CNMV Warns Public Against Unregulated Forex and Binary Options Brokers

The Comision Nacional del Mercado de Valores (CNMV), the financial regulatory body of Spain, today updated its blacklist of companies that are illegally conducting financial services targeting the country’s residents.

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The newly-listed company is NETMARK CONSULTORES EN SOLUCIONES E INNOVACION, SL (trading as CAPITAL Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term), which operates several forex and binary options brands. The Spanish regulator located the company’s websites at www.clickbanca.es, www.fb-one.com, Solidary Markets FX (“SMFX”) https://solidarymarkets.com and www.stockscall.com. The first and second entities are two platforms for binary options trading, while SMFX offers trading in various instruments including forex, stocks and commodities.

Although the financial watchdog didn’t provide specific details, the inclusion of NETMARK CONSULTORES means it is not officially registered in Spain and was thus not authorized to offer its trading services to domestic traders. The firm also claimed to have offices in London but after some research on our side, it became clear that it isn’t regulated either by the FCA as a Forex Broker Forex Broker In the forex space, a broker is any company that can provide traders with access to a platform that permits the buying and selling of multiple currencies.The retail forex industry has grown over the past two decades to include every major jurisdiction, which in turn has necessitated new regulatory oversight. Relative to the institutional sector, retail brokers are rather small portion of the greater forex market. However, traders can rely on brokers for leveraged trading in a 24-hour-a-day marke In the forex space, a broker is any company that can provide traders with access to a platform that permits the buying and selling of multiple currencies.The retail forex industry has grown over the past two decades to include every major jurisdiction, which in turn has necessitated new regulatory oversight. Relative to the institutional sector, retail brokers are rather small portion of the greater forex market. However, traders can rely on brokers for leveraged trading in a 24-hour-a-day marke Read this Term nor by the UK Gambling Commission as a binary options provider.

In the ‘About Us’ section, NETMARK CONSULTORES makes reference to global offices. ‎However, the company didn’t claim any specific regulatory status in these jurisdictions. On the website of one of its unregulated arms, the company has only this statement to reassure its clients: “Solidary Markets NZ Ltd maintains strict compliance policies in all aspects of its business to ensure that we are up-to-date on our obligations.”

Another interesting statement reads: “Solidary Markets NZ is a Financial Services Provider but outside the policy framework of the Financial Act 2008 so it does not require us to stay in the Register of FSP for companies that provide services within New Zealand.” As such, the non-compliant firm is clearly banking on attracting newbie investors who are not aware of the existence of regulatory registers and are ill-informed to take investment decisions.