Expert: Steven Taylor - 1/25/2012

Question
I recently acquired a syndicate certificate.

From: Pivot Prospecting Syndicate.

It also says:
CAPITAL $35,000
35,000 NO PAR VALUE UNITS

Syndicate Agreement date: Dec. 9th, 1946

Dated At Toronto

So my questions are: What is Pivot Prospecting Syndicate?
What does (Capital $35,000, 35,000 NO PAR VALUE UNITS) mean?
Does it have any value?

Answer
Todd, syndicates are an odd type of organization. They were usually organized under a separate set of laws and regulations from corporations, and are usually single purpose types of entities. That is, they have very limited numbers of units that can be sold, and usually are only sold to a very small group of people, usually friends or associates of the organizers. They are also formed to explore or prospect either a specific mineral property or area, and for a limited time. Unlike a Corporation, that has an infinite life, prospecting syndicates usually wound up after a specific time or when the initial money is spent. That makes tracking old syndicate certificates very, very difficult, as many of them just fade away without ever informing the Province under which they are organized that they are no more.

In this case, Pivot only issued up to 35,000 units and sold them at $1 a unit ($35K capital). This was a larger syndicate than many, but it is unlikely to have any value beyond possible value to a collector as art. Because most Syndicates were only sold privately and not publicly traded, there is little public record of them except, perhaps, at the Provincial level. I can't see the fine print in your photo well, but if it was dated at Toronto, then it is likely organized under the laws of Ontario. I suggest you contact Ontario and see if they have any information available.