The British Columbia Securities Commission (BCSC) remains vigilant and has renewed its long blacklist of unregulated brokerages. It appears the newly spawned Forex broker ProActiveTrade has been the latest addition to the list. The country’s main financial regulatory suspects them being involved in scam operations.
According to the website ProActiveTrade is supposedly registered in Switzerland, however, the name of the company is missing and there is even no registered address given. Such anonymity is a sure sign of trouble and we suggest all traders avoid doing business with a financial services provider which does not show it’s owner-company. We do remind readers that Switzerland is deeply integrated within the EU without being a member-state through a series of bilateral treaties. Online Forex trading has been taken into consideration in the country’s legislation and the Swiss Financial Market Supervisory Authority FINMA is in charge of overseeing financial activities. Forex brokerages in Switzerland have to be licensed by the FINMA
BCSC has always advised traders to only do business with legitimate firms that hold the proper license. Traders may always check the regulatory status of a given company by going on the online registry of the financial watchdog and typing out the name of the company. Another good idea is simply googling the name of the company and reading reviews from ex-clients of the brokerage, as well as from professional Forex bloggers.