FCA Alerts Public of Vanguard Clone and Unlicensed FX Broker

The Financial Conduct Authority (FCA) has issued multiple warnings to ‎investors advising them not to use the services of several Clone Clone A clone refers to a fraudulent attempt by an entity or individual to use the details of an authorized firm in a bid to convince people that they work that firm.This refers to a relatively new tactic that has seen fraudsters using the name, ‘firm registration number’, and address of firms and individuals authorized by regulators to suggest they are genuine. Clones are seemingly primitive techniques, though newly adopted by scammers that have evolved in the information era. As regulators push for A clone refers to a fraudulent attempt by an entity or individual to use the details of an authorized firm in a bid to convince people that they work that firm.This refers to a relatively new tactic that has seen fraudsters using the name, ‘firm registration number’, and address of firms and individuals authorized by regulators to suggest they are genuine. Clones are seemingly primitive techniques, though newly adopted by scammers that have evolved in the information era. As regulators push for Read this Term/unregulated ‎brokerage firms.‎

The latest regulatory flurry includes 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 ‎brokers and asset managers that appear to be soliciting and/or accepting funds ‎from UK residents without having obtained FCA ‎registration.‎

The regulator has warned against clone firm Vanguard Investments, which is actually a regulated company that provides professional investment services in the financial markets.

The clone has no association whatsoever with the asset manager and is thus involved in fraudulent activity, the watchdog said.‎ The clone company also claims to be licensed by the FCA, using the authorized firm’s FRN and registered address.

The original firm has been conducting business for several years now and can be found at www.vanguard.co.uk.

So you need to be wary

Fake or cloned websites are becoming common 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 in order to dupe people into parting with their personal details or cash.

These sites look like the real thing, and may even have a web address that is very similar to a well-known site, such as the one operated by your broker.

A lesser-known FX broker called MegatradeFX was also blacklisted by the UK’s financial regulator after the company claimed that it operated ‎with an FCA license.

The Financial Conduct Authority has clarified that the ‎company in question does not, in fact, have any valid license of any kind to provide ‎investment services or activities in the country.‎

Echoing previous warnings, the FCA ignores that unauthorized brokers continue to promote unregulated investments, ‎taking money from the general public, and the regulator is ‎powerless to do anything.