Canada VS Binary Options
Redwood Options, operated by Hampshire Capital Ventures Ltd. (together, the Parties)
View original post here: http://www.bcsc.bc.ca
|Date added:||January 20, 2017|
|Background:||Redwood Options claims to be a binary options trading brokerage based in Norwich, England, and offers an online binary options trading platform.|
A binary option is a type of option whose payout depends on whether the underlying asset (such as a stock, a commodity, a currency pairing, etc.) increases or decreases in value. Options are considered to be securities under the securities legislation in British Columbia (BC).
We recently became aware of Redwood Options and that it may be operating in or from BC.
The Parties are not registered to trade in, or advise on, securities or exchange contracts in BC.
We urge BC residents to exercise caution when dealing with firms that are not registered to trade or advise in BC.
In Canada the BCSC has posted a warning against unregulated binary options broker Redwood Options. The regulator have stated that this brokers is not licensed or regulated to trade in British Columbia (Canada) and is warning investors to exercise caution when dealing with firms that are not registered to trade or advise in BC .
So Why The Warning?
Apparently Redwood Options has been accepting Canadian clients although it does NOT have a BCSC license, this is a big problem right now in the binary options industry. Unregulated binary options brokers are practicing illegally in many countries and regulators are fed up.
The fact is that what these brokers are doing is criminal activity, giving them a “small slap on the wrist” does not even begin to solve the issue, as long as brokers are allowed to get away clean, while practicing in criminal activities, the problem will not change or even begin to be fixed. Posting a “public warning” is just not enough.
How to Make a Complaint
Canada: Complaints about unsolicited calls from binary options brokers or about scam / fraud or indecent practice can be made officially to BCSC on the page in this link.