ASIC warns against fake broker website
The Australian Securities and Investments Commission (ASIC) has warned consumers to stay away from a fake website endorsing a foreign exchange broker.
The corporate regulator has warned against First Forex and related entities Fifx and FiFX Global, who have misled consumers by claiming their services are "under the regulation of Australia (regulation no. 290600)".
But ASIC commissioner Greg Tanzer said this is untrue, adding their services are not regulated as a financial services business under Australian law.
"The website, www.fifx.com appears to be operated overseas and refers to an Australian company that is in no way associated with First Forex," Tanzer said.
He added consumers should only deal with licensed financial services.
ASIC said consumers can spot a loan scam if there are requests to transfer money upfront to an overseas-based account, requests to pay tax or fees before a loan can be given, or pressure for consumers to make a quick decision.
Consumers should also be wary if the loan provider says there are no credit checks and will lend money to those with problematic financial histories.
AUTHOR
Malavika Santhebennur
Recommended for you
ASIC has released the results of its first adviser exam to be held in 2025, with 241 candidates attempting the test.
Quarterly Wealth Data analysis has uncovered positive improvements in financial adviser numbers compared with losses in the prior corresponding period.
Holding portfolios that are too complex or personalised can be a detractor for acquirers of financial advice firms as they require too much effort to maintain post-acquisition.
As the financial advice profession continues to wait on further DBFO legislation, industry commentators have encouraged advisers to act now in driving practice efficiency.
