Canadian Securities Administrators urges long-term investing and fraud checks during investor education campaign
Canadian investors are facing a growing volume of online investment content as securities regulators push for greater caution around digital advice and unsolicited offers. The Canadian Securities Administrators is using Investor Education Month to highlight long-term planning, verification of registration and awareness of fraud risks tied to social media and new technologies.
Highlights
- Canadian Securities Administrators launches Investor Education Month, urging Canadians to focus on long-term investment goals and verify online information to avoid fraud.
- The campaign, aligned with IOSCO's World Investor Week from October 6 to 12, emphasizes investor resilience, digital deception, and fraud prevention as technology reshapes markets.
- The CSA advises investors to confirm registration of investment platforms, remain wary of high-return promises, and use resources like the National Registration Search and Investor Alerts for due diligence.
Investor education campaign highlights digital risks
As reported by Canadian Securities Administrators, the regulator is marking Investor Education Month by urging Canadians to focus on long-term investment goals, verify information they encounter online and take practical steps to avoid fraud.Stan Magidson, chair of the CSA and chair and CEO of the Alberta Securities Commission, says investor knowledge remains one of the most effective protections against scams and poor decision-making. He says developing an investment plan, checking registration and questioning unsolicited offers can help investors distinguish informed choices from fraudulent pitches.
The campaign aligns with the International Organization of Securities Commissions' World Investor Week, which runs from October 6 to 12. IOSCO is identifying investor resilience, digital deception and fraud prevention as key themes as technological change reshapes how market participants access information and assess opportunities.
Focus on resilience and fraud prevention
For regulators, investor resilience includes staying committed to long-term financial goals despite market volatility, economic uncertainty and the influence of online commentary. The CSA says investors should understand their risk tolerance, review financial plans regularly and seek advice from registered professionals when needed.The regulator also warns that technology and artificial intelligence can be used to spread convincing but misleading investment content. It advises investors to be cautious of unverified social media sources, avoid advice driven by hype or emotion, and confirm that firms, professionals, robo-advisers and crypto asset trading platforms are registered with a Canadian securities regulator.
The CSA says common warning signs of scams include promises of high returns with little or no risk, pressure to act quickly, unsolicited offers, vague explanations and reluctance to answer questions. Its investor resources include the National Registration Search, CSA Investor Alerts and other tools designed to support due diligence and connect Canadians with local securities regulators.
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