What investors can learn from the BG Wealth Sharing scam

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The BG Wealth Sharing scam did more than take money from its victims; it used trust, personal relationships and community connections to expand and draw in new victims. The impacts were significant: they affected the financial security of many Albertans and damaged trust among friends, families and communities. Understanding how the scam operated can help investors recognize similar warning signs and take steps to protect themselves.

How the BG Wealth Sharing scam worked

In early 2026, the Alberta Securities Commission (ASC) issued its first investor warning about BG Wealth Sharing, an online crypto and multi-level marketing (MLM) scam, after concerns were raised about its investment-related activities and its connection to the online trading platform DSJ Exchange (also known as DSJ EX). According to the ASC’s warning, BG Wealth Sharing marketed itself as a hedge fund, claiming to use AI-generated trading signals to produce guaranteed returns and grow investors’ funds rapidly. The opportunity was promoted through recruiters, social media, messaging apps and in-person events.

Investors were reportedly told to deposit crypto through DSJ Exchange and enter “signal codes” shared through encrypted messaging platforms. Participants were shown account balances that were likely fake but appeared to confirm high returns, helping build confidence in the platform.

When victims of this scam tried to access their money, they were met with difficulty withdrawing their funds. They reported high withdrawal fees, management approval requirements and delays. Some participants said they were asked to pay a 12 per cent “tax” to make a withdrawal.

In May 2026, the ASC issued several cease-and-desist letters to promoters associated with BG Wealth Sharing and DSJ Exchange. There was no evidence of legitimate trading activity on the platform, and the ASC again warned victims not to send any additional funds.

It’s important for investors to take note of warnings, like those shared by the ASC related to BG Wealth Sharing. These kinds of notices or cautions can help investors make informed decisions and better protect themselves from fraud.

What investors should know

Investment scams are designed to appear sophisticated, but many share common red flags of potential fraud. The BG Wealth Sharing case highlights several red flags for investors to look out for:

  • Unrealistic returns: All investments carry risk, and no legitimate investments can guarantee high returns. Promises of unrealistic returns are a red flag to pay attention to.
  • Changing website and communication channels: Fraudulent schemes often use multiple website domains and private encrypted messaging apps, like WhatsApp, Telegram or BonChat, to avoid detection and continue attracting new investors. Scammers may also attempt to rebrand the original scam under new names to continue the scam.
  • Unverified trading platforms: Investors should be cautious when asked to transfer funds to unfamiliar platforms. In this case, BG Wealth used a fake trading platform called DSJ Exchange. If you cannot easily find information about how the platform operates, who runs it or where your money is being held, it could be a sign of fraud.
  • Difficulty accessing funds: Trouble retrieving funds, unexpected fees or additional payment requests before a withdrawal can be processed are major warning signs that investors should take seriously. No legitimate investment company or advisor will require you to pay fees or taxes upfront to access your money.
  • Beware of recovery scams: Scammers sometimes continue the scam by offering services to help victims of fraud recover lost investor funds for a fee. These offers may come through phone calls, email, social media or messaging apps and often appear shortly after a victim has lost money in an investment scheme.

Protecting yourself before you invest

The BG Wealth Sharing scam is a reminder that taking a few steps before investing can help protect your money. Before you invest:

  • Verify registration on CheckFirst: Please ensure that the firm or individual you are investing with is registered with the Alberta Securities Commission or another regulator. Confirm registration through CheckFirst.
  • Research before investing: Understand how the investment works, where your money is held and who is involved before investing.
  • Keep up with securities regulators: Consistently check for investor alerts, caution lists and enforcement actions issued by securities regulators.
  • Always ask, don’t assume: If any investment-related activity seems unclear, ask questions and seek advice from a registered individual or firm, or a reputable source that you know you can trust.

The BG Wealth Sharing case highlights several warning signs commonly found in investment scams, including promises of guaranteed returns, unverified platforms and difficulty accessing funds. Taking time to research an opportunity and verify registration can help protect you and your money before you invest.

If you suspect that you are involved with something that is potentially fraudulent, please contact the ASC. Complaints can be filed using the online complaint form or by calling us at 403-355-3888.

Seniors Month: Protecting older adults from investment scams

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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.

Ramp-and-dump scams: How they work and how to spot them before you invest

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Fraudsters are getting bolder and more sophisticated. Across Canada, regulators are seeing a surge in ramp‑and‑dump scams, a new twist on pump-and-dump scams. In the end, scammers walk away with profits, and everyday investors are left with losses.

If you use messaging apps like WhatsApp, Discord or Telegram, or spend time on platforms such as Instagram or Facebook, you may have already come across a ramp-and-dump scam. These scams often begin with an ordinary‑looking message or conversation that doesn’t seem connected to investing at all. But over time, that interaction quietly shifts into a pitch for a so‑called can’t‑miss investment opportunity.

Below, we break down how these schemes work and how you can protect yourself.

 

What is a ramp-and-dump scam?

Ramp‑and‑dump scams involve coordinated attempts to artificially inflate the price of a low‑priced stock or a small or newly listed company. The people behind the scheme already own a significant amount of the stock and work together to gradually push the price higher. From the outside, it can look like the company is gaining real traction, especially if the price increases steadily and without obvious hype.

