The Securities and Exchange Commission of Sri Lanka (SEC) has observed that unsolicited messages purporting to be stock tips/ investment advice with respect to listed companies are being circulated through short message service (SMS), websites and social media platforms such as WhatsApp, Facebook, Twitter and YouTube. The SEC has noted that these messages have been directed towards investors and the public, recommending to deal in particular stocks of listed companies, indicating target prices and providing misleading/false information relating to listed companies and inducing them to deal in such stocks.
The SEC has taken serious note of these developments and points out that the circulation of such misleading information is not only detrimental to the interests of the investors but also adversely affects the integrity of the securities market. Some of these messages would tantamount to market manipulation.
All investors and the public are cautioned not to rely on such unsolicited stock tips/investment advice circulated through bulk SMS, websites and social media platforms.