What are the risks?
As with any investment, investing via equity crowdfunding has its own risks that you need to consider.
Equity crowdfunding carries high risks, especially if you are investing in early-stage startup companies with no proven track record. The business may fail and you risk losing part or all of your investment. You may not be able to sell your shares easily to exit your investment.
To manage the risks, this type of investment vehicle should only be made as part of a diversified portfolio and only invest the money that you can afford to lose.