Key messages for IOSCO World Investor Week
- 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
Key messages for IOSCO World Investor Week
- Sustainable Finance
A smart investor:
- Realizes 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
Key messages for IOSCO World Investor Week
- Investing Basics
A smart investor:
- Verifies that an investment professional is licensed
- Conducts research on a product before investing
- Understands that risk exists in all investments
- Recognizes the power of compound interest
- Recognizes the importance of diversification
- Assesses the impact of fees when choosing an investment
- Plans for and invests according to his/her future needs and goals
- Recognizes the benefit of long-term, regular and diversified investment
- Plans for life's unexpected challenges and investing in uncertain times
Key messages for IOSCO World Investor Week
- ICOs, digital assets, and investing online
A smart investor:
- Understands the risks that are associated with initial coin offerings and crypto-assets in general and is careful in deciding whether to invest in these products
- Does not forget about the importance of due diligence when considering investments in online and digital environments
- Recognizes the red flag warning signs of online investment fraud
- Never invests based solely on a celebrity endorsement
- Understands the methods in which legitimate firms receive money for investments
The International Organization of Securities Commissions (IOSCO) is the international body that brings together the world's securities regulators and is recognized as the global standard setter for the securities sector. IOSCO develops, implements and promotes adherence to internationally recognized standards for securities regulation. It works intensively with the G20 and the Financial Stability Board (FSB) on the global regulatory reform agenda.
