How to protect your clients from financial fraud

The problem continues to grow in size and sophistication, with the Canadian Anti-Fraud Centre reporting $647 million stolen from Canadians in 2024 alone.

Advisors and their staff can play a direct role in protecting clients by recognizing the warning signs that someone may be caught in a scam.

Red flags

Fraud often succeeds by creating urgency and confusion, pushing people to act before they think. It can show up as suspicious phone calls, fake invoices, or aggressive contractors. 

Scammers may also pressure victims to request funds from their advisor—for large or unexpected withdrawals tied to travel, home repairs, or major purchases. Those situations should always prompt a closer look.

As an advisor or assistant, you’re in a unique position to notice when something’s off. 

Advisor due diligence: questions to ask

When a request seems unusual for the client, pause and ask:

• Did you book this through a verified site?

• Have you worked with this company before?

• Were there other quotes?

• Was this expense planned for?

These questions reinforce your responsibility to protect client interests and meet obligations under know your client and anti-money laundering rules.

Why it matters

Fraud thrives when decisions are rushed. Slowing the process with a question or two can mean the difference between a well-informed choice and a costly mistake. 

These instances also let you confirm whether the withdrawal supports the client’s goals and highlights any fees, penalties, or tax implications.

When you’re concerned

If you’re unsure how to proceed, reach out to your Manulife Wealth branch manager. They can involve fraud and cybersecurity specialists quickly and discreetly.

Help clients protect themselves

Share this resource: Protect yourself from common scams—Manulife Wealth client piece.

Fraud is constant. The question is what can you do to slow it down?