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Email this12:26 pm
May 15, 2020
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Carly said
I just spoke to my" investment advisor" (notice the quote unquote) He has found another position and I asked him about Iiroc and Laurentian Bank.He said that it wasn't Iiroc or Laurentian Bank that shut down Pace Securities. It was Pace Credit Union. He said they "pulled the plug" end of March.
Here's the thing,Pace Credit Union IS the reason that I got involved with Pace Securities and unfortunately, Pace Financial Limited and First Hamilton.
That is correct as stated in the letter received from Pace CU, and it is also further explained on their FAQ site (that business decision). I don't think anyone is debating that facet that the CU made the choice to 'Wind Up' the Securities arm. The decisions made by the mother ship here (Laurentian) was the catalyst to many things I'm sure which is not doubt part of the investigation going on but none the less, business decisions had to be made and likely in haste. So I won't question those things further until such time as more info in revealed and hopefully it is through the inquiry going on internally. As investors wrapped up with this wind up so to speak it is a period of limbo we have to deal with presumably and remain hopeful for a fair an equitable way to emerge from this cloud rather than through engaging litigation, I don't think anyone wants to go there but left with no other options what else can the membership clients do.
12:38 pm
May 15, 2020
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Elaine said
I just had a look at the PACE Credit Union website and it says that we are well beyond a bank-we are actually owners.
So if the members are owners-how would a class action lawsuit work?
Would we be suing ourselves?
Is any money safe in PACECredit Union?
Well marketing be what it may, one can hope that the true value of such a statement is very relevant to preserving the client base otherwise why promote such come one come all ideologies. I'm sure many clients come to the CU because of the perception they are receiving the big bank alternative in services and for the most part - personal services I can attest to that.
But the mighty buck always stops somewhere, and weighing this kind of brand loyalty against the tarnish of possibly wrongdoings like this isn't something I would wish to project forward to potential or my current client base in the form of mass notification. There is a cost associated to things like this nowadays, info spreads like wildfire. Damage control is critical in the early stages and that is really where this is. The fire can be put out before it gets out of control so once again, I remain cautiously optimistic that we can get to the bottom of this by assisting the CU accordingly and presumably they will reach back when ready to provide the current state of the union. Or your own mind you, with them.
In the interim, discussion here is great, provides some way to pass the time and inform others who are probably still coming to these realizations. Again - not going to address the lawyer talk it's premature I think at this point but I don't think litigation will be against yourself in particular, no.
Stay well... 
12:54 pm
May 26, 2020
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Good question, Elaine. I don't know. However, I think if we were owners we would have
known what was going on with Pace Securities. I don't know if you went to
the meetings,(I didn't) but I'm sure the information didn't include anything
about Pace Securities.
Actually we are just in the midst of changing banks. There is a real conflict there.
The bank has tried to cleanse themselves from the reputation of Smith and Son,
but it just won't "go away"!!
4:48 pm
April 6, 2013
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Elaine said
I know that situation happens in banks.I did not expect it at a credit union.Esp.since I had been dealing with a tiny All Trans Branch
Your original All Trans branch was probably smaller and All Trans Financial Services Credit Union didn't own an investment dealer that tempted them.
The temptation is quite significant. Customary brokerage commission for a GIC is ¼% for each year of the GIC. A five-year GIC will give a one-time 5 x ¼% = 1¼% commission.
Equity mutual funds through an advisor will result in 4X that: 1% each year the investor stays invested in the mutual fund sold.
Private placement shares are hard to sell and are quite lucrative when the advisor is able to sell them. I've seen some that pay an upfront 10% commission or finders fee!
$100,000 in 5-year GIC gives one time $1,250 commission.
$100,000 in mutual funds gives $1,000 each year client stays invested.
$100,000 in private shares gives one-time $10,000 commission!
4:59 pm
April 6, 2013
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Elaine said
I just had a look at the PACE Credit Union website and it says that we are well beyond a bank-we are actually owners.
So if the members are owners-how would a class action lawsuit work?
Would we be suing ourselves?
…
I wouldn't take that marketing malarkey too seriously. You own shares in the PACE Credit Union. Unless you own all the shares, you don't really own the credit union.
You would be suing a company named PACE Savings and Credit Union Limited and not yourselves. The company is a separate legal person from the members who own its shares.
7:10 pm
April 15, 2020
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Norman1 said
Elaine said
I just had a look at the PACE Credit Union website and it says that we are well beyond a bank-we are actually owners.
So if the members are owners-how would a class action lawsuit work?
Would we be suing ourselves?
…I wouldn't take that marketing malarkey too seriously. You own shares in the PACE Credit Union. Unless you own all the shares, you don't really own the credit union.
You would be suing a company named PACE Savings and Credit Union Limited and not yourselves. The company is a separate legal person from the members who own its shares.
ALL CU say you are owners. You have to buy one share. My experience is the share cost $5-$25. If you close your accounts you get the money back. I do not vote on annual meetings. There are lots of people that have far more invested than I do. Namely their job. Not worth the bother.
10:18 am
April 6, 2013
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cruzinalong said
ALL CU say you are owners. You have to buy one share. My experience is the share cost $5-$25. If you close your accounts you get the money back. …
Yes, they all say that. But, do they really mean it? My experience is no.
