SEC warns against investing in SPACs based only on celebrity backing

SEC warns against investing in SPACs based only on celebrity backing

FILE PHOTO: The U.S. Securities and Exchange Commission logo adorns an office door at the SEC headquarters in Washington, June 24, 2011. REUTERS/Jonathan Ernst

The U.S. Securities and Exchange Commission (SEC) cautioned investors on Wednesday about buying shares of so-called special purpose acquisition companies only because they are backed by celebrities, including movie stars and athletes.