Question
My husband had a text message today from a company http://www.mercomoil.com asking him to consider buying Mercom Oil shares at 40p a share. Is this a legitimate company or a scam, can you help. How on earth they have got hold of my husband's mobile number I just can't imagine. But you hear about so many dodgy firms out there who try sucking OAP into a false sense of security and my husband has been seriously thinking of putting money into these shares. I'm a bit sceptical of believing messages like this seeing as my husband doesn't have any dealings with stocks and shares.Answer
One simple rule I'll always stick by is to never invest as a result of a cold call/email/text. When investments require a very heavy sell then at best they're probably not very good and at worst a scam.
Mercom Oil Sands was established in February this year and intends to make its fortune by extracting oil in Alberta, Canada. It appears to be very much in its infancy and looks an incredibly speculative investment. The company appears to be having difficulties acquiring an interest in oil sand leases and has also just issued more shares to pay off some consultancy fees, suggesting cash is tight.
The company is listed on the London Alternative Investment Market (AiM) where its shares are trading at 1.66p (at the time of writing) compared to a launch price of 10p, giving the company a market cap of £5.3 million. So whoever is trying to sell the shares at 40p each is clearly a scammer (I very much doubt the text was from Mercom themselves, if so they'd be in big trouble with the regulator).
This type of investment isn't my cup of tea, but if your husband wants to take a punt then he should be able to buy the shares through a stockbroker for considerably less than 40p!
On another note, yes it's really annoying when marketing companies get hold of your mobile number. I give out a dummy number unless it really is vital the company concerned has a correct number for me. I still get pointless PPI/personal injury texts though!
My husband had a text message today from a company http://www.mercomoil.com asking him to consider buying Mercom Oil shares at 40p a share. Is this a legitimate company or a scam, can you help. How on earth they have got hold of my husband's mobile number I just can't imagine. But you hear about so many dodgy firms out there who try sucking OAP into a false sense of security and my husband has been seriously thinking of putting money into these shares. I'm a bit sceptical of believing messages like this seeing as my husband doesn't have any dealings with stocks and shares.Answer
One simple rule I'll always stick by is to never invest as a result of a cold call/email/text. When investments require a very heavy sell then at best they're probably not very good and at worst a scam.
Mercom Oil Sands was established in February this year and intends to make its fortune by extracting oil in Alberta, Canada. It appears to be very much in its infancy and looks an incredibly speculative investment. The company appears to be having difficulties acquiring an interest in oil sand leases and has also just issued more shares to pay off some consultancy fees, suggesting cash is tight.
The company is listed on the London Alternative Investment Market (AiM) where its shares are trading at 1.66p (at the time of writing) compared to a launch price of 10p, giving the company a market cap of £5.3 million. So whoever is trying to sell the shares at 40p each is clearly a scammer (I very much doubt the text was from Mercom themselves, if so they'd be in big trouble with the regulator).
This type of investment isn't my cup of tea, but if your husband wants to take a punt then he should be able to buy the shares through a stockbroker for considerably less than 40p!
On another note, yes it's really annoying when marketing companies get hold of your mobile number. I give out a dummy number unless it really is vital the company concerned has a correct number for me. I still get pointless PPI/personal injury texts though!
Read this Q and A at http://www.candidmoney.com/askjustin/778/mercom-oil-sands-a-good-investment
No comments:
Post a Comment