The Hong Kong financial regulatory authority has been regularly issuing warnings against fraud companies to the investors. Keeping a close eye on forex brokers, SFC warning against OSG Forex is its latest efforts to block scam. Is OSG Forex a reliable broker?
5 October, AtoZForex – The Securities and Futures Commission (SFC) of Hong Kong has made an addition to its alert list to protect its investors from a scam. In its latest warning against unlicensed FX brokers, the financial regulator has issued a warning against OSG Forex/Optimum Standard International Group Limited for offering unauthorized services.
SFC warning against OSG Forex: Is OSG Forex a reliable broker?
The website of the firm shows that it offers to trade in FX using the MT4 trading platform. Similarly, it also offers to trade in commodities like gold and silver. SFC says that the firm doesn’t have authorization to carry out any financial services in the country. Moreover, the firm also claims a fake address in Hong Kong.
SFC issues regular warnings against fake companies that offer trading and other financial services to the public without authorization. Also, the watchdog suggested investors should check its website for a list of licensed entities.
Concerning this fact, it urges the public to check a list of issued warnings. In a related statement, SFC says that unlicensed firms often use names that are similar to licensed ones in order to mislead the public. However, it has become standard practice for regulatory authorities to issue warnings to prevent public from investing their funds into scams.
Recently, according to a report, the watchdog has warned the public against the Forex broker Trading Banks too. The firm was operating as the unlicensed entity and believed to have targeted investors. The company was offering a range of trading services including Forex, CFDs and metal trading. The Trading Banks was located at Gorg Borg Oliver St, Suite 4, Number 62/63, Morina Court St. Julians, Malta.
SFC warning against ICOs regulation
Similarly, in September, it had issued warning against 3 financial services companies which were operating without a license and using Hong Kong bank accounts. The companies named as Escuela Trades, Financial Access Asia Limited and Werner Stocker.
However, Hong Kong’s securities watchdog had also warned against initial coin offerings (ICOs) after China ICOs ban. It believes ICOs are attracting investors with the promise of returns. The statement was the first from the Hong Kong watchdog regarding the marketing of virtual currencies. However, the statement from the SFC did not explicitly ban ICOs but warned some types of offerings were likely to face regulatory scrutiny.
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