ASIC warning about fake green bonds
- ASIC alerts investors to the existence of a number of fake green bonds.
- In Australia, green bonds are not directly available to the general public or retail investors. Any website or entity claiming otherwise is a scam.
- Scammers may pose as well-known financial services companies and invite people to invest in fictitious environmentally friendly green bonds.
ASIC is aware of a number of fake green bonds. Green bonds are bonds used to fund new and existing projects that provide climate change and environmental benefits. They can be purchased by pension funds, fund managers, insurance companies and other wholesale entities, but are not directly available to the public.
What to pay attention to
- Green bond offerings. Like other wholesale product offerings, green bonds may be available for purchase in a registered managed investment fund. However, they are not directly available to the general public or retail investors. Details on how to invest in a managed investment program, or MIS, can be found on Moneysmart.
- People claiming to belong to well-known companies that offer green bonds.
- People or companies that invite you to invest in “environmentally sustainable green bonds” via social media or websites.
- False investment documents and disclosure documents.
Before investing, share the details, including any disclosure documents, with your bank. This will help them verify the legitimacy of the offer before transferring funds.
For more information on investment scams and what to check before investing, visit ASIC’s Moneysmart website. However, keep in mind that these checks do not guarantee the legitimacy of a product or company.
Think you’ve been scammed?
- Stop sending money
- Report it to your financial institution
- Beware of tracking scams promising to help you get your money back
- Report it to your local police
- Report it to ASIC (unfortunately ASIC can’t help you get your money back)
If you need someone to talk to, contact:
- Lifeline on 13 11 14 (24 hours) or their crisis support online chat or
- Beyond Blue on 1300 22 46 36 (24/7) or their web chat
If you are having debt problems, contact:
- the National Debt Helpline on 1800 007 007 (Monday to Friday 9.30am to 4.30pm) or online chat
Originally published by ASIC, Australia’s regulator of businesses, markets and financial services.