The Italian stock exchange regulator Consob has warned of the risks associated with financial recommendations from so-called finfluencers on social media.

These influencers give tips on investments via platforms such as Instagram, YouTube or TikTok, according to Consob often without sufficient specialist knowledge or regulatory control.
In an official announcement, the Consob appeals to savers not to be guided by quick promises or trends.
“ Many of this content suggests high returns with supposedly minimal risk. This is a contradiction to the basic principles of the financial world, according to which high returns are always associated with a corresponding risk.”
The authority also draws attention to possible conflicts of interest: Finfluencers could be paid for the application of certain financial products without disclosing this.
Consob also calls on the content creators themselves to comply with European regulations.
Anyone who makes investment recommendations publicly must act transparently, objectively and in compliance with the law, otherwise there are legal consequences.
The warning was part of the international Global Week of Action Against Unlawful Finfluencers campaign week, which also includes regulators from Great Britain, Canada and Australia.

What investors should pay attention to:

No decision from the gut: Investments should never be made solely on the basis of trends or online videos.

Realistically assess risks: High profits are usually associated with high risk.

Use reputable sources: Information from recognized financial institutions and audited advisors is more reliable.

Question transparency: Who may benefit from the recommendation?