Investment Fraud

Investment Fraud: Protecting Your Wealth

Investment fraud is a growing concern in the UK, with over £1 billion lost annually to fraudsters who pressure unsuspecting victims into worthless or non-existent investments. These scams often target vulnerable individuals, promising high returns with little risk.

 

Common types of investment fraud include:

  1. Share (equities) fraud
  2. Fake opportunities in gold, land, carbon credits, or fine wine
  3. Ponzi schemes
  4. Cloned firm scams

Warning signs of investment fraud:

• Unsolicited contact via phone, email, or social media
• Pressure to make quick decisions
• Promises of guaranteed high returns with low risk
• Exclusive or time-limited offers
• Unregulated companies or individuals

 

Protect yourself:

  1. Never rush into investment decisions
  2. Research thoroughly: Check the Financial Conduct Authority (FCA) register to ensure the company is regulated
  3. Seek independent financial advice before investing
  4. Be wary of unsolicited offers, especially those promising unrealistic returns
  5. Use the FCA's ScamSmart tool to check for known scams

 

If you suspect you've been targeted:

• End all contact immediately
• Report the incident to Action Fraud on 0300 123 2040
• Contact your bank if you've shared financial information
• Inform the FCA to help protect others

Remember, legitimate investment opportunities won't pressure you to invest quickly. If an offer seems too good to be true, it probably is.

Stay vigilant, take your time, and always seek professional advice before making significant financial decisions.

By staying informed and cautious, you can significantly reduce your risk of falling victim to investment fraud and protect your hard-earned wealth.