Comments on: Beware Special Purpose Acquisition Companies

By: Milatova

Milatova — Mon, 28 Dec 2009 10:17:22 +0000

does that mean they actually earn 20% even if they do exactly nothing for a year? Sounds like a perfect business to me! For them, I mean

By: Andrew

Andrew — Tue, 09 May 2006 20:57:14 +0000

You can buy into these stocks for $6-$8 per unit, allowing for the average investor to participate. Depending on how many units you purchase your potential losses could be minimal. Not so sure if betting the whole house on these investments is the best idea. It depends on your situation. Here is another article about these investments.

By: DebtBlog

DebtBlog — Tue, 09 May 2006 13:51:40 +0000

While you could do really well if you got in with the right oone, it sounds like a great way to know right up front you’ll come out minus 20%. A great deal for those at the helm of one of those things. Great plan: Get a bunch of investors; use their money to buy a business or two; if it doesn’t work out, pocket 20%. How can I start one of these? Anybody want to send me some money?

By: Anonymous

Anonymous — Mon, 08 May 2006 18:44:00 +0000

Beware Special Purpose Acquisition Companies

Blueprint for Financial Prosperity has a short discussion of a new high risk class of stocks that are called special purpose acquisition companies. These stocks look like a high risk gamble to me.

By: CK

CK — Mon, 08 May 2006 13:17:26 +0000

Another good article on the subject;

By: CK

CK — Mon, 08 May 2006 13:13:14 +0000

This is actually a legit business model. It is also as you point out a risky investment. Boom or bust pretty much.