Nithin Kamath warns after ED froze ₹200cr in alleged pump-and-dump
Zerodha's Nithin Kamath is urging investors to think twice before trusting stock tips on WhatsApp and Telegram.
This comes after the ED reportedly froze trading accounts holding around ₹200 crore in an alleged pump-and-dump operation involving two listed companies.
Kamath pointed out that influencers can sometimes hype risky stocks or IPOs, and investors chasing seemingly easy money could face significant losses.
Nithin Kamath urges verifying stock tips
Kamath recommends double-checking any investment tip: don't just take someone's word for it.
He suggests using tools like ChatGPT to spot red flags in messages and always doing your own research on a company's fundamentals.
As he put it, Nithin Kamath said to be wary of guaranteed-return promises, pressure to buy immediately, anonymous groups promoting obscure stocks, and influencers who do not clearly disclose potential conflicts of interest, and remember: easy money in the stock market usually isn't as easy as it sounds.