NSE Issues Alert on Guaranteed Return Schemes, Flags Fake Trading Advisor Profiles; How to Verify Officially?

The National Stock Exchange of India Limited (NSE) has issued a strong investor advisory warning against schemes promising guaranteed or assured returns in the securities market, stating that such offers are illegal and pose a high risk of financial loss.

The Exchange cautioned that any person or entity claiming fixed profits from stock market investments is acting in violation of regulations, and investors who participate in such schemes do so entirely at their own risk.

NSE Issues Investor Alert Against 'Assured Returns' Scam Linked to Unregistered Traders, Brokers

According to the Exchange, one such case involves an individual identified as "Abhi," who allegedly promotes stock market schemes promising assured returns through multiple social media platforms. The person is reported to be operating using mobile numbers 9982498771 and 9351677581, along with a Facebook profile named "AS Trader," Instagram account "astradex.official," and Telegram channel "@astradexofficial."

NSE Warns Against Unregistered Operator Claiming Guaranteed Market Profits; Check All About Fake Profile

NSE clarified that the individual is neither registered as a Trading Member nor recognized as an Authorised Person of any registered member of the Exchange. Despite this, the person has allegedly been advertising investment plans that claim guaranteed profits from securities trading.

Participation in Such Schemes Carries High Financial Risk

The Exchange emphasized that schemes offering indicative, assured, or guaranteed returns are prohibited by law and are not vetted, approved, or endorsed by NSE. Investors engaging with such operators face significant financial risk and have no regulatory backing if losses occur.

NSE further noted that participation in these illegal offerings is entirely at the investor's own cost and consequences, with no oversight or support from the Exchange.

How To Stay Away From Fake Brokers

As part of the advisory, investors were strongly urged not to share sensitive trading credentials including user IDs, passwords, or account access with any third party. Doing so can lead to unauthorized transactions, misuse of funds and potential loss of securities, particularly when dealing with unregistered entities.

NSE Urges Investors to Verify Brokers Through Official Platform Know/Locate Your Stock Broker

To help investors avoid fraud, NSE highlighted its official "Know/Locate Your Stock Broker" facility available on its website. This tool allows users to verify whether a broker or intermediary is registered and to check details of authorised persons linked to trading members.

The portal also displays designated client bank accounts declared by registered brokers for receiving and transferring investor funds. NSE advised investors to confirm these details before making any financial transactions related to securities trading.

NSE Official Advisories and Alerts Available Online

The Exchange maintains a consolidated list of investor advisories, alerts, and press releases on its website to help the public identify illegal schemes and stay informed about regulatory warnings. Investors are encouraged to consult these official sources before engaging in market activities.

Will Investors Get Protection in Stock Market Fraud Cases or Schemes?

NSE made it clear that investors who participate in prohibited schemes will not be eligible for standard protection mechanisms provided under the Exchange's jurisdiction. In the event of disputes, the following remedies will not be available:

• Investor Protection benefits administered by the Exchange
• Exchange Dispute Resolution Mechanism
• Investor Grievance Redressal Mechanism

This means affected individuals may have limited avenues for recovery if they suffer losses.

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