Italy’s financial regulatory body CONSOB issued a notice on Monday, warning that forex brokers Arboretix Trading Ltd. and TouchTrades Ltd. are not authorized to provide financial services on the territory of the country. The entities are not eligible to carry out activities in Italy in any way, not even through the website www.touchtrades.com, the regulator said.
TouchTrades offers a full set of online forex services and trading in currencies, indices, commodities and share contracts for difference (CFDs) . Its clients can choose between three account types – Micro with a minimum deposit of $200, Standard with a minimum deposit of $2,500, or VIP with a deposit requirement of at least $10,000.
According to the website, TouchTrades is a brand of TouchTrades corporation and the website is owned and operated by Cyprus-registered Arboretix Trading Ltd. The broker claims to be based in the UK, while at the same time it claims to be registered in and to hold a license from the Turkish Republic of Northern Cyprus.
Last month, TouchTrades was also blacklisted by KROUFR, a Russian-based commission for the regulation of relations on financial markets, due to a number of investors complaints. Traders said they were unable to withdraw their funds with the broker.
In Italy, as in any other EU member, financial intermediaries, including forex brokers, are not allowed to operate without the proper authorization from the local authorities or the relevant regulator of any other EU country. If a broker is licensed in any EU member state, this license allowes it to provide services in the rest of the union.
We strongly advise you to only deal with regulated forex brokers, authorized by reputable regulatory bodies like CySec, FCA, and CFTC/NFA, among others.