YoutradeFX, a provider of margin FX has been given a slap on the wrist from Canadian state regulator, the Ontario Securities Commission (OSC), the financial watchdog which governs financial services in the region has found the firm marketing its products and services to residents of Ontario. A conduct only authorised by regulated brokers.
In the notification issued by the regulatory authority, the order states: ‘YoutradeFX solicits investors to open trading accounts to conduct electronic transactions on foreign exchange markets (Forex) and invest in certificates for difference (CFD), in particular on precious metals, indexes, commodities and stocks. These companies are not registered to sell derivative products in Ontario and are purported to be located in the United Kingdom and Mauritius respectively.’
FXTM Appoints Marcelo Spina as Global Head of PartnershipsGo to article >>
Canada is gradually building its position as a destination for FX and CFD trading. In Forex Magnates’ detailed Quarterly Industry Report Q2 2013, the status of Canada’s FX market was covered. Gain Capital was the most recent broker to receive regulatory approval. UK-based CMC Markets has been one of the most popular brokers with an established presence in the North American country.
YoutradeFX operates under several brand names, however its (main) domain www.yourtradefx.com is linked to its Australian entity. The firm is regulated by ASIC with Regulation No. 398528.
On the firm’s UK website, a notification appears (using UK IP address): “Youtrade Capital Markets has applied to the Financial Conduct Authority for a Voluntary Variation of Permission, this in effect means that the company can no longer conduct any investment business in the UK. If you have any questions regarding this notice please contact either Adele Swain or Adrian Jackson on +44 203475 4422.“