Eco- investment ads prompt FMA warning

New Zealanders should be wary of a company purporting to be from California and offering high-return, "risk free" investments, says the Financial Markets Authority.

These claims should sound alarm-bells for the public, says FMA director of compliance Elaine Campbell.

The company, Eco Investments Group, regularly advertises in New Zealand newspapers offering guarantees and high-return investments for small amount up front.

The FMA warns anyone dealing with them to exercise extreme caution before obtaining any financial services, or buying a financial products.

The company is not registered or licensed to offer financial services in this country.

Eco Investments Group operates two websites, one claims to be run out Lamont, California and the other in North Carolina.

One said returns are guaranteed in 14 days.

"Our ability of making profit is backed by real investments from the actual market and there is 100 per cent assurance on your investment," it said.

The FMA said it a deal sounds too good to be true it probably is:

"We don't want consumers to lose money unnecessarily when there are well-regulated products and services available from reputable providers in New Zealand," Campbell said.