Renowned economist and former RBI governor Raghuram Rajan has spoken out against fraudulent videos circulating on social media that falsely claim to feature his investment advice. In a statement released on LinkedIn, Rajan clarified that these videos are deceptive and urged viewers to report such activities to the appropriate authorities.
Rajan, who served as the 23rd Governor of the Reserve Bank of India and is currently a distinguished professor at the University of Chicago Booth School of Business, reiterated that he does not provide public investment advice, particularly on specific stocks.
“I understand there are videos of me on various social media purporting to give advice on investing, especially in individual stocks. These are fake and the perpetrators should be reported to the relevant authorities. I do not give investment advice to the public, and have never touted individual stocks," Rajan wrote.
“Each individual has their own financial needs and risk appetite. Furthermore, investors are typically better off holding diversified portfolios of bank deposits, bonds, and stocks (through mutual funds and ETFs) rather than buying individual stocks or stock options,” Rajan clarified, echoing his long-standing principles on prudent financial management.
He cautioned against the risks associated with investing in individual stocks without proper analysis and diversification, noting, "You may be extremely lucky and strike it rich, but more likely, you will be a lot poorer following the latter strategy."
Rajan concluded by urging the public to disregard any videos or content attributing investment recommendations to him.
Rajan's post was "liked" by over 1,700 people and had numerous comments.
"Kindly publish this over other social media channels i.e Instagram, Facebook etc. Candidly speaking, I was so disturbed to see your name till yesterday over the matter of investment advice and was 80% sure that it is fake. Today, it’s clear," one user wrote.
"Not only you sir, many other people's name used in such fake ads," another wrote.
The circulation of misleading investment advice impersonating like Raghuram Rajan and Ratan Tata prompted the well-know figures to come out with statements cautioning the public against fake news.
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