Unlicensed Instagram and TikTok influencers offering financial advice could face jail time, Asic warns

Popularity of finfluencers' providing stock tips and flaunting lavish lifestyles is rising as younger demographic looks to invest

• Follow our Australia news live blog for the latest updates
• Download the free Guardian app; get our morning email briefing

The corporate watchdog has warned Instagram and other social media influencers that they need a licence to give financial advice and face up to five years in jail if they break the law.

In a new information sheet aimed at so-called finfluencers", issued on Monday, the Australian Securities and Investments Commission (Asic) took aim at social media stock-tippers who promise big returns or promise the investments they recommend are as good as putting money in the bank.