Let’s be frank.
In Nigeria today, securing your money feels like navigating a minefield.
Every few months, another investment platform collapses, taking with it the dreams, savings, and trust of thousands of hardworking Nigerians.
We see the same pattern repeated, leaving us asking: How do we stop falling for the same tricks?
Globally, the numbers are alarming – cybercrime losses are exploding, with investment fraud leading the charge, often cloaked in the guise of trendy opportunities like crypto or online ventures. But for us here, it’s not just a statistic. It’s your relative who lost their retirement fund, your friend who invested their last kobo, or perhaps even you, nursing losses from a scheme that promised the world and delivered heartbreak.
We have witnessed the rise and devastating fall of countless schemes, the multilevel ‘donation’ platforms, the agricultural schemes that vanished like mist, the online trading platforms that locked everyone out overnight. Each time, people are left reeling, wondering what went wrong. It highlights a painful truth: many of us, in our genuine desire for growth and a better life, jump into investment opportunities based on hope, hype, or the word of a trusted friend, without really knowing what to look for to spot a wolf in sheep’s clothing.
Scammers are getting smarter, blending into the digital landscape, making it harder to tell who is real and who is not. But there are clear warning signs, red flags that, if you pay attention, can save you from a world of pain. Let’s cut through the noise and focus on what truly matters.
When an investment opportunity lands before you, whether online or offline, ask yourself these critical questions. They are your shield against the sharks.
First, consider the Promise of Returns That Defy Gravity. Seriously, ask yourself: Does it sound too good to be true? If someone is promising you ridiculously high, guaranteed returns, think double-your-money-in-weeks kind of figures – approach with extreme caution. Legitimate investments involve risk, and returns fluctuate. Schemes that offer fixed, exorbitant profits consistently are usually paying early investors with money from new investors. That’s the very definition of a Ponzi scheme, and they all collapse eventually. No legitimate investment guarantees high returns with little to no risk. None. As we say here, “No go let sharp guy put you for trouble oh!”
Next, pay close attention to Zero Transparency About Who They Are or How They Operate. If you can’t figure out who is behind the platform or how they actually make the money they claim to, run! Fraudulent schemes often have anonymous founders or use complex jargon to confuse you. They might talk about “advanced algorithms,” “exclusive trading bots,” or “secret strategies” without explaining anything clearly.
A real investment firm is usually transparent about its leadership, its business model, and where your money is actually going. If you don’t know who you’re dealing with or how they generate profits, you’re walking in blind.
A major alarm bell should ring if there is Operating Without Proper Regulatory Approval. This is a non-negotiable dealbreaker. In Nigeria, companies handling investments and financial assets must be registered and regulated by relevant bodies like the SEC or CBN.
Many collapsed schemes operated completely outside of this oversight. They might look slick online, but a fancy website doesn’t mean they are legitimate. Always verify their registration status with the appropriate regulators before investing. Investing with an unregistered entity leaves you with zero protection when things go south.
Be extremely wary of Sudden and Persistent Issues with Getting Your Money Out. At first, many scams pay promptly to build trust. But as new investors dry up or demands increase, withdrawals become difficult. You’ll hear excuses: “system upgrades,” “network problems,” “processing delays.” This isn’t just an inconvenience; it’s often a sign that the money isn’t there, or they are planning their exit. If you find it hard to access your funds when you need them, consider it a major red flag.
Finally, recognise when you’re facing Heavy Pressure Driven by Hype and Social Proof. Have you noticed how these schemes spread? It’s through WhatsApp groups, social media buzz, and endorsements from people you might know or follow online. The ‘Fear Of Missing Out’ (FOMO) is a powerful driver.
When everyone around you seems to be making money (often just the early birds or those involved in promoting it), it’s tempting to jump in without thinking. But remember, social proof – your friend’s testimony or an influencer’s post – is not a substitute for doing your own due diligence. Investigate independently.
Beyond spotting the red flags in the investment itself, take active steps to Protecting Your Wallet: Simple, Actionable Steps. Verify everything, don’t take anything at face value. Check regulatory bodies. Search online for independent reviews and warnings.
Look for concrete evidence of their business operations, not just flashy promises. Understand before you commit; if you can’t explain the investment simply to a friend, you probably don’t understand it yourself. Don’t invest in what you don’t fully comprehend. Be wary of pressure tactics; scammers create urgency so you don’t have time to think or verify. Take your time.
Also, proactively Secure Your Digital Life. Use strong, unique passwords for all online accounts, especially financial ones. Enable multi-factor authentication whenever possible. Be cautious of unsolicited messages asking for personal information. And crucially, Know Who You are Really Dealing With. Understand the official ways legitimate companies communicate and operate.
For instance, at Leadway Asset Management, we provide investment management solutions to both individuals and institutions, offering a range of investment products like mutual funds, portfolio management, and advisory services. We help clients grow and sustain their wealth through smart investments not Ponzi schemes or money doubling. We communicate through verified official channels, not random social media groups, and never ask clients to pay investment funds into personal accounts. Always verify through our official channels if you are unsure. If you encounter a potential scam or fall victim, Speak Up and Report it to the authorities like the EFCC and NCC. Your action can help prevent others from being harmed.
The landscape of investment is changing, and while opportunities exist, so do significant risks from fraudsters. By learning to identify these red flags and committing to thorough verification, you build a stronger shield for your hard-earned money. Don’t just hope your investment is safe; take the steps to know it is.
For more information about our investment solutions and how to secure your financial future, please visit www.leadwayassetmangement.com. Alternatively, you can contact Leadway Asset Management at 02-012709144 or 07080627010 for expert financial advice and personalised support.
To learn more about our investment opportunities and tailored portfolio solutions, kindly speak with one of our Leadway Asset Management Experts by calling 07080627010 or email [email protected] for professional advice. You can also request a call back. We are within your reach on our social media outlets @myleadwaywealth on Instagram and X.
