Submitted by nsscadmin on
In a past blog post we discussed some of the risks and dangers from getting investment advice from finfluencers. Finfluencers continue to be extremely prevalent online and on social media, and additional guidance to finfluencers and their followers was needed to protect investors. At the end of 2025 a CIRO and the CSA issued a joint notice to provide guidance of the application of securities laws to finfluencers. In this short two-part series, we will look at this guidance to explain what laws apply to finfluencers, how they can protect investors, and how finfluencers can remain compliant.
In Part 1 we’ll look closely at the laws that apply. As with the joint notice we use “securities laws” as a general term to cover requirements which technically may be legislation, regulations or rules .
If you are posting content on social media about investing, whether by video or another format, depending on what you say, you may be engaged in activity that is regulated by securities laws.
This could include:
Offering advice about investments
Promoting or marketing specific investments, firms, advisers, or platforms for payment
Illegal activity
Let’s look at each one and see how it could apply to a finfluencer. When it comes to offering advice about investments, a finfluencer may be required to register with securities regulators. If a finfluencer is giving investment advice for a “business purpose”, then registration may be required. These are some of the things that may constitute a “business purpose”:
- Engaging in activities similar to a registrant,
- Intermediating trading,
- Directly, or indirectly carrying on the activity with repetition,
- Being, or expecting to be compensated for advice, or
- Directly or indirectly contacting anyone to solicit securities transactions.
Many influencers recommend certain investments, platforms, or firms to their followers. As we stated above, this may require them to be registered. However, even if registration is not required for the recommendations they are making, they could be violating securities laws if they are being compensated for their recommendation or promotion.
Under the joint guidance it states: “If a finfluencer receives any form of payment to market the services of a registered dealer or registered adviser they may be entering into a “referral arrangement” subject to requirements set out in securities law.”
If a finfluencer is being paid by the firm they are promoting or they are being paid to recommend a specific security, they must disclose that to their followers. It cannot be as simple as stating: “I may have a financial interest in some of the securities mentioned in this video.” Disclosure must be upfront and direct in the content so the viewer can clearly connect it to the advice or promotion given. If the viewer must wait until the end of the video or click or tap somewhere on the post to reveal the disclosure this is not adequate to meet the disclosure requirement.
If a finfluencer does not require registration or a disclosure for the content they are producing is not necessary, they can still violate securities laws. This could include illegal activity such as misrepresentation or market manipulation.
Securities laws prohibit misrepresentations. This includes making statements that are intentionally or even unintentionally misleading to viewers and could affect the decision of a reasonable investor.
Securities laws also prohibit market manipulation. This can include any activity that can create misleading prices or trading activity of securities that is harmful to investors and the integrity of the markets. These types of activities include things like pump and dumps, ramp and dumps, and other stock manipulation practices.
If you are a finfluencer and you are worried that your online activities may require registration or may be violating securities laws, you should consult with a lawyer familiar with securities laws, contact your local securities regulator and also research the “general advice exemption” to see if it applies to your content. We will look closer at the “general advice exemption” next week in the second part of our series on finfluencers and securities laws.