Risk Disclosure and Investor Notice

Not an offer

Everything on lmcmic.ca is general information and education. It is not an offer to sell, or a solicitation of an offer to buy, any security, and it is not investment, tax or legal advice. Securities of Lendmax Capital Mortgage Investment Corporation are offered only by offering memorandum, under prospectus exemptions in National Instrument 45-106, to qualified investors, through a registered exempt market dealer that assesses whether an investment is suitable for each investor. No securities regulatory authority has assessed the merits of these securities or reviewed this website.

No guarantee

Mortgage investments are not guaranteed. Returns are targets, not promises, and principal can be lost. Distributions depend on the interest and fees borrowers actually pay and on any losses, and they may be reduced or suspended. Under Ontario law a licensed mortgage administrator may not guarantee a lender or investor anything in respect of a mortgage.

No deposit insurance

MIC shares are not deposits. They are not insured by the Canada Deposit Insurance Corporation or any provincial deposit insurer, and they are not guaranteed by any government or agency.

Liquidity

There is no public market for the shares. Redemptions are governed by the corporation's articles and the offering memorandum, with notice periods and limits, and the board may defer, gate or suspend redemptions to protect remaining shareholders. Treat the investment as illiquid.

Risk

Mortgage lending carries credit risk (borrowers default), property value risk (security may sell for less than the loan), enforcement risk (recovering a loan takes time and money), interest-rate and reinvestment risk, concentration risk, and the risk that the corporation fails to meet the conditions in section 130.1 of the Income Tax Act. Higher potential returns generally involve higher risk. Second mortgages rank behind first mortgages and carry more risk.

Past performance and figures

Historical figures are given for the periods stated, from the source named beside them. Past performance does not indicate future results. Illustrations and calculators use assumptions you choose; they are not forecasts.

Tax and regulation

Tax and regulatory information is general, dated, and reviewed on a schedule, but rules change. Confirm your own position with a Canadian tax professional and a registered dealer. Read the offering memorandum, including its risk factors, before investing.