Help your clients avoid AI super scams

The financial advice landscape is changing. As more people turn to social media and other online sources for financial information, artificial intelligence (AI) can make it difficult to recognise real investment opportunities from fake ones.

The Australian Securities and Investments Commission (ASIC) recently warned that scammers are increasingly using AI to create convincing financial scams, including scams that can target people’s super and retirement savings.

Here are some common AI scams to watch for – and actions you can take to help your clients keep their money, super and personal information safe.

Common AI scams

According to ASIC, scammers are using AI to create a range of financial scams that look legitimate. These include:

• Deepfakes and other deceptive videos – such as when AI is used to create videos that appear to be from politicians or celebrities endorsing certain actions or investments
• Fake investments, articles and reviews – where someone could be led from a social media advertisement to an AI-generated website or news article promoting a fake investment opportunity
• Fake websites – where people may be led to false and misleading AI-generated information while trying to verify a fake investment opportunity
• Impersonation scams – where scammers pretend to be a trusted organisation, government agency, super fund or financial professional to gain influence over a person’s money or personal information

AI is making scams more convincing because criminals can now create realistic videos, voice recordings, websites and other digital content in minutes. This means scam communications may look more professional than they did in the past and can be distributed to large numbers of people quickly. Because of this, it’s becoming more important to verify information independently before taking action.

AI scams targeting super

Your clients may be targeted by AI scams involving phone calls, online ads and social media promotions encouraging them to review, switch or consolidate their super. Scammers may claim their current fund is underperforming, suggest they have lost track of super, or promote other funds or investment opportunities that promise attractive returns.

The aim of these scams is generally to have your client provide their contact and/or personal details. Scammers might then get in touch with scripted phone calls about fake investment opportunities, sometimes paying or appearing to pay apparent returns to make the scam seem legitimate.

While not all phone calls from telemarketers are scams, the Australian Government is introducing reforms to help protect Australians by requiring telemarketers who cold-call people about switching super funds to be licensed.

Your role in keeping your clients safe

You are likely an important source of financial information for your clients, which means you are well placed to help them spot AI scams. This may be particularly helpful for clients who are less familiar with digital tools or who would benefit from additional support when assessing online financial information.

As a starting point, you could use the Moneysmart investor alert list to check if any investment opportunities offered to your clients were made by a suspected scam company.

It is also important to check that any investment opportunity is accompanied by an Australian Financial Services Licence that can be verified through ASIC’s free public registers. Scammers can claim to hold a licence or use a licence number that doesn’t belong to them.

Tips to share with your clients

To help your clients avoid being scammed, you could encourage them to:

• Contact GESB directly to verify any unexpected communications about their super, as well as requests to transfer, consolidate or make changes to it
• Be cautious of unexpected communications that create urgency or pressure them to act quickly – these pressure tactics should instead be treated as a warning sign
• Never assume that a video of a politician, public figure or someone else endorsing an investment opportunity is real – it could be an AI-generated deepfake
• Not rely on online reviews, endorsements or search engine results to assess an investment opportunity, as these can be generated or manipulated using AI
• Always take the time to review any investment information carefully, using trusted sources such as GESB or ASIC’s MoneySmart website
• Check that an investment company or website is not listed as a suspected scam on the MoneySmart Investor alert list before investing or transferring their super
• Seek your professional advice where required before transferring super or making a significant investment
• Not provide personal information, account details or make any payments unless they can verify the request using trusted contact details
• Check website addresses carefully before entering personal information
• Never share their passwords, one-time verification codes or other security credentials

Your clients may think that a message, voice call, website or video seems authentic and looks professional, but that doesn't mean it is legitimate. AI is making it easier for scammers to imitate real people and companies. Encourage your clients to stop and verify the source before acting.

For clients who may be more vulnerable to scams, you might also like to:

• Work with them to create a cooling-off period before they transfer large amounts of money
• Encourage them to speak with a trusted family member or support person when considering high-value transactions and opportunities, where appropriate
• Reinforce how important it is to independently verify any unexpected requests, such as unsolicited emails or phone calls