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UK’s FCA warns of AGM Group and Sigma4Trade clone firms

Jun 13 2019
By
Jonathan Smith

 

The UK’s Financial Conduct Authority (FCA) has recently updated its warning list with AGM Group and Sigma4Trade – two forex brokers that falsely claim to operate under legit companies, licensed by the regulator. This is a popular scam tactic often referred to as “a clone firm”.

 

 “… Fraudsters usually use this tactic when contacting people out of the blue, so you should be especially wary if you have been cold called,” the FCA reiterates in its notices. Furthermore, it states that such clone firms are suspected of knowingly participating in investment scams.

 

According to the UK financial watchdog, AGM Group (operating from the agm-invest.com website) is not authorized to offer, promote or sell financial services or products in the UK. The people behind the brand are trying to mislead investors that they work for AGM Financial Services Ltd, a FCA appointed representative firm providing life & private medical assurance, income & mortgage protection, and more. In fact, AGM Group is nor related in any way to the FCA-authorized entity, the regulator says.

 

We would like to add that AGM group is not related to CySEC-regulated brokerage AGM Markets either, despite the similar-sounding names.

 

Likewise, forex brokerage Sigma4Trade (Sigma4trade.com) has nothing to do with Sigma Broking Limited – a company licensed in the UK, which allegedly provides global access to the world's major exchanges and Futures and Options products. Instead, the company behind it is registered offshore.

 

We always advise our readers to look for the company names of forex and CFD brokers on their websites and to check whether the they are licensed in the respective jurisdictions. The UK financial regulator keeps a Financial Services Register, where investors can look up their (potential) broker’s name. Also, it is a good idea to do a due diligence check before you deposit and google the broker name to see whether there have been warnings against it or user complaints.

 

 

>> Check out a list of brokers authorized by FCA <<

 

TAGS: FCA  warning  AGM Group  Sigma4Trade  clone  scam  UK 
Broker Country Regulation Platform Min Deposit Review
US CFTC, NFA MT4, Web,
in-house
$50 Review Website
US NFA, CFTC MT4 $250 Review Website
Cyprus, UK, Mauritius CySec, FCA, FSC MT4, MT5, Web $10 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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