Promissory Notes

March 5, 2020

This is the Invest Ed® Investment Minute,
the voice of investor protection in Oklahoma. Promissory notes are short-term debt notes,
like a loan or IOU, issued by businesses to raise money. And some are real investment
opportunities but some are not. The real ones are usually reserved for banks
and other sophisticated investors. Real notes of start-up or troubled companies are highly
risky. Beware of notes hawked by sales people you
haven’t heard of and promises of low-risk and high reward. These con artists will tell you anything to
take your money. Remember that in investing, there are no risk
free sure things. Before you invest in a promissory note, ask
lots of questions. For more information about this topic and
other investor education resources, visit us at The Invest Ed® Investment Minute is designed
to educate you about securities fraud.

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