Latest news with #MomentumGroup
IOL News
5 days ago
- Business
- IOL News
AI fuels surge in sophisticated cybercrime
Cybercrime poses an unprecedented threat to businesses. Image: File picture. Artificial intelligence is ushering in a new era of cybercrime, with AI-powered scams increasingly targeting individuals and financial systems. In recent months, experts have reported a surge in sophisticated fraud schemes that use AI to mimic real people with startling accuracy, raising concerns about security, privacy, and the erosion of public trust in digital communications. Sameer Kumandan, Managing Director of SearchWorks, says one of the key strategies being used is the creation of highly convincing fake images, videos, and audio—commonly referred to as 'deepfakes.' He explains that these are often used to impersonate real individuals and spread misleading or false information. More concerning is that, while early deepfakes were often unconvincing, recent advancements have made them increasingly difficult to detect, making it easier for bad actors to mislead, manipulate, and defraud. Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ Ad Loading Kumandan recounts a recent incident where criminals impersonated Risto Ketola, Momentum Group's Financial Director, on WhatsApp. They used Ketola's LinkedIn profile photo to create a closed WhatsApp group, pretending to be him. Although this particular case did not involve AI-generated imagery or video, it highlighted the risks associated with the misuse of a person's likeness for malicious purposes. 'Deepfake-driven cybercrime has escalated to the point where the South African Banking Risk Information Centre (SABRIC) recently issued a strong warning about the growing threat of AI-enabled fraud,' said Kumandan. 'SABRIC specifically highlighted the use of deepfakes and voice cloning to impersonate bank officials, promote fake investment schemes, and fabricate endorsements from well-known public figures. This emerging threat not only compromises the integrity of the financial sector but also erodes customer trust and confidence in digital interactions.' He added that fraudsters are increasingly using AI to bypass security measures such as automated onboarding systems and Know Your Customer (KYC) checks, allowing them to create accounts and access services under false identities. 'From a business email compromise (BEC) standpoint, attackers are now incorporating deepfake audio and video of senior executives into phishing attempts, convincing employees to release funds or disclose sensitive information. Social engineering attacks have also become more sophisticated, with AI being used to analyse and replicate communication styles based on publicly available information, making scams appear more authentic. 'In some cases, AI is used to generate entirely synthetic identities, combining real and fabricated data to create fake personas capable of applying for credit, laundering money, or committing large-scale financial fraud.' Kumandan warns that many legacy fraud detection tools aren't equipped to identify fake audio or video, making deepfake scams even harder to detect. 'In response, financial institutions must urgently evolve their fraud prevention strategies to stay ahead of these sophisticated threats. Regulators expect institutions to keep up with the latest cybercrime trends, and failing to detect deepfake-based fraud can result in compliance failures, fines, and legal action. 'Furthermore, financial institutions must consider the broader impact of these risks on customer trust. As awareness of deepfake threats grows, it is understandable that clients may begin to question the authenticity of video calls, digital signatures, and other remote interactions. This erosion of confidence has the potential to hinder digital transformation initiatives and may even prompt some customers to disengage from digital platforms altogether.' Kumandan says that through VOCA, an application designed to streamline compliance processes for accountable institutions, SearchWorks provides financial institutions with verified data and intelligent processes to reduce fraud exposure and ensure regulatory compliance. 'By leveraging real-time data and automated checks, VOCA helps organisations verify the identity and legitimacy of the individuals and entities they engage with. It flags discrepancies, detects suspicious behaviour, and highlights incomplete or false information, supporting informed decision-making at every stage.' He added that through continuous monitoring of client behaviour and borrower risk profiles, VOCA enables early identification of potential threats, helping institutions close compliance gaps, avoid financial penalties, and stay ahead of emerging fraud risks.
TimesLIVE
6 days ago
- Business
- TimesLIVE
Fake images, videos and audio are eroding trust in digital interactions
AI-powered scams are rapidly reshaping the fraud landscape, exposing new vulnerabilities within financial systems and eroding public trust in digital communication. In recent months there has been a notable increase in cyberattacks that exploit AI to deceive individuals, often by imitating real people with alarming accuracy. A key strategy involves leveraging AI to produce highly convincing fake images, videos and audio, commonly referred to as deepfakes. They are used to impersonate real individuals and spread misleading or false information. While early examples of deepfakes were often unconvincing, recent advancements have made them increasingly difficult to detect, making it easier for bad actors to mislead, manipulate and defraud. Momentum Group's financial director Risto Ketola recently disclosed he had been impersonated on WhatsApp. Cybercriminals used his LinkedIn profile photo to create a closed WhatsApp group, falsely presenting themselves as Ketola. While the incident did not involve AI-generated imagery or video, it highlights the significant harm that can result when an individual's likeness is misused for malicious purposes.
