Cable Car Capital LLC ("Cable Car") is a limited liability company with principal place of business in San Francisco, California. Cable Car is registered as an investment adviser with the state of California and may be required to register in other jurisdictions where it does business in the future. Registration with the Securities and Exchange Commission or any state securities authority does not imply a certain level of skill or training. This website is intended only for persons in jurisdictions where Cable Car is authorized to provide investment advice, and no content should be construed as an offer to provide investment advisory services in any location where such offer would be unlawful. Moreover, provision of information about Cable Car's services does not constitute an offer to provide investment advisory services. Such offer can be made only by means of a written advisory agreement. No content herein should be viewed as advice regarding the value of any securities or the advisability of investing in, purchasing, or selling securities. In particular, Cable Car is the General Partner of The Funicular Fund, LP, a private fund. Interests in The Funicular Fund, LP and the feeder fund, The Funicular Fund (BVI), Ltd. are available only to accredited investors. Cable Car may from time to time publish research reports with the aim of receiving feedback from the broader investment community. Published material in written reports and on the blog is not intended to be investment advice and should under no circumstance be considered a recommendation to take action with respect to any security or commodity interest. Cable Car, its principals, and its clients may hold positions, long or short, in such securities or commodity interests, and Cable Car may trade without informing readers. Investing involves risks and may result in the loss of some or all of the principal invested. Before investing, prospective clients should consider their investment objectives and the costs and risks associated with Cable Car's investment program. Investments are not FDIC insured and may lose value. Past performance may not be indicative of future results. The material on this website should be read only in conjunction with the disclosures in Cable Car's Brochure on Form ADV.
No position in FB.
More than 3 months after my initial email to the Facebook Ads team, I received this enlightening reply today:
No,we still follow segregated user advertisement
Facebook Ads Team
Subject: Report an Ad
Have you read the above information?: Yes, let’s get started
Does the ad include your intellectual property?: No
Are you seeing ads at the top, bottom or left of any page?: No
Have you noticed ads or stories produced from your Facebook account that you did not create?: No
Are you reporting a post or story from a Facebook page?: No
Where did you see this ad?: Other
What best describes the ad you are reporting?: Other
Do you have a screenshot of the ad you are reporting?: Yes
Please describe the ad you are reporting:
Facebook has lately been displaying a large number of ads from paid stock promoters. I am likely targeted for these because I own and operate a registered investment adviser.
Paid stock promotion is an unethical, deceptive, and borderline illegal practice. Promoters typically receive compensation for publicizing only the positive attributes of fly-by-night companies, and they often sell shares while recommending investors make purchases. The practice has recently been the subject of a number of SEC enforcement actions, and it can lea to significant losses for unsuspecting or unsophisticated investors. There is the potential for significant harm and abuse to result from Facebook’s acceptance of advertiser funds for stock promotion.
Please immediately discontinue your practice of accepting ads from paid stock promoters, such as the ones shown in the screenshots attached. These ads potentially violate several of your own published guidelines:
1. Ads for regulated goods and services (e.g. alcohol and gambling), must abide by all applicable laws, regulations, and industry codes.
Paid stock promoters are required by law to provide extensive disclaimers in their advertising. These are not prominent in the Facebook ads.
2. Advertisers must ensure that their ads comply with all applicable laws, regulations and guidelines. All claims in ads must be adequately substantiated. Ads must not offend users. Ads and any offers promoted within ads must not be false, deceptive or misleading or contain spam.
Some ads may contravene SEC guidelines. Claims about the promoted stocks are exaggerated and misleading. As an investment adviser, I am offended by this practice. From my perspective, an unsolicited investment “tip” from a paid advertiser is spam. Claims in the linked advertisements are at the very least questionable, if not outright false.
3. Ads may not promote a business model or practice that is deemed by Facebook in its sole discretion to be unacceptable or contrary to Facebook’s overall advertising philosophy or to any applicable law, including but not limited to multi-level marketing schemes, or advertisements for scams.
Penny stock promotion is at least as objectionable as multi-level marketing.
4. Ads may not promote or facilitate the sale or consumption of illegal or recreational drugs, tobacco products, or drug or tobacco paraphernalia.
At least one ad campaign focuses on “marijuana stocks” and promotes the purchase of a purported cannabis producer. The linked website is http://mjstockreport.com/pdf_
I would very much appreciate a response letting me know whether you have decided to discontinue this practice.
Jacob Ma-Weaver, CFA
—–End Original Message—–
Well, there you have it. Acknowledgement that Facebook continues to support paid stock promotion.