As the stock market has crossed 50,000 mark during intraday trade recently, Chairman Securities and Exchange Commission of Pakistan (SECP) Zafar Hijazi became concerned about investors’ protection and warned them not to follow the advice of the manipulators.
While talking to the media, Mr Hijazi said, SECP is not excited to see the market touch 50,000 points and is concerned about investors’ protection.
“Usually people rush towards the market with investments after any such mark is achieved but this leads to failure as they end up with wrong people,” the chairman said.
He said there was no chance of any market crash as SECP’s Systematic Risk Department is active in market surveillance and monitoring.
However, some individuals could face losses due to misguidance, he added.
The SECP has also issued a set of guidelines for individual investors, urging them not to trust brokers blindly and trade through their own CDC account. The SECP also urged investors to follow the record of their investments and go for registered brokers only.
“There is an emerging trend that some people follow the advice on social media but this could be misleading. After losing money, they all start blaming the SECP for failing to recover their investment,” Mr Hijazi said.
“It is the result of our efforts for the last two years that Mutual Funds are strong and stable to support market growth,” he said, “Previously, foreign buyers used to guide the market but now, despite a selling spree, the market is growing.” He added.