The Securities and Exchange Commission of Sri Lanka (SEC) has expressed concern over a growing trend of investment schemes promoting offshore market opportunities.
The regulator cautioned the public about an increase in unsolicited calls from individuals claiming to represent international stockbroker firms. These individuals are offering to facilitate investments in shares of companies traded in offshore jurisdictions, with promises of guaranteed high returns.
“The SEC does not regulate or grant licenses to anyone to operate in other jurisdictions or to act as agents of international stockbroker firms,” the SEC stated in a public notice.
To verify the legitimacy of stockbroker firms, the SEC advises investors to refer to the official list of licensed stockbrokers available on the SEC’s website or the Colombo Stock Exchange website.
Additionally, the Central Bank issued a warning regarding similar concerns yesterday.
