The Securities and Exchange Commission (SEC) has advised Nigerians to do due diligence on investment platforms through its portal before investing.
It also said the devastating impact of the COVID-19 pandemic on the Nigerian economy helped the proliferation of Ponzi schemes offering unrealistic returns on investment to unsuspecting investors.
Speaking with journalists on Friday, Lamido Yuguda, director-general of SEC, said investors need proper research to effectively curtail the fraud perpetuated by Ponzi schemes.
He said the commission has a list of registered and legitimate operators on its website.
“Ponzi schemes are truly a big problem for our economy. It is very common to the extent that many of our citizens lose substantial sums to these schemes,” Yuguda said.
“The commission has adopted a variety of measures such as putting…