At the same time, through private messages, group chats, or ongoing online conversations, individuals reach out directly to unsuspecting victims to introduce the opportunity and convince them to buy in. The investment may be framed as early access, insider knowledge, or a tip that only a few people are aware of.

But once the price hits their target, the scammers sell their shares. The stock collapses. The group chat disappears. Victims are left with steep losses.

 

How is a ramp-and-dump different from a pump-and-dump?

Traditional pump‑and‑dump scams rely on loud promotion and urgency. They often involve bold claims, viral posts, or widespread messages encouraging investors to act quickly. Prices tend to spike sharply and then collapse just as fast.

Ramp-and-dump schemes take a quieter approach and scammers work to build trust with their victims. Instead of mass promotion, the investment idea is shared through direct messages or small, private groups. The price increase is usually slower and more controlled, sometimes unfolding over days, weeks or months, to make it look more legit.

 

How these scams typically unfold

While ramp‑and‑dump schemes can vary, regulators are seeing a common pattern emerge. They often begin with an initial contact, a friendly message, a “wrong number,” or a casual online conversation. Over time, scammers may try to build rapport, sometimes even posing as a friend or romantic interest.

Once trust is established, victims are often invited to join a private investment group or group chat on platforms like WhatsApp, Discord, or Telegram. These groups are presented as exclusive spaces where members supposedly share tips and market insights.

Scammers portray themselves as experts, share charts or confident predictions, and encourage members to buy a specific stock before it “takes off.” Inside the group, pressure to invest or invest more increases. As more people buy in, increased trading activity creates the illusion that the group’s strategy is working. This artificial demand pushes the price higher and reinforces confidence in the investment. Once the price reaches a certain level, the scammers sell their shares. The stock price drops sharply, the group chat often disappears and communication stops, and investors who bought at higher prices are left with significant losses.

 

How can you protect yourself before you invest?

A simple rule can help reduce your risk; always be cautious about any investment advice, especially unsolicited, that comes through messages or online conversations.

Beyond being cautious with online conversations or unsolicited offers, before you invest:

  • take time to research the company using reliable, independent sources
  • look for clear information about what the company does and where it operates
  • be especially careful with newly listed or lesser‑known stocks
  • avoid acting on instructions to buy at a specific time or price

Most importantly, check who you’re dealing with. Even when a stock itself is real, the person promoting it may not be authorized to give investment advice. That’s why checking registration is always important.

Anyone offering investment advice or promoting investment opportunities in Alberta should be registered with the ASC. If you can’t verify that information, don’t move forward. Legitimate investments don’t disappear because you take time to check; scams often do. If you think you’ve been a victim of a ramp-and-dump scam, contact the ASC, your bank and local police immediately.

This Spring, Review Your Investments

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Spring often inspires us to start fresh. We clear winter gear out of closets, sweep out the garage, grease up bicycle chains and start planning our gardens. As you take on these tasks with a jump in your step, be sure to dust off your finances—they deserve a seasonal reset too.

Whether you are brand new to investing or have been building a portfolio for years, spring is the perfect time to review your savings and investments accounts. Life changes and market shifts happen at any time. A simple check‑in helps ensure your money is being managed in a way that continues to meet your financial goals.

Here are three simple ways to reconnect with your investments this season.

 

1. Review your investment strategy

Much like the seasons, life is always changing. You may have experienced a move, a job change, a new relationship, a growing family, a new level of care for aging parents, or you’re preparing to retire. All of this and more can shift your financial priorities and potentially influence your investment portfolio.

To keep your financial plan on track, ask yourself:

  • How much can I invest?
    Use a budget calculator to get a clear picture of your monthly income and expenses. This snapshot of money in and money out makes it easier to identify how much you can invest over the course of a year—an essential first step to financial planning.
  • If the market dipped tomorrow, how would I feel?
    Markets can be volatile as they react to factors like global political instability. Likewise, individuals react to market fluctuations in different ways and due to different circumstances such as short- versus long-term goals. Take a risk tolerance quiz to see how you are currently feeling.
  • Do my investments still match my timeline and goals?
    There are many different life goals to save for, but the most common reason many of us invest is for retirement. Whether this is in the near or far future for you, a retirement savings calculator helps you see the impact of potential contributions.

 

2. Revisit your registered accounts

Many Canadians make use of registered accounts like RRSPs, TFSAs, RRIFs or RESPs, as a way to save and invest with some tax relief. Whether you’re saving for a child’s education or for retirement, now is a perfect time to look over your account statements and make sure you’re maximizing their benefits.

What to check:

  • Find out your annual contribution room, especially for RRSPs and TFSAs.
    Once you know how much room you have, you can strategically plan for the rest of the year to maximize benefits and avoid penalties. Contribution limits can be found by logging into your CRA account, checking your latest notice of assessment (NOA), or by calling the CRA’s automated phone service at 1-800-959-8281. Contribution room information is updated each spring by the CRA, after you file your tax return.
  • Review the benefits plan offered by your employer.
    You might find that your employer has a flexible spending program that offers a set amount of funds to be allocated to an RRSP, or maybe you’re eligible for an RRSP matching program. Consider opting in for benefits like these. Even a small contribution on your part to a matching program can result in an increase that can lead to meaningful long‑term growth.
  • Assess how you’ve invested your money within your registered accounts.
    It’s important to understand yourself as an investor. Ask yourself if the current investments fit your short- and long-term goals and if they match your comfort level when it comes to risk.

