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Investor beware: What the new jobs act means to you

from Kiplinger's Personal Finance via Chicago Tribune

The Jumpstart Our Business Startups Act (better known as the JOBS Act of 2012) makes possible a mouthwatering variety of new investment options. But, says Chicago securities lawyer Andrew Stoltmann, the new law also creates "a disaster waiting to happen." The most controversial piece of the law concerns "crowd funding." The crowd-funding rules, which are expected to win approval and go into effect in the spring of 2014, would allow small investors to buy securities in privately held firms that are exempt from many of the stringent disclosure requirements that apply to publicly traded securities. more


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