a security. Misleading promotional materials often employ false or baseless claims, omit material information, exaggerate an issuer’s future potential, or predict unrealistic price targets. Fraudulent promotional campaigns disseminate misleading information in a variety of manners, including e-mails, newsletters, social media outlets, press releases, videos, telephone calls, and/or hard mailers. Common characteristics of misleading and manipulative promotion: • Fail to clearly identify the sponsor of the promotion, and/or the promotion is sponsored or paid for by anonymous, unidentifiable 3rd parties • Typically focus on a company’s stock rather than its underlying business • Use highly speculative language. Materials often rely on grandiose numbers and figures related to the target company’s industry, business model, financial results, or business developments • Tout performance or profit potential of an issuer’s security with unsupported or exaggerated statements about the stock price or its anticipated trajectory • Make unreasonable claims pertaining to an issuer’s operations • Suggest a promise of a specific future performance of the stock or profit to investors • Provide little or no factual information about the company, omit material information • Urge the investor to take action immediately as not to miss out on a great opportunity