SECP explained: licences, warnings and how to check a broker

What the SECP is and what it regulates

The SECP is Pakistan's regulator for the securities and futures markets. Its full name is the Securities and Exchange Commission of Pakistan (SECP), with trading in listed securities and commodities only via SECP-licensed securities and futures brokers.

In practice, if you want to buy shares listed on the Pakistan Stock Exchange (PSX) or trade commodity futures on the Pakistan Mercantile Exchange (PMEX), you must go through a broker that holds an SECP licence. A broker is the firm that places your orders on the exchange and holds your account.

The SECP also keeps the register of companies in Pakistan. This causes confusion, because "SECP registered company" and "SECP licensed broker" are not the same thing:

• Registered company. The business exists as a legal entity. Registration alone does not give it permission to take money from the public for trading or investment.
• Licensed broker or intermediary. The firm has a specific licence for a regulated activity, such as acting as a securities or futures broker.

Scam operators often show a company registration certificate and call it a "licence". Always check for the licence that matches the service on offer.

For a wider view of the other authorities, see Law and regulators.

The law on unlicensed futures and trading activity

Pakistan's futures market law sets the licensing rule for futures brokers, futures advisers and their representatives. These activities are called "regulated activities". The rule is: under the Futures Market Act 2016, s.47(1), no one may carry on a regulated activity (futures broker, adviser, representative) without an SECP licence.

The Act also sets penalties for breaking that rule: under the Futures Market Act 2016, s.104(3), operating without a licence carries, for an individual, a fine of up to PKR 250 million or up to 3 years' imprisonment, or both. The same section sets a separate, higher fine for companies.

The text we checked is the Act as originally passed. Later amendments may have changed the details, so check the current text on the official SECP or Pakistan Code websites.

SECP licence check: how to verify a broker

Before you open an account or send money, confirm that the firm is licensed for what it offers.

1. Use the official broker lists. Where to look: per the SECP, lists of licensed brokers are on the PSX and PMEX websites. PSX lists securities brokers and PMEX lists futures brokers. Open these sites by typing the address yourself, not through a link someone sent you.
2. Match the exact name. Compare the full legal name, registration details and office address on the list with what the firm shows you. Look-alike names are a common trick.
3. Use official contact details only. The SECP advises the public to deal only with licensed brokers and to contact them through the official channels listed for that broker. If someone reaches you on WhatsApp or social media claiming to represent a licensed broker, contact the broker through its listed number to confirm.
4. Check the warnings. Search the SECP press releases for the firm's name (see the next section).
5. Write down what you checked and when. Lists change. Take a screenshot with the date showing on your device.

SECP warning list: where public warnings appear

The SECP does not publish a single blacklist that we could reach. Its warnings come out as press releases that name specific platforms. Examples include SECP warnings by press release naming platforms (Quotex 09.04.2025; IBKR look-alikes, IGIL Securities, BMA Capital No.108 etc. 22.05.2025; Hillhouse Capital, S-169 Wharton 13.01.2026), none of which names Exness.

These releases tell us how the SECP views offshore platforms:

• On approval: per the SECP, offshore forex/CFD platforms operate without regulatory approval in Pakistan.
• On protection: per the SECP, offshore platforms have no Pakistani licence or oversight and offer no legal protection or recourse.

The SECP also says these platforms are often promoted through WhatsApp, Telegram and social media. A missing name in the press releases does not mean a platform is licensed or safe. It only means the SECP has not issued a named warning about it. The only positive proof is the licence lists.

What the SBP says about offshore forex and CFD platforms

The State Bank of Pakistan (SBP) controls foreign exchange. It has issued a clarification on offshore forex, margin and CFD (contract for difference) trading platforms:

• On buying these products: per the SBP, the purchase of offshore forex/margin/CFD products by Pakistani residents violates section 4(1) of FERA 1947.
• On payments: per the SBP, remitting foreign exchange to overseas forex/margin/CFD platforms is not allowed through any payment channel (FERA s.5(1)).

FERA is the Foreign Exchange Regulation Act. The SBP's statement names some platforms as examples, but the rule applies to the activity, not only to the platforms named. For the full picture, read SBP FX rules and Is forex legal?.

Risk, separate from legality

Even with a licensed firm, leveraged trading in futures, forex or CFDs can lose money fast. Leverage means you control a position larger than the money you deposit, so a small price move against you can wipe out your margin. If the firm is offshore and unlicensed in Pakistan, the SECP says you also have no local legal protection or recourse if something goes wrong. Read Risk management before you trade anything with leverage.

SECP complaint: what to do if something goes wrong

• Against a licensed broker: raise a written complaint with the broker first and keep the reference. If it is not resolved, take it to the SECP. Check the current complaint channels and forms on the official SECP website.
• Against a fake or unlicensed platform: stop sending money and keep every record: chats, transaction receipts, wallet addresses, website links and phone numbers. Report the platform to the SECP and to the cybercrime authorities. Tell your bank quickly if you paid by card or bank transfer.
• Problems with your bank's handling of a payment: the Banking Mohtasib handles complaints against banks.

Step-by-step routes are on Report fraud. Common scam patterns are explained on Investment scams.

Warning signs to watch for

• Promises of fixed or guaranteed returns.
• Contact that starts on WhatsApp, Telegram or social media from someone you don't know.
• Pressure to deposit quickly or to "upgrade" your account.
• Requests to pay into a personal bank account or a crypto wallet.
• A company registration certificate shown as if it were a trading licence.
• A name that is almost, but not exactly, the name of a known licensed broker.

Frequent questions

Does SECP registration mean a company can take my money for trading?

No. Registration means the company legally exists. Taking clients for securities or futures trading needs a specific licence. Check the PSX and PMEX broker lists.

Where can I find the SECP warning list?

There is no single consolidated list we could reach. The SECP issues warnings as press releases that name platforms. Search the press releases on the official SECP website.

If a platform is not named in any SECP warning, is it safe?

No. A missing warning proves nothing. Only an entry on the official licensed broker lists shows that a firm is authorised.

Are offshore forex and CFD platforms licensed by the SECP?

The SECP says offshore platforms of this kind operate without regulatory approval in Pakistan and offer no local legal protection. The SBP's view on residents using them is summarised above.

How do I make an SECP complaint?

Complain to the licensed broker in writing first. If that fails, go to the SECP through the channels listed on its official website. For fraud, see Report fraud.

Where can I read more about Pakistani financial rules?

Start with Regulation and Safety and PSX basics.