The problem is that while this advice may be free and easy to access, it’s often unregulated and sometimes designed to mislead. A recent study1 found that 40% of UK investors have used social media to inform their financial decisions in the past two years, with around one in ten relying on so-called ‘finfluencers.’ The risk is real – more than half of those who acted on such advice lost money2.
Scams can fool even experienced investors
Financial scams are not just aimed at the vulnerable. Increasingly, fraudsters are targeting people with established careers, growing pensions and valuable assets. With sophisticated tactics, they are creating scams that can be difficult to detect – from cloned websites and fake investment platforms to phishing emails and WhatsApp messages.
These approaches are carefully designed to feel authentic and trustworthy. That’s why even cautious, financially experienced people can be caught out.
Cloning scams – a major concern for investors
Cloning scams are among the fastest-growing threats. Criminals create websites and apps that look almost identical to established financial firms, right down to the logos and security features. Investors may believe they’re engaging with a regulated firm, only to see their money disappear into the hands of scammers.
These scams often come with high-pressure messages urging you to act quickly before you ‘miss out.’ That urgency is no accident, it’s a proven tactic to push people into decisions they wouldn’t otherwise make.
Fraud through messaging apps
Many of us rely on WhatsApp or other messaging services to stay connected. Scammers are exploiting that trust, sending messages that look like they come from a family member, colleague or adviser. They might promote an ‘exclusive opportunity’ or warn you about a supposed issue with your money. These channels feel personal, so it’s all too easy to let your guard down.
The regulator’s response
The Financial Conduct Authority (FCA) is taking decisive action to protect consumers. In 2024 alone, it blocked or removed more than 1,600 websites offering financial services without permission. Working alongside tech companies like Google and Apple, the FCA also removed more than 50 scam apps.
The crackdown isn’t limited to outright fraud. Nearly 20,000 non-compliant financial promotions were amended or withdrawn in 2024, compared to fewer than 600 in 2021. The FCA has also turned its attention to finfluencers, many of whom share risky or misleading advice without the necessary authorisation.
Protecting what you’ve built
While regulatory action helps, the best defence is prevention. Protecting your wealth means staying alert, questioning opportunities that seem unusually attractive and relying on trusted, regulated professionals for advice.
Here are some practical steps:
- Check credentials – only engage with firms and advisers authorised by the FCA. Use the Financial Services Register to verify
- Slow down – if you’re pressured to act immediately, take it as a warning sign
- Inspect carefully – cloned sites or apps may have tiny differences in their names or URLs. Only download apps from official stores
- Be wary of social media ‘tips’ – finfluencers are not regulated and may be motivated by their own gain, not your financial wellbeing.
Confidence for the future
Scams are evolving rapidly, but that doesn’t mean you’re powerless. By staying vigilant and seeking guidance from your financial planner, you can safeguard your money and make confident, informed decisions.
After years of hard work, your wealth should be working for you, supporting your family, strengthening your retirement plans and protecting the lifestyle you’ve built.
1Fidelity International, 2025, 2 TSB, July 2025
The value of investments can go down as well as up and you may not get back the full amount you invested. The past is not a guide to future performance and past performance may not necessarily be repeated.
