Finance Magnates discussed the rampant problem of scams in the retail trading industry with Pere Monguió Montells.
Watch the full video interview below.
“Scams are a big problem in the industry,” Pere Monguió Montells, FXStreet’s Co-CEO, told Finance Magnates at the iFX EXPO International, adding that scams are not only “stealing business from companies but also hurting traders.”
FXStreet has launched a campaign to fight scams. The platform's primary goal is to raise awareness within the industry about various types of scams and frauds. It even collaborated with Finance Magnates earlier to launch an industry-wide survey to gauge the reach of such scams.
Highlighting the campaign's purpose, Montells said it is important to “help traders protect themselves and let them know what to expect from us and what they shouldn't expect from us,” adding that “messages are important to help them prevent being scammed.”
“Regulators Are the Most Fragile”
Further explaining to the responsible parties how to prevent scams, he pointed out that “there are three layers.”
“The first layer, probably the most important one, is at the trader level,” he added. “Traders should be aware of this problem and should protect themselves. And if you are careless as a trader, there is nothing anyone else can do to help you.”
“Then there are brands, including brokers or any others, that convey trust and will probably be exploited by bad actors,” he said, adding: “Brands should explain to their followers what they do and what they never do. For example, at FXStreet, we do not manage third-party funds and do not accept money from traders for trading purposes—that's something very important for our users to know. If someone reaches out to them asking for a transfer, they should be aware that it's definitely a scam.”
Finally, there are regulators, who, according to Montells, are “the most fragile right now.”
“All these scams are not happening on the brokerage web pages or the official platforms,” he pointed out. “It's happening on 3rd party platforms, like social media, WhatsApp, Discord, Telegram. So these players should address this problem because if you have built a platform and it's being used for scams, it's part of your responsibility as well to address this. That’s where I think regulators could help the most: helping the industry address this problem at the platform level.”
Brokers Do Not Want to Talk “About the Struggles”
It is to be pointed out that many regulators actively publish lists of fraudulent domains or scams that target traders. While most of the regulators in the United Kingdom, Cyprus, Spain, and New Zealand only alert the public about fraudsters, the one in Italy goes a step further in blocking the website domain. However, none of them act against the rampant scams on 3rd party platforms like social media.
Highlighting the lack of most brokers’ efforts to flag the clones, Montells said that “it's a problem”, adding that it is because “it doesn't look good.”
“It's not something they are happy to talk about,” he continued. “They prefer to talk about a new feature or how good they are, but not about the struggles they are having. We need to realise that this is a common problem and we need to address it, probably together, as this is not a single broker’s problem. This is our problem as a group, and I think we should rally together and tackle this challenge together.”
“Scams are a big problem in the industry,” Pere Monguió Montells, FXStreet’s Co-CEO, told Finance Magnates at the iFX EXPO International, adding that scams are not only “stealing business from companies but also hurting traders.”
FXStreet has launched a campaign to fight scams. The platform's primary goal is to raise awareness within the industry about various types of scams and frauds. It even collaborated with Finance Magnates earlier to launch an industry-wide survey to gauge the reach of such scams.
Highlighting the campaign's purpose, Montells said it is important to “help traders protect themselves and let them know what to expect from us and what they shouldn't expect from us,” adding that “messages are important to help them prevent being scammed.”
“Regulators Are the Most Fragile”
Further explaining to the responsible parties how to prevent scams, he pointed out that “there are three layers.”
“The first layer, probably the most important one, is at the trader level,” he added. “Traders should be aware of this problem and should protect themselves. And if you are careless as a trader, there is nothing anyone else can do to help you.”
“Then there are brands, including brokers or any others, that convey trust and will probably be exploited by bad actors,” he said, adding: “Brands should explain to their followers what they do and what they never do. For example, at FXStreet, we do not manage third-party funds and do not accept money from traders for trading purposes—that's something very important for our users to know. If someone reaches out to them asking for a transfer, they should be aware that it's definitely a scam.”
Finally, there are regulators, who, according to Montells, are “the most fragile right now.”
“All these scams are not happening on the brokerage web pages or the official platforms,” he pointed out. “It's happening on 3rd party platforms, like social media, WhatsApp, Discord, Telegram. So these players should address this problem because if you have built a platform and it's being used for scams, it's part of your responsibility as well to address this. That’s where I think regulators could help the most: helping the industry address this problem at the platform level.”
Brokers Do Not Want to Talk “About the Struggles”
It is to be pointed out that many regulators actively publish lists of fraudulent domains or scams that target traders. While most of the regulators in the United Kingdom, Cyprus, Spain, and New Zealand only alert the public about fraudsters, the one in Italy goes a step further in blocking the website domain. However, none of them act against the rampant scams on 3rd party platforms like social media.
Highlighting the lack of most brokers’ efforts to flag the clones, Montells said that “it's a problem”, adding that it is because “it doesn't look good.”
“It's not something they are happy to talk about,” he continued. “They prefer to talk about a new feature or how good they are, but not about the struggles they are having. We need to realise that this is a common problem and we need to address it, probably together, as this is not a single broker’s problem. This is our problem as a group, and I think we should rally together and tackle this challenge together.”
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
FM's Editor-in-Chief Yam Yehoshua on how the newsroom evaluates stories.
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Matthew Smith, Group CEO at EC Markets, speaking at FMLS:24
Finance Magnates Annual Awards 2024 | FM Awards 2024 Highlights
Finance Magnates Annual Awards 2024 | FM Awards 2024 Highlights
🎥Catch the best moments from the Finance Magnates Annual Awards Gala Dinner!
An evening where top names in finance came together to celebrate achievements, enjoy live music, and connect over a memorable dinner. Watch the highlights and feel the energy of our first gala in Cyprus!
Congratulations to all the winners for their dedication to excellence and leadership in the financial industry, including XM, Trading PRO, FP Markets, Deriv, FxPro, LATAM, Headway, ATFX, FBS, AMEGA, EC Markets, Axