Is Your Trading App Putting Your Money At Risk?

There is a spike in trading app usage for many good reasons. You can access stock markets anytime on your phone. Most tech-savvy younger investors are likely to use the trading apps of stockbrokers and make timely investment decisions. One can find many options for trading apps to choose from. 


Just as obvious for most online service users, online traders may have to face a slew of cyber threats, including fraud apps, phishing attacks for account credentials, etc. Individuals need to ensure the safety of online trading apps. 


Is your money at risk in your trading app?


To be honest, there are very few chances that a trading app is putting your money at risk. There are specified standards by the SEBI (Securities Exchange Board of India). However, some apps may not be as secure as they seem. Users need to consider a few aspects to ensure the safety of their funds. 


How to check if a trading app is properly regulated


The risk increases if one has little experience or knowledge in the field. The following crucial aspect will help you to save your funds with genuine investment apps India:


The same safety protocols are used on trading apps as those used by brokers for their web-based portals following the latest measures set by the capital market regulators in India. Brokers ensure the security of their trading app user’s personal and financial data with highly secured measures following the rules set by the capital market regulators in India. These stockbrokers need to keep investing in the latest technology to make their apps safer against cybersecurity threats.

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Do your homework and check on the broker’s platform before giving your personal and financial information to a brokerage firm. Make sure that the broker is registered with the SEBI and central Depositories in India – the NSDL and CDSL. The list of listed trading service providers is updated on the official websites of Depositories and the SEBI. Thus, you should approach a listed, reputed, well-established online trading platform for safe trading.


The safety of a trading app also depends on where you download it. Individuals must ensure that they download the trading app from a reliable source only. Generally, stockbrokers provide links to their trading apps on their official websites. While downloading trading apps from Google Play Store or Apple Store on your smartphone, check the developer. 


Preventive Measures


Setting a strong password is a must for trading app users. Individuals need to set a password for their demat and trading accounts and trading apps to ensure safe stock trading on brokers’ web-based trading platforms and mobile applications. It is necessary to prevent unauthorized access to your demat and trading accounts. Prefer a mix of uppercase and lowercase alphabets, numerical digits, and special symbols to include in your passwords to ensure utmost security. Never share your login credentials with anyone.

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Individuals need to install anti-virus and anti-malware software to protect their operating systems from any cyber security threat. It is also necessary to keep the software up to date to ensure security to prevent your system from any viruses. It reduces the probability of breached cyber security. 


You should avoid using public wi-fi networks while trading using trading apps on your smart devices. It may be an unsecured network and put your funds at risk.


Thus, being cautious while choosing a mobile platform will help you to safeguard your money. The choice of a trading app must be backed by thorough research. Check if brokers follow all the rules and take preventive measures to encrypt data by default. Also, it should have a richer set of features.

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