Influence or illusion? One in four feel under pressure to act quickly on unsolicited investment advice from social media

Social media ‘finfluencers’ play an important role in building confidence by helping to make investing more relatable and accessible. However, new research from Barclays reveals how the aspirational lifestyle projected by certain content creators can persuade their audience that they can achieve the same financial success – even when they know it might be too good to be true.

A quarter (24 per cent) of investors feel under pressure to act quickly on unsolicited advice from social media stars, often mistaking displays of wealth and success for credibility. Investors also feel that influencers use emotions such as greed and FOMO (both 35 per cent) to encourage viewers to act on their recommendations.

This is particularly true among Gen Z investors (18-27 year-olds), just under half (48 per cent) of whom say they feel pressure to act quickly on social media advice, double the national average (24 per cent), and almost three in five (58 per cent) admit that seeing that an influencer who appears to have made a lot of money makes them more likely to follow their recommendations.

Of those turning to social media for financial guidance, over half (53 per cent) put their confidence and money at risk by not always carrying out checks to verify the content’s reliability. However, this behaviour can have adverse financial consequences. Among those who have acted on ‘finfluencer’ investment advice (33 per cent), more than two-fifths (42 per cent) admit to losing money as a result.

This is despite more than half (56 per cent) of investors believing they can spot warning signs that individual ‘finfluencers’ may not be trustworthy. The most common ‘red flags’ cited by investors are promises of “get rich quick” returns (44 per cent), promotion of cryptocurrencies, penny stocks, or “secret” opportunities (33 per cent), and selling courses in how to follow in their footsteps (24 per cent).

Similarly, over three quarters (77 per cent) recognise that taking investment advice from social media puts them at risk of scams. Data from Barclays¹ reveals that claim values from investment scams have doubled in just two years – the typical (median) investment scam claim value has reached £3,400 in 2025, up from £1,600 in 2023.

To help them distinguish between fact and fiction, six in ten investors (61 per cent) say they would welcome the introduction of a verification system for ‘finfluencers’, to help them identify genuine accounts and guidance.

Clare Francis, Director of Savings and Investments at Barclays Smart Investor, said: “The popularity of investment content on social media continues to grow – and combined with ongoing cost-of-living pressures, high interest rates and market volatility – consumers are increasingly tempted by quick financial fixes.

“These platforms play a positive role in building confidence by making investment content more accessible and relatable. There are many great finfluencers who provide good, sensible guidance, which if followed, could help improve people’s financial situations. However, this is not always the case, and the research shows that many people are putting themselves at risk in pursuit of their aspirational lifestyles – which are often fictional, not reality.

“It is vital that investors are equipped with clear guidance and practical tools to help them separate trustworthy information from content designed to manipulate emotions, so they can make safer, more informed financial decisions.”
To address these risks, Barclays has launched a new advert to encourage consumers to seek reliable sources of financial information, such as Barclays LifeSkills. Alongside this, the Bank continues to call for changes to investment regulation and consumer support, reiterating its public policy recommendations to help close the UK’s investment gap, and to empower more savers to invest with confidence.

Clare Francis, Director of Savings and Investments at Barclays Smart Investor, shares her top tips on what to look out for when browsing investment guidance on social media:

1. Do your own research before parting with any money: Always sense check any investment information shared on social media to make sure that the source can be trusted. For example, click on their bio to see if the finfluencer has a background in finance or experience in the investment field. If you struggle to reassure yourself that they know what they are talking about, be cautious about acting on their guidance. 
2. Make sure it’s right for your circumstances and goals: Investment information on social media isn’t tailored to your personal circumstances, even if you typically resonate with the influencer in question. Have a look at whether the investments they’re talking about are sold on any regulated investment platforms – steer clear if they’re not and even if they are, do some additional research to make sure you’re comfortable that it’s appropriate for your needs.        
3. Stay scam smart: Scammers often target investors on social media so it’s really important to make sure any investment opportunity is genuine. Look for online reviews and use the FCA’sScamSmart Investment Checker to make sure the firm promoting the investment isn’t on their warning list. You can also check the Financial Services Register to make sure that they are authorised by the FCA and find registered details you can use to contact them in a legitimate way.