SEC Issues Investor Alert on Marijuana-Related Investments

Earlier this year, Spring 2014 student intern Nataliya Nemtseva warned you about marijuana stock scams in her Weed out Investment Scams post.

Last week, the SEC also weighed in, issuing an investor alert on marijuana-related investments. In its alert, the SEC detailed trading suspensions of five companies with operations relating to the marijuana industry.  The alert also provides advice to investors interested in marijuana-related investments, including the risks of penny stock or microcap investments, risks related to unregistered offerings and the research potential investors should undertake before investing.