Bulgaria’s Financial Supervision Commission (FSC) issued on Friday an updated list of financial service providers unauthorized to operate in the country. The list includes famous brands such as FXOpen, but it mainly consists of notorious forex and binary option brokers such as Magnum Option, Bloombex Options, and Pwrtrade, among others.
In Bulgaria, as in most EU member states, financial service providers cannot operate without being authorized by the relevant local regulatory body or in any other member state. In all cases, brokers need to be registered in order to operate in the country.
Sine the entities in the FSC’s warning list are not authorized, traders put their money at increased risk when engaging with any of the companies. In case of default on the side of a non-regulated broker, traders’ investments are not covered by the Investor Compensasion Funds (IFC).
Although FXOpen is authorized in several countries, including the UK, the broker may not have been registered to operate in Bulgaria. Generally, FXOpen is known as a reputable broker and not many, if any, warnings have been issued against it.
Meanwhile, many of the other brokers included in the FSC’s warning list have also made their way to the warning lists of other regulators in the past few months. Bloombex Options was included in the lists of unauthorized entities by Australia’s ASIC, Swirzerland’s FINMA, and Ontario’s OSC. In Canada, at least three provincial watchdogs have alerted against Magnum Option for operating unauthorized. These were Nova Scotia’s NSSC, Manitoba’s MSC, and British Columbia’s BCSC. Two authorities, those of Belgium and the Canadian province of Manitoba, have issued warnings against unauthorized PWRTrade.
Some of the rest of the binary options unauthorized to operate in Bulgarian, have also been added to the warning lists of other regulators, including Imperial Options, GOptions, Secured Options, and Binary Book.
Following is the full list of intermediaries not authorized to operate in Bulgaria (the new additions are #37 – #52):
- Finansov Konsult, previously Teletrade Sofia (Bulgaria)
- Brokerage – Hristo Ivanov (Bulgaria)
- 24 Trade, previously Exxus Markets (Bulgaria)
- Investors, previously Aston Markets (Bulgaria)
- Global Capital Ltd Of Trust Company Complex – Imperial Options
- InstaForex (Russia)
- HotForex (Mauritius)
- CityCapital (Bulgaria)
- Bulgarian Trading Group (Bulgaria)
- KFM Capital Investments (Bulgaria)
- Insta Sofia (Bulgaria)
- Islandbay Services, trading as Broker Capital
- Brokers Star (Bulgaria)
- Belfor Capital (Bulgaria)
- Efeksglori (Bulgaria)
- B.M. Investments (Bulgaria)
- Tradeplus Solutions (Marshall Islands)
- Tvoy Million
- Interactive Company (Bulgaria)
- Alpha Broking (Bulgaria)
- Tiger Asset Managemen (Bulgaria)
- New Capital Trust (Bulgaria)
- Atlantic Capitla (Bulgaria)
- Atlantic Capitla (Bulgaria)
- Royal Capital Management (Bulgaria)
- Prometeos Asset Management (Bulgaria)
- Ridgefield Capital Management (Bulgaira)
- Tiger Asset Management (Austria)
- Nemesis Capital BG (Bulgaria)
- Prosper Gesit (Bulgaria)
- UT MarketsUnited Trading Markets (www.utmarkets.com)
- CFD GLOBAL
- STP Marketing (www.stpmarkets.com)
- Ibrokers Trading Solution
- GN Capital – Pwrtrade (www.pwrtade.com)
- T –Marketing Services
- Panda Options VIP
- Secured Options (Urbanix)
- Bloombex Options/ Bloombex Ltd (E.B.Services)
- Tremina Trade (Bulgaria)
- BulFaer/Eco ES Holding (Bulgaria) (www.ecoesfinance.com)
- Magnum Option (www.magnumoptions.eu)
- iBrokers (www.ibrokers.trade)
- bforex (www.bforex.com)
- Inside Options
- FXOpen (www.fxopen.com)
- Imperial Options (www.imperialoptions.com)
- GOptions (www.goptions.com)
When engaging with unauthorized and non-regulated brokers, traders are putting their investments at higher risk. We strongly advise you to only deal with regulated forex brokers, authorized by reputable regulatory bodies like CySec, FCA, and CFTC/NFA, among others.