The Australian Securities and Investments Commission (ASIC) issued on Tuesday a warning against forex broker Market City International SRL, operating as Brokers500, for improperly stating it falls under the regulation of the ASIC.
The broker operates through the website www.brokers500.com, where it says it holds an ASIC license for providing financial services, even citing its number. However, the regulator warns the broker’s statements are false and misleading and it does not hold an Australian license or fall under ASIC’s regulation.
The license number cited on Brokers500’s website belongs to Market City, part of Perth Market Authority which is based in Western Australia. However, the company is not associated in any way to Market City International, or Brokers500.
The ASIC also said it has unsuccessfully tried several times to contact the company about its misconduct.
In Australia, financial investment companies, including forex brokers, forbidden to operate without a local license. Investors who engage with unregulated brokers put their funds at risk. The regulator often issued warning notices agains entities that offer financial services in the country without the proper authorization or such that improperly claim to be regulated by the ASIC.
The ASIC also keeps a registar with all authorized entities.
Brokers500 and offers trading in forex, contracts for difference (CFDs), stocks, and commodities. It states on its website that it is licensed and regulated with major financial entities worldwide, citing only the fake Australian license number.
We strongly advise you to only deal with regulated forex brokers, authorized by reputable regulatory bodies like CySec, FCA, and CFTC/NFA, among others.