Frequently Asked Questions
What is the SVX
The SVX is a secure, online platform that allows you to invest in companies and funds that have a positive social or environmental impact. Think of it as a one-stop-shop for impact investing.
We bring all sorts of venture opportunities directly to you through the platform. All of the products on our platform are Canadian private market securities. Through the SVX, you can browse active opportunities to support scaling social impact ventures and seek financial return. We are fully compliant with all securities laws and are registered as an Exempt Market Dealer in Ontario, Québec, Alberta, British Columbia, Saskatchewan, and Manitoba. We’re excited to help you achieve postive impact alongside financial return!
How Does the SVX Work?
SVX uses crowdfunding and direct placement to support capital raising by impact ventures and funds. Investors and issuers can manage their investments on the platform, have 24-hour access to all documents in one place, and make transactions through the platform.
For entrepreneurs, SVX allows you to list your company and its securities, tailor your fundraising page, and bring on investors. You can manage investments and communicate with your investors directly, all through the platform. You decide the entry level, raise amount, and investment terms and keep all of your funding needs in one place. You set the investment terms, and we bring you the interested investors. Simple! SVX is all about putting control back into the hands of the investors and entrepreneurs to create opportunity.
For investors, you can log in online and view active investing opportunites. You are able to view information about the company, including financial history and traction, and decide if you are interested in investing. If you are, we will walk you through the process and then you can make the transaction directly online. You are able to keep in touch with your investees through our investor dashboard. Streamlined, simple, and strategic.
What is Equity Crowdfundng?
Equity crowdfunding is all about using the power of many to make big things happen for young companies.
Previously, only “accredited investors” could invest directly in private companies. That meant that investments like Airbnb were off-limits to the average person. Luckily, Canadian regulations changed in 2016 to allow anyone to take part. Equity crowdfunding allows “retail investors”, like you and me, to review startups and invest in them. We’re very happy to source opportunities here for you to view and consider as investments.
What is an Exempt Market Dealer and What does it mean to be registered?
You’re probably familiar with the idea of investing in the public markets (e.g. in companies listed on the Toronto Stock Exchange). Here at SVX, we are doing something a bit different. We are offering you opportunities in the “exempt market”, or a section of the capital markets that aren’t available on public exchanges like the TSX, New York Stock Exchange, and the NASDAQ. The financial products on SVX are emerging companies and funds who are hoping to grow quickly, and we want you to get in early.
In the exempt market, you need to be registered with the financial regulators to offer these types of products. That is why we are registered as an Exempt Market Dealer (EMD) with the Ontario Securities Commissions (OSC). As an EMD, we offer a variety of options to investors looking for private market deals, from equity crowdfunding to private placements, for accredited investors. And because we’re a registered EMD, that means the Ontario Securities Commission oversees us and we report to them regularly.
But wait – EMD? OSC? What are all these acronyms?
We know all these words can get confusing! Don’t worry, we’re here to help. We’re happy to answer any of your questions about the private financial markets. Shoot us an email at email@example.com to get in touch.
What do you mean by prospectus exemptions?
When we talk about prospectus exemptions, we’re really talking about the different ways that an issuer can raise money. As an Exempt Market Dealer, our issuers are able to raise money in many ways through our platform. Visit our How It Works page to understand all of the different ways an issuer can offer securities; from equity crowdfunding to direct placement opportunities. You can also learn more by reading the handy documents in the footer below, or by visiting the Investor or Ventures and Funds FAQ sections.
What are the rules and regulations that govern this work?
Investing in Canada is governed by provincial and national securities laws and regulations. These kind of offerings have particular rules and requirements that are called Prospectus Exemptions (see question above). You can learn more by reading our handy document on Risks and Regulations. SVX is registered with local securities regulators as an Exempt Market Dealer (EMD), allowing us to operate a platform that is able to offer investments using categories of private market securities.