Clone of UK Broker ETX Capital Draws FCA Attention
- ETX Global had also been taking advantage of its misleading name to solicit traders who are based in the United Kingdom
The Financial Conduct Authority (FCA) exposed another fraudulent entity today, bringing to light a clone that has been posing as a London headquartered FCA regulated brokerage, ETX Capital.
The FCA alleges that the copycat broker has chosen to operate under the brand ‘ETX Capital Global,’ and advertised its parent entity as Monecor (London) Ltd, which is the same name of ETX’s holding company to convince local traders that it was the authorized Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term firm that had contacted them.
The illegitimate broker, conversely, did not assume the address at which the original company’s offices are located. Instead, it opted to claim an address in STAR HILLS, F19 N1903 JALAN BUKIT BINTANG. Clients should note that the licensed firm’s offices are located at One Broadgate London, EC2M 2QS, United Kingdom.
As per usual, this seems like yet another instance of a scam operation, where an unlicensed company illegally assumes the identity of an authorized company so that traders will mistake it for the legitimate entity.
Furthermore, ETX Global had also been taking advantage of its misleading name to solicit traders that are based in the United Kingdom. The firm not only identified itself as a well-known online trading company under false pretences, but it was operating without authorization as well. That alone is a major violation of British law.
Not an Unusual Phenomenon
Clone firms are not an unusual occurrence in the industry, as fraudsters have grown increasingly resourceful in recent years. A commonly adopted tactic is for scammers to advertise an illegal operation as a reputable brand or entity.
The FCA encourages traders or those considering online trading to exercise caution. It is strongly advised against funding an account or investing via this specific company. Anyone who chooses to sign up with the impostor should bear in mind that they will not receive the financial authorities’ assistance should things go awry.
Today’s announcement is the latest in the FCA’s series of warnings about clone firms posing as legitimate approved businesses, to con UK consumers into making Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term for investment services.
The FCA reminded UK investors that clones employ the tactic of adopting a legitimate company’s name when they cold call potential victims. It urges them to be wary if they are contacted by anyone claiming to work for this company.
The Financial Conduct Authority (FCA) exposed another fraudulent entity today, bringing to light a clone that has been posing as a London headquartered FCA regulated brokerage, ETX Capital.
The FCA alleges that the copycat broker has chosen to operate under the brand ‘ETX Capital Global,’ and advertised its parent entity as Monecor (London) Ltd, which is the same name of ETX’s holding company to convince local traders that it was the authorized Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term firm that had contacted them.
The illegitimate broker, conversely, did not assume the address at which the original company’s offices are located. Instead, it opted to claim an address in STAR HILLS, F19 N1903 JALAN BUKIT BINTANG. Clients should note that the licensed firm’s offices are located at One Broadgate London, EC2M 2QS, United Kingdom.
As per usual, this seems like yet another instance of a scam operation, where an unlicensed company illegally assumes the identity of an authorized company so that traders will mistake it for the legitimate entity.
Furthermore, ETX Global had also been taking advantage of its misleading name to solicit traders that are based in the United Kingdom. The firm not only identified itself as a well-known online trading company under false pretences, but it was operating without authorization as well. That alone is a major violation of British law.
Not an Unusual Phenomenon
Clone firms are not an unusual occurrence in the industry, as fraudsters have grown increasingly resourceful in recent years. A commonly adopted tactic is for scammers to advertise an illegal operation as a reputable brand or entity.
The FCA encourages traders or those considering online trading to exercise caution. It is strongly advised against funding an account or investing via this specific company. Anyone who chooses to sign up with the impostor should bear in mind that they will not receive the financial authorities’ assistance should things go awry.
Today’s announcement is the latest in the FCA’s series of warnings about clone firms posing as legitimate approved businesses, to con UK consumers into making Payments Payments One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl One of the bases of mediums of exchange in the modern world, a payment constitutes the transfer of a legal currency or equivalent from one party in exchange for goods or services to another entity. The payments industry has become a fixture of modern commerce, though the players involved and means of exchange have dramatically shifted over time.In particular, a party making a payment is referred to as a payer, with the payee reflecting the individual or entity receiving the payment. Most commonl Read this Term for investment services.
The FCA reminded UK investors that clones employ the tactic of adopting a legitimate company’s name when they cold call potential victims. It urges them to be wary if they are contacted by anyone claiming to work for this company.