 

3. Meet with your financial advisor

If you work with a financial advisor to choose investments and manage your portfolio—when is the last time you had a meaningful conversation with them? A spring check-in is a great way to see if your portfolio still aligns with your risk tolerance and your goals, which may have changed.

During your meeting:

  • Look at your investments and discuss how they’ve performed.
  • Ask questions about terminology, acronyms or concepts you don’t fully understand.
  • Get clarity on any fees or penalties that may exist to buy or sell investments.
  • Talk about your goals, risk tolerance and any big life changes so appropriate adjustments can be made to your financial plan.

 

A good advisor welcomes questions. They want you to be well informed and they value your input. If you don’t work with a financial advisor, a good place to develop your investor knowledge is through CheckFirst.ca.

And don’t forget to protect yourself. A spring refresh can help develop good habits and this includes taking steps to safeguard your investments from fraud and high‑risk offers. The Alberta Securities Commission (ASC) provides free tools and resources to help:

 

This spring, before investing—or reinvesting—take a moment to use these tools. They’re quick, free, and designed to help you protect what you’ve worked hard to build.

What Fraud Prevention Month means for Alberta investors

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It often starts in a way that feels harmless.

A quick message from a “friend.” A direct message that looks professional and familiar. A post from what looks like a legitimate firm. The opportunity being presented sounds safe, and the returns seem steady, but then the pressure starts, and there is a sense of urgency to act now or miss out.

That’s how many investment scams work: not by targeting careless people, but by building trust and confidence first, then applying pressure before there’s time to stop and verify what’s real.

Investment fraud remains one of the most financially damaging forms of fraud in Canada. Losses can be large, and the recovery is most often impossible. For many Albertans, the impact goes beyond money, affecting trust, confidence, and long-term financial security.

 

Fraud Prevention Month: Why it matters

Every March, organizations across Canada come together for Fraud Prevention Month, a national initiative aimed at helping people spot, avoid, and report fraud. While the tactics used by fraudsters continue to evolve, understanding how scams happen and recognizing the warning signs early is an important part of protecting yourself and those you care about.

The Alberta Securities Commission (ASC) works closely with partners across the province, including the Alberta Community Crime Prevention Association (ACCPA), to support a coordinated and consistent approach to fraud education. While our partners address crime prevention broadly, the ASC’s role is focused on protecting Albertans from investment-related scams, from misleading crypto opportunities to high-pressure sales tactics to increasingly sophisticated online impersonations.

Throughout March, we’ll be sharing practical insights aligned with ACCPA’s Fraud Prevention Month themes. You’ll see tips and reminders about:

  • Artificial Intelligence (AI) helping scams
  • Investment Scams
  • Online Scams
  • Mass Marketing Scams
  • Relationship Scams

 

Fraud Prevention Month themes and how they affect investors

Artificial Intelligence (AI) helping scams

Advances in artificial intelligence are making scams more convincing than ever. Fraudsters can now use tools such as voice cloning, deepfake videos, and AI-generated messages to impersonate trusted individuals or credible organizations.

In the investment world, this may look like:

  • A voice message that sounds like someone you know, encouraging you to invest
  • Videos appearing to show endorsements from public figures or company executives
  • Emails or texts that look professional, polished, and legitimate

These tools are designed to create confidence and familiarity before investors have a chance to question what they’re seeing or hearing. When something feels unusually convincing, it’s important to pause and independently verify the source.

Investment Scams

Investment scams often follow predictable patterns, while the platforms and tactics may change and look more convincing than ever, the red flags stay the same:

  • Pressure to act quickly before an opportunity disappears
  • Promises of guaranteed or unusually high returns
  • Attempts to build false trust. Claims that an investment is safe or has little to no risk
  • Encouragement to keep the investment secret or avoid seeking advice
  • Limited documentation or explanations that are vague or overly complex

Fraudsters rely on reassurance to lower skepticism, trust to maintain engagement, and urgency to prevent investors from taking time to verify information. These same tactics also show up after someone has already lost money, which is where recovery room scams come in. In these situations, scammers contact individuals who were previously defrauded and claim they can help recover the lost funds, for a fee. The outreach often feels official, sympathetic, or urgent, mirroring the same red flags: secrecy, pressure, and promises that can’t be verified.

It’s important to remember that no legitimate regulator or government agency charges a fee to help you, and most often it is not possible to recover the funds. If you’ve already experienced a loss, be especially cautious of unsolicited offers of recovery assistance, particularly those requesting upfront payment or personal information.

Online Scams

Online platforms have become a common channel for investment fraud, particularly when opportunities are promoted through social media, messaging apps, or online communities. This can include:

These scams often rely on social proof, the impression that others are already investing or profiting. Repeated posts, testimonials, or screenshots can create a false sense of legitimacy. If an investment opportunity is being promoted primarily through social media posts, direct messages, or private group chats, investors should treat this as a warning sign and take extra steps to verify all the information independently.

Mass‑Marketing Scams

A mass‑marketing investment scam is a type of fraud where scammers use tools like email, social media ads, phone calls, messaging apps, or fake websites to contact large numbers of people at once. Their goal is to get someone to invest in an opportunity that is fake or misleading.