Sunova, who is behind Hubert, is an example. They quietly stopped paying dividends on my one share. Apparently, some minimum dividend policy was adopted. No announcement. Nothing on their web site. Who would treat an "owner" like that?
Some companies I invested in, that didn't pretend to have "higher goals", used to mail me a dividend cheque every quarter, eventhough it was for less than $1!
Another example about so-called "owners" is what happened to Elaine and Yaftica at their PACE Credit Union branch discussed here. They were served up to an embedded PACE Securities rep at their PACE Credit Union branch. The rep bamboozled them into buying preferred shares of an in-house leveraged junk bond hedge fund. Again, is that how one should treat an "owner"?
11:59 am
October 6, 2018
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They were not only sold by pace securities reps. I purchased the shares from the credit union's branch supervisor, and my friend from work said she bought it from their branch manager. I saw the life-size sign in branch and asked about it, and later that week I went back in and bought them from the branch.
12:20 pm
June 2, 2020
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The woman who handled my car loan sold it to me at my local branch.
12:29 pm
May 26, 2020
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The more messages I read , the more I can see Pace Credit Unions' tight association
with Pace Securities. Now , they want to distance themselves from Pace Securities.
Too Late. They are totally implicated in the mess we are all in. They need to make it RIGHT.
12:34 pm
May 19, 2020
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So it sounds like anyone at the branch who was able to "talk" about the shares was able to sell them. So how was Pace Credit Union allowed to sell the preferred shares when they were not a IIROC dealer? What certification did Pace Credit Union have that allowed its employees to sell (legally)?
Also, according to the newly hired Pace executives, including the CEO, they are claiming they are unaware of the branch employees selling them. And the members have brought this information to light for them.
12:54 pm
October 6, 2018
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Because either she doesn't know since she's new, or is deliberately playing "blind" to distance themselves from their securities division. Probably to distract, so we are upset with the securities division, while forgetting about the main reason any of us are even here - pace cu. I agree Carly..
1:20 pm
April 6, 2013
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How did you ascertain that the staff were not PACE Securities representatives?
Oscar found earlier at TD Canada Trust that the staff member represented both the mutual fund dealer TD Investment Services and the owning bank TD Canada Trust.
1:37 pm
May 19, 2020
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We don’t know for sure that the tellers, bank managers, loan officers were not PSC staff, but hard to believe they were though. However, we do know that our advisor was an employee of PCU, not PSC when we bought the shares and at that time, he was not an IIROC dealer. Once he became an employee of PSC, he then got the certification. We don’t need to prove anything, as it will all unveil in a court case, in time.
1:54 pm
October 6, 2018
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I asked her. She had nothing to do with the securities side. She did mortgages and loans, and also pace investment products (investment shares, preferred shares, gics, and whatever else the branch had).
7:42 am
May 19, 2020
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Looking at the latest posts and thinking about it over night I am wondering whether this is a police matter at this point?
If what people are saying is true (and I believe them)there was not just a one off bad guy but a concerted effort to sell securities by people who did not have the required qualifications.
I wonder who would investigate this and whether it is a crime in the criminal code or it is just something that is watched by it's own regulator-but not technically illegal.
7:55 am
May 19, 2020
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if we don't get our principal back, I am definitely filing a complaint here. This is the place to go. I got this from a very credible and excellent source. This is where they investigate white collar crimes in Canada.
http://www.infogo.gov.on.ca/in.....ile/287/en
John Corelli, SFO
Chief Counsel
john.corelli@ontario.ca
Attorney General
Criminal Law Division
Crown Law Office - Criminal
General Inquiry:
416-327-5990
Or
416-327-4600
8:08 am
May 15, 2020
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In my humble opinion I highly doubt that law enforcement would be interested at the moment especially at the AG level unless it can be provided specifically that a criminal offence is highly suspect and at the moment I don't think that evidence is blatant enough.
They would likely hear you out and then ask for your patience and subsequent return once the CU has an opportunity to conduct their inquiry and investigation, of which if those results indicate something as stated above they would certainly notify the authorities forthwith, lawyers would never be taking a risk that it will go unnoticed per say.
So we're back to that again really, this is a waiting game until the institution has a chance to respond, assist us. Pushing the envelope in any other direction is futile efforts, things will unravel in due time and I'm confident they will do the responsible thing if something very suspect is uncovered which is to notify police. Clients won't have to do that for them I'm sure. This isn't likely to go in that direction. Wish we could hit a fast forward button but all we have is pause right now it seems.
8:55 am
May 19, 2020
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In my humble opinion I think there are at least TWO things going on-the ousting of Pace securities and Pace Financial and the fallout from that
and
the people that are saying that they were sold shares by someone unqualified to do so.
That does not require a waiting game -and if the people who sold the securities without the proper accreditation(or whatever they call it) are reading this they should also be seeking lawyers.Awful position-but hey-it seems like someone may have gotten 10 grand for talking to me for half an hour.Pretty nifty bonus if you can get it.
9:36 am
October 6, 2018
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If the credit union hadn't closed their securities division during the horrible COVID time, I doubt we'd even be here. Since it was their choice to close it all down, then that choice should have consequences. You can't have it both ways. They promote in the branch and take profits from the securities division, and then when things are bad, shut it down and play blind. As Yaftica said, I too believe we should wait and see if they make it right.
Please write your comments in the forum.