IIROC warns against illegal sales of binary options and attempted identity theft
TORONTO, April 12, 2018 /CNW/ - The Investment Industry Regulatory Organization of Canada (IIROC) today warned Canadian investors not to be fooled by fraudsters attempting to illegally sell binary options under the guise of legitimate investment dealer firms regulated by IIROC.
"The investment firms and individuals regulated by IIROC must meet our high standards and deal fairly, honestly and in good faith with Canadian investors," says IIROC President and CEO Andrew J. Kriegler. "Scammers are showing a reckless disregard for these very standards and are harming investors."
Investors have recently contacted IIROC asking about organizations that claim to be regulated by IIROC, including organizations doing business as:
- CDFtradeoption.com – operated by Westrade Holdings, Inc.
These businesses are not regulated by IIROC. Binary options cannot be offered or sold to retail investors in Canada. No IIROC dealers are authorized to sell binary options to retail investors in Canada. Investors contacted by anyone offering binary options should immediately report the incident to their provincial securities commissions. To learn more, visit: http://www.iiroc.ca/news/Pages/Useful-Links.aspx
Binary options typically originate as online scams, through ads on social media that point to seemingly legitimate websites. In some cases, victims receive unsolicited text messages or phone calls. To learn more about binary options fraud, visit: http://www.binaryoptionsfraud.ca/
Investors have also contacted IIROC about businesses selling bitcoin and other cryptocurrencies, claiming to be regulated by IIROC – and they are not. Some ask investors for dates of birth, Social Insurance Numbers and banking information for the purposes of identity theft. IIROC reminds investors to safeguard their personal information.
Investors can confirm the investment dealer firms regulated by IIROC by visiting its website: http://www.iiroc.ca/industry/Pages/Dealers-We-Regulate.aspx
Investors can also verify the background, qualifications and any disciplinary history of individual investment advisors registered with IIROC by checking its free, easy-to-use AdvisorReport database: http://www.iiroc.ca/investors/knowyouradvisor/
"Protecting investors and upholding the integrity of Canada's capital markets are IIROC's highest priorities," adds Kriegler. "We urge investors to avoid 'get rich quick' scams and to be informed and intelligent consumers when shopping for investments or investment advice."
IIROC is the national self-regulatory organization that oversees all investment dealers and their trading activity in Canada's debt and equity markets. IIROC sets high quality regulatory and investment industry standards, protects investors and strengthens market integrity while supporting healthy Canadian capital markets. IIROC carries out its regulatory responsibilities through setting and enforcing rules regarding the proficiency, business and financial conduct of dealer firms and their registered employees and through setting and enforcing market integrity rules regarding trading activity on Canadian debt and equity marketplaces.
SOURCE Investment Industry Regulatory Organization of Canada (IIROC) - General News
For further information: Andrea Zviedris, Manager, Media Relations and Public Affairs, 416 943-6906, [email protected]