Over the past 18 months, more than 100,000 unlawful contents have been removed from social media platforms, according to SEBI Chairman Tuhin Kanta Pandey. Speaking at an investor awareness event hosted by the National Stock Exchange (NSE), he emphasized the necessity of safeguarding investors from fraudsters.
Pandey noted that SEBI has elevated concerns about unlawful content directly with major platforms such as Google and Meta. He underlined that advances in technology have made it simpler for wrongdoers to disseminate misleading content, thereby risking the trust that is vital for investor confidence.
“More than 1 lakh such items have been escalated in the last 18 months,” Pandey stated.
He referenced the results of a recent survey of 90,000 individuals conducted by SEBI, highlighting that only 36% possess a high or moderate understanding of capital markets. This statistic signifies that a significant number of people remain vulnerable to deceptive content.
“This knowledge gap poses a vulnerability that exposes our investors to risks and makes them susceptible to fraud,” he said. He further articulated the gravity of the issue, indicating that a breakdown of trust could hinder economic growth. “When trust is broken, the engine of our economy falters. People become reluctant to invest, savings turn unproductive, and the cost of capital rises,” he warned.
Investor awareness has surfaced as a primary focus for SEBI, which plans to implement a variety of initiatives informed by the survey’s findings, including utilizing media platforms preferred by investors.
In addition, the regulator aims to establish local offices in state capitals and other crucial cities to enhance outreach efforts. Pandey encouraged investors to exercise caution, advising them to invest time, conduct verification before trusting sources, question unrealistic promises, and undertake independent research. He pointed to SEBI’s investor charter as a valuable resource.
Pandey also highlighted concerns in the derivatives market, noting that studies indicate over 90% of trades result in losses for retail investors. “‘They (investors) do not fully understand the risks associated with these products. Derivatives are designed for hedging and risk management, not for what may be illusory quick gains,” he added.
At the same event, NSE Chairman Srinivas Injeti announced that the exchange has initiated a public listing to set an industry example for the many companies listed on its platform.
“We are very much on that track. One of the motivations for NSE to go public is to exemplify what it expects from listed companies and lead by example,” he said. Although NSE is currently not listed, it boasts a broad shareholder base of approximately 180,000.
Published on October 6, 2025.
