The Pakistan Stock Exchange Limited (PSX) has issued a critical investor alert in response to a rising trend of fraudulent activities being promoted through social media platforms and WhatsApp groups.

The scammers may misuse the name of the registered professionals or claim to be affiliated with a legitimate company to lure the investing public to participate in unauthorized investment schemes.

These scams, masquerading as legitimate investment advice and training courses, are targeting unsuspecting investors by exploiting the names of registered professionals or falsely claiming affiliations with reputable companies.

The PSX warns that these fraudulent groups often demand membership fees, promising exclusive access to insider tips and investment training. Key red flags include requests for money transfers to private or third-party accounts, promises of exorbitant profits, and claims of minimal or no risk.

To protect themselves, investors are urged to remain vigilant against unsolicited investment advice received via messages, emails, and social media platforms. The PSX advises conducting thorough background checks and verifying the credentials of any investment professional or entity through official PSX and SECP websites. Investors should avoid sharing personal or financial information with unverified sources and be cautious of any investment opportunity that seems too good to be true.

The PSX emphasizes the importance of recognizing signs of fraud, such as guaranteed returns or pressure to invest quickly. Investors are encouraged to conduct their own research and due diligence before committing to any investment.

To stay informed and make prudent investment decisions, the PSX recommends regularly visiting the official websites of SECP, PSX, CDC, and NCCPL. Any suspicious activity should be reported immediately to the PSX through their official communication channels.