The FSMA of Belgium has issued an official warning against a number of wealth management firms that have made misleading promises of profit to users. According to Belgium’s watchdog, the firms were openly using “cold call” techniques, meaning that these were unexpected calls. The user, once contacted, would get offers that sound too good to be true of high capital returns and other privileges.
The companies that the Financial Services and Markets Authority has warned about are as follows: gestioneuropecapital.com, ab-investment-acces.net, lj-invest.net, Javius.com, and besttradingspecialists.com.
These firms advertised their shady schemes on popular social media sites, where many clients were targeted. Social media outlets are the most popular way to attract an audience, and is the primary step to soliciting clients by providing very misleading ad campaigns that promise unrealistic profit returns and other luxurious gains.
Financial based fraud in Belgium had spiked by a total of 60 percent in the fist half of 2021 (as compared to 2020), as reported first by Finance Magnates. Over 42 million euro were lost to financial scams between the period of May 2019 and June 2021, revealed the FSMA.
Just like many of its contemporaries, the FSMA has been very active in the fight against online frauds. Just two months prior the regulator officially flagged 38 scammer trading platforms.