SEC Warns Public against Unlicensed Capital Market Operators
By Praiebell Rosemond Larbi
The Securities and Exchange Commission Ghana (SEC) has issued a strong caution to the public, warning that individuals or entities operating in Ghana’s capital market without the required licence are acting illegally and will face sanctions.
In a notice dated February 16, 2026, the Commission emphasised that all market participants must be duly authorised before engaging in any investment-related activities.
“Under Section 109 of Act 929, a person shall not operate as a market operator, broker, dealer, investment adviser, fund manager, or in any other capital market activity without a valid licence issued by the SEC,” the statement said.
The regulator further underscored the legal consequences for non-compliance, warning that violations attract both administrative and criminal penalties.
“Under Section 206 of Act 929, a person who contravenes the Act commits an offence and is liable to the prescribed administrative and criminal sanctions,” the SEC added.
The Commission also drew attention to provisions under the Companies Act, 2019 (Act 992), noting that public investment solicitations must strictly adhere to legal requirements.
“Further, under Section 294(1)(b) of the Companies Act, 2019 (Act 992), it is unlawful to make public invitations to invest in a company’s securities without complying with statutory requirements,” the notice stated.
According to the SEC, engaging in unauthorised capital market activities not only undermines investor confidence but also exposes unsuspecting individuals to financial losses and fraudulent schemes. The warning comes amid growing concerns over the proliferation of unlicensed investment operators who often promise unrealistic returns to attract funds.
The Commission therefore urged investors to exercise due diligence by verifying the licensing status of any individual or institution offering investment products or financial advisory services.
Market watchers say the SEC’s renewed enforcement stance is part of broader efforts to sanitise Ghana’s financial ecosystem and strengthen investor protection frameworks. By tightening regulatory oversight, authorities aim to enhance transparency, accountability, and trust within the capital market.
The SEC reaffirmed its commitment to maintaining the integrity of the financial system, stressing that only licensed operators are permitted to provide investment services in Ghana.
Investors have consequently been advised to rely on official SEC channels and disclosures when making financial decisions, as the regulator intensifies its crackdown on illegal operators in the sector.
