NSE asks investors to deal with only registered brokers

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Amid instances of unregistered entities targeting gullible investors with false promises of exorbitant returns, the National Stock Exchange (NSE) has asked investors to deal with only Sebi registered stockbrokers, PTI reported on Friday. Under any arrangement or agreement of assured or guaranteed returns, the leading stock exchange has asked investors not to transfer funds or securities to the stockbroker.

NSE advises investors to refrain from investments in securities

The advisory came after many gullible investors became victims to false promises of high and exorbitant returns on their investment schemes or products by some unregistered entities and unregulated internet-based platforms.

NSE has also advised investors to refrain from any investments or dealings arising out of a contract in securities that are not permitted under the rules. It has alerted investors against falling prey to fraudsters sending emails and SMSs luring them to trade in stocks or securities promising huge profit in unregistered schemes and products.

Earlier this week, the two exchanges BSE and NSE asked investors to refrain from investing in unregulated derivative products such as binary options and contracts for differences offered by internet-based trading platforms.