Source: Isle of Man
30 September 2021
Authority supports consumer protection campaign
The Isle of Man Financial Services Authority is supporting a global campaign to highlight the importance of investor education and protection.
World Investor Week is promoted by the International Organisation of Securities Commissions (IOSCO) and this year’s themes focus on sustainable finance, and the prevention of frauds and scams.
The 2021 campaign, which runs from 4 to 10 October, builds on previous initiatives that have raised awareness of matters such as the basics of investing, initial coin offerings, digital assets, and investing online.
A host of major international organisations take part in World Investor Week to provide tips and guidance aimed at creating smarter investors.
Protecting consumers is one of the Financial Services Authority’s regulatory objectives, complementing its work to reduce financial crime and maintain confidence in the Island’s financial services sector.
The Authority publishes a comprehensive range of information on its website at www.iomfsa.im and via its social media channels.
A section dedicated to consumer awareness offers advice to help people manage their finances and protect themselves against fraud and bad practice.
It also explains the options available to consumers if they are not satisfied with a financial product or service provided by a regulated business.
Martin Gelling, Senior Manager, Funds and Investments, said: ‘Virtually every adult in the Isle of Man is a consumer of financial services through a bank account, loan, savings, insurance, investment or pension. The Authority works all year round to provide an appropriate level of protection for consumers and participating in World Investor Week highlights the support that’s available to help people make informed choices.’
Key themes of World Investor Week 2021
Frauds and scams prevention. A smart investor:
- Avoids “get rich quick” and “can’t lose” schemes; if it looks too good to be true, it probably is
- Researches investment opportunities independently
- Is suspicious of requests to wire money out of the country
- Never discloses personal information on an unexpected call or other communication
- Ensures the use of strong passwords and good data security practices such as two-factor authentication on accounts containing financial data
- Never feels rushed and ignores over-the-top sales pitches and pressure to invest right on the spot
Sustainable finance. A smart investor:
- Realises that sustainable finance may be referred to in many different ways, such as environmental, social, and governance (ESG) investing, socially responsible investing, and impact investing
- Reviews an investment’s disclosure documents to see how it weighs various ESG or sustainable finance factors
- Considers whether an investment’s stated approach to sustainable finance matches the investor’s investment goals, objectives, risk tolerance and preferences
- Understands that each sustainable finance investment opportunity is unique, and should be evaluated on its own terms