Slow down, check and ask questions

Although it’s important to stay vigilant all year round, Fraud Prevention Month is an ideal opportunity to review our practices, including understanding the tactics used by fraudsters and thinking about our investing habits.

Anyone can become a victim of fraud, no matter their age, financial situation or level of knowledge. Regardless of the source of an investment offer, your first instinct should always be to take your time before investing, ask questions and do your due diligence.

Investing early is good. Doing it with the right information is better.

Investissement autonome : la vigilance comme meilleure protection

We often hear that getting an early start on investing can help build savings. In this sense, the most recently observed trend is encouraging: people aged 18 to 34 are among the groups most involved in self-directed investing.

However, investing in today’s world means navigating a sea of financial content. With advice quickly making the rounds on social media and everyone and everything vying for your attention, it can be difficult to distinguish reliable information from content designed to part you from your money.

It’s important to remember that, like a fashionable piece of clothing, just because a trend is popular doesn’t automatically mean it’s a good fit for everyone. The strategies of friends, colleagues or influencers may not suit your budget, goals or investor profile.

The best way to avoid fraud is still the same: “Don’t let yourself be influenced.” If you want to explore this topic further and learn how to distinguish between fact and fiction in the fast-paced world we live in, check out Urbania’s article on things you should keep in mind before you invest (French only).

Read the Urbania article

Self-directed investing: Vigilance is your best line of defence

Self-directed investing offers great flexibility but also comes with considerable responsibility. When you manage your investments yourself, you are your own first line of defence, no matter how trustworthy an offer may seem.

No one is safe from scams, not even experienced investors. Developing the right instincts can help significantly reduce the risks.

Before investing, take a moment to do your research

Seniors and social networks: Learn how to avoid scams

Social media isn’t just for younger people. Many seniors are using it to stay in touch with friends and family, follow the news or explore new interests.

In addition, fraudsters, attracted by the growing on-line presence of seniors, may use social media to approach the elderly with fake investment opportunities, through friendly sounding, seemingly benevolent messages, in an attempt to defraud them.

Before investing or replying to a message, taking a step back for a moment can make all the difference.

More to explore

TEST YOUR KNOWLEDGE

Think you know what to do to avoid investment fraud?

Would you be able to recognize the red flags of crypto fraud?
Would you be tempted to respond to an investment opportunity that you saw on social media?
Would you trust a stranger who offered you an investment opportunity with the promise of a big payoff?

TEST YOUR KNOWLEDGE BY TAKING OUR 10-QUESTION QUIZ!

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