Academy
Consumer
Recognising Misleading Financial Advertising
Common patterns in promotions that overstate returns or hide risk.
This guide explains how a market or product works, including its material risks. It is educational only and is not investment advice. Leverage magnifies losses as well as gains, education does not remove financial risk, and trading is not a reliable source of income.
Misleading financial promotions often share recognisable patterns. Knowing them can help readers assess what they see online.
- Promises of guaranteed or regular income from trading
- Countdown timers and pressure to act immediately
- Fake celebrity endorsements or news articles
- Risk warnings that are missing, hidden or hard to read
- Images of luxury lifestyles presented as typical outcomes
If a promotion shows these signs, check the firm on the official regulator register and consider reporting the advertisement to the website or app where it appeared and to the regulator.
Sources and data
- National regulator consumer warnings on online investment scams
Corrections and updates
No corrections recorded. See our Corrections Policy.