The United Kingdom’s Financial Conduct Authority (FCA) shed light on yet another clone firm who has represented itself as Admiral Markets, which is actually a regulated and respected company which provides foreign exchange and CFD’s on the financial markets. The clone firm has been involved in fraudulent activity by posing to be another firm.
They have, however, not explicitly stated that they are regulated, but once you look at the clone firm’s website address (www.admiralmarketsltd.com) it is fairly obvious that it is attempting to fool the prospective retail investors into believing that their services are legal and regulated, when they are obviously impersonating another company, in this case Admiral Markets (UK) Ltd.
The company in question, which is regulated, has been conducting their business for several years now and holds its licence under the UK Financial Conduct Authority (FCA Register No. 595450). The company offers multiple financial services across various European countries, to which they have complete right.
The website of the clone firm, on the other hand, seems to have been suspended for the time being. This means that the complete details of the imposter cannot be found online but regardless of this, there is no doubt that the act was fraudulent and the clone firm was operating under false pretenses which is illegal.
There have been a number of similar cases in recent months, where the clone companies tried to scam retail investors by publishing misleading information and questionable trading practices. The Financial Conduct Authority that these tactics are on the rise and if the clients receive a cold call from any of the firms claiming to be associated with a regulated, legal entity, that they should exercise extreme caution.
Clients also need to make sure that all of their business is conducted by an authorized entity and to check the details of firms they are dealing with through the Financial Services Register.