These scams often rely on attractive promises, such as high returns, little or no risk, or access to special or insider information. Scammers send out many messages and wait for someone to respond, click a link, or start a conversation.

Relationship Scams

Relationship scams, including romance scams, are deeply personal and emotionally harmful. Increasingly, they also lead to investment fraud. After building trust over time, a fraudster may introduce an “investment opportunity,” often involving cryptocurrency or online trading platforms they claim to use themselves. These opportunities may be described as safe, profitable, or exclusive. Once money is transferred, the scammer and, often, the platform disappear.

Any time a new or online relationship starts discussing money or investing, it’s important to pause and talk to someone you trust before taking action. Legitimate investments do not require secrecy or emotional pressure.

 

How Albertans Can Protect Their Money

Fraud prevention doesn’t require becoming an investment expert. Small, practical steps can make a meaningful difference.

  • Take your time: Pressure to act quickly is a common feature of fraud. Legitimate opportunities allow time for review and verification.
  • Be cautious of guarantees: All legitimate investments involve some level of risk. Claims of guaranteed or low-risk returns should raise concern.
  • Do your own research: Verify information using independent sources, not just what the seller provides.
  • Check registration before investing: Confirm whether the individual or firm is authorized to sell investments in Alberta.
  • Avoid unsolicited offers: Especially those received through social media, text messages, or messaging apps.
  • Report concerns: If something feels suspicious, contact the ASC.

Fraud Prevention Month is an opportunity to learn how investment scams operate and how to recognize the warning signs. Understanding tactics like reassurance, trust, and urgency help prevent financial loss. Staying informed and taking time to verify before investing makes Alberta a harder place for fraudsters to operate.

Use the free tools at CheckFirst.ca to check registration, spot warning signs, and learn more before you invest. If an investment opportunity seems suspicious or doesn’t feel right, please report it through CheckFirst.ca or contact the ASC through its Inquiries line.

 

 

When you invest, do you know how it’s taxed?

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Every spring, as Canadians file their taxes and returns, or when balances owing are issued, many people take a closer look at where their money is going. That’s when familiar questions pop up: Why do I owe tax on some investments and not others? Why does investment income show up differently from employment income?

The short answer is: your income, your investment choices and the taxes you owe are interconnected —and understanding how they all influence your financial position can help you make more informed decisions. Tax season is a perfect time to step back and see how your investments fit into your overall taxable income before you make your next move.

 

How different investments and accounts are taxed in Canada

A helpful place to start is by understanding the types of income your investments can generate. The Canada Revenue Agency (CRA) classifies three common types of investment income: interest, dividends, and capital gains, and each are taxed differently.

How investment income is taxed depends on two things: the type of income and the type of account that holds the investment. Understanding these two factors can help you see how much tax you’ll need to pay.

1) Types of Investment Income:

  • Interest income: Income earned from investments such as guaranteed investment certificates (GICs), bonds and some investment funds is generally taxed in the year it is earned. For example, if you earn $200 in interest from a GIC in a non-registered account this year, that $200 is usually added to your taxable income for the year, even if you don’t withdraw the money.
  • Dividend income: Dividends are payments companies make to shareholders. The payments come from company profits. Dividends from Canadian companies receive a dividend tax credit, which usually means you pay less tax on them than on interest income. Dividends from foreign companies are generally taxed as regular income and don’t receive the dividend tax credit. For example, if you receive $300 in dividends from a Canadian company, you’ll typically owe less tax than you would on $300 of interest or $300 in foreign company dividends.
  • Capital gains: When an investment is sold for more than its purchase price, the profit is considered a capital gain. Only a portion of that gain is included in taxable income.  For example, if you buy a stock for $100 and later sell it for $150, the $50 profit is a capital gain. Only a portion of that $50 is taxable, not the full amount.

2) Types of investment accounts:

  • Registered Retirement Savings Plan (RRSP): Investments held in an RRSP generally defer tax until money is withdrawn. Contributions may reduce taxable income today, and withdrawals are typically taxed as income later.
  • First Home Savings Account (FHSA):  An FHSA offers tax advantages while you save for your first home. Typically, qualifying withdrawals for a first-home purchase are tax-free.
  • Non-registered (taxable) accounts: These accounts don’t come with tax shelters. Investment income earned outside registered accounts is generally reported and taxed annually, including interest, dividends and realized capital gains.

Because different investments and accounts are taxed at different times, the tax impact isn’t always immediate. For example, interest in a non-registered account is typically reported and taxed annually, while investment gains in registered accounts may not appear on your return until money is withdrawn.

 

What to consider before you invest

Before you put new money into any investment — especially during tax season — consider these three practical questions:

How will this investment be taxed and when?
Think about what type of income the investment is expected to generate and whether tax applies each year or only when you sell or withdraw. Product pages, fund fact sheets, or an advisor can often help clarify this.

Which account will you use, and do you have the contribution room?
Contribution room is simply the maximum amount you’re allowed to put into a registered account without penalties, based on the rules for that account.

