Investor Alerts

Public Awareness Message


PUBLIC AWARENESS MESSAGES FOR INVESTORS

Message 1:

Always deal with a licensed broker registered with SECP

Guidelines to follow

  • You can verify registration by visiting Pakistan Stock Exchange website: https://www.psx.com.pk/
  • License can be verified through Jampunji SMS license verification service; for verification through SMS, send LV to 8181

Message 2:
Trade only through your own account with broker and CDC

Guidelines to follow

  • Carefully complete account-opening forms and obtain copies for your record.
  • Ensure that your contact details such as address, email address and mobile phone are correctly recorded in the account opening form

Message 3:
Never authorize a third party to operate your account, always make payments to broker by crossed cheque and obtain receipts

Message 4:
Always maintain documentary record of your transactions to protect your hard-earned money

Guidelines to follow

  • Do not sign any document without fully understanding its terms and conditions.
  • Carefully complete your account opening forms and obtain copies for your record.
  • Never forgo obtaining all documents of transactions in good faith.
  • Give orders either in writing or on recorded telephone line of the broker
  • Always obtain periodic statements of accounts from broker and Central Depositary Company (CDC), and compare them with your records.
  • Obtain copy of schedule of applicable fee and charges from the broker for your record.

  • You are at risk if you are not receiving “trade confirmation” within 24 hours from your broker of all trades executed in your account.

Message 5:
Never transact on ’tips’, insider news, rumors or media report

Guidelines to follow

  • Always check financial statements of a company prior to making investment.
  • Do not transact, based on media reports, rumors, tips, or promises of guaranteed or high return.
  • Take your time to research the stock before you invest. Never trade on social media tips where the recommendation is claimed to be based on insider or confidential information.
  • Exercise extreme caution regarding social media post/messages that solicit an investment or provide information about a particular share.

Message 6:
Always maintain custody and complete control over your securities

Guidelines to follow

  • Open an account with CDC Investor Account Services (IAS) and subscribe to CDC online services for authorizing all portfolio transfers from your account.
  • Use CDC Direct Settlement Service and settle your trades through IAS Account.

Message 7:
The investors are warned to avoid making an investment decision based on research report issued by a person or entity not notified by the SECP

Guidelines to follow

  • The list of research entities duly notified with SECP is available on SECP’s website.
  • You may verify notified research entities with the Jamapunji SMS service by sending ;REV to 8181

Complaints
In case of any compliant, immediately lodge it with Pakistan Stock Exchange. You may lodge your online complaint with SECP through its website (https://sdms.secp.gov.pk/)

Date: 
Tuesday, July 3, 2018
Copyrights © 2018 SECP. All rights reserved.

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