The company can no longer offer its 'educational packages’.
A flag of New Zealand
The
Financial Markets Authority (FMA), the New Zealand financial market regulator,
has issued a permanent order to cease further operations of Validus and all
associated companies and individuals. The decision was first made in February
2023 and upheld after the High Court rejected an appeal made by the company's
representatives.
According
to the FMA, Validus has offered clients extremely high return rates on
investments and loyalty rewards, reaching 350% over 60 weeks. The company
allegedly made investments in the forex (FX), crypto, and stock markets.
FMA Blocks Validus
Financial Products
The FMA
blocked Validus from further offering financial products, distributing related
materials, and accepting applications and funds from potential clients. The
entire case began in November 2022 with a seminar during which Validus promoted
its 'educational packages' named Validus Pool.
After
issuing a preliminary order to cease operations, Validus sent a letter to the
FMA stating that the offer of Validus Pool Products had been suspended. The
company admitted that private individuals should not invest in the offered
instruments, as a guaranteed profit is not achievable.
The FMA
used this position as confirmation that the information presented to seminar
participants was false and could mislead them.
"Seminar
attendees were induced to purchase, purchased or intend to purchase, educational
packages in reliance on false or misleading representations. They will not
receive the promoted 2-3% return on their money, or be able to withdraw that
money. They are likely to suffer material financial harm," Paul Gregory,
the Executive Director of Response and Enforcement at the FMA, said.
During the
November event, Suai Tito, a key speaker, claimed that individuals who
purchased educational packages could expect a return of 2-3% per week and even
350% after 60 weeks. He assured that the funds were invested by a team of
experts in the gaming market, cryptocurrencies, Forex, stocks, etc.
"Validus
has made false or misleading representations to the public that had every
appearance of an unregulated offer of financial products. The FMA considers a
stop order is the most appropriate and effective response in the
circumstances," Gregory added.
A screenshot shared by the FMA showed one of the slides promoting the Validus Pool. Source: FMA
As
mentioned at the beginning, Validus has responded to the decision made earlier
in the year. The appeal to the High Court took place in June, but the court
issued an official decision this week and decided to reject the appeal.
The Number of Investment Scams
Increases in New Zealand
Six months
ago, the FMA reported that the number of crimes and investment frauds had
increased last year by 17%. The regulator identified 111 cases during this
period in all categories, representing an increase of 17% compared to 95 cases in
2021.
The FMA stated
that fraud cases included 105 suspected dishonest programs, 48 unregistered
companies, and one fake regulator (posing as the FMA). In 2021, these figures
were, respectively 89, 24, and two cases.
The New
Zealand regulator actively operates in the market, identifying suspicious
investment entities. Finance Magnatesreported Yesterday (Tuesday) that the FMA issued a warning about Stake Funds and Capital Gold Investment activities.
Stake Funds is an investment company that operates without proper registration.
Capital Gold Investment is another company that came under scrutiny due to
false claims of being a registered New Zealand company.
At the end
of June, the regulator closed one of the more high-profile cases in recent
years concerning alleged violations of the Anti-Money Laundering and Countering
Financing of Terrorism (AML/CFT) Act by Tiger Brokers. In connection with
violations from three to four years ago, the broker had to pay a fine of $900,000.
The
Financial Markets Authority (FMA), the New Zealand financial market regulator,
has issued a permanent order to cease further operations of Validus and all
associated companies and individuals. The decision was first made in February
2023 and upheld after the High Court rejected an appeal made by the company's
representatives.
According
to the FMA, Validus has offered clients extremely high return rates on
investments and loyalty rewards, reaching 350% over 60 weeks. The company
allegedly made investments in the forex (FX), crypto, and stock markets.
FMA Blocks Validus
Financial Products
The FMA
blocked Validus from further offering financial products, distributing related
materials, and accepting applications and funds from potential clients. The
entire case began in November 2022 with a seminar during which Validus promoted
its 'educational packages' named Validus Pool.