  • TFSA: Room accumulates each year you’re eligible and carries forward even if you didn’t contribute in past years. Withdrawals create new room in the following calendar year. Over‑contributions can trigger penalties, so it’s worth checking your available room before you add money. You can check by visiting your CRA My Account.
  • RRSP: Your room is generally tied to your earned income and reported on your CRA Notice of Assessment. Any carry-forward contribution room is also reported on your Notice of Assessment. Contributions reduce the room you have and withdrawals are typically taxable later.
  • FHSA: You can contribute up to $8,000 per year, to a lifetime maximum of $40,000. Additionally, up to $8,000 of unused annual room can be carried forward.

What information will you receive in advance of tax time and in what form?
Depending on what you hold and where, you may receive tax slips such as T5s, T3s, T5008s, or contribution receipts for registered accounts. Most investment firms make these available through online account portals ahead of tax filing deadlines.

 

Bringing it together

Tax season often brings investment decisions into sharper focus, whether through a refund, a balance owing, or a stack of slips that highlight how different sources of income are treated. Rather than viewing this as a once-a-year administrative task, it can be a useful moment to step back and assess whether current investments still align with personal goals, time horizon, and comfort with risk.

Investment choices don’t exist in isolation. Tax treatment ultimately determines how much you keep, not just what you earn. Taking the time to understand how investing and taxes impact your financial position before you invest can lead to more informed decisions and fewer surprises at tax time, now or in the future. Before you invest, take a moment to CheckFirst.

Top investment scams to watch for in Alberta in 2026: How AI-driven scams are shaping investment fraud

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Each year brings with it new investing trends, platforms and opportunities. And with any exciting or top-of-mind trend or event comes an often-overlooked risk: Fraudsters. They are also paying close attention to the next big thing that can make their scams more attractive.

As more Canadians, especially younger investors, rely on digital tools to guide their decisions, investment scams and technology-driven promotional tactics are evolving rapidly. Data trends indicate that by 2026, the scams targeting Albertans will mimic people they trust through realistic videos, friendly group chats, or familiar social media content.

According to the Alberta Securities Commission (ASC), early warning signs point to three technology-driven tactics that could significantly shape the 2026 scam landscape in Alberta: deepfakes, the next wave of finfluencers, and the growing use of private messaging apps, like WhatsApp and Telegram, to promote investment opportunities.

This article outlines the most common AI-driven investment scam tactics Alberta investors may encounter in 2026 and how to spot and avoid them.

 

Deepfake investment scams: How AI is impersonating trusted voices

Deepfake technology is no longer a novelty; it has become an everyday risk. Over the last few years, social media has been inundated with advertisements and seemingly legitimate news articles featuring public figures like Elon Musk and even current Prime Minister Mark Carney.

However, there has been a shift. What is changing is who is being impersonated. Rather than global celebrities, scammers are increasingly turning to local figures because they feel more relevant and trustworthy to Albertans.

One deepfake scam that circulated widely in 2025 used the likeness of David Rosenberg, a well-known Canadian economist and founder of Rosenberg Research. Reaching followers through advertisements on Facebook and Instagram, these posts promoted a fake investment program with an AI-version of Rosenberg and promised quick returns of 30 to 70 per cent.

Warning Albertans of the widespread nature of these scams, in 2025, the ASC cautioned the public of a suspected crypto investment scam that appeared to be endorsed by a fake news article or endorsements, similar to the one including David Rosenberg.

In 2026, the ASC is warning Albertans that deepfake scam tactics could look like:

  • Videos of well-known Alberta business figures promoting exclusive investment opportunities.
  • Fully AI-generated “advisors” with cloned voices and realistic faces promoting high-yield investments or crypto platforms.
  • Deepfake speakers presenting at online investment seminars, and potentially even in-person events.

Private group investment scams: How WhatsApp and Telegram are used to build trust

Private messaging apps such as WhatsApp, Telegram, and private Discord servers are increasingly being used to facilitate investment scams.

Fraudsters often first make contact through social media ads, comments, or direct messages (DMs), then quickly move the conversation into private group chats where conversations feel more personal and, more importantly, are harder to trace or report.

In some cases reported to the ASC, Albertans have mentioned being added to WhatsApp groups that appear to be run by local investors or professionals, complete with regional references and time-specific market updates — all designed to make the group feel legitimate. These groups are often positioned as educational spaces or invite-only communities offering early access to investment opportunities. Over time, trust is built through:

  • Screenshots of supposed profits.
  • Testimonials from other group members.
  • Frequent activity that seemingly validates the opportunity.

In 2026, these tactics may become even more convincing with the help of AI-generated messages, bots posing as successful investors, and deepfake voice notes from so-called group leaders.

 

Finfluencers and unregistered advice: What investors in Alberta should know

Financial influencers, or finfluencers, have already changed how many people learn about investing. But the trend is far from over. By 2026, we can expect a second AI-driven wave that is more local, more commercialized, and more difficult to differentiate from legitimate investing education.

A recent case in Alberta shows how quickly this content can cross the line. In 2025, a Canmore-based content creator known as Jayconomics was found by the ASC to have breached securities law after promoting investments without clearly disclosing that he was doing so on behalf of four Alberta issuers. Some followers reportedly lost money after acting on his recommendations.

This case highlights how persuasive and risky influencer-driven investment content can be.

