Introduction
India’s financial landscape is booming—but with that comes a surge in fraudulent schemes. If you’re a new investor or trader, it’s crucial to know how to identify and avoid scams that can drain your hard-earned money.
Common Types of Investment Scams
- Fake Advisory Services: Promise unrealistic returns without SEBI registration.
- Ponzi Schemes: Use money from new investors to pay earlier ones—until the collapse.
- Phishing Scams: Fraudulent links or calls asking for your trading login credentials.
- Fake Stock Tips on Social Media: Pump-and-dump schemes targeting beginners.
Red Flags to Watch For
- Guaranteed returns or "100% sure-shot" tips
- No transparency about business model or SEBI license
- Pressure tactics like "last chance offer"
- No verifiable contact details or address
How to Stay Safe
- Always verify SEBI registration of advisors via SEBI.gov.in
- Do not share OTPs or trading credentials with anyone
- Avoid Telegram/WhatsApp tip groups promising easy profits
- Stick to reputed platforms like Zerodha, Angel One, etc.
Start Safe. Start Smart.
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