The UK Financial Conduct
Authority (FCA) last week issued warning against 26 trading and investment platforms operating in
the country illegally. The platforms, which were majorly online forex trading and trading-related platforms, included three clones of firms authorized
and supervised by the British
watchdog.
According to FCA’s warning list,
the clone platforms are Signaturefunding.org, GLG Partners PL and
Robo-investor. These sites impersonated authorized and genuine firms: Signature
Funding Solutions Limited, GLG Partners LP and Activtrdes PLC, respectively.
The other illegal platforms,
which FCA said are targeting UK residents with financial products and services,
include Tresorfx, Trezo Capital, Greenloancl.com, Caplita, Bforexpro and Trader
Minds. Others include XIP Capital
Groups, Prime Markets (primemarkets.com), Growfundsfx and Fundstradefx.
In addition, FCA flagged
Global
Access FX, Ultimosfx, BankersGate, CT Matador, GTSEnergyMarkets FX and FX Global Td. Limited Private Group, PixPal Pro, Dolphin
Movers, Acefinancesystem Ltd, Arrow Solution (arrowsolution.co.uk/), Unity
Global Bank/Unity Global Banking Group (UGB) and Setupsfxtrading, were
also added to the list.
“Some firms may give incorrect
contact details including postal addresses, telephone numbers and email
addresses. They may change these contact details over time,” FCA said in one
of the warning pages. “They may also give you details that belong to another
business or individual, so the information looks genuine.”
The British watchdog’s latest
action shows the continued popularity of illegal online trading platforms in
the UK.
FCA and CFDs Providers
Meanwhile, FCA recently found ‘gaps in surveillance’ among contracts for difference (CFDs) providers in the
country. The regulator noted that these types of firms were not paying enough
attention to market abuse risks in non-equity asset classes.
It also found that the firms
fell short of capturing ‘narrowing the spread,’ which is a market manipulation
practice. This occurs when traders seek to influence the prices of spread bets
or CFDs by placing a buy or sell order of a security with a direct market
access (DMA) brokerage in order to ‘narrow’ the spread of the security and
influence the execution price of a CFD or spread bet based on them.
To redress shortcoming in retail financial markets, FCA is ramping up
its market supervision efforts with the Consumer
Duty, which is a new set of
rules that aims to improve consumer protection. The rule entered its third
milestone on April 30 and is expected to start applying to new and existing
open products or services starting July 31, 2023.
Scope Markets’ new hire; more features on CQG; read today’s news nuggets.
The UK Financial Conduct
Authority (FCA) last week issued warning against 26 trading and investment platforms operating in
the country illegally. The platforms, which were majorly online forex trading and trading-related platforms, included three clones of firms authorized
and supervised by the British
watchdog.
According to FCA’s warning list,
the clone platforms are Signaturefunding.org, GLG Partners PL and
Robo-investor. These sites impersonated authorized and genuine firms: Signature
Funding Solutions Limited, GLG Partners LP and Activtrdes PLC, respectively.
The other illegal platforms,
which FCA said are targeting UK residents with financial products and services,
include Tresorfx, Trezo Capital, Greenloancl.com, Caplita, Bforexpro and Trader
Minds. Others include XIP Capital
Groups, Prime Markets (primemarkets.com), Growfundsfx and Fundstradefx.
In addition, FCA flagged
Global
Access FX, Ultimosfx, BankersGate, CT Matador, GTSEnergyMarkets FX and FX Global Td. Limited Private Group, PixPal Pro, Dolphin
Movers, Acefinancesystem Ltd, Arrow Solution (arrowsolution.co.uk/), Unity
Global Bank/Unity Global Banking Group (UGB) and Setupsfxtrading, were
also added to the list.
“Some firms may give incorrect
contact details including postal addresses, telephone numbers and email
addresses. They may change these contact details over time,” FCA said in one
of the warning pages. “They may also give you details that belong to another
business or individual, so the information looks genuine.”
The British watchdog’s latest
action shows the continued popularity of illegal online trading platforms in
the UK.
FCA and CFDs Providers
Meanwhile, FCA recently found ‘gaps in surveillance’ among contracts for difference (CFDs) providers in the
country. The regulator noted that these types of firms were not paying enough
attention to market abuse risks in non-equity asset classes.
It also found that the firms
fell short of capturing ‘narrowing the spread,’ which is a market manipulation
practice. This occurs when traders seek to influence the prices of spread bets
or CFDs by placing a buy or sell order of a security with a direct market
access (DMA) brokerage in order to ‘narrow’ the spread of the security and
influence the execution price of a CFD or spread bet based on them.
To redress shortcoming in retail financial markets, FCA is ramping up
its market supervision efforts with the Consumer
Duty, which is a new set of
rules that aims to improve consumer protection. The rule entered its third
milestone on April 30 and is expected to start applying to new and existing
open products or services starting July 31, 2023.
Scope Markets’ new hire; more features on CQG; read today’s news nuggets.
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- Source: https://www.financemagnates.com//forex/fca-flags-26-illegal-trading-and-investment-platforms/
