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Italy’s CONSOB blacklists unregulated brokers FSMSmart, Dax1001, and Capital4bank

Feb 25 2019
By
Jonathan Smith

 

The latest additions to the growing warning list of Italian financial regulator CONSOB include unregulated brokers FSMSmart, Dax1001, and Capital4bank. Not only that, but CONSOB also ordered all of them to discontinue offering investment services and activities to the Italian public without an authorization.

 

None of the above-mentioned brokerages is licensed, and therefore they are not entitled to operate in Italy, the European Union in general, nor on any other regulated market.

 

FSMSmart is operated by offshore company FSM Smart Limited. The broker’s reputation is rather bad (considering the number of negative user comments on our website) and the company already present in the warning lists of several other regulators. FSMSmart was blacklisted by Switzerland’s financial markets and services regulator FINMA (as the broker’s website actually features contact address in Lucerne, Switzerland), as well as by the Canadian provincial regulator Manitoba Securities Commission (MSC).

 

Capital4bank is also an offshore broker. It is allegedly owned by Capital Com Investment LTD, registered in St. Vincent and the Grenadines. Furthermore,  the broker’s presentation  (About Us section of the website) is exactly the same way as  those of 4xbrands, 4xbankers, Tradeu2 and a number of other shady brokerage brands. Actually, their trading conditions and account types are almost identical too, which inclines us to suspect that the people behind those brokers are the same. Having different brand names and domains is a popular scam tactic.

 

The website of Dax1001 features two company names: One Thousand One Ltd, registered in the Marshall Islands, and Bulgarian One Lable limited. None of them holds a valid forex broker’s license. Besides, although the broker offers trading on the MetaTrader4, its spreads are higher than the average.

 

In Italy, as in any other EU Member State, financial intermediaries are not allowed to operate without proper authorization issued either from the local authorities, or from any financial regulator of another EU country. When engaging with brokers that do not operate on the grounds of a valid license, issued from a trustworthy authority, traders are putting their investments at higher risk.

 

Below, you can find some of the best forex brokers legally operating in the Italy.

 

 

>> Forex brokers authorized to operate in Italy <<

 

 

TAGS: CONSOB  warning  FSMSmart  Dax1001  Capital4bank  Italy  scam 
Broker Country Regulation Platform Min Deposit Review
Cyprus, UK, Mauritius CySec, FCA, FSC MT4, MT5, Web $10 Review Website
Cyprus, SVG CySEC MT5, Web,
cTrader
$100 Review Website
Australia ASIC MT4, MT5,
IRESSTrader
$100 Review Website
Cyprus, Australia CySec, ASIC MT4, MT5 $5 Review Website
UK, Australia, South Africa FCA, ASIC, FSCA MT4, Trading
Station,
NinjaTrader
$50 Review Website
UK, Cyprus, UAE, South Africa FCA, CySEC, DFSA, FSB MT4, MT5, FxPro
Markets,
cTrader
$100 Review Website
Cyprus CySEC MT4, MT5, Web $1 Review Website
Belize IFSC MT4, MT5 $100 Review Website
Cyprus, UK, South Africa, UAE CySec, FCA, FSCA, DFSA MT4, MT5, Web $5 Review Website
Cyprus, UK CySEC, FCA MT4, MT5 $1 Review Website
UK FCA MT4, Web, MT4
for Mac
$100 Review Website
Australia, UK ASIC, FCA MT4, MT5,
cTrader
$200 Review Website

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