WikiFX Articles and Updates

[WikiFX]

Nowadays, there has been an increasing number of illegal forex brokers with more sophisticated traps. Seeing that some investors have made loss at the bearish stock market and are eager to turn their fortune around in seeking instant profits, the forex scammers target such investors and lure them into carefully-devised traps.

Recently, WikiFX received a complaint from Mr. Zhang against the illegal broker ShengTong, who swallowed up his US$ 6,000 of deposit within a month. By exposing the illegal broker, WikiFX hopes investors can draw on Mr. Zhang’s experience and watch out for such forex scams.

Exposure of the illegal broker
Complainant: Mr. Zhang
Illegal broker: ShengTong
Broker’s website: www.shengtongfx.com
Withdrawal status: unable to withdraw
Broker’s status: unavailable

I knew the introducing broker of ShengTong through my friend. The IB agent told me that the stock market had been tumbling down-slope lately and recommended forex investment, saying that it’s more flexible and a better choice for hedging risks, while trading through leverage can multiply the profits. Tempted by her words, I decided to try my luck and made deposits worth of several thousand US dollars. By August 1st, I was able to make some profits, and the IB suggested me to increase my investment. However, I decided to withdraw the same day since I wasn’t that familiar with the platform. But ShengTong ignored my withdrawal application for over a month. What’s worse, I later logged in my trading account and found there was only US$ 0.33 left. By then I realized I was defrauded.

Analysis
According to Mr. Zhang’s conversation with ShengTong’s IB agent, the agent refused to take any responsibility of the withdrawal failure, saying that she’s “only the IB agent, not the broker itself” and blamed the withdrawal failure on “third-party withdrawal channel delay”. When Mr. Zhang made further inquiries about his withdrawal, the agent stopped replying altogether, which is typical of illegal brokers who are good at “playing dead”. However, many gullible investors still become their victims, sometimes even more than once.

A platform where investors have great difficulties withdrawing or more often, can’t withdraw at all, usually has poor regulation and compliance. Many of these are illegal brokers without regulation, yet they tend to fool investors by stepping up marketing budgets on their misleading advertisements. Therefore, investors should protect their assets by getting to know a broker in all aspects through different information sources.

Summary
Per investigation, ShengTong was registered in China and has been in business for less than a year. Currently unregulated, the broker is rated at 1.24 on WikiFX App and bears substantial risks.

Conclusion
All types of investment come with certain risks and forex is no exception. To constantly make exceptionally high profits is something next to impossible. Illegal brokers tend to seduce investors with small profits and coax them into increasing their investment, and once they do, they soon begin losing money.

Investors may visit WikiFX App or the official website to check more exposures of illegal brokers, and you may also report illegal brokers by contacting us at [email protected]. Together, we can improve the forex environment by nipping illegal brokers in the bud.

 

[WikiFX]

In this August, escalation of the Sino-US trade conflict, Federal Reserve interest rate cut and a hard Brexit continue to destabilize the global forex market and fuels into investors’ risk-hedging sentiments. As the RMB plunged, GBP tumbled downhill and US Treasury bonds showed inverted yield curve, the currencies of SE Asian countries were also affected and dropped drastically.

SE Asian economies suffered much from the collateral damages of the trade war between China and the US. Being the world’s two largest economies, China and US not only bruised each other, but also hurt the economy of SE Asia by locking up in a tit-for-tat trade war. Since China is the largest trade partner of ASEAN countries, the high level of economic inter-dependency between them means ASEAN countries face greater pressure as China’s export decreased.

Statistics of SE Asian countries in the second quarter of 2019 showed signs of economic slowdown. Singapore’s GDP in Q2 grew by 0.1% year-on-year, the lowest in a decade. Besides Singapore, Indonesia, Thailand and the Philippines also saw their growth in Q2 lower than that of Q1. Although the central bank in Malaysia released more positive data, analysts in Malaysia warned that the accumulating global risks also post significant challenges to Malaysia’s economic outlook.

