The AMF Is Warning About These Brokers. Why Is This Important?
The AMF, Autorite Des Marches Financiers is warning the public about suspected scam brokers. This is an important public service, because these warnings protect consumers around the world. Broker reviews are a crucial resource to evaluate and research financial services. Finding out about potential frauds can help you keep your money safe and assist you in finding reliable brokers.
About the AMF
The Autorite Des Marches Financiers or AMF is an independent public authority that is based in France. It mainly focuses on regulating and safeguarding French markets and customers, but its service is important worldwide, because it can alert global consumers about French-based frauds or their own residence against worldwide scams.
The AMF was started in 2003 and has the following duties:
- Protecting investments and savings in financial companies
- Giving the public information about financial services
- Regulate and maintain financial markets
The AMF licenses brokers by requiring them to take a course for certification. They audit these licensees regularly to ensure they are complying with regulations. In addition, they warn the public about suspected scam brokers and take disciplinary actions against their licensees if they engage in unauthorized activities.
What’s Behind the AMF’s Warnings?
The following are common reasons the AMF flags brokers:
- No license
- Misleading claims
- Legal problems
- Customer complaints
- Revoked license
The most important thing to look for before entrusting your money with a financial service is a license. Every broker or financial company must operate under a license without exceptions. Unfortunately, many people don’t realize this lack of knowledge is one reason trading scams are so prevalent. A license provides oversight for customers and gives protection against unscrupulous financial activities.
Non-Compliance is a general term that can refer to a range of problems, including non-reporting, not abiding by regulations and laws and not fulfilling requirements as a licensee of the regulator. Misleading claims include guaranteeing returns, dishonesty about licensing and claiming that clients will have certain outcomes from trading that the broker can’t guarantee.
You may not know if a broker is embroiled in legal problems, and that’s why it’s a good thing that the regulators alert the public about these issues. Often brokers aren’t allowed to take new clients when they are in court, but some try to do so anyway.
A broker can also get flagged if there is a large number of customer complaints under investigation. Also, the broker may have had their license revoked but are still trying to take clients.
Have You Lost Money to Any of These Brokers? Talk to Us!
ReportScamOnline experts understand brokers–reliable ones and scam operations. We have researched brokers and have created these reviews to help consumers make the right choice for trading. We recommend that you avoid and instead find a reliable and licensed broker. If you have lost money to this broker, contact us and we will launch an investigation that will bolster your claim.