Over the past decades, tens of thousands of people have lost their savings on various kinds of ponzi schemes, starting from Gemini Chit Funds in the early 1970s. This kind of scams have re-surfaced in new forms in later years, such as the high returns paid or promoted on land banks, wines, gold bars, plantations and similar schemes.
Even some life insurance and structured products, sold by regulated financial institutions, have high risks, as the investors often misunderstood the nature of these products and have to suffer large losses in their savings. In many cases, the products are complicated and the person who sold the products did not explain the negative features of these products.
More people have suffered losses from these regulated products, rather than investment scams.
To avoid this loss, it is important that consumers be aware of the risks of the common investment scams and dubious investments that are sold in Singapore.
Profile of the speaker
Mr. Tan Kin Lian started work in 1966 and qualified as an actuary in 1975. He joined NTUC Income in 1977 as the general manager (later re-designated as chief executive officer) and retired after 30 years. NTUC Income was a leading life and general insurance co-operative in Singapore.
He is now the President of the Financial Services Consumer Association (FISCA), a non-profit organization formed to educate the public on financial planning.