FSC Warns Investors Against Handing Passbooks and Seals to Salespersons to Avoid Disputes Involving Illegal Proxy Trading

Reported 11 months ago

On June 11, 2024, at 10:13 AM, the Financial Supervisory Commission (FSC) advised investors not to hand over passbooks, funds, seals, etc., to salespersons to prevent disputes arising from illegal proxy trading. The FSC highlighted the risks of investors giving out trade account passbooks, seals, electronic trading certificates, account passwords, or investment funds to salespersons, potentially leading to unauthorized trading for profit guarantees or concealing losses, causing disputes between investors and salespersons. To prevent such incidents, the FSC will take disciplinary actions against securities firms and salespersons found violating rules by storing clients' passbooks, seals, electronic trading certificates, account passwords, or investment funds. Investors are urged to understand that salespersons should not keep their passbooks and seals and to refrain from entrusting investment funds for stock trading, to protect their own interests.

Source: YAHOO

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