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CySEC publishes investor guide on digital literacy and online investment fraud

CySEC’s new booklet offers guidance on checking investment claims, recognising digital deception and managing risk during market turbulence.

CySEC publishes investor guide on digital literacy and online investment fraud
Photo: illustrative photo · Cyprus Inform

Nicosia, Cyprus. The Cyprus Securities and Exchange Commission (CySEC) published an investor education booklet on Monday covering digital financial literacy, investor safeguards and the dangers posed by online investment scams.


Publication supports World Investor Week

Prepared for the 10th World Investor Week (WIW), the booklet combines graphics for social media with awareness messages intended to support more informed financial choices. WIW is an international campaign run by the International Organisation of Securities Commissions (IOSCO).

The publication’s three central themes encourage investors to develop the confidence and knowledge to manage risks while working towards long-term financial objectives, spot deceptive digital material and recognise possible investment fraud.

Checking claims and identities

CySEC’s guidance gives particular attention to AI-generated fabrications, deepfakes and impersonation. It advises investors to assess information and establish whether sources are authentic before entrusting money to anyone.

The booklet also cautions against misleading material online and investments advertised through social media, encouraging readers to separate legitimate opportunities from invented claims.

Its daily advice opens with the need to scrutinise investment opportunities, especially those potentially fabricated through artificial intelligence, and consult trustworthy information before committing funds.

A dedicated section on deepfakes and other digital deception recommends checking information against multiple sources and verifying identities before undertaking financial commitments.

Managing volatility and building knowledge

In its section on market volatility, the booklet recommends consulting qualified professionals before choosing to sell or retain investments amid turbulence in global markets.

The guidance also stresses financial literacy, ongoing education and risk management, with particular emphasis on young people and those investing for the first time.

Although investing from an early age can offer benefits, the booklet cautions beginners against relying only on trends. It encourages them to learn the fundamentals, make careful plans and verify information before taking action.

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