The United Kingdom’s financial markets watchdog, the Financial Conduct Authority (FCA), today warned that it believes a UK-based company under the name ‘SLS Trade’ has been providing financial services or products without regulatory permission.
Almost all firms and individuals offering, promoting or selling financial services or products in the UK have to be authorised by the FCA.
The address details of the suspicious company are: Shelton Street, 71-75 Covent Garden, London, WC2H 9JQ, and it can be found under the web address www.slstrade.com.
FBS Receives Best Forex Broker Europe 2019 Award by The European MagazineGo to article >>
A brief review of the broker’s website reveals that SLS Trade claims to offer access to over 200 tradable instruments in forex, spot metals, futures and shares using various trading platforms such as MetaTrader 4. In the ‘About Us’ section it makes reference to global offices. However, the company didn’t claim any specific regulatory status in these jurisdictions.
As is the case with similar brokers, SLS Trade is banking on attracting newbie investors who are not aware of the existence of regulatory registers and are ill-informed to take investment decisions. On its website, the unregulated firm has only this statement to reassure its clients: “Recognising client care as a strategic priority, SLS Trade delivers a safe and superior trading experience, along with excellence in every aspect of its operations. The main advantages given below deal with choosing SLS Trade since SLS Trade provides ancillary services.”
Based on this, the watchdog stated in its official statement that it strongly advises investors to only deal with financial firms that are authorised, and check the Financial Services Register to ensure they are. The UK watchdog further stated: “You should be aware that if you give money to an unauthorised firm, you will not be covered by the Financial Ombudsman Service or Financial Services Compensation Scheme (FSCS) if things go wrong.”
Finance Magnates reported recently on the British watchdog when an FCA executive told the FT that they are considering the approval of a “small but significant number of firms” that use blockchain technology within the fintech industry.