While the FMA had to publish a total of 84 investor warnings in 2022, there were 106 in the past year – an increase of 26.2 percent. The FMA announced this today, Wednesday. The majority of these providers offered via the Internet from abroad, were not available for other official measures, or there were indications that pointed to fraudulent activity.
According to the FMA, the procedure is similar: the providers usually used manipulated software to simulate an investment or trade, embezzled the deposits and never paid out alleged winnings. Many also resort to “celebrity smear”: On their platform or in social media posts, the providers publish fake word and image contributions from celebrities who allegedly invested with this financial service provider or on this trading platform and made a lot of money with it would have. The names range from Armin Wolf, Armin Assinger, DJ Ötzi, Alexander van der Bellen, Mirjam Weichselbraun and Christoph Grissemann to Barbara Karlich. In fact, there is neither any cooperation nor have the celebrities invested with the financial service providers.
If investors fall into the trap and express their interest, a small “test investment” with the promise of high profits at low risk is often recommended. It starts with amounts of 250 euros and then expands. According to the FMA, the aim is to entice investors to make higher investments. As soon as winnings are claimed, contact abruptly breaks off. According to the FMA, claims for damages are generally not enforceable because the trading platforms are fake and/or their operators are legally inaccessible.
The authority advises investors to check with the FMA or via internet research whether the provider is authorized to provide this financial service and whether an investor warning has been published. Basically, if it sounds too good to be true, it is usually not true.
Author
Martin Roithner
Economics editor
Martin Roithner
