7 List of Deceptive Forex Brokers That Beginner Investors Must Know
Rancakmedia.com – In this article we will provide a list brokers fraudulent forex that you should know so as not to be affected. The Forex broker itself functions as an intermediary between you as a trader and a market network that connects transactions with all market participants around the world, especially large multinational banks.
So you won't be able to trade forex without the help of a broker. As an expert trader, you will never be misled by fraudulent forex brokers. It could be, because a friend, you trust a forex broker.
Then without thinking, you trade there and find certain anomalies until you can't withdraw any money. To prevent this, see the list of fraudulent forex brokers in Indonesia. This is the review here.
How to Recognize a Fraudulent Forex Broker
Many traders may fall victim to forex scams for various reasons. First, the lack of interest of traders in choosing a forex broker that is registered with the regulator because most trusted forex brokers require significant deposits.
Secondly, it is the attraction of greater income in trading with fraudulent forex brokers that lures traders. Third, the lack of awareness and information about client fraud by forex brokers has caused many traders or investors to choose brokers that have been labeled fraudulent by regulators.
Several reasons cause a forex broker to be labeled a fraudulent forex broker, such as:
- Not registered with an official regulator such as Bappebti or a national regulator (if the forex broker is international). However, it contains claims that the regulator has registered.
- The regulator has revoked the official license of the forex broker, because it has committed serious violations.
- Failed withdrawals have been reported for no apparent reason and proven to deceive traders or investors.
You can also find out the reputation of the forex broker before trading or investing; find out the list of the most confident forex brokers vetted by traders and investors. You might as well just browse the internet or ask experienced traders in person.
The experience of traders can be a reference for you. Note that you often hear fake forex broker lists from experienced traders or investors. Make sure you can also distinguish between facts and emotional views.
List of Fraudulent Indonesian Forex Brokers
Choosing the best forex broker is one of the keys to successful trading or investment. To prevent fraud from consuming you not only financially and emotionally. The following is a list of fraudulent forex brokers based on Bappebti's report:
1. PT Arta Mas Futures was formerly known as PT Bimasakti Berjangka
On April 9 2020, PT Arta Mas Futures officially revoked its license as Bappebti PT Bimasakti Futures. This revocation was carried out because the Jakarta Futures Exchange had frozen its membership status.
The Arta Mas Futures report from Kontan is facing lawsuits from three customers because they are deemed to have not issued IDR 2.48 billion, IDR 760.61 million and IDR 30.39 million respectively.
2. PT Arta Berjangka Nusantara
The Jakarta Futures Exchange ended Artha Berjangka Nusantara's membership status on June 5, 2008. This brokerage company, quoted from Detik, was proven to have committed several serious violations to the point where it was included in the list of fraudulent forex brokers.
Due to several reasons such as unclear office addresses and telephone numbers, it is difficult for customers to claim accounting and customers have difficulty withdrawing money from customer equity.
Ownership and resignation are carried out by the management of Artha Berjangka Futures so that no party is responsible for these business activities.
3. PT Axo Capital Futures
On June 30, 2014, PT Axo Capital Futures Bappebti revoked the permit of PT Axo Capital Futures. The Jakarta Futures Exchange also carried out this revocation because many violations were detected, thus adding to the list of fraudulent forex brokers that you should be aware of.
CoFTRA determined that Axo Capital Futures had relocated its office from Bisnis. This brokerage firm also misuses customer money for company operations.
In addition, Axo entered into agreements with articles inserted to weaken the customer's position and there were customer transactions that were not disclosed to the Jakarta Futures Exchange and which were not recorded at the Indonesian Futures Clearing House.
4. PT Buana Investment Global Futures
On January 7, 2011, PT Buana Global Futures Investment CoFTRA and the Jakarta Futures Exchange suspended the PT Buana Investment Global Futures license. D
follow from the Bisnis site, this broker has been registered as a fraud forex broker for unlawful acts, especially the misuse of customer money in segregated accounts.
5. PT Cayman Trust Futures
Quoted from Antara News, on 9 September 2008 CoFTRA revoked the Cayman Trust Futures License. This revocation was carried out because the Jakarta Futures Exchange had frozen the membership status of this intermediary broker.
In the list of fraudulent forex brokers, Cayman Trust Future is included because there have been significant violations, such as keeping customer funds in separate accounts or separate accounts but in company accounts.
Customer money is also misappropriated by using it for business operational purposes and creating accounts for other brokerage firms. As a result, it is difficult for customers to withdraw money.
KKP also manipulates the data provided to CoFTRA and BBJ and KBI to produce monthly reports. The figures stated do not reflect the current situation.
6. PT Danagraha Futures
Danagraha Futures is the latest among fraudulent forex brokers whose license has been revoked by Bappebti. On July 9 2018, this brokerage company was officially terminated and BBJ revoked Danagraha Futures membership on July 11 2018.
This brokerage business reports from many news sites and is said to be able to detect a maximum loss of 6% any time with the promise of withdrawing money to traders or investors through trading signals of two to three percent every month.
