Another day of life, another broker offering unregulated activities to unsuspecting clients. This Tuesday’s warning comes from a British regulator, the Financial Conduct Authority (FCA), and is regarding BCG Wealth Group.
Like many European regulators, the FCA has been especially adept at warning the public against trading with unregulated brokers. Licensed in various, unscrupulous jurisdictions in the far-flung corners of the earth, these brokers usually steal clients money, having never intended to operate as a broker in the first place.
According to its website, BCG Wealth Group has offices in London and Copenhagen. Whether there is any merit to these claims is uncertain. Unregulated brokers often purport to have offices in countries with better customer protection to attract clients but don’t actually have any physical presence in them.
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Unlike many of its unregulated competitors that focus their efforts on FX or CFDs trading, BCG Wealth Group appears to deal solely in cryptocurrencies. The broker’s website indicates that it provides wealth management services for investment in cryptocurrencies.
The company claims that its employees have over a hundred years in combined experience. Again, it is difficult to confirm the veracity of this claim as the company doesn’t provide any details as to who their employees are.
The unregulated firm also claims that its methods are used by a variety of institutional investors, including pension funds, fund managers, and family offices. This seems almost impossible given that most institutions are just starting to determine what their cryptocurrency investment strategy if indeed they want one at all, should be.
That BCG Wealth Group’s website is so nontransparent should be enough for investors to realize they should not be dealing with the firm. Moreover, its service offering seems strange. Traders should be wary of such firms and follow the FCA’s advice not do business with them.