It also noted an increase in complaints and enquiries regarding unlicensed activities and scams, which last year rose by 154% and 123% respectively.

Presenting the body’s annual report for 2020, executive chairman Syed Zaid Albar said the SC was aware of rumours being shared online among punters, but said traders must be wary.

“Investors must be cognisant of the risks and opportunities involved when investing in the market. Be cautious of social media chatrooms that try to influence investors to buy or sell certain stocks based on speculation or rumours.

“Please do trade based on fundamentals, and not be swayed by rumours or FOMO, i.e fear of missing out.”

On the “retail rebellion” which was seen most dramatically in the US when traders this year pushed the price of GameStop to unprecedented levels and cost the institutions shorting the stock billions, Syed Zaid said Malaysian market dynamics are “quite different” from that of the US, but that the SC would continue to monitor the marketplace.

“We welcome the retail participation in the development of the equity market. The presence of a more diverse group of investors can create a healthy, active and vibrant marketplace,” he said, with the value of retail trades increasing to 32.4% of the total value, from the five-year average of 21.4%.

He added that the market uncertainties seen last year, which may continue in 2021, resulted in more scams and unauthorised activities, which the SC has been working to address with greater monitoring and enforcement.

The most common complaints they received involved outright scams, unlicensed investment advice and unregistered digital trading platforms.