CMA( Capital Markets Authority has warned fund managers to stop misleading investors with promises of very high and abnormal returns, without offering full disclosures.
The market regulator notes that some fund managers are engaged in heavy commercial advertising and even recruiting influencers to make their funds attractive.
Special funds, especially those that have less liquidity and invest in unknown foreign or offshore instruments, could be exposing clients to significant risks.
Memories of how clients lost cash in Cytonn, a investment firm that is now undergoing seeing it’s real estate wing facing liquidation, is still fresh in the memory of the investing public.
