Lou Carlozo, an investment contributor for U.S. News & World Report, is working on an article on equity crowdfunding. The excitement about it post-JOBS Act has cooled off, and may pale in comparison to other options for investors. Please send in your answers to these questions VIA EMAIL by end of day Thursday, June 1 (post-Memorial Day weekend). 1) Has equity crowdfunding indeed fallen flat? If so, or if not, why? 2) Is seems as though investors these days are more excited about wrinkles such as M&As, overhyped stocks (Tesla, Facebook), and waiting for hot tech properties to go public (Snapchat, Uber). To what extent might this be taking the wind out of crowdfunding’s sails? 3) There was a fear at the start that equity crowdfunding would attract a lot of scammers with “Brooklyn Bridge” type propositions. To what extent does this fear continue to play a role? 4) Is the fact that it’s aimed at non-accredited investors cheapen it as well? 5) Are we bound to see it pick up in the years ahead? If so, why, and what will it take? 6) Anything else to add? Advice or pointers for investors, for example? Please put EQUITY CROWDFUNDING in the subject line so I can spot your replies easily. Thanks for your replies in advance. This article will go live the following Tuesday, June 6. We are currently looking for sources to be more frequent contributors, so if you’d like to offer your client, please indicate that high in the email.
U.S. News & World Report: Why Equity Crowdfunding Has Stalled