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Purpose

This study aims to build a comprehensive framework for investment fraud prevention by bridging existing gaps in research through an integrated approach that synthesizes regulatory measures and educational interventions.

Design/methodology/approach

This study used a multi-site qualitative research design to explore the perspectives of key stakeholders involved in preventing investment scams. Data were collected through semi-structured interviews with officers from the Royal Malaysia Police and representatives of a civil society organization. Thematic analysis, supported by ATLAS.ti software, was used to identify core themes and patterns in the qualitative data.

Findings

This study reveals six essential components for effective investment scam prevention: a robust regulatory framework, accessible avoidance resources, comprehensive education and awareness initiatives, informed judgment, credibility assessment and cultivated skepticism. These elements highlight the need for a multi-dimensional prevention strategy that cohesively combines individual-level vigilance with broader system-level (environmental) interventions.

Research limitations/implications

The findings of this study are limited in generalizability because of the qualitative nature and small sample size of the research.

Practical implications

Enforcement agencies and financial institutions should enhance public awareness through diverse communication channels and promote initiatives that empower individuals to detect and avoid investment scams.

Social implications

By protecting individuals from financial loss and emotional distress, the integrated framework can strengthen public trust in financial systems and contribute to societal well-being through improved financial literacy and proactive scam prevention.

Originality/value

This study proposes a novel investment scam prevention framework that combines regulatory and educational perspectives, an area often overlooked in previous research.

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