In addition, in the forex report of the first half of 2019, the US Treasury added Malaysia, Singapore and Vietnam to the watch list of currency manipulators, targeting the forex industry in SE Asia. US Treasury estimated in the report that in 2018, Singapore’s net purchases of foreign currency reached at least 17 billion USD, which was equivalent to 4.6% of its GDP, while Malaysia’s central bank made net sales of foreign currency equivalent to 3.1% of its GDP; Meanwhile, Vietnam’s current account balance gained a surplus of over 5 percent of GDP in the four quarters through June 2018. Although Monetary Authority of Singapore (MAS), Malaysia’s central bank and the Vietnamese government all dismissed accusations of currency manipulation, US may still impose sanctions over these countries, such as restricting US businesses from investing in SE Asia, or taking further measures such as imposing tariff penalties on certain SE Asian countries.

John Lee, CEO of the May Bank’s Singapore branch, pointed out during an interview with The Nikkei: “The US government wants more than targeting China. Ultimately, it aims to reverse the current trade imbalance with many countries, ASEAN countries could be the next targets if they continue to maintain a trade surplus against the US.”

Against the backdrop of an ever-changing global market, investors in SE Asia can follow forex news and market trends closely and adjust your investment accordingly to minimize your risks. You may also download WikiFX App to conveniently check forex data, market news and broker information.

 

[WikiFX]

 

[WikiFX]

On September 21st, 2019 (Vietnam local time), WikiEXPO HCMC will officially kick off in Windsor Plaza Hotel, HCMC. Hosted by WikiFX and sponsored by forex brokers including ICM, Horseforex and GKFX, it’s the first forex exhibition that WikiFX organizes in Vietnam this autumn. Partnering with Vietnam’s leading financial media VietStock, WikiEXPO promptly releases event updates online and offline, while WikiFX invites top forex gurus in Vietnam to the event to share with investors their analysis of trading strategies and insights on forex market trend. In addition, the participants will have a chance to win wonderful prizes through lucky draws.

Click to view the latest updates in WikiFX App

Event highlights
Themed on “Connecting Asia and Building Mutual Trust”, the exhibition consists of trading technique discussions and exhibitor keynote speeches that run parallel to each other. Meanwhile, investors can enjoy tea breaks and several rounds of lucky draws.

Snapshots from WikiEXPO 2019 in Malaysia

Why attend WikiEXPO ?

Zero-cost to pick the right broker

Asset safety is a widely discussed issue of the forex circle and something that constantly worries investors, and choosing a compliant broker is key to investors’ asset security. WikiEXPO provides a chance for investors to directly interact with forex brokers and learn about the vision and products of these companies through exhibitors’ presentations, so they can make more informed judgements about a broker’s credibility. This not only helps investors find quality products and services, but also reduces their risks in future investment.

Part of the exhibitors and forex brokers

Zero distance to forex gurus and industry dynamics
Besides connecting investors and forex brokers offline, WikiEXPO HCMC also brings together top traders and professionals of the forex circle to share their expertise and ideas over topics that appeals to most investors, such as the prospect of forex industry in Vietnam, the most helpful forex trading strategies and how to keep the right trading mindset. Throughout the presentations of prestigious forex experts and opinion leaders, investors can further learn about key factors shaping the regional forex market in SE Asia from the speaker’s fundamental analysis on forex market. They can also raise questions for discussion and improve their trading techniques through face-to-face communications with the speakers.

Part of the key note speakers in no particular order

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About WikiFX
WikiFX is a third party search platform that allows investors to verify the authenticity and compliance of forex brokers. It offers investors comprehensive services such as broker’s compliance, regulation and license search, risk warnings, credibility review, verification and supervision, investors’ complaint forum, credit report download and related brokers search. Through these services, WikiFX aspires to help investors weed out illegal brokers and protect them during their investment.

 

[WikiFX]

Cryptocurrency has definitely become a popular asset among investors. Besides the much-talked-about Bitcoin, there’s Libra, a cryptocurrency introduced this June by the social media giant Facebook. Facebook also plans to implement Libra on its messaging platforms WhatsApp, Facebook Messenger and Instagram. Meanwhile, FCA(UK) warned that investors who are unfamiliar with the field but expect to make a fortune overnight through trading cryptocurrency may be too confident about their understanding of the asset.

