FCA charges reality TV stars over ‘finfluencer’ campaign

This content has been selected, created and edited by the Finextra editorial team based upon its relevance and interest to our community.

The FCA alleges that Emmanuel Nwanze and Holly Thompson used an Instagram account (@holly_fxtrends) to provide advice on buying and selling high-risk contracts for difference (CFDs) when they were not authorised to do so.

The pair then paid seven finfluencers to promote the @holly_fxtrends account to their combined Instagram following of 4.5 million.

Thompson, Goodger, fellow Towie star Yazmin Oukhellou, Love Island’s Biggs Chris, Jamie Clayton, Rebecca Gormley and Eva Zapico, and Geordie Shore’s Scott Timlin each face one count of unauthorised communications of financial promotions.

Nwanze also faces a charge of unauthorised communications of financial promotions, as well as one of running an unauthorised investment scheme.

If convicted, they face up to two years in prison.

With social media becoming an increasingly key part of companies’ marketing strategies, in March the FCA reminded financial services firms that they are on the hook for their promotions and need to ensure influencers they work with communicate to their followers in the right way.