Unlicensed stock gurus on SC radar

Minority Shareholders Watch Group chief executive officer Devanesan Evanson (pic) said the issuance of the guidance note is timely, considering that there has been a proliferation of activity on the Internet which may cross the line between investment guidance (an unlicensed activity) and the regulated activity of investment advice.

PETALING JAYA: A quick check on social media platforms and blogs would reveal that unlicensed “investment gurus” have mushroomed, especially after the stock market boomed earlier this year.

By offering stock ideas and “buy” calls, these unlicensed investment gurus are taking advantage of the new and inexperienced retail investors who have flooded the market in search of higher profits as fixed deposit returns decline due to lower interest rates.