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NEWS photo Paul McGrath

WOOD GUNDY held an official opening party last week at its new West Vancouver office. Ir
attendance were (left to right): Wendy Slavin (C.I.8.C.), Wood Gundy president G.T. McCaughey,
Al Ordge (CIBC), West Vancouver mayor Mark Sager and office manager Richard Angus. _

The golden ruies of fraud

AN INVESTOR'S chances of
avoiding fraud are increased by fol-
‘lowing 12 rules listed below.

1. Too Good to be True Rule. If it
“ seems too good to be true, it proba-

bly is. If it’s such a great idea, and

it really works, why isn’t everyone
doing it?

2. Seal of Approval Rule. Be care-
- ful if a person indicates that an

accounting firm or securities com-

mission has “approved” the invest-
ment.

3. Track Record Rule. Look at the

track record. Many fraud artists try

again after going bankrupt the first.
second, and even third time.

4, Downside Rule. What's the
© worst that could happen? Could you
lose some or all of your investment?
Could you lose more than your

original take?

5. Guarantee Rule. Many invest-
ments “guarantee” (ax write-offs,
cash flows, rent levels, and/or the
return of your funds, but the guar-
antee is only as good as the guaran-
tor.

6. Missing Information Rule. Do
you have all the information you
expect and need to make an
informed decision?

7. Two Sides of the Fence Rule. {s
there a conflict of interest? Will the
salesperson make large fees by sell-
ing you a doubtful investment?

8. Tax Benefits Rule. Does it make
sense without the tax benefits? If
not, you may get a larger tax break
than expected — when you lose
your investment.

9. Eggs in the Basket Rule. Don't

put all your eggs in one besket. You
can Jose money on any investment.
10. Smoke and Mirrors Rule.
Beware of salespeople who cloud
your vision with “smoke” and use
“mirrors” to make you think you're
buying something other than what
is being sold.

11. Assumptions Rule. Appraisals,
cash-flow projections, and other
investment information usually fea-
ture the phrase, “it is assumed.”
12. Fees are Higher Rule. The
higher the middleman’s fee. the
more likely it is you are making a
poor investment.

By Brian Doyle, parter, and
Brian Bourns, senior manager,
Onawa-based financial advisory
services specialists with KPMG
Pear Marwick Thorne.

Wednesday, February 15, 1995 — North Shore News ~ 23
“Looking For A Great
Interest
Rate”

. David
Fonseca

Rick
Charles

Rates Subject Toa Change Without Notice
Minimum $25,000
Federal Government-
Guaranteed 3 Year Annual Pay.

Call 981-6600

North Shore’s #1 Investment Firm
Suite 250 - 15th Street, West Vancouver

RBC
DOMINION
SECURITIES

é WUT

OFrarn Friday, Jan, 27 and continuing to Friday,

Feb. 24, lucky downtown shoppers can WIN exciting

prizes - over $2000 in cash and merchandise.

Simply take proof of purchase to a
Treasure Chest location where
you'll be given a key that could
unlock the Treasure Chest of Prizes.

Hours: Mon. to Fri. 11am -2pm & 3pm - 5pm

1. Waterfront
Centre
Jan 27 - Feb 2

2. Bentall Centre
Feb 3 - Feb 9

3. Royal Centre
Feb 10 - Feb t6

4. Harbour Centre
Feb 17 - Feb 24

Contest Rules:

_ 1. Shoppers can make a purchase at any doventawn retait

outlet within the boundaries of Georgia Street to Canada Place
and Richards to Thurlaw. 2. Purchase must be made
between January 27 and February 24, 1995. 3 Shoppers
must provide proot of purchase.

For further details please contact DVBIA at 685-7811.