After
issuing a preliminary order to cease operations, Validus sent a letter to the
FMA stating that the offer of Validus Pool Products had been suspended. The
company admitted that private individuals should not invest in the offered
instruments, as a guaranteed profit is not achievable.
The FMA
used this position as confirmation that the information presented to seminar
participants was false and could mislead them.
"Seminar
attendees were induced to purchase, purchased or intend to purchase, educational
packages in reliance on false or misleading representations. They will not
receive the promoted 2-3% return on their money, or be able to withdraw that
money. They are likely to suffer material financial harm," Paul Gregory,
the Executive Director of Response and Enforcement at the FMA, said.
During the
November event, Suai Tito, a key speaker, claimed that individuals who
purchased educational packages could expect a return of 2-3% per week and even
350% after 60 weeks. He assured that the funds were invested by a team of
experts in the gaming market, cryptocurrencies, Forex, stocks, etc.
"Validus
has made false or misleading representations to the public that had every
appearance of an unregulated offer of financial products. The FMA considers a
stop order is the most appropriate and effective response in the
circumstances," Gregory added.
A screenshot shared by the FMA showed one of the slides promoting the Validus Pool. Source: FMA
As
mentioned at the beginning, Validus has responded to the decision made earlier
in the year. The appeal to the High Court took place in June, but the court
issued an official decision this week and decided to reject the appeal.
The Number of Investment Scams
Increases in New Zealand
Six months
ago, the FMA reported that the number of crimes and investment frauds had
increased last year by 17%. The regulator identified 111 cases during this
period in all categories, representing an increase of 17% compared to 95 cases in
2021.
The FMA stated
that fraud cases included 105 suspected dishonest programs, 48 unregistered
companies, and one fake regulator (posing as the FMA). In 2021, these figures
were, respectively 89, 24, and two cases.
The New
Zealand regulator actively operates in the market, identifying suspicious
investment entities. Finance Magnatesreported Yesterday (Tuesday) that the FMA issued a warning about Stake Funds and Capital Gold Investment activities.
Stake Funds is an investment company that operates without proper registration.
Capital Gold Investment is another company that came under scrutiny due to
false claims of being a registered New Zealand company.
At the end
of June, the regulator closed one of the more high-profile cases in recent
years concerning alleged violations of the Anti-Money Laundering and Countering
Financing of Terrorism (AML/CFT) Act by Tiger Brokers. In connection with
violations from three to four years ago, the broker had to pay a fine of $900,000.
Damian's adventure with financial markets began at the Cracow University of Economics, where he obtained his MA in finance and accounting. Starting from the retail trader perspective, he collaborated with brokerage houses and financial portals in Poland as an independent editor and content manager. His adventure with Finance Magnates began in 2016, where he is working as a business intelligence analyst.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
In this conversation, we sit down with Drew Niv, CSO at ATFX Connect and one of the most influential figures in modern FX.
We speak about market structure, the institutional view on liquidity, and the sharp rise of prop trading, a sector Drew has been commenting on in recent months. Drew explains why he once dismissed prop trading, why his view changed, and what he now thinks the model means for brokers, clients and risk managers.
We explore subscription-fee dependency, the high reneging rate, and the long-term challenge: how brokers can build a more stable and honest version of the model. Drew also talks about the traffic advantage standalone prop firms have built and why brokers may still win in the long run if they take the right approach.
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
Executive Interview | Remonda Z. Kirketerp Møller| CEO & Founder Muinmos | FMLS:25
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this interview, Remonda Z. Kirketerp Møller, founder of Muinmos, breaks down the state of AI in regtech and what responsible adoption really looks like for brokers. We talk about rising fragmentation, the pressures around compliance accuracy, and why most firms are still in the early stages of AI maturity.
Ramanda also shares insights on regulator sandboxes, shifting expectations around accountability, and the current reality of MiCA licensing and passporting in Europe.
