Five common tactics used by investment scammers - FCA

Three tips to avoid becoming a victim

Tom Ellis
clock • 2 min read

As part of its ScamSmart campaign, the Financial Conduct Authority (FCA) has lifted the lid on some of the commonest tactics investment fraudsters use to deceive those they target over the age of 55.

According to the financial watchdog's latest research, barely two-fifths (42%) of that age group reckon they know how to spot an investment scam. The FCA said one of the most popular methods used by fraudsters is to pressurise potential victims to make a quick decision on the investment ‘opportunity'. The regulator found more than half (53%) of over-55s believed acting quickly can be essential to obtaining a good deal, which it said demonstrates just how vulnerable people can be to the tactic. Investment fraud victims do not get off lightly either, losing £32,000 on average, accord...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Regulation

FCA's Hulme pledges tougher scrutiny and clearer guidance

FCA's Hulme pledges tougher scrutiny and clearer guidance

‘We will go harder and faster’ to drive ‘good growth’

Sahar Nazir
clock 07 May 2025 • 3 min read
FSCS declares IFA Ltd and AXG Advice in default

FSCS declares IFA Ltd and AXG Advice in default

Leeds and London advice firms face claims

Isabel Baxter
clock 06 May 2025 • 2 min read
FOS complaints rise 49% as investment disputes surge

FOS complaints rise 49% as investment disputes surge

Over 140,000 cases were lodged in H2 2024

Sahar Nazir
clock 06 May 2025 • 2 min read