Brokers flagged by AMF
These Brokers Have Been Flagged by the AMF. Here’s What You Should Know
Online trading can be an effective way to grow your savings, but only if it’s done right. This means being careful about which brokers you work with and researching brokers carefully before opening an account.
The first thing to look for is a license. These licenses are issued by regulators who take steps to ensure that the broker is following certain rules, deal with consumer complaints and can take disciplinary action, in some cases, against brokers.
Without a license, there is no regulator who can monitor the broker and ensure the activities of the broker and if you have lost money with them, it is difficult to seek recourse.
One important role regulator’s play is to monitor the market and warn the public about brokers who are unlicensed or are engaging in unethical and sometimes criminal activities. We have created and constantly update this list of brokers to keep you informed about the reality of broker scams and to protect you against fake and unscrupulous trading services.
About the AMF
The AMF or the Autorite Des Marches Financiers is an independent public authority based in France. They were established in 2003 for the purpose of
- safeguarding investments and savings in financial services and products
- Provide information about financial services
- Maintain and regulate financial markets
The AMF operates under the authority of the Markets in Financial Instruments Directive (MiFID). It also provides licenses to brokers after they fulfill certain criteria or take a course. They regularly inspect their licensed brokers and ensure they are fulfilling reporting requirements and are following certain guidelines.
The AMF, like other regulators, notifies the public about brokers and financial services that are violating rules or are unlicensed.
Why Did the AMF Flag These Brokers?
The following list of brokers were flagged by the AMF. These financial services have come to the attention of this regulator for one or more of the following reasons:
- No license
- Non-Compliance with Regulations
- Unsupported claims
- Customer Complaints
- License revocation
- Clone brokers
This isn’t a complete list of issues with these brokers, but they are the common reasons AMF may warn the public.
The AMF may flag an unlicensed broker for working with clients in areas it has no license to operate. Often, these customers are in the areas and countries the AMF regulates, namely, France. The broker may be based in France or claim to be or have French customers, but without a license to work with these clients. Non-compliance with regulations could refer to a variety of problems, including not abiding by laws that govern French and European brokers.
Unsupported claims are common among fraud brokers. For instance, they may falsely claim they have credentials they don’t or can give false guarantees of returns on investment. Many brokers get flagged because AMF has received many customer complaints about them. Also, the regulator will notify the public if they have revoked a broker’s license.
Brokers flagged by AMF
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