Important Regulatory Information
The content of this promotion has not been approved by an authorised person within the meaning of the Financial Services and Markets 2000. Reliance on this promotion for the purpose of engaging in any investment activity may expose an individual to a significant risk of losing all of the property or assets invested.
Don't invest unless you're prepared to lose money. This is a high-risk investment. You may not be able to access your money easily and are unlikely to be protected if something goes wrong.
This financial promotion is exempt from the general restriction (in section 21 of The Financial Services And Markets Act 2000 (Financial Promotions) Order 2005) on the communication of invitations or inducements to engage in investment activity on the grounds that you are a:
- Certified High Net Worth Investor or,
- Certified Sophisticated Investor or,
- Self-Certified Sophisticated Investor or,
- Members of an association of High Net Worth or Sophisticated Investors.
Exemptions from Section 21
Our financial promotions are exempt from the general restriction (in section 21 of The Financial Services And Markets Act 2000 (Financial Promotions) Order 2005) on the communication of invitations or inducements to engage in investment activity on the grounds that it is made to a:
- Certified High Net Worth Individual (Article 48 of the Act)
- High Net Worth Company (Article 49 of the Act)
- Certified Sophisticated Investor (Article 50 of the Act)
- Self-Certified Sophisticated Investor (Article 50a of the Act)
- Members of an association of High Net Worth or Sophisticated Investors (Section 51 of the Act)
What is Required to Qualify: The Details
A certified high net worth investor is an individual who has signed, within the period of twelve months ending with the day on which the communication is made, a statement in the following terms:
Statement for High Net Worth Investor
I make this statement so that I can receive promotional communications which are exempt from the restriction on promotion of non-mainstream pooled investments. The exemption relates to certified High Net Worth Investors and I declare that I qualify as such because at least one of the following applies to me:
(a) I had, during the financial year immediately preceding the date below, an annual income to the value of £170,000 or more.
(b) I held, throughout the financial year immediately preceding the date below, net assets to the value of £430,000 or more. Net assets for this purpose do not include:
(i) The property, which is my primary residence or any loan secured on that residence.
(ii) Any rights of mine under a qualifying contract or insurance within the meaning of the Financial Services and Marketing Act 2000 (Regulated Activities) order 2001: or
(iii) Any benefits (in the form of pensions or otherwise) which are payable on the termination of my service or on my death or retirement and to which I am (or my dependents are). Or may be entitled.
I accept that the investments to which the promotions will relate may expose me to a significant risk of losing all of the money or other property invested. I am aware that it is open to me to seek advice from an authorised person who specialises in advising on non-mainstream pooled investments.
A self-certified Sophisticated Investor
Statement for Sophisticated Investor
I am a self-certified sophisticated investor because at least one of the following applies:
(a) I am a member of a network or syndicate of business angels and have been so for at least 6 months prior to the date below;
(b) I am working, or have worked in the two years prior to the date below. In a professional capacity in the private equity sector, or in a provision of finance for small and medium enterprises;
(c) I am currently, or have been in the two years prior to the date below, a director of a company with an annual turnover of at least £1.6 million.
Risk Guide
Risk Summary
Your capital is at risk when you choose to invest and your investments may not always perform as well as you’d expect. It’s important to be aware of this before starting your investment journey.
High risk investments are often advertised as offering a high return. However, the Financial Conduct Authority (FCA) warns that high-risk investments should be treated with caution. Due to the potential for losses, the FCA considers high-risk investments to be complex and precarious. It is important to tread carefully.
Let’s take a closer look at the risks.
FCA High Risk Investments: What are the Key Risks?
1. You Could Lose All the Money You Invest
- If the business offering this investment fails, there is a high risk that you will lose all your money. Businesses like this often fail as they usually use risky investment strategies.
- Advertised rates of return aren’t guaranteed. This is not a savings account. If the issuer doesn’t pay you back as agreed, you could earn less money than expected or nothing at all. A higher advertised rate of return means a higher risk of losing your money. If it looks too good to be true, it probably is.
- These investments are sometimes held in an Innovative Finance Account ISA (IFISA). While any potential gains from your investment will be tax free, you can still lose all your money. An IFISA does not reduce the risk of the investment or protect you from losses.
2. You are Unlikely to be Protected if Something Goes Wrong
- The business offering this investment is not regulated by the FCA. Protection from the Financial Services Compensation Scheme (FSCS) only considers claims against failed regulated firms. Learn more about FSCS protection here.
- The Financial Ombudsman Service (FOS) will not be able to consider complaints related to this firm. Learn more about FOS protection here.
3. You are Unlikely to Get Your Money Back Quickly
- This type of business could face cash-flow problems that delay interest payments. It could also fail altogether and be unable to repay investors their money.
- You are unlikely to be able to cash in your investment early by selling it. You are usually locked in until the business has paid you back over the period agreed. In the rare circumstances where it is possible to sell your investment in a ‘secondary market’, you may not find a buyer at the price you are willing to sell.
4. This is a Complex Investment
- This investment has a complex structure based on other risky investments. A business that raises money like this lends it to, or invests it in, other businesses or property. This makes it difficult for the investor to know where their money is going.
- This makes it difficult to predict how risky the investment is, but the risk will most likely be high.
- You may wish to get financial advice before deciding to invest.
5. Don’t Put All Your Eggs in One Basket
- Putting all your money into a single business or type of investment for example, is risky. Spreading your money across different investments makes you less dependent on any one to do well. This is called diversifying your portfolio.
- A good rule of thumb is not to invest more than 10% of your money in high-risk investments.
One Crown Investments
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