BaFin Warns Against ISC Bank


BaFin warns against ISC Bank, Atlantic Global Asset Management (AGAM) and Five Winds Asset Management. The regulator warns to exercise caution when dealing with these firms.

4 September, AtoZ Markets The financial regulator of Germany, the Federal Financial Supervisory Authority (BaFin) has added three new firms to its warning list. To be more specific, the financial watchdog has issued a cease and desist warnings against two asset management companies, namely Atlantic Global Asset Management (AGAM) and Five Winds Asset Management. The third firm that has made it to the warning list of BaFin is ISC Bank. 

Atlantic Global Asset Management (AGAM) and Five Winds Asset Management

Speaking about the first two firms that were blacklisted by the German regulator, it is worth to note that these companies offer investment products to investors that are based in Germany without any authorization to do so. This practice very often signals a scam company. 

The cease and desist orders are effective immediately, according to the German watchdog. BaFin also noted that these notices are not final. 

As per the official statement on the website of the regulator, both firms provide an opportunity to invest in portfolios via their websites and a network of agents. Some of the agents are based in Germany. AGAM reportedly operates through www.atlanticgam.es, and Five Winds is operating online via www.fivewindsam.com

Both firms claim that investors can receive returns based on the performance of their portfolio. However, it seems that investors themselves are not able to make any investment decisions regarding the financial instruments they are investing in. Moreover, the investment strategies of the firms are not detailed. 

BaFin warns against ISC Bank

In addition to the abovementioned two firms, the German regulator has issued a warning against ISC Bank. The entity purports to act as a German bank operating online via the website www.iscbank.de. Yet, the German watchdog has noted in its statement that this is not true. 

As a matter of fact, the company does not hold any permission from BaFin to execute banking transactions in German, as it is not an authorized bank. 

ISC Bank, however, claims on its website that it is a modern mobile bank and an investment solution firm. The company states that it offers consumers a bank account “features built for real people”. The features supposedly make sending, saving and keeping money safer much easier for clients of the bank.

BaFin highlights that consumers should exercise caution when dealing with any of the abovementioned firms. As the number of scams in the financial sector is growing, it is very important for investors to do their due diligence and double check the reliability of the company before investing with them.

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