“Sebi research have constantly proven that retail buyers buying and selling in derivatives find yourself going through losses, actually because they don’t totally perceive the danger in these merchandise,” Sebi chairman Tuhin Kanta Pandey mentioned on the World Investor Week 2025 occasion organised by NSE.
“People ought to look at whether or not they search to construct long-term wealth or wish to have interaction in speculative, short-term buying and selling…Derivatives are meant for hedging and risk management, not for fast beneficial properties. Retail buyers ought to subsequently assess their threat capability, learn the way these contracts work, and keep away from speculative trades,” he added.
Elevated entry, simplified on-boarding, and wider consciousness has led to the variety of distinctive buyers within the securities market ecosystem rising to 13.4 crore, Sebi information reveals.
A latest survey commissioned by Sebi reveals that 63% of Indian households (21.3 crore households) are conscious of a minimum of one securities market product. Nonetheless, the precise participation stands at 9.5% of households (3.2 crore households).
The Sebi chief highlighted that solely 36% of buyers possess excessive or reasonable data of the securities market. This information hole is a vulnerability that exposes buyers to dangers and makes them vulnerable to fraud, he mentioned.Pandey mentioned that whereas Sebi can present the instruments, the last word defend for buyers is to be good by means of accountable investing.“A wise investor depends on credible, verified sources, and ignores unsolicited affords on social media,” he mentioned.
Within the final 18 months, over 1 lakh illegal contents have been faraway from varied social media platforms after Sebi raised considerations about deceptive content material with corporations like Google and Meta.
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