BC Watchdog Hits FCOEX Broker with Regulatory Warning
- The BCSC maintains an investment caution list to alert investors of unqualified investments promoted in British Columbia
Canada’s British Columbia Securities Commission (BCSC) today issued an investor alert warning residents of the province to exercise “extreme caution” when considering whether to invest with a lesser-known 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 brand called ‘FCOEX.’
Most warnings of this type involve unauthorized advertising to or contact with retail investors in Canada by unlicensed brokers, and this one is no different.
Although FCOEX is not registered to trade in securities or exchange contracts in BC or anywhere else in Canada, the BCSC became aware that a British Columbia resident had been solicited by a representative of this broker, and was able to open and fund a trading account.
FCOEX offers clients a range of financial services through a contracts for difference (CFDs), forex, and options Trading Platform Trading Platform In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real Read this Term. A glance at the website in question also reveals that the brokerage provides no confirmation regarding licenses held at any global jurisdictions, either, which raises a red flag as far as investors are concerned.
After briefly explaining certain risks related to derivatives products, the provincial authority noted that while some trading activities are regulated, these represent only a portion of the market, while a large portion is illegally traded through unregulated online platforms.
Concerns about bad actors and high-risk investments
BCSC alert further states that while some companies follow through on their regulatory requirements, some do not and that some companies are purely scams for speculative trading.
The BCSC maintains an investment caution list to alert investors of unregistered securities activity and unqualified investments promoted in British Columbia and encourages the public to report these kinds of activities to the respective regulators.
In issuing this alert, the BCSC joins other regulators around the world that have rung alarm bells about unregulated FX and CFDs brokers in an effort to encourage investors to scrutinize investment products carefully.
On the cryptocurrency front, the Canadian watchdog has voiced increased concerns about bad actors and high-risk investments in the virtual assets space. The BCSC also responded with increased efforts to educate investors about the potential dangers of cryptocurrency investments.
The BCSC is the independent provincial government agency responsible for regulating securities trading in British Columbia through the administration of the Securities Act. The regulator website provides information, tools, and resources for investors, including investor warnings about individuals and companies that appear to be engaging in unauthorized activities.
Canada’s British Columbia Securities Commission (BCSC) today issued an investor alert warning residents of the province to exercise “extreme caution” when considering whether to invest with a lesser-known 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 brand called ‘FCOEX.’
Most warnings of this type involve unauthorized advertising to or contact with retail investors in Canada by unlicensed brokers, and this one is no different.
Although FCOEX is not registered to trade in securities or exchange contracts in BC or anywhere else in Canada, the BCSC became aware that a British Columbia resident had been solicited by a representative of this broker, and was able to open and fund a trading account.
FCOEX offers clients a range of financial services through a contracts for difference (CFDs), forex, and options Trading Platform Trading Platform In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real In the FX space, a currency trading platform is a software provided by brokers to their respective client base, garnering access as traders in the broader market. Most commonly, this reflects an online interface or mobile app, complete with tools for order processing.Every broker needs one or more trading platforms to accommodate the needs of different clients. Being the backbone of the company’s offering, a trading platform provides clients with quotes, a selection of instruments to trade, real Read this Term. A glance at the website in question also reveals that the brokerage provides no confirmation regarding licenses held at any global jurisdictions, either, which raises a red flag as far as investors are concerned.
After briefly explaining certain risks related to derivatives products, the provincial authority noted that while some trading activities are regulated, these represent only a portion of the market, while a large portion is illegally traded through unregulated online platforms.
Concerns about bad actors and high-risk investments
BCSC alert further states that while some companies follow through on their regulatory requirements, some do not and that some companies are purely scams for speculative trading.
The BCSC maintains an investment caution list to alert investors of unregistered securities activity and unqualified investments promoted in British Columbia and encourages the public to report these kinds of activities to the respective regulators.
In issuing this alert, the BCSC joins other regulators around the world that have rung alarm bells about unregulated FX and CFDs brokers in an effort to encourage investors to scrutinize investment products carefully.
On the cryptocurrency front, the Canadian watchdog has voiced increased concerns about bad actors and high-risk investments in the virtual assets space. The BCSC also responded with increased efforts to educate investors about the potential dangers of cryptocurrency investments.
The BCSC is the independent provincial government agency responsible for regulating securities trading in British Columbia through the administration of the Securities Act. The regulator website provides information, tools, and resources for investors, including investor warnings about individuals and companies that appear to be engaging in unauthorized activities.