CONNECTING THE DOTS
From past articles, you know how Bulletin Boards, Social Media, and platforms such as Seeking Alpha (SA) are used to manipulate investors and ultimately share prices of a targeted company. This Bloomberg article is from April 2017 (CLICK HERE). Unfortunately in July 2018 not much had changed with platforms such as Motley Fool and Seeking Alpha specifically referenced (CLICK HERE).
What about forums and platforms such as Reddit? The first question one should ask is why would a forum on Reddit (subReddit) be dissimilar from these other platforms since there is anonymity? A subReddit forum with enough members will have statistics come into play. Some of those subscribers may be well meaning but will post incorrect and misleading statements and hucksters could also find these forums and start working their craft.
A December 2017 reputable article discussing blockchain investment advice commented “. . .Reddit is generally not an advisable source for investment advice …” (CLICK HERE). That article was written about ICOs and crypto assets, but perhaps it applies to all investments and particularly to a new industry surrounded by hype and mystery as well as, what are to some, unusual Accounting practices under GAAP – the legal cannabis industry.
Pharmaceutical companies that grow and harvest plants that are used in drug formulations fall under IAS 41. Jewelry companies that have their own oyster farms for harvesting pearls fall under IAS 41. International Accounting Standard 41 – Agriculture (IAS 41) - CLICK HERE for that standard and this link provides the amend-ment for bearer plants (CLICK HERE). This link (CLICK HERE) provides excellent examples and an explanation of IAS 41. HTK Consulting has an easy to follow summary (CLICK HERE).
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