SEC Warns Against Investing In SPACs Based Solely On Celebrity Backing
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Some of the $1,400 in payments heading to most Americans could end up in the stock market and could provide a boost for GameStop and other stocks popular among retail investors active in online social media forums. "It is never a good idea to invest in a SPAC just because someone famous sponsors or invests in it or says it is a good investment," the SEC said. website The recent SPAC frenzy has attracted the attention of a number of mainstream celebrity figures such as rap star Jay-Z, tennis legend Serena Williams and National Basketball Association Hall of Famer Shaquille O'Neal who have either sponsored their own blank-check firms or joined the boards of other SPACs.
