ISLAMABAD, Dec 9 (APP):The Securities and Exchange Commission of Pakistan (SECP) once again warned the general public to avoid unlicensed online trading platforms, websites, and mobile applications that lure users with exaggerated promises of high returns on investments in stocks or other financial products in local or international markets. These illegal platforms heavily promote themselves on social media with false promises of guaranteed, risk-free profits, using unverified apps and links …
SECP warns public against fraudulent trading platforms impersonating licensed brokers
ISLAMABAD, Dec 9 (APP):The Securities and Exchange Commission of Pakistan (SECP) once again warned the general public to avoid unlicensed online trading platforms, websites, and mobile applications that lure users with exaggerated promises of high returns on investments in stocks or other financial products in local or international markets.
These illegal platforms heavily promote themselves on social media with false promises of guaranteed, risk-free profits, using unverified apps and links that mimic genuine trading platforms, said a release issued here on Tuesday.
They often misuse the identities of licensed securities and commodities brokers, reputable institutions, professionals, finfluencers, senior government officials, and even regulatory bodies.
Disguised as free investment tips, advisory, or investment-guidance providers, they claim to offer expert recommendations to earn guaranteed profits. Such platforms also display fabricated dashboards showing fake balances and profit figures, despite no real trading taking place.
They show fake profits to build trust, allow small early withdrawals, and then push victims to invest more before ultimately blocking access when refunds are requested.
The public is warned that in Pakistan, securities and commodities trading can only be conducted through SECP-licensed securities brokers and futures market brokers.
Lists of authorized brokers are available on the official websites of the SECP, the Pakistan Stock Exchange, and the Pakistan Mercantile Exchange.
The public is strongly advised not to deposit or invest any funds with unlicensed individuals or entities offering unauthorized trading, advisory, or investment services. Investors should always verify the legitimacy of any platform or person by checking SECP’s official resources and the contact details provided on the official websites of licensed securities and commodities brokers.
The public is further cautioned against sharing personal or financial information with unknown sources on social media or messaging applications, as it may lead to financial fraud, identity theft, and serious monetary losses.
