The Securities and Exchange Commission of Pakistan (SECP) has issued a strong alert to the public as fraudulent online trading platforms intensify their operations across the country. These scams are using fake dashboards, fabricated profit records, and impersonated identities to deceive unsuspecting investors into depositing money.
According to SECP’s latest press release, a growing number of unlicensed websites, mobile apps, and social media–based investment schemes are actively promoting claims of guaranteed, risk-free returns in stocks, commodities, and international markets, promises that no legitimate financial institution makes.
How Scammers Operate: Fake Apps, False Profits, and Identity Theft:
SECP highlighted that many of these illegal platforms are designed to closely imitate legitimate trading interfaces, creating an illusion of authenticity. Common tactics include:
• Allowing users to make small initial withdrawals to build trust
• Displaying fake profit charts and fabricated trading activity
• Blocking access to funds once larger deposits are made
• Using stolen identities of licensed brokers, financial institutions, government officials, and market experts
• Pretending to offer free advisory or trading tips before redirecting users to unauthorized links
These tactics have contributed to a surge in online trading scams, particularly targeting first-time investors and inexperienced traders.
Only SECP-Licensed Brokers Are Authorized for Trading:
The regulator emphasized that all securities and commodities trading in Pakistan must be conducted through SECP-licensed brokers only. To help investors verify legitimacy, SECP advised checking the official lists of authorized brokers available at:
• SECP’s official website
• Pakistan Stock Exchange (PSX)
• Pakistan Mercantile Exchange (PMEX)
Any platform operating without a license, whether a website, mobile app, or social media page is illegal and poses serious financial risks.
Public Advisory: Do Not Share Personal or Financial Information:
SECP urged investors to remain vigilant and avoid transferring money to any individual or platform that cannot be verified through official channels. The regulator further warned that sharing personal data, CNIC details, bank information, or mobile numbers with unknown online sources can lead to:
• Identity theft
• Data breaches
• Unauthorized financial transactions
• Significant monetary losses
A Growing Threat to Retail Investors:
With Pakistan seeing rising interest in online trading and digital investment tools, scammers are increasingly exploiting social media platforms, messaging apps, and fake websites to target the public. SECP’s latest warning aims to protect retail investors and encourage safe, regulated participation in the capital markets.