Online trading boom. How to recognize scams.
Here we are commenting on the many articles in which we note the great curiosity around the world of online trading.
With covid-19 we had a boom in registrations to brokers and online accounts for trading. With the possibility of working from home and attracted by the many advertisements, many people are becoming convinced to jump into this world.
This increase in interest if on the one hand it pleases on the other hand it worries. In fact, we keep hearing more and more people being scammed or losing thousands!
Data tell us that around 80 percent of people lose with trading and especially with leveraged cfds (not suitable for newbies without risk perception). For our part, we are trying to respond to all the messages and calls in recent months. Often, however, our directions are not followed from the beginning. Then, when mistakes are made, attempts are made to recover, often the damage is now enormous and irreparable.
In fact, we have been witnessing every day, for several months now, scam brokers calling people and proposing investments in less than credible platforms fleecing money and ruining many people.
Online trading boom. Be on the lookout for scams!
I would like to point out aspects to watch out for in order to intercept these scams:
1 -If agents were to invite you to buy any financial instrument, here these pseudo-advisors cannot do so because it is illegal in Italy (see Consob regulations) and would be solicitation of public savings.
2 -Always check if the broker has permits to operate in Italy (Consob) and if it is regulated by authorities (FCA for London).
3 -Distrustbonuses on deposits/losses, etc.
4 -Distrustfees on withdrawals, deposits or phantom fees to be paid to the broker.
5-Always check overnightfees, swaps, fixed or variable spreads.
Already from these five points you may be able to tell whether the broker is reliable and thus be able to give him the capital to start your trading. We, however, remain available for any advice on the choice.
As I said before, we are hearing many stories of people being scammed and we are trying by all possible means to inform you about these pseudo brokers. Take care: don’t get caught up in the lust for easy money!
Many of you are telling me that initially the operations are all going well and then slowly the profits decrease until you go into distress. At that point they will always ask you to pay more money to attempt recovery, and that is where unfortunately the damage is already enormous.
The advice is to study, get informed and do a lot of demo practice to understand how to operate in the correct way. The market does not run away and gives everyone time to invest unhurriedly but with their heads.
In addition to the techniques to be known, a key factor is to approach it in the right way. I mean to say that one should not see the stock market as a game, but a job and an investment in the long run.
We are available to provide you with the most suitable and effective directions. Our intent is to guide you on a path of study, experience and sharing with our chats.