Fraudsters pose as JSE affiliates

JOHANNESBURG SOUTH – Customer complaints and queries concerning marketing methods and claims by companies and agents on software programs needed in order to invest on JSE led to an awareness campaign warning on the latest tactic by fraudsters.

This claim has been revealed as untrue and a warning has been sent out to members of the public who may have been approached by these fraudsters posing as companies and agents.

Director Marketing and Corporate Affairs at the JSE, Zeona Jacobs, said: “As part of the JSE’s continued commitment to encouraging investment on the JSE by all South Africans, there are several initiatives aimed at encouraging people to invest on the JSE. These include investment seminars and webinars, basic education on investments and the JSE Investment Challenge, aimed at high school and university students. Fostering financial education and innovation enhances individual wealth accumulation, more financial freedom and empowerment for the benefit for all.”

Jacobs added that as part of a response in addressing an upsurge in customer complaints and enquiries regarding the marketing methods and claims made by companies/agents that these software programs are required in order to invest on the Johannesburg Stock Exchange (“JSE”), the JSE would like to remind the public that:

* To buy shares and trade on the JSE, you have to open an account with an authorised stockbroker. The JSE has a selection of stockbrokers that have been authorised by the JSE to trade in one or more of the JSE markets, and have been admitted as a JSE member after fulfilling stringent requirements. A list of JSE authorised stockbrokers can be found on the JSE website www.jse.co.za on the Individual Investor page.

* The JSE does not endorse and/or authorise any person and/or company selling stock monitoring or share-trading software for and on behalf of the JSE. Any statements made which indicate that stock monitoring or share-trading software is required in order to trade on the JSE or trade directly on the JSE is incorrect. Trading on JSE markets is only accessible by going via a stockbroker.

* In terms of the Financial Markets Act it is an offence for anyone who is not licensed as an exchange to claim that they are an exchange or behave in a manner or use a name or description which suggests, signifies or implies that there is some connection between that person and a licensed exchange, where none exists. Companies selling stock monitoring or share-trading software may not suggest or imply a connection to the JSE where none exists. If you feel that any marketing methods made by stock monitoring or share-trading software companies containing the above claims falls within this category, we suggest that you advise the JSE and report this to the Registrar of Securities Services, the supervisory authority established in terms of the Financial Markets Act via the Financial Services Board (FSB) call centre on 0800 20 20 87 or via the FSB website at www.fsb.co.za

* If you are interested in trading on the JSE, we suggest that you contact the JSE Retail Development Division, that will provide guidance as to how to invest on the JSE.