Switzerland’s FINMA adds forex broker AlgoBanque to warning list

Switzerland’s FINMA adds forex broker AlgoBanque to warning list

The Financial Market Supervisory Authority (FINMA), the Swiss financial regulator, has added automated forex broker AlgoBanque to its warning list, data from the watchdog’s website indicated. The regulator did not explain why it has decided to include the broker to the list.

The inclusion might mean the regulator suspects AlgoBanque in targeting Swiss citizens and offering them financial services, including forex trading, without having the license to do so. Under the local regulations, if an investment company wants to operate in Switzerland, it need to acquire the bank license from the relevant authorities.

AlgoBanque provides services via the website www.algobanque.com.

The FINMA keeps an updated list of companies that might be operating without a license although their service requires authorization and should be supervised. If FINMA’s investigation shows a company is indeed providing unauthorized services, the regulator can initiate enforcement proceedings and impose measures, including closing the company down.

The regulator advices investors to be cautious and check companies and their licenses before engaging with them. They can do so by checking FINMA’s warning list and the Commercial Register for Swiss providers. A good rule of thumb is to always diversify investments and to remember that high returns usually go hand in hand with high risk.

AlgoBanque offers forex, contracts for difference (CFD), and spot oils and metals trading services. Traders can chose from independent trading or automated trading using the AlgoRobot powered Expert Advisors (EAs) assisted trading service.

AlgoBanque says it is a brand of Yamix Marketing UK and a subsidiary of Yamix Marketing St. Vincent & the Grenadine. However, it does not provide information regarding licenses and authorization.

We strongly advise you to only deal with regulated forex brokers, authorized by reputable regulatory bodies like CySec, FCA, and CFTC/NFA, among others.

Source: FINMA

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