IOL News
23-06-2025
- Business
- IOL News
How South African youth can avoid job scams and thrive in entrepreneurship
Momentum Group, a prominent player in South Africa's financial services sector, has alerted the public to an alarming increase in scams leveraging the power of 'deepfake' technology. Discover essential tips for South African youth to protect themselves from rising job scams and enhance their entrepreneurial journey. Learn how to identify fraudulent opportunities and safeguard your ambitions. Image: File photo. In a digital-first age, South African youth are both empowered and vulnerable, especially as they build livelihoods online. With ambition and connectivity so intertwined, the risk is more than personal; it's become systemic. Which means, it's time for our youth to sharpen up. Financial scams targeting the youth are on the rise. From fake job offers and bogus training schemes to fraudulent charity gigs that ask for 'registration fees,' the danger is real. What makes these scams particularly cruel is that they not only steal money, but also time, trust, and sometimes a person's self-belief. Despite the challenges, young people are hopeful and eager to better their lives, which makes them vulnerable to scams disguised as opportunities. We're seeing more and more cases where young people are being targeted through social media, WhatsApp job groups, and even fake recruitment portals. Common scams to watch out for: 1. Fake job offers with upfront fees You apply for a job online and receive a congratulatory message confirming that you have been selected. But first, before accepting the offer, you're asked to pay a 'registration,' 'training,' or 'uniform' fee. Once you pay, the job disappears. Tip: no legitimate employer will ask for money before you've started working. If they do, it's likely a scam. 2. 'Too good to be true' Work-from-home gigs You're offered big money for simple tasks like typing, data entry, or social media management. But before starting, you're required to buy a 'starter kit' or software. After paying, the 'employer' vanishes. Tip: Always research the company. Look for reviews, and check if it's registered with the Companies and Intellectual Property Commission (CIPC). Video Player is loading. Play Video Play Unmute Current Time 0:00 / Duration -:- Loaded : 0% Stream Type LIVE Seek to live, currently behind live LIVE Remaining Time - 0:00 This is a modal window. Beginning of dialog window. Escape will cancel and close the window. Text Color White Black Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Background Color Black White Red Green Blue Yellow Magenta Cyan Transparency Opaque Semi-Transparent Transparent Window Color Black White Red Green Blue Yellow Magenta Cyan Transparency Transparent Semi-Transparent Opaque Font Size 50% 75% 100% 125% 150% 175% 200% 300% 400% Text Edge Style None Raised Depressed Uniform Dropshadow Font Family Proportional Sans-Serif Monospace Sans-Serif Proportional Serif Monospace Serif Casual Script Small Caps Reset restore all settings to the default values Done Close Modal Dialog End of dialog window. Advertisement Next Stay Close ✕ 3. Fake entrepreneurship/ investment opportunities Scammers promise fast profits from 'business mentorship,' 'crypto investments', or 'import-export schemes' but... only if you pay to join their programme. Tip: Real business mentors don't demand fees upfront over WhatsApp or Instagram. Ask for proof of their credentials and verified success stories. 4. Personal loan scams Scammers promise guaranteed loan approval, often with no credit checks, to lure in individuals needing quick cash. But before releasing the loan, they ask for an upfront payment disguised as 'admin fees' or 'origination fees'. Once paid, the scammer vanishes, and the loan never appears. Tip: Always verify the loan provider with the National Credit Regulator (NCR), and they must be registered and have a valid National Credit Regulator Credit Provider number. Make sure the registration is active and not expired, and never pay any upfront fees before receiving the loan. Scammers use urgency to make you act before you think. If someone's pressuring you to pay today or miss out, that's a clear red flag. Practical Tips to Stay Safe Google is your friend: search the name of the company + 'scam' or 'complaints' Speak up: ask family, teachers, mentors, or even online forums before you commit Verify job ads: use reputable job boards and check company profiles on LinkedIn Protect your documents: don't send ID copies, bank info, or selfies to unverified people Report scams: don't let others fall into the same trap. Use platforms like the South African Fraud Prevention Service (SAFPS) or report it to your local SAPS Youth Month is about recognising the power of young people in South Africa. But it's also a reminder that youth are often targeted precisely because of their potential. By staying informed and cautious, you can protect yourself and your peers from exploitation. We want to empower youth with knowledge so they can spot the warning signs early. Don't let anyone take advantage of your ambition or be dejected at the vastness surrounding this type of criminal activity. Real opportunities do exist and uplift – they just don't demand monetary exchange prior to signing on the proverbial dotted line. * Nyati is a consumer financial education specialist at Momentum Group. PERSONAL FINANCE
Yahoo
11-06-2025
- Business
- Yahoo
Those who invested in Momentum Group (JSE:MTM) three years ago are up 188%
It might seem bad, but the worst that can happen when you buy a stock (without leverage) is that its share price goes to zero. But if you buy shares in a really great company, you can more than double your money. For example, the Momentum Group Limited (JSE:MTM) share price has soared 140% in the last three years. How nice for those who held the stock! On top of that, the share price is up 27% in about a quarter. But this could be related to the strong market, which is up 11% in the last three months. Let's take a look at the underlying fundamentals over the longer term, and see if they've been consistent with shareholders returns. Trump has pledged to "unleash" American oil and gas and these 15 US stocks have developments that are poised to benefit. While the efficient markets hypothesis continues to be taught by some, it has been proven that markets are over-reactive dynamic systems, and investors are not always rational. One imperfect but simple way to consider how the market perception of a company has shifted is