A concise look at where compliance, onboarding, and AI-driven processes are heading next.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
In this conversation, we speak with Aydin Bonabi, CEO and co-founder of Surveill, a firm focused on fraud detection and AI-driven compliance tools for financial institutions.
We start with Aydin’s view of the Summit and the challenges brokers face as fraud tactics grow more complex. He explains how firms can stay ahead through real-time signals, data patterns, and early-stage detection.
We also talk about AI training and why compliance teams often struggle to keep models accurate, fair, and aligned with regulatory expectations. Aydin breaks down what “good” AI training looks like inside a financial environment, including the importance of clean data, domain expertise, and human oversight.
He closes with a clear message: fraud is scaling, and so must the tools that stop it.
Exness expands its presence in Africa: Inside our interview with Paul Margarites in Cape Town
Exness expands its presence in Africa: Inside our interview with Paul Margarites in Cape Town
Finance Magnates met with Paul Margarites, Exness regional commercial director for Sub-Saharan Africa, during a visit to the firm’s office opening in Cape Town. In this talk, led by Andrea Badiola Mateos, Co-CEO at Finance Magnates, Paul shares views on the South African trading space, local user behavior, mobile trends, regulation, team growth, and how Exness plans to grow in more markets across the region. @Exness
Read the article at: https://www.financemagnates.com/thought-leadership/exness-expands-its-presence-in-africa-inside-our-interview-with-paul-margarites/
#exness #financemagnates #exnesstrading #CFDtrading #tradeonline #africanews #capetown
Finance Magnates met with Paul Margarites, Exness regional commercial director for Sub-Saharan Africa, during a visit to the firm’s office opening in Cape Town. In this talk, led by Andrea Badiola Mateos, Co-CEO at Finance Magnates, Paul shares views on the South African trading space, local user behavior, mobile trends, regulation, team growth, and how Exness plans to grow in more markets across the region. @Exness
Read the article at: https://www.financemagnates.com/thought-leadership/exness-expands-its-presence-in-africa-inside-our-interview-with-paul-margarites/
#exness #financemagnates #exnesstrading #CFDtrading #tradeonline #africanews #capetown
Executive Interview | Jas Shah | FMLS:25
Executive Interview | Jas Shah | FMLS:25
Interview with Jas Shah
Builder | Adviser | Fintech Writer | Product Strategist
In this episode, Jonathan Fine sat down with Jas Shah, one of the most thoughtful voices in global fintech. Known for his work across advisory, product, stablecoins, and his widely read writing, Jas brings a rare combination of industry insight and plain-spoken clarity.
We talk about his first impression of the Summit, the projects that keep him busy today, and how they connect to the stablecoin panel he joined. Jas shares his view on the link between fintech, wealthtech and retail brokers, especially as firms like Revolut, eToro and Trading212 blur long-standing lines in the market.
We also explore what stablecoin adoption might look like for retail investment platforms, including a few product and UX angles that are not obvious at first glance.
To close, Jas explains how he thinks about writing, and how he approaches “shipping” pieces that spark debate across the industry.
Interview with Jas Shah
Builder | Adviser | Fintech Writer | Product Strategist
In this episode, Jonathan Fine sat down with Jas Shah, one of the most thoughtful voices in global fintech. Known for his work across advisory, product, stablecoins, and his widely read writing, Jas brings a rare combination of industry insight and plain-spoken clarity.
We talk about his first impression of the Summit, the projects that keep him busy today, and how they connect to the stablecoin panel he joined. Jas shares his view on the link between fintech, wealthtech and retail brokers, especially as firms like Revolut, eToro and Trading212 blur long-standing lines in the market.
We also explore what stablecoin adoption might look like for retail investment platforms, including a few product and UX angles that are not obvious at first glance.
To close, Jas explains how he thinks about writing, and how he approaches “shipping” pieces that spark debate across the industry.