Fixed customer money is not returned. Danagraha Futures customers experience a total loss of Rp. 13 billion to 14 billion.
7. PT Graha Finesa Berjangka
Allegedly collecting customer funds of up to 2.1 trillion, after the suspension of the membership of this brokerage firm by the Jakarta Futures Exchange, CoFTRA revoked PT Graha Finesa Futures' license. Graha Finesa has been taken to the Central Jakarta District Court with a total of 61 customers.
Graha Finesa offers inadequate and deceptive information to harm customers, according to various news sites. This forex broker misunderstands potential customers through mainstream media such as job availability.
These job seekers are sure to invest in this brokerage firm. Without notification of investment risk, Graha Finesa always provides explanations for multiple profits. Graha Finesa Berjangka is listed in this lawsuit as a fraudulent forex broker.
This list of seven fraudulent forex brokers is based on news announcements issued by CoFTRA, the Jakarta Futures Exchange and the Indonesian Futures Clearing House.
How To Avoid Being a Victim of Scams From Forex Brokers?
While some of the examples on the following scam forex broker lists occurred 10 years ago, this does not ensure that forex broker scams won't happen again.
It has been proven that until now there are still many traders or investors who are victims of forex fraud. The overall loss is not simple. So how do you not fall victim to forex broker scams?
1. Always check the rules
Forex regulators are governmental or independent bodies whose function is to ensure the maintenance of law and order for brokers and ensure the protection of traders.
If you want to have an international forex broker, make sure this forex broker has rules in his country of origin. The following forex regulatory organizations are permitted to regulate brokers in different countries:
- Future Commodity Trading Agency (Bappebti). Forex Brokers Regulator (FCA) Authority of Conduct
- Indonesian Finance. UK Forex Regulatory Brokers.
- CFTC (CFTC) and NFA (National Futures Association) Trading Committee. United States Forex Brokers Regulator.
- Australian Commission on Securities and Investments (ASIC). Forex regulatory brokers in Australia.
- Financial Services Agency (OJK). Forex regulatory brokers in Japan.
- Singapore's MAS Monetary Authority. Singapore Forex Brokers Regulator.
- SFC Securities and Futures Commission. Forex regulatory brokers in Hong Kong.
- Financial Market Authority (AMF). Forex regulatory brokers in France.
- Federal Financial Supervisory Authority (BaFIN). Forex regulatory brokers in Germany.
- National Commission for le Societ e la Borsa (CONSOB). Forex regulatory brokers in Italy.
You can verify on the official CoFTRA website the list of forex brokers registered with the Indonesian authorities. You can check on the official website of the regulator above for those who choose international forex brokers, depending on the country of origin.
If there is no forex broker after you check, then the forex broker must be included in the list of fraudulent forex brokers.
2. Don't fall into the lure of big profits
If you have a forex broker that claims a 100% guarantee is free of profit and loss, don't be easily tempted. Like any company or investment, losses in the trading industry are very likely to occur.
Many examples of fraudulent forex brokers like the one above promise the lure. Large deposit bonuses are often used as an incentive to become a trader or investment. These two methods are often used to mislead you as a fake forex broker.
3. Check the address of the forex broker's office
Fraudulent forex brokers usually provide fake addresses to prospective clients. Even though Forex trading is done online, the location of the Forex broker's office is important information. If the office doesn't exist, what if one day you come across a problem or difficulty and hold them accountable?
4. Find out the reputation of the Forex Broker
Being active in the trading community is the simplest method to learn the latest trading news. Traders in this community will usually discuss their trading experience including information on a list of leading forex brokers and a list of fraudulent forex brokers.
You can also check the reputation of the forex brokers on the Internet before trading with a particular forex broker. If you are still confused about choosing a community, on Telegram GIC you can join the trader community.
As well as being in a position to directly question other traders' experiences, you will get daily and weekly analysis by expert traders and information on GIC instructional courses.
5. Pay attention to the website domain address
Have you checked the regulations, office location and reputation of the Forex broker, but are you still being scammed? You might be fooled by cloned forex brokers, this type of forex broker usually uses the name of a well-known broker who is trusted by many people through the website domain.
Forex clone brokers usually use the same domain url as the original licensed forex broker. How can you prevent this scam? First, please enter the domain URL of your preferred forex broker. Make sure you have the same domain when you login to the broker's website.
When visiting a new broker, make sure you get a link from a trusted source, not an email that arrives suddenly without knowing where it came from. It is important to listen to reviews, which are easily accessible on the Internet, or ask questions on discussion boards of other traders before signing up with a broker.
Forex clone brokers will be very different and appear less professional. Bappebti and Kominfo usually publish list of forex brokers scammers or fakes along with forbidden domain addresses of illegal forex brokers.
Don't be fooled by trading with brokers who are not registered with the regulator. Artha Berjangka Nusantara, PT Arta Berjangsantara and PT Axo Capital Futures Bappebti are included in the list of fraudulent forex brokers. If you fall victim to a forex scam, always check the rules and never invest more than you can afford.