ARTICLE · 11 DECEMBER 2024

Protecting Your Investments: Avoiding Risks From Unregistered Online Platforms

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The Securities and Exchange Board of India (SEBI) has recently issued a caution notice to alert investors about the risks of engaging with unregistered online platforms...

IndiaCorporate/Commercial Law

The Securities and Exchange Board of India (SEBI) has recently issued a caution notice to alert investors about the risks of engaging with unregistered online platforms offering unlisted debt securities. These platforms operate outside regulatory oversight, exposing investors to significant risks and depriving them of essential protections. Here's how you can protect yourself and your investments from these unregulated entities.

Table of Contents

Understanding the Risks
How to Protect Yourself
Why Registered Platforms Matter
Conclusion

Understanding the Risks

Unregistered online platforms offering unlisted debt securities may seem like an attractive investment opportunity. However, they operate in violation of the law and lack essential safeguards, including:

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