Title: Press Release: The CMA Urges all Traders to Pursue Accuracy in Person Regarding any Recommendation or Advice on Securities Activities

Kuwait, December 21, 2022 – In Continuation of the Capital Markets Authority’s efforts in raising awareness of the public and investors in the basics of investment in capital markets, the associated risks, the fraud methods and the systems and legislations that regulate the investment operations in the capital market; the CMA urges all persons dealing in securities activities to pursue accuracy in person regarding the recommendations, advice, and analysis published through all social and mass media on the investment, purchase or sale of securities and investment products, or securities subscription and the process of their offering, issuance or listing by persons licensed by the CMA or unlicensed but convey recommendations of licensed persons must refer to the source and not those that convey information from the source. They shall ensure dealing with persons licensed in securities activities through visiting the CMA website to view the list of investment advisors that are licensed to practice such activity and provide investment consultations concerning securities, as the licensed person is responsible before the CMA and every affected person for the harm resulted from violating the provisions regulating his work or providing misleading, inaccurate, or false consultations.
It is worth noting that the CMA takes all the legal procedures towards every person that practices securities activities without obtaining a license, as this is regarded as a market conduct that violates Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and its Executive Bylaws and their amendments, and he will be subject to penalties for all monitored illegal practices.
In this context, the CMA urges all persons dealing in securities to constantly verify and ensure the eligibility of the persons offering investment services through visiting the CMA website and viewing the list of licensed companies which includes all the details of licensed and unlicensed entities and the type of offered activities in order to provide protection to the persons dealing in securities activities prior to entering into contract with any entity that offers services relevant to securities activities and taking investment decision. It also advices the public to contribute in detecting the manipulators by reporting any unlicensed entity, whether an individual or institution, that provides recommendations on companies’ shares through the social media in order to protect all persons dealing in securities.

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Notes to Editors:
The Capital Markets Authority was established pursuant to Law No. 7/2010, approved by the Kuwaiti Parliament in February 2010. Pursuant to the Law, the CMA shall regulate and supervise the securities activities, achieve transparency and fairness, observe listed companies’ execution of Corporate Governance regulations, and protect investors from unfair practices which violate the CMA's Law.
Furthermore, the Law's provisions stipulate the supervision of mergers, acquisitions, and disclosure operations. The CMA also aims to provide awareness programs related to securities activities.
For further information, please contact:
Public Relations & Media Office
Tel: 22903062
Fax: 22903505