According to the Financial Fraud Research Center, Americans lose $50 billion each year to fraud. Further, research funded by the Financial Industry Regulatory Authority Education Foundation (Foundation) discovered that roughly 80 percent of consumers over the age of 40 said they had been solicited for a potentially fraudulent scheme. In order to combat this, the Foundation has developed an interactive game designed to educate investors on how to spot the tactics used by individuals who commit fraud.
“Con ‘Em If You Can”
The game, called “Con ‘Em If You Can,” was developed by the Foundation and the D2D Fund. It is intended to provide an entertaining way for investors to learn about fraudulent tactics. Fraud criminals use persuasion to take advantage of investors. Often, these individuals ask investors about such items as their health, family, and hobbies and use that information to complete their fraudulent acts. Fraudulent schemes may include promising a quick path to wealth or leading investors to believe that there is a limited supply for something.
Con ‘Em If You Can places players in the fictional town of Shady Acres in which they team with Connor, a con artist and the player’s mentor. The game teaches players the persuasion tactics used to perpetrate financial fraud. In the game, players proceed through the town and find vast wealth and strength by using persuasion tactics on a wide variety of targets. Of course, player’s actions do not go unnoticed, as Fiona, the Fraud Fighting Agency’s leading agent, tracks the player’s every move. The game requires players to use critical thinking about the persuasion tactics and how they are used to perpetuate fraud.
FINRA Foundation President Gerri Walsh stated that “the goal is to give investors an interactive tool they can use to help them recognize the red flags of fraud. Con ‘Em If You Can challenges users to really understand the psychology behind scams.”
The game’s website page encourages investors to check to see if the insurance professional they are working with is licensed, which can be accomplished by using FINRA’s BrokerCheck. Additionally, investors are warned to make sure the investment is registered with the SEC or is exempt from registration.
Foundation
The FINRA Education Foundation’s goal is to achieve universal financial literacy. In attempting to achieve this goal, the Foundation supports research and educational projects that are directed towards segments of the investing public. Further, Foundation grants allow for research into the behaviors of investors and the development of practical ways in which investors can avoid mistakes while they prepare for the future. These grants also help non-profit organizations in providing reliable financial and investor education. The Foundation also partners with both public and private non-profit organizations and agencies to further its goals of investor education.
Protecting Investors
Con ‘Em If You Can is only one way in which FINRA provides education and protection for investors. If you are an investor harmed by the practices of a stockbroker, speak with an experienced securities law attorney today. At the Silver Law Group, we have represented numerous investors and look forward to helping you.