SEC issues cautionary notice to public on investing in offshore companies

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Oct 14, 2019 (LBO) – Sri Lanka’s Securities and Exchange Commission says that it has become aware of a growing number of unsolicited phone calls from persons claiming to be agents of international stock broker firms, offering to facilitate investment in shares of companies traded on offshore jurisdictions with a promise of guaranteed high returns.

As the apex regulator of the capital market in Sri Lanka, the SEC is legally empowered only to issue licences to stock broker firms to operate in Sri Lanka, issuing a cautionary notice to the public, the Commission emphasised.

The SEC further stated that it does not grant licences to agents to operate in other jurisdictions or act as agents of international stock broker firms.

The list of stock broker firms licensed by the SEC is available on their website or the website of the Colombo Stock Exchange.