The Securities Commission Malaysia (SC) will be holding a three-day investor education fair on 14-16 October 2022 to boost financial literacy and help the public protect themselves from investment scammers.

Latest data from the SC showed that scammers are still rampant and primarily using social media to attract and scam investors with offers of investment packages/recommendations and claims of unrealistic guaranteed high returns with no risk. This is on the back of SC survey findings that showed Malaysians still have low level of awareness and knowledge of investment and capital market products.

Based on data collated, the SC has received 1,800 complaints and enquiries related to investment scams and unlicensed activities in the first nine months of this year. All of the scams were promoted online through messaging channels such as Telegram and WhatsApp as well as social media platforms such as Facebook, Instagram and TikTok.

The SC Chairman Dato’ Seri Dr. Awang Adek Hussin said the SC has been actively monitoring the Internet for suspicious capital market activities and issued warnings to investors through the SC Investor Alert List, which is updated almost daily.

“The porous and open nature of the Internet means that we cannot be everywhere to safeguard investors,” Dato’ Seri Dr. Awang said. “Therefore, the best course of action investors can take to avoid falling prey to investment scams and unlicensed activities is to equip themselves with better financial knowledge.”

Under the Malaysian securities laws, any individuals or companies that carry out or promote capital market activities, even those approved in other jurisdictions, must be licensed or registered by the SC. As such, investors are putting themselves at risk when dealing with unlicensed or unregistered parties as the SC's regulatory reach over these illegal entities is limited.

In surveys undertaken by the SC, it was found that Malaysian investors have unrealistic expectations about investment returns due to a misconception about risk and returns. Low financial literacy also makes investors vulnerable to unlicensed activities and scams.

The SC’s flagship investor education fair InvestSmart® Fest (ISF 2022) will be held on 14-16 October 2022 at Exhibition Hall 5 of the Kuala Lumpur Convention Centre (KLCC).

ISF 2022 will bring together over 40 exhibitors, comprising the Financial Education Network (FEN), Bursa Malaysia, the Employees Provident Fund (EPF), investment banks and other capital market products and services providers. It will also include fintech players such as Luno Malaysia and Wahed Investment. ISF 2022 will feature talks, panel discussions and fireside chats by leading financial and investment experts to share their insights on the Malaysian capital market and investment opportunities available.

ISF 2022 will also offer free financial planning sessions to enable members of the public to plan their investment and retirement with the guidance of licensed financial planners. There are nearly 600 #FinPlan4U consultations available, physically and virtually.

For more information on ISF 2022 and the #FinPlan4U financial planning consultations, please visit www.investsmartsc.my or InvestSmart®’s social media accounts.

InvestSmart® Fest is supported by Bursa Malaysia, the Federation of Investment Managers Malaysia, Financial Planning Association of Malaysia and Malaysian Financial Planning Council. It is held in conjunction with Financial Literacy Month 2022 and World Investor Week 2022.