The Saudi Capital Market Authority (CMA) has imposed a SAR 250,000 fine on Fahd bin Mohammed bin Saleh Al-Nafisah for providing unlicensed investment advisory services via the Telegram app between October 2023 and July 2024. The individual violated Article 31 of the Capital Market Law and Articles 5 and 17 of the Securities Regulations by operating without a CMA license. The CMA emphasized that such actions undermine regulatory frameworks and investor protection. This enforcement action highlights the CMA's commitment to maintaining market integrity by penalizing unauthorized financial activities. Traders and investors should note that unregulated advice can lead to significant risks, and the CMA's strict stance may deter similar violations. The case also underscores the importance of using licensed platforms for financial services. For Saudi and Gulf investors, this decision reinforces the need to verify the credentials of financial advisors. The CMA may increase monitoring of digital platforms like Telegram, where unlicensed activities are prevalent. Investors should stay informed about regulatory updates and avoid unverified sources of investment advice to mitigate risks.

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