Mainstream cryptocurrencies have been on the rise lately. With Bitcoin once again exceeding US$10,000, many investors on the market increased their investment. However, many illegal brokers also use Bitcoin as a bait to lure investors into their traps, and FOREXBIT is one of such brokers. On its website, FOREXBIT claims to “offer private investors an easy and complete set of tools for their trading and investment”. By addressing clients as “private investors”, the broker apparently means to attract even more investors by creating them the impression that they’re receiving additional care and special services from the company.

FOREXBIT’s website
According to WikiFX App, FOREXBIT has been in business for less than a year and doesn’t use MT4/5 trading software. It has received low scores in terms of license, regulation, professional capability, risk control and software, leading to a poor rating of 1.19 on WikiFX App. Investigation shows the broker is currently unregulated, bearing tremendous risks.

FOREXBIT is rated at 1.19 on WikiFX App
Notably, FCA(UK) had blacklisted FOREXBIT on August 29th this year and released its information on FCA official site. According to FCA, FOREXBIT had been providing financial services and products in UK without authorization, and though the broker claims to mainly serve British investors, offering comprehensive global investment services including forex trading, FCA clarified that FOREXBIT’s registration was fraudulent and the company has no permission to provide financial services in the UK.

FCA announced that FOREXBIT’s business in UK is unauthorized and illegal
Though cryptocurrency has gain wide appeal among both investors and business giants, regulators in most countries have been caution over the currency. As FCA mentioned, investors tend to overestimate their knowledge of this asset, so investors are not suggested to entrust your capital to any broker without carefully verifying its credibility first. If you have doubts about a broker’s compliance, you can check the websites of regulation authorities for information, or download WikiFX App to view broker’s profile in a click.The App also offers investors exposures of illegal brokers to help investors make safer investment.

 

[WikiFX]

Broker: Alfa Capital
Visited on: August 18th, 2019
Conclusion: the broker truly exists

On-the-spot investigation
Regulatory information shows that Alfa Capital, holder of CySEC(Cyprus)’s MM license, is at the 4th floor of Julia House on 3, Themistokli Dervi in Nicosia.

Themistokli Dervi is a main street in the pedestrian zone of Nicosia’s CBD, where many renowned global companies are located. We reached Julia House and noticed the logos of Alfa Capital and Alfa Forex as soon as we entered the lobby. Taking the elevator to level 4, we soon found the office of Alfa Capital and Alfa Forex. From what we saw while we communicated with the company staff, the office has about 40 cubicles and is of considerable size. We confirm that Alfa Capital’s office in Cyprus really exists.

Analysis
Alfa Capital’s websites shows the company to be a subsidiary of ABH Financial Limited. The company has been under the regulation of Cyprus Securities and Exchange Commission(CySEC) since 2004, holding license number 025/04. Per investigation, information from Alfa Capital’s website matches the regulatory information from CySEC. The company was issued forex brokerage license on May 4th, 2004 and has been in business for over 15 years.

Given that CySEC was only established in 2003, Alfa Capital which managed to register and obtain a license in 2004 is truly among the forex pioneers of Cyprus. Despite incidents in recent years that raised questions about the soundness of Cyprus regulation, Alfa Capital continues to grow against unfavorable conditions, showing its strength and capability.
Conclusion

WikiFX App shows that besides the MM license of CySEC(Cyprus), Alfa Capital also holds EEA license of FCA, demonstrating rich expertise through over 15 years of experience in forex brokerage. The broker is rated at 7.33 on WikiFX App and has a satisfactory performance. However, as Alfa Capital uses non-MT4/5 trading software, investors are suggested to remain cautious during your investment to ensure the safety of your assets.

 

[WikiFX]

 

[WikiFX]

The next week-and-a-half bring a busy economic calendar loaded with items of interest, key of which are Central Bank rate decisions out of Europe and the FOMC. FX markets are relatively quiet with the big drivers on the horizon, but a number of areas present pockets of potential opportunity.

In the US Dollar, the currency is holding at a key zone of resistance that runs from 98.33-98.50, which can help to keep the door open for short-side strategies.

Is this the meeting where the European Central Bank makes another throw into the QE array?
More articles in my Facebook: wikifxmalaysia

#FX #EUR #USD #WikiFX

 

[WikiFX]

WikiFX Helps Investors Verify Brokers in a Click


Unlike other financial markets, the forex market is not a tangible place in reality where forex deals take place. Instead, It’s a network of transactions between banks, businesses and individuals - a virtual market in which forex brokers play the crucial role of intermediary. The booming forex industry has seen a proliferation of forex brokers of mixed qualities, making it hard for investors to verify brokers’ profiles and decide which is trustworthy. Consequently, investors often fall victim to forex scams during investment.

