Allan Gray warns of new investment scams in South Africa

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Allan Gray has flagged the increased use of AI-enabled scams, and has offered tips to help South Africans them.

Allan Gray is the latest South African financial services provider to warn of AI-enabled scams in the country.

“This trying environment makes for fertile hunting ground for crafty criminals, and the fact that technology has made instant investing even more accessible has widened their net.” Nedbank also issued a warning about deepfakes, in which criminals hack social media accounts and tell the victims’ friends, family, and social media followers to invest and receive high returns.

In reality, only 21% could actually tell the difference. This is concerning as 55% of employees said that their employer could lose money due to deepfakes. Though past performance doesn’t guarantee future returns, you should consider financial service providers with decent track records. Most scams promise great returns without a supporting track record to back them up.

 

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