June is Seniors Month in Canada, a time to celebrate and recognize the important role older adults play in our families and communities. It’s also an opportunity to share more information about how to help protect the seniors in our lives from increasingly sophisticated investment scams.
Unprompted phone calls or texts from someone claiming to be a legitimate investment advisor or firm, or a sudden call from a familiar-sounding voice asking for emergency funds, are just a few examples of real-world scams that disproportionately affect older adults. These scams can be difficult to detect, particularly when fraudsters pose as people we know and trust.
As AI tools become more advanced, scams are becoming harder to spot. Fraudsters can now mimic voices and messages, making it more important than ever to pause and verify the information you are receiving before you act. Unfortunately, while people of all ages receive these scams, seniors are often targeted.
According to the ASC’s 2026 Investor Education Research, approximately 28% of investors report being approached with a suspicious or illegitimate investment opportunity. This is down 7% since 2023. However, those over 55 (35%) are more likely to be targeted than those under 35 (18%). Manipulation and financial abuse towards elders can be difficult to detect and challenging to openly discuss and report. To identify scams, here are several common red flags to look out for.
5 Red Flags
- Unexpected offers and contact: Being unexpectedly contacted regarding financial opportunities, whether it is over the phone, email, text or in-person is something to watch for. The key red flag here is if your older loved one did not initiate contact.
- Personal or financial information requests: Anyone asking for sensitive information such as banking details, SIN, passwords, or PINs is a major red flag. Keep this information confidential and secure.
- High pressure: Scammers often push for quick decisions or secrecy. While 60% of investors recognize high pressure as a red flag, it’s worth reinforcing that registered financial professionals encourage questions, thorough research and thoughtful decision-making.
- Promises of high returns, no risk: Fraudsters will lure older adults in by using language such as, “high reward, no risks”, “exclusive deal for you”, “guaranteed returns”, or “insider opportunity”. All investments carry some risk, and if something sounds too good to be true, it likely is.
- AI impersonation and deepfakes: These marketing ploys can seem incredibly real and can take the form of a “grandchild” asking for emergency funds, a “financial advisor” offering a quick investment, or a “bank representative” warning of fraudulent activity on their account. Encourage your older loved ones to pause and verify who they are speaking to.
How to protect yourself and your loved ones
- Verify registration with CheckFirst: Ensure that the investment advisor or firm you are talking to, or working with, is registered with either the ASC or another Canadian securities regulator. You can verify registration through CheckFirst.
- Connect and communicate: Always encourage conversation, questions and second opinions on significant financial decisions, and watch for secrecy or unusual behaviour. Isolation is what increases risk. We must stay close to our older loved ones and have open conversations to protect them.
- Check identities independently: When contacted about investment opportunities, verify who you are speaking with. Hang up and call back using a trusted, verified number. Set up a “code word” or verification question with family for emergencies. Though fraudsters can impersonate people, they cannot bypass independent verification.
- Reporting: If you suspect an older adult is being targeted or has fallen victim to financial fraud or abuse, report it to the ASC immediately. While the ASC cannot intervene in all forms of financial abuse, we are committed to helping Albertans invest safely and avoid investment fraud. Visit checkfirst.ca for tools and resources to support financial well being at any age.
When approaching conversations about possible fraudulent investments, it’s important to remain kind and empathetic. Financial abuse and losses can be devastating and disorienting, meaning families should approach possible issues with caution and with the intent to assist and solve problems.
This Seniors Month, take a moment to check in with the older adults in your life. Protect yourself and your loved ones by verifying any investment opportunity at checkfirst.ca before making any financial decisions.
