Investment is the act of planting assets or funds at a certain time with the expectation of obtaining profits in the future. In the past, we knew investment in the form of gold, land, and property. However, currently, investment has become easier to do, even accessible through mobile devices. This convenience allows individuals to invest without having to accumulate large capital as required in past investments. Although investment is becoming more accessible, there is also the risk of fraud in the form of Ponzi investment schemes. The Investment Alert Task Force (Satgas Waspada Investasi) noted that losses due to Ponzi investment schemes have reached tens of trillions of rupiah. This shows the importance of being cautious in choosing the type of investment and investment platform, as well as the need for awareness of potential risks. The total loss does not yet take into account cases related to illegal financial technology (fintech) lending or virtual currency exchanges (cryptocurrency).
Based on data from the Financial Services Authority (OJK), the amount of losses due to Ponzi investment schemes reached Rp139.67 trillion for the period 2017-2023. Meanwhile, OJK together with 15 other institutions has blocked 1,218 entities that carried out investment management actions until early 2024. This action proves that there are still many entities roaming in the community and have not been detected or have not claimed victims. Seeing this, the Indonesia Stock Exchange (BEI) provides ways to avoid becoming a victim of Ponzi investment schemes. The Head of the North Sumatra Indonesia Stock Exchange (BEI), Pintor Nasution, mentioned that there are five anticipations that can be easily done. Here are five ways to avoid becoming a victim of Ponzi investment schemes:
1. Check the licensing of the entity offering investment programs or products
Anyone can easily find out whether an entity is licensed or not by regularly checking the OJK website. In addition, we can also contact the OJK hotline 1500655 or send an email to waspadainvestasi.ojk.go.id.
"Meanwhile, if we get an offer for futures or commodity investment, the company should be registered with BAPPEBTI (Commodity Futures Trading Regulatory Agency). If the company's name cannot be found, then there is no guarantee that the investment is legal," said Pintor.
2. Be wary of tempting investment returns
Be wary if someone or a company offers an investment that promises excessively large and unreasonable returns. It's best to ask first how the business flow can generate certain profit figures.
"A large return may sound tempting, but it could be a Ponzi scheme, which is a business scheme that generates profits not from investment products, but from funds from others who enter later. This is where people need to exercise self-control and not be tempted, which ultimately leads to being trapped in a Ponzi investment scheme."
3. Ask how the company runs its investment
Don't rush into agreeing to invest when a company makes an offer. Instead, try asking how the company's system works in running its investment. If they seem secretive and unwilling to be transparent, it's best to avoid investing in that company.
4. No need to feel left behind by trends
Currently, discussions about investment are very common, especially among young people. Some people then feel afraid of missing out or Fear of Missing Out (FOMO). It's as if those who haven't invested yet will be considered financially illiterate and not thinking about the future.
"In fact, investing is not based on trends or other people's opinions, but it also requires personal readiness, in the form of sufficient funds and knowledge," said Pintor.
5. Must have clear financial goals and appropriate investment instruments
Financial goals and investment instruments must be clear and match the risk profile. Therefore, before deciding to invest, make sure you have developed a measurable investment plan. Also, don't forget to do research regularly, ask people who have invested before, and enrich your financial literacy.
The investment time frame will determine the product choice. Then, make sure that every investor has an emergency savings fund before allocating funds for investment. That way, if there is a risk of declining investment returns, it will not interfere with living expenses. Certainly, long-term disciplined investing will reduce investment risks.