To address the growing risks, on December 11, 2025, the Canadian Securities Administrators (CSA), the umbrella organization that includes other provincial regulators including the ASC, issued guidance aimed at helping finfluencers and firms understand when online content may cross into regulated activity.

The guidance explains that finfluencers may be subject to securities law when they:

  • Provide investment advice.
  • Promote securities/investments for compensation.
  • Direct followers to trade through affiliated links.

The guidance also clarifies that the “general advice” exemption applies only when content is not tailored to individuals and information about a financial interest in securities must be disclosed.

Remember: If you see an investment opportunity promoted through a video, ad, or private message, take a moment to verify who’s behind it. Generally, anyone offering investments or personalized investment advice must be registered with the a provincial securities regulator. You can verify this using the Check Registration tool on CheckFirst.ca.

How to protect yourself from investment scams in Alberta

Even as these scam tactics become more sophisticated, the fundamentals of protecting yourself remain the same:

  • Slow down. Fraudsters rely on urgency to prevent you from asking questions or doing your research into the credibility of the investment.
  • Check the registration of the person or platform before you invest or follow advice.
  • Be cautious of unsolicited investment opportunities promoted through videos, DMs, social media, or private groups.

How to report investment scams in Alberta

Use the free tools at CheckFirst.ca to check registration, spot warning signs, and make informed decisions before you invest. If an investment opportunity seems suspicious or doesn’t feel right, you can report it through CheckFirst.ca or contact the ASC through its Inquiries line.

 

How Canadians are investing is changing: Here’s what you should know

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As was discussed in the “Focus on Investors” panel at this year’s ASC Connect conference, the way Canadians invest and how they think about building long-term wealth is changing faster than ever. Younger investors are entering the market earlier and relying on digital tools to guide their decisions, while older Canadians are adjusting how they manage retirement income as life expectancies, and living and care costs, continue to grow.

 

Environmental changes reshaping investor needs

To understand why investor behaviour is shifting across age groups, it’s important to look at the broader pressures shaping Canadians’ financial decisions. Canadians are living longer, working later in life, and facing higher costs in areas like healthcare, housing, and caregiving, all of which are stretching financial plans further than previous generations expected.

Traditional assumptions about retirement, owning a paid-off home, living debt-free, and relying primarily on pensions no longer hold true for many people. And these pressures aren’t limited to just older Canadians. Rising living costs, economic uncertainty, and competing financial priorities are affecting younger investors too. As a result, many are turning to DIY investing much earlier than previous generations as a way to reach their financial goals, both short- and long-term.

At the same time, many younger Canadians— with limited investing experience—are about to receive the largest transfer of wealth in Canadian history. Over the next two decades, an estimated $1 to $2 trillion will move from baby boomers to younger generations. For many recipients, this will be their first major exposure to managing significant assets or investment portfolios.

Handled well, this wealth has the potential to strengthen financial security for individuals, families and communities. But if unknowing investors allow these assets to flow into speculative trends, online hype, or fraudulent opportunities, the consequences could be costly. As longevity, rising costs, the growth of DIY investing, and the unprecedented wealth transfer reshape financial realities, Canadians of all ages need the knowledge and skills to evaluate opportunities, manage risk, and recognize the warning signs of fraud.  Protecting your money in today’s environment means understanding not just how to invest but how to invest wisely.

These pressures affect younger and older investors differently, but they all encourage more independent decision-making, often before they have the knowledge needed to navigate these decisions confidently.

 

Technology is changing how people start and stay invested

Technology has become the primary tool helping Canadians adapt and make investing more accessible. The rise of fintech platforms and mobile tools has lowered barriers, and investors can now open accounts in minutes, buy fractional shares, or access automated portfolios, all from their phones.

These technological shifts affect both younger and older investors. It enables younger investors to enter the market more easily, while also supporting older investors who increasingly rely on digital tools to manage and extend their retirement income.

 

More Canadians are choosing different tools to invest

Investors are stepping away from traditional channels that provide more advice, and they are embracing digital platforms that promise accessibility, control and cost savings. Many prefer to pay less fees, and to learn by doing, opening accounts, making trades and gaining confidence through experience enabled by easy-to-use apps and online brokerages. Online brokerage accounts, investing apps and financial content on social media have become part of their financial toolkit.

This trend isn’t inherently negative; in fact, it demonstrates curiosity and initiative. But it also underscores the importance of education. Without proper guidance, investors who rely solely on online sources or “finfluencers” may be exposed to unnecessary risk, misinformation, or even fraud. The growth of DIY investing highlights a broader challenge: helping Canadians distinguish between trustworthy financial information and persuasive marketing disguised as advice.

 

Building financial confidence

As more people invest, the responsibility to understand the risks, market volatility, and fees becomes increasingly essential. Technology accelerates investor engagement, making it even more crucial that we all have access to the knowledge needed to invest wisely. Whether you are just starting or updating your retirement plan, a strong foundation of financial education can help you make informed choices, protect your savings, and stay confident in today’s fast-moving environment.

Establishing lasting, effective investing habits requires a mix of early education, timely learning, and ongoing awareness. Whether you choose to manage your own portfolio, work with an advisor, or do both, starting with a solid investing foundation and access to unbiased, trustworthy information is key to keeping your investments safe.