to compare the change in the earnings per share (EPS) with the share price movement. Momentum Group was able to grow its EPS at 181% per year over three years, sending the share price higher. This EPS growth is higher than the 34% average annual increase in the share price. So one could reasonably conclude that the market has cooled on the stock. This cautious sentiment is reflected in its (fairly low) P/E ratio of 9.66. The graphic below depicts how EPS has changed over time (unveil the exact values by clicking on the image). It is of course excellent to see how Momentum Group has grown profits over the years, but the future is more important for shareholders. Take a more thorough look at Momentum Group's financial health with this free report on its balance sheet. When looking at investment returns, it is important to consider the difference between total shareholder return (TSR) and share price return. Whereas the share price return only reflects the change in the share price, the TSR includes the value of dividends (assuming they were reinvested) and the benefit of any discounted capital raising or spin-off. So for companies that pay a generous dividend, the TSR is often a lot higher than the share price return. As it happens, Momentum Group's TSR for the last 3 years was 188%, which exceeds the share price return mentioned earlier. The dividends paid by the company have thusly boosted the total shareholder return. It's nice to see that Momentum Group shareholders have received a total shareholder return of 77% over the last year. And that does include the dividend. That gain is better than the annual TSR over five years, which is 20%. Therefore it seems like sentiment around the company has been positive lately. Someone with an optimistic perspective could view the recent improvement in TSR as indicating that the business itself is getting better with time. It's always interesting to track share price performance over the longer term. But to understand Momentum Group better, we need to consider many other factors. Consider for instance, the ever-present spectre of investment risk. We've identified 1 warning sign with Momentum Group , and understanding them should be part of your investment process. Of course, you might find a fantastic investment by looking elsewhere. So take a peek at this free list of companies we expect will grow earnings. Please note, the market returns quoted in this article reflect the market weighted average returns of stocks that currently trade on South African exchanges. Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team (at) article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
IOL News
02-06-2025
- Business
- IOL News
Momentum Group's third-quarter performance showcases resilience in challenging times
Momentum Group's earnings run rate in the third quarter was in line with the first two quarters, excluding the substantial positive market-related variances of the first six months Image: Supplied Momentum Group's positive financial trajectory at the half-year stage continued into the third quarter, the insurance, investment, and healthcare financial services group said in an operating update on Monday. 'The group delivered solid operational performance despite escalating geopolitical tensions and subdued economic growth, with normalised headline earnings (NHE) of R4.8 billion for the nine months ended 31 March 2025,' its directors said. Recurring premiums increased by 5% in the quarter to R3.1bn. Single premiums fell by 7% to R43.66bn. New business present value premiums fell by 4% to R58.04bn. Total expenses were up by 5%. The number of health members under administration increased by 4%. 'The earnings run rate in the third quarter was in line with the first two quarters, excluding the substantial positive market-related variances of the first six months (of approximately R500 million),' the directors said. They said the results were underpinned by 'disciplined execution across the business units and a continued focus on profitable growth.' The decline in the third-quarter new business present value premiums experience was in line with the trend in the first two quarters. The value of new business (VNB) continued to grow in the third quarter, albeit slower than in the first half. VNB was supported by a shift in new business mix toward more profitable lines and improved performance from Metropolitan Life. Credit spreads on annuity portfolios contributed positively to earnings. Stronger equity market performance supported higher fee income from investment contracts. Direct expenses increased marginally above inflation, largely due to the long-term incentive plan awards on the back of the group's strong share price gains. Other contributing factors on expenses included increased spending to meet compliance requirements from regulatory changes, and IT investment to implement the two-pot retirement system reforms. Benefits from a group-wide performance optimisation project were expected to become more pronounced in the 2026 financial year. To date, R116 million in savings was expected to be realised over the next year. In Momentum Metropolitan Life, the main life insurance entity in the group, the solvency cover ratio (SCR) decreased from 2.15 times at December 31, 2024, to 2.02 times at March 31, with the decrease reflecting strong operational earnings, offset by dividend payments to the group and an increase in the SCR. Momentum Retail's earnings benefited from a solid performance from the protection business and higher investment income on required capital. Favourable market variances contributed positively to earnings. Although still positive, mortality and morbidity experience variances were lower than in the prior period. Momentum Retail's new business premium value improved by 2%. Metropolitan Life's earnings were primarily driven by the improvement in new business profitability, notably on the protection business, following product commerciality and distribution optimisation initiatives. Earnings continued to benefit from positive persistency experience variance. Momentum Corporate's new business premium values fell by 29% to R8.2bn, mainly due to lower FundsAtWork single and recurring premium new business and the impact of sizable single premium large flows in the prior period. 'We are pleased with the performance the Momentum Group achieved over the period. We remain focused on delivering on the Impact strategy, with continued progress on strategic initiatives gaining momentum,' directors said. BUSINESS REPORT Visit:
