Sweden FI warns against offshore FX broker PremiumBorsa
PremiumBorsa is not authorised to provide financial services according to the authority of the country in which it claims to be domiciled.
Offshore FX brokers are websites which offer retail clients trading in forex pairs, CFDs and often cryptocurrencies, while located in one of many “offshore” locations. These include brokers which are licensed by small island and nation-states with the more popular ones being Belize, Seychelles, Mauritius, Saint Vincent and the Grenadines, the British Virgin Islands (BVI), and the Bahamas. Other offshore FX brokers are fully unlicensed, and operate with no regulatory oversight of any kind.
Offshore brokers typically can offer more risky terms to clients than can properly licensed, onshore brokers (such as those located in Europe, Australia, or North America), such as high leverage and volume-related deposit bonuses. However when things go wrong, clients of these offshore brokers typically have no recourse, and no real regulator to turn to,
PremiumBorsa is not authorised to provide financial services according to the authority of the country in which it claims to be domiciled.
The move comes not long after GO Markets obtained a Broker License from the UAE Securities & Commodities Authority.
These bring to 279 the total number of sites which have been blocked by CONSOB since July 2019, mainly offshore FX broekrs.
UK financial regulator The FCA has issued a warning regarding offshore Retail FX and CFDs broker OBTFX, which operates the obtfx.com website.
The websites mentioned by CySEC seem to be a collection of offshore Retail FX, CFD and Binary Options brokers.
Most of the added entities are offshore Retail FX and CFD brokers. The CFTC’s RED List now contains 168 entities.
Matthew Kent had been in various senior sales roles at retail forex brokers Infinox Capital, City Index, and CMC Markets.
JP Morgan began actively trading FX NDFs on 24 Exchange and remains one of the most active dealers on the platform.
Tradezone247 claims on its website that its parent company is regulated by the UK Financial Services Authority, giving a false license number.
BlackBull was founded in 2014 by Michael Walker, and has operated since then as a registered (but unlicensed) financial services provider.