In today’s fast-moving market, protecting and growing your financial nest egg requires informed decision-making. Knowing how to research investments, check registration, and recognize scams isn’t just good practice; it’s essential. CheckFirst.ca provides Albertans with the tools to do exactly that.

To stay connected and receive updates on unbiased investing information, subscribe to our CheckFirst newsletter. If you are interested in the “Focus on Investors” discussion at ASC Connect, you can watch it here.

Inside one of Alberta’s largest Ponzi schemes: How Black Box deceived investors and how to avoid similar scams

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When news of an investment scam breaks, it’s sometimes easy to tell ourselves, “That could never happen to me.” Yet each year, many Albertans, both experienced and new to investing, are defrauded in seemingly real investment opportunities.

In August 2025, the Alberta Securities Commission (ASC) issued a ruling against Craig Michael Thompson and his companies, Black Box Management Corp. and Invader Management Ltd., for carrying out one of the largest Ponzi schemes in Alberta’s history. Over three-and-a-half years, Thompson invested more than $150 million CAD, and defrauded over 1,000 investors across Alberta and the U.S. of at least US$47 million.

 

It can be hard to spot the warning signs of an investment scam

It might be easy to think the victims of Thompson’s fraud were risk-takers willing to make high-risk bets for big rewards. But unlike many investment scams that promise quick riches or unrealistic returns, Thompson’s schemes were disguised as a low-risk, professional operations.

So how did Thompson lure people in and keep them deceived? The answer lies in the psychology of trust and the behavioural biases that scammers use to exploit people.

 

How Ponzi scheme operators use trust to deceive investors

Investment scams aren’t just built on fake documents or false account statements. They are built on stories; stories that feel personal, believable and trustworthy.

In this case, Thompson claimed to have mastered the markets, telling potential investors that he had not experienced a single losing day since 2014. He also used three classic persuasion tactics to draw in investors:

1. Authority: The “expert” who never loses a trade

Thompson positioned himself as an experienced and successful day trader, claiming he had never faced a negative trading day since 2014. He used technical jargon, like “stop-losses”, and produced fake weekly reports detailing his trading wins to make himself sound credible.

Fraudsters often use complex language not only to reinforce expertise and appear knowledgeable, but also to intimidate. This can make investors less likely to ask questions or challenge claims, allowing repeated statements to feel more convincing.

This is called the illusory truth effect: the tendency to accept information as true simply because we hear it repeatedly. Each time Thompson reinforced his “no losing days” story through conversations or weekly updates, it became more credible.

CheckFirst tip: Confident claims and repeated tales of success don’t tell the full story or replace legitimate qualifications and industry registration. Instead of relying on repetition or reputation, do your own research and look for verified information. Always ensure that the person you are working with is registered to sell investments with a provincial securities commission before you invest.

2. Social proof: Everyone else is “making money”

Many Black Box investors heard about the opportunity through friends, colleagues or family members who, based on reports, believed that their own investments were growing. In reality, Thompson generated fake reports for early investors that showed steady returns, which they shared with others, unknowingly helping spread his scheme.

It is human nature to follow the actions of the group. When others around us seem to be having success, it can feel reassuring and safe to follow their lead. Scammers know this and take advantage of psychological biases like herding behaviour or the fear of missing out (FOMO). They use this to manipulate trust between groups to create the illusion of legitimacy.

CheckFirst tip: If someone you know, even a friend or family member, recommends an investment or a person to work with, take a step back and verify the details for yourself. Again, independent research and registration checks are your best defence against fraud.

3. Illusion of control: “Don’t worry, you can withdraw your money anytime”

Thompson also offered investors a sense of control. They were told they could withdraw money at any time, which many investors did, making the opportunity feel flexible and low risk. Supported by fake weekly reports that showed two to three per cent “profits”, Thompson reinforced that illusion of safety.

But real markets don’t work that way. Returns fluctuate. No-risk and consistent positive returns aren’t just unlikely, they are unreal. If you’re being shown a steady gain every week regardless of what’s happening in the economy, that’s a sign that something isn’t real.

CheckFirst tip: Legitimate investing involves volatility. Be cautious of anyone who promises smooth, guaranteed growth or no down weeks. Start by understanding investment risk.

 

How the Black Box Ponzi scheme collapsed

Like all Ponzi schemes, Black Box relied on a steady flow of money from new investors to pay earlier ones, until the scheme eventually unravelled.

By the fall of 2023, the scheme collapsed, leaving more than 1,000 investors with significant losses. Of the roughly $150 million raised, Thompson lost at least US$47 million. The rest was used to pay earlier investors, lost through trading, transferred to other entities, or diverted for Thompson’s personal benefit.

When concerns were raised by investors and their financial institutions, the ASC acted quickly to investigate and freeze accounts.

“When we received a call from a financial institution raising concerns about a potential Ponzi scheme in one of their client accounts, we took immediate action to have those accounts frozen and issue interim orders,” said Cynthia Campbell, the ASC’s Director of Enforcement, speaking to the media. “At that point, only about US$300,000 remained. It appears all of the other funds were gone.”

Thompson and his companies admitted to trading securities and defrauding investors. As part of a settlement agreement in August 2025, they were sanctioned and ordered to pay nearly $9 million to the ASC.

