{"id":1079,"date":"2017-03-28T09:16:26","date_gmt":"2017-03-28T07:16:26","guid":{"rendered":"https:\/\/www.namfisa.com.na\/educates\/?post_type=did_you_know&p=1079"},"modified":"2025-07-20T01:06:03","modified_gmt":"2025-07-19T23:06:03","slug":"cautionary-public-notice-online-trading-through-a-third-party","status":"publish","type":"post","link":"https:\/\/www.namfisa.com.na\/educates\/cautionary-public-notice-online-trading-through-a-third-party\/","title":{"rendered":"Cautionary Public Notice: Online Trading Through A Third Party"},"content":{"rendered":"\t\t
\n\t\t\t\t
\n\t\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

WARNING ON ONLINE TRADING IN NAMIBIA<\/h3><\/span><\/div>
It has come to our attention that there are companies operating in Namibia assisting individuals with the opening of online investment trading accounts and trading on behalf of clients.

\n<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

What is Online Trading?<\/h3><\/span><\/div>
Online trading has to do with placing buy-and-sell orders of shares or other financial instruments with an internet-based brokerage firm on a trading platform without the use of a member of an exchange.

\n\nOnline trading allows investors to trade in financial instruments on their own without placing funds with an investment manager or trading directly through a stockbroker.

\n\nTrades done by stockbrokers on behalf of clients through the Namibian Stock Exchange (\u201cNSX\u201d) are regulated by NAMFISA.<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

Online Trading Is Not Regulated by NAMFISA<\/h3><\/span><\/div>
NAMFISA cautions the public that online trading is not a regulated activity and companies or persons doing online trading are not regulated by NAMFISA, unless they are a member of an exchange, supervised by the exchange.

\n\nIndividuals allowing a third party to trade on their behalf by providing login details to their online investment trading accounts, are doing so at their own risk.

\n\n<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

Public Advisory<\/h3><\/span><\/div>
NAMFISA, therefore, advises the public, when dealing with companies or persons offering online trading schemes, to:

\n\u2022 Find out as much as possible about the instruments that you are trading in, the risks of trading in such instruments and the party who bears the risk;

\n\u2022 Always be cautious when allowing a third party to access your online investment trading account with your login details, as the third party might not always execute a trade that is in your best interest;

\n\u2022 Treat any person or company who requires investors to provide them with login details or online investment trading account access for trading purposes with caution; and

\n\u2022 Enquire if the online trading entity is a member of an exchange or not. If not a member, kindly note that the risk of losing money increases.\n<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

ENQUIRIES<\/h3><\/span><\/div>
NAMFISA
\nCapital Markets Department
\nTel: (061) 290 5140 \/ 5137
\nFax: (061) 290 5157
\nEmail: plubinda@namfisa.com.na
\nWebsite: www.namfisa.com.na
<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t

Summary<\/h3><\/span><\/div>
<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t
NAMFISA Advisory to the Public<\/h5><\/div>
When approached by persons or companies offering online trading services, please:<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
\n\t\t\t\t
\n\t\t\t\t\t
  • <\/span>Research Thoroughly: Understand the financial instruments being traded, the risks involved, and who bears the risk of the trade.<\/li>
  • <\/span>Protect Your Login Details: Be cautious about giving others access to your online trading account, as trades may be executed against your best interests.<\/li>
  • <\/span>Be Wary of Third-Party Traders: Treat any individual or company requesting your login details for trading purposes with extreme caution.<\/li>
  • <\/span>Verify Exchange Membership: Confirm whether the trading entity is a member of an exchange.<\/li><\/ul><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
    \n\t\t\t\t
    \n\t\t\t\t\t
    <\/h5><\/div>
    If not, the risk of financial loss increases significantly.<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
    \n\t\t\t\t
    \n\t\t\t\t\t
    Potential Financial Losses<\/h5><\/div>
    Investors may suffer losses due to:<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
    \n\t\t\t\t
    \n\t\t\t\t\t
    • <\/span>Mismanagement or negligence by third parties,<\/li>
    • <\/span>Unauthorized or improper trading activities,<\/li>
    • <\/span>Instructions not being followed<\/li><\/ul><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t
      \n\t\t\t\t
      \n\t\t\t\t\t
      <\/h5><\/div>
      Once again, we caution that online trading is done entirely at your own risk.<\/div><\/div>\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t\t\t<\/div>\n\t\t","protected":false},"excerpt":{"rendered":"

      WARNING ON ONLINE TRADING IN NAMIBIA It has come to our attention that there are companies operating in Namibia assisting individuals with the opening of online investment trading accounts and<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_eb_attr":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_EventAllDay":false,"_EventTimezone":"","_EventStartDate":"","_EventEndDate":"","_EventStartDateUTC":"","_EventEndDateUTC":"","_EventShowMap":false,"_EventShowMapLink":false,"_EventURL":"","_EventCost":"","_EventCostDescription":"","_EventCurrencySymbol":"","_EventCurrencyCode":"","_EventCurrencyPosition":"","_EventDateTimeSeparator":"","_EventTimeRangeSeparator":"","_EventOrganizerID":[],"_EventVenueID":[],"_OrganizerEmail":"","_OrganizerPhone":"","_OrganizerWebsite":"","_VenueAddress":"","_VenueCity":"","_VenueCountry":"","_VenueProvince":"","_VenueState":"","_VenueZip":"","_VenuePhone":"","_VenueURL":"","_VenueStateProvince":"","_VenueLat":"","_VenueLng":"","_VenueShowMap":false,"_VenueShowMapLink":false,"_jetpack_newsletter_access":"","_jetpack_dont_email_post_to_subs":true,"_jetpack_newsletter_tier_id":0,"_jetpack_memberships_contains_paywalled_content":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[424],"tags":[],"class_list":["post-1079","post","type-post","status-publish","format-standard","hentry","category-didyouknow"],"aioseo_notices":[],"aioseo_head":"\n\t\t\n\t\n\t\n\t\n\t\n\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t\n\t\t