The Financial and Consumer Affairs Authority of Saskatchewan (FCAA) is cautioning investors about EliteFx Trader Inc.
FCAA says the online trading platform invites residents to invest and trade in securities and derivatives on its website, however EliteFx Trader Inc. is not registered in Saskatchewan and this is a requisite to sell securities and derivatives in the province.
FCAA notes that EliteFx Trader Inc. is allegedly based in Chicago, Illinois, and has been reaching out to Saskatchewan residents.
The financial authority warns that doing business with entities not registered in Canada puts your investment at risk as there is no certainty that it is a legitimate business. Also, residents should be wary of organizations claiming they could recover investments sent to unregistered entities like EliteFx. Under the Securities Act, 1988 and related financial regulations, FCAA adds that the registration protocols are to ensure that only honest and knowledgeable people are registered to sell securities and that their businesses are financially stable.
Consumers may protect themselves by:
- Verifying that the person or company is registered to sell or advise about securities or derivatives. Check the online list at the Canadian Securities Administrators’ National Registration Search.
- Get information about the investment
- Get a second opinion.
Any consumer who already has investments with EliteFx Trader Inc. is asked to contact the FCAA’s Securities Division at 306-787-5936.
More information can be found online. Also, visit the FCAA website for more investor protection resources.