 

How to protect yourself from investment scams

Even the most seasoned investor can be manipulated by a story that feels personal. The best way to protect yourself is to slow down and ask questions before you hand over your hard-earned money:

  • Pause before you invest. Fraudsters rely on urgency. Take your time to evaluate.
  • Check registration. Use CheckFirst.ca to see if the person and/or company is registered to sell investments.
  • Ask questions. If you can’t clearly understand the investment opportunity or identify the risks — it’s time to step back.
  • Expect fluctuations. Legitimate investments rise and fall. Guaranteed or always positive returns don’t exist.
  • Seek a second opinion. Talk to a registered financial professional or a third party before making big investment decisions.

Doubt alone isn’t the only way to keep you and your money secure. Before you invest, do your own thorough research. Ask questions, and verify information against publicly available and trusted sources.  When it comes to your money, the smartest move you can make is to CheckFirst.

 

Investor education month: Lessons and insights from hybrid investors

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October marks Investor Education Month, a national initiative that encourages Canadians to take time to strengthen their investing knowledge and make informed investing decisions.

One approach that some Canadians are considering is hybrid investing. A hybrid investor works with an advisor and also manages part of their investments on their own. According to the Canadian Securities Administrators’ (CSA) recently published Hybrid DIY Investing: A Research Summary Report, approximately one in eight Canadian investors use this dual-track investing method.

Understanding how hybrid investors think and act can offer valuable insights to help all investors make suitable and informed investment decisions, whether they are managing their portfolio entirely on their own, working with an advisor, using a robo-advisor or combining the different approaches.

 

What the CSA research tells us

The CSA surveyed hybrid investors nationally and then conducted focus groups with those who identified themselves as taking on substantially more risk, while conducting less formal planning. Through this research, hybrid investors shared valuable and interesting takeaways related to risk tolerance and advisor relationships.

 

A financial plan developed alongside a professional can reduce speculative investing behaviour

A comprehensive financial plan that takes into account an investor’s goals, time horizon, chosen investments and risk tolerance is critical to the success of any investor. Many of the surveyed hybrid investors relied on their advisor to assist them in creating their financial plan. However, those who developed a plan on their own or invested without a plan engaged in more speculative investing behaviour. This included frequent trading, investing in speculative assets like crypto and seeking very large returns in short time frames. Alternative assets like crypto are high risk and their values are largely dependent on investor interest and supply and demand. Additionally, behaviours like seeking short-term big wins can expose investors to unsuitable high-risk investments and even investment scams.

Regardless of your investing method, consider reviewing your financial plan and how you are tracking towards your goals. If you do not have a plan or you are struggling to build a plan, consider reaching out to a certified financial planner or a registered financial advisor. They can be a great resource to help align your investments with your risk tolerance.

 

A worthwhile advisor relationship goes beyond surface-level conversations

If you use a financial advisor, it’s helpful to remember that the relationship is only as worthwhile as the time you invest in it. The more time you take to ask questions, actively review your plan and portfolio with your advisor, and update them on changes in your life, the more informed you will both be and the more value you will receive. Taking steps to develop deeper conversations around your investment portfolio could include asking your advisor to provide insight into how your investments are aligned with your financial goals, and whether there are any optimizations needed as you near achieving your goals.

Surprisingly, 81 per cent of hybrid investors reported having a close relationship with their advisor, but only occasionally discussed their investments. In contrast, the focus group participants of highly speculative hybrid investors expressed a more distant relationship and rarely or never shared information about their DIY investments with their advisor.

 

Understanding your risk tolerance allows you to stay within your limits

One of the most important aspects of investing is understanding the level of risk you take. Every investor has a risk tolerance comprised of their willingness and ability to take risks with their money. A general rule of thumb is to align the overall risk of your investment portfolio to your risk tolerance. This approach helps you pick suitable investments, but also helps you set reasonable expectations on the level of potential returns you may generate in the future.

The Hybrid DIY Investing research found that 84 per cent of hybrid investors are willing to take on moderate to significant investment risk, nearly double the 46 per cent of Canadian investors overall, as reported in a recent CIRO survey. Having a high risk tolerance is not a bad thing, but when combined with an incomplete financial plan and surface-level discussions with your financial advisor, you could be exposed to potentially unsuitable investments and possibly fraud.

 

Fraud awareness and prevention starts with trusted sources, not gut instinct

The hybrid investor research revealed that high-risk hybrid investors were less aware of the red flags of investment fraud. Based on the results of the focus group discussions, the high-risk investors, often drawn to speculative and alternative investments, tended to overlook key steps in verifying the legitimacy of trading platforms or investments. Rather than checking registration or conducting their own research, many cited relying on intuition and informal checks online with Google, Reddit and other online forums.

Investment fraud continues to be the most prevalent form of fraud across Alberta. Given this risk, it is essential that all investors start by checking the registration of any individual, firm or platform they plan to work with. In addition to these registration checks, doing independent research on any investment you are considering and involving a third party or your financial advisor, if you use one, in the review can help mitigate the risk of falling victim to a scam.

Although the CSA research focused on hybrid investors, the findings carry important lessons for all Albertans navigating their investing journey. To be successful, it is important that you take the time to build a solid financial plan, understand your personal risk tolerance, and verify the legitimacy of all platforms and products that you are considering.