March 05, 2019 10:59 am | Author: Julian Davis
Fewer than half of British Columbians recognize all of the warning signs of investment fraud, according to a new study commissioned by the British Columbia Securities Commission (BCSC).
When presented with six scenarios associated with investment fraud, only 44 per cent correctly identified all of them as warning signs:
- Guaranteed high returns with little or no risk
- Moving money outside the country to avoid tax
- A strong push to act now
- An offer of inside information
- An offer available only to a select few
- Being encouraged to invest because friends and family have already done so
A recommendation from friends or family was the least recognized sign, with 61 per cent of British Columbians flagging that as an indicator of a possible fraudulent investment. The most recognized warning sign, chosen by 77 per cent, was a guarantee of high returns with little or no risk.
March is Fraud Prevention Month
We are encouraging British Columbians to visit InvestRight to test their ability to spot suspicious investment opportunities.
The survey was conducted by Innovative Research Group among a representative sample of Canadian and B.C. respondents from December 7 to December 28, 2018. Complete methodology and results are available in the investment fraud survey report.
Report a Concern
If you have any concerns about a person or company offering an investment opportunity, please contact BCSC Inquiries at 604-899-6854 or 1-800-373-6393, or through e-mail at [email protected]. You can also file a complaint or submit a tip anonymously using BCSC’s online complaint form.