NSE has cautioned investors against misleading return schemes and unauthorized account operations.

NSE has cautioned investors against misleading return schemes and unauthorized account operations.
Warning for Investors

Investors in the Indian stock market are being advised to stay alert to offers that claim fixed or guaranteed returns. This warning has been issued in reference to an individual seeking investors’ trading login details in exchange for investment advice and account operation services.

Highlights

  • NSE has issued a warning to investors about the risks associated with misleading return schemes and unauthorized account operations.
  • The exchange clarified that investors participating in such schemes will not receive approval or support from the exchange.
  • NSE stated that in such disputes, investors will not receive the protection benefits available under the exchange’s jurisdiction.

This article was translated from the original. Read the original version by our correspondent here.

Risks and Limits of Protection for Investors

NSE India has stated that participation in such restricted schemes is entirely at the investor’s own risk, cost, and consequences, as these schemes are neither approved nor supported by the exchange.

The exchange has also warned that in the event of any dispute related to such schemes, investors will not be eligible for investor protection benefits available under the exchange’s jurisdiction. This advisory highlights the importance of compliance, registration verification, and safeguarding personal trading information for market participants.

In our previous report, we discussed NSE’s public warning regarding cases where platforms like ‘Raj Trader’ and ‘INTRADAY NIFTY CALLS’ solicited login IDs/passwords from investors by promising guaranteed returns and account handling services. The article explained that such offers are legally prohibited, and investors were advised to verify registration (Know/Locate your Stock Broker) and not to share trading credentials.

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