What is "illegal stock recommendation"?
"Illegal stock recommendation" refers to the activity of unqualified institutions and individuals providing investors with paid consulting services, directly or indirectly, such as securities investment analysis, forecasts, or suggestions. The key words here are "unqualified" and "paid." "Unqualified" means lacking securities industry qualifications, especially investment advisor qualifications; "paid" means that these institutions and individuals collect certain consulting fees by recommending stocks.
What are the main methods of "illegal stock recommendation"?
First, criminals use WeChat, Weibo, forums, stock forums, QQ, etc., to attract members or clients with exaggerated promotional terms such as "recommending dark horses," "one-on-one expert guidance," and "no profit, no charge."
Second, after investors join WeChat groups, QQ groups, or online live rooms, self-proclaimed "teachers" or "experts" illegally recommend stocks under the guise of teaching stock trading experience and skills, and collect high service fees under various pretexts.
Third, some criminals use "stock recommendation" as a guise to engage in other illegal and criminal activities, directing investors to buy and sell stocks simultaneously, suspected of market manipulation, or enticing investors to participate in spot trading or overseas futures trading for illegal gains.
How can we effectively identify "illegal stock recommendations" and stay away from illegal infringements?
Preventing "illegal stock recommendations" mainly involves guarding the "entrance" and "exit." "Entrance" refers to the "source of information." When investors receive unsolicited contact from strangers via phone, text message, QQ, WeChat, or other communication and chat tools to promote stock recommendation services, they must remain highly vigilant and not easily trust the other party. "Exit" refers to the "capital exit." Do not easily follow stock recommendations, especially those that include selling "membership services" or "consulting services." Avoid easily transferring money and protect your "purse."
