What is Kenjee Capital’s role?
Kenjee Capital Inc. is a registered Exempt Market Dealer (EMD). Our role is limited to facilitating transactions in prospectus-exempt securities and complying with our obligations under applicable securities legislation, including disclosure, KYC, KYP, suitability assessments at the time of each transaction, and regulatory reporting.
Is my account discretionary or self-directed?
Your account with Kenjee is self-directed. You are responsible for making all investment decisions. Kenjee does not exercise discretion over your account.
Does Kenjee hold my funds or securities?
No. Kenjee does not hold client funds or securities. Funds used to purchase securities are transferred directly to the issuer or to a third party such as a trustee or custodian, as applicable. Securities are generally registered in your name on the issuer’s securities register or held by a third party.
Your account with Kenjee is informational in nature and reflects your transaction history with us.
Who can invest through Kenjee Capital?
Kenjee Capital facilitates investments for Accredited Investors only.
How does the Accredited Investor exemption work?
It allows all companies and investment funds to raise funds from accredited investors only.
What is an accredited investor?
An accredited investor is an individual or entity that meets specific financial or professional criteria set out in Canadian securities laws. These criteria are intended to identify investors who are considered to have the financial capacity and sophistication to evaluate and bear the risks of prospectus-exempt investments.
Who qualifies as an accredited investor?
A wealthy person who passes a financial asset or an income test as described below:
An individual registered under the securities legislation of a jurisdiction of Canada as an adviser or dealer.
A corporation who is regulated by either a federal/provincial/municipal government, a federal act, an SRA, or another regulatory entity.
Investment funds, angels, VC groups, a holding or a family trust set up by an Accredited Investors where most of the beneficiaries are Accredited investors as well.
How does Kenjee assess suitability?
Before facilitating a transaction, Kenjee assesses whether the investment is suitable for you based on your Know-Your-Client (KYC) information, including your financial situation, investment objectives, risk tolerance, and time horizon.
What are the risks of prospectus-exempt investments?
Prospectus-exempt investments generally involve higher risk, limited liquidity, and valuation uncertainty. There is no guarantee of return, and you may lose some or all of your investment. These investments are not suitable for all investors.
Can I invest using borrowed money?
Borrowing to invest involves additional risk. You remain obligated to repay the loan and any interest regardless of investment performance. Leveraged investing can magnify losses. Kenjee generally does not recommend borrowing to invest in prospectus-exempt securities.
How is Kenjee compensated?
Kenjee is typically compensated through issuer-paid commissions, which are disclosed to you before any transaction is completed. These commissions are paid by the issuer and are not charged directly to you.
Because this compensation may create a potential conflict of interest, Kenjee manages and discloses such conflicts in accordance with regulatory requirements.
What reporting will I receive?
In connection with transactions facilitated by Kenjee, you will receive:
Kenjee does not provide ongoing portfolio performance reporting or continuous monitoring.
What are my responsibilities as an investor?
You are responsible for:
How do alternative investments fit into a portfolio?
Alternative investments may serve as a complement to traditional asset classes within a diversified portfolio for investors who understand and can bear the associated risks.
Depending on the strategy, alternative investments may:
However, alternative investments are typically illiquid, long-term, and higher risk, and should only represent a portion of an investor’s overall allocation, consistent with their financial situation and risk tolerance.
