Dutch financial regulator fines two 'finfluencers' for promoting illegal asset manager

The Dutch Authority for the Financial Markets (AFM) has fined two so-called 'finfluencers' 800,000 euros for working with the illegal asset manager Grinta Invest. The self-proclaimed investment advisors promoted Grinta Invest and ensured that people joined the illegal party, earning them substantial rewards.

Koen Nieuwenhuijs and Mories van de Venne were issued fines of 256,000 and 544,000 euros, respectively. According to the AFM, they are guilty of complicity in illegal asset management. "This is serious. Investors stepped in partly due to promotion and bringing in these individuals, and Grinta Invest was able to run away with their money," the regulator said.

Finfluencers, a combination of financial and influencer, share content about investing and economic affairs on social media and websites. Most of them have no relevant financial education or work experience but are seen as experts by their followers.

The two fined finfluencers received substantial rewards for their services, including 10 percent of all the money they invested. This was partly used to decide the sum of the fines.

AFM warned in 2021 that Grinta did not have a license and had disappeared with investors' money. The finfluencers did not mean for this to happen, but they aided Grinta by working with them, the AFM added.

In June, the AFM fined another 'tax and financial advisor' 620,000 euros for promoting the illegal asset manager.