The Swiss Financial Market Supervisory Authority has published a communique on its website, exposing a new entity proclaiming on its website to having an office in the country. AlgoBanque’s website falsely asserts that the company is based in Geneva, when in reality its roots are most likely off shore.
Several internet entities have been systemically abusing the vulnerability of trustworthy clients, soliciting them to deposit into different types of forex and binary options brokers or managed accounts setups.
In the case of AlgoBanque, the web entity proclaims that it has a “European Branch Office” in Switzerland, but as often is the case, it hasn’t been registered nor authorized to provide financial services within the European Union.
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The company also lists a number of telephone numbers in different countries on its website, but as we all know, getting a landline telephone number in many countries in the world is not only possible, but also quite inexpensive.
AlgoBanque claims on its website to be providing algorithmic trading solutions to its customers, however, in the website it claims close to 100 percent returns on some of the strategies it uses. Even the so called “AlgoBanque Safe Side” strategy which is being branded as “conservative” has returns amounting to 35 percent on an annual basis.
Any investment manager with substantial experience in the markets knows that similar returns from an unregulated entity are dubious and not very credible to say the least.