Forex is a thriving industry, and its sound development not only requires the professionals’ adherence to their code of ethics, but also needs the supervision of media, particularly leading industry media like WikiFX, in the Information Age.

The greatest highlight of WikiFX is that it allows investors to conveniently check a broker’s profile by a simple click. One of the most important factors that investors consider when choosing a broker is regulation, and when investors look up a broker on WikiFX website or App, they can click into the broker’s interface to view its regulatory information in detail, including regulatory status, license category and time in business. The interface also includes broker’s official website, and by cross-checking the broker’s regulatory information and its website, investors can gain a better idea of a broker’s credibility. Here is an example of the broker FOREX.com.

Interface of FOREX.com from the WikiFX App

From FOREX.com’s interface on the WikiFX App, we can clearly see the broker is overseen by US regulatory body, holding MM licenses and retail forex brokerage licenses from NFA(US), FCA(UK), MAS(Singapore) and other institutions. With over 15 years of experience in forex, FOREX.com is a well-established broker of excellent compliance. Investors can also find the 2 special features of WikiFX on the page: “WikiFX rating” gives a direct representation of a broker’s overall qualification in the form of a score, and “WikiFX field survey” presents the broker’s office environment in reality and offers investors an all-round view of the broker.

On the ever-changing forex market, the importance of a reliable broker is self-evident. The powerful database of WikiFX enables it to comprehensively collect and manage the information of brokers, and through the monthly lists of top ad-spending brokers and most-complained brokers, as well as the trial-trading results of brokers at key market moments, WikiFX strives to offer investors valuable, reliable information. Promoting the robust development of the forex industry is the shared duty of media and professionals alike, and WikiFX is always on the way.

 

[WikiFX]

Broker: BSI
Regulatory status: unregulated broker
Complainant: Mr. Ai
Cause of complaint: withdrawal failure

With the rapid development of forex industry, more young investors are entering this market. However, many of them lack sufficient experience in forex trading. Here’s a complaint against the illegal broker that WikiFX lately received from a young investor, Mr. Ai.

Event recap
Mr. Ai first saw BSI’s advertisement online in December, 2018. BSI claimed itself to be a long-established broker under FCA supervision, so Mr. Ai, inexperienced in forex trading, was fooled by the broker’s advertisements on its website and made US$ 30,000 of deposits at BSI. Having successfully made the deposits, Mr. Ai seized opportunities on the market and made some profits. This August, he applied to withdraw for the first time and filled out the application form according to the platform’s instructions. But unexpectedly, the system popped up a message which says “thank you for your participation” after Mr. Ai submitted the application, and he later found no record of his withdrawal in his trading account, indicating that the so-called “withdrawal channel” of BSI wasn’t working at all. Later Mr. Ai tried emailing the customer service about the matter, but his email was blocked and couldn’t reach the broker’s inbox. To date, Mr. Ai still has a large sum in his account unable to be withdrawn.

Analysis
While the age of Internet brings ubiquitous online advertisements into our everyday life, the downsides, such as unverified information and misleading contents, are also hard to neglect. To expand their market share, illegal forex brokers make every effort to attract investors through hype advertisements consist of ambiguous, misleading or even deceptive information. Mr. Ai is clearly among the victims of such advertising pitfalls. Per checking the FCA website, the regulatory number “472164” of BSI’s alleged license doesn’t exist.

When facing the endless advertisements on the market, investors need to cross-check any information received, rather than relying on a single source, to ensure what you got is authentic and reliable information.

Among the investors who seek WikiFX’s help after being defrauded, Mr. Ai is a relatively young one, which further proves the trend that forex investors are getting younger these days. Instead of making risky bets, young investors should learn to stay cool-headed during investment and eventually accumulate trading experience, while choosing a credible and compliant broker by checking its information through multiple sources.

Conclusion
According to WikiFX App, BSI does not have FCA regulation as it claims, and is marked illegal on WikiFX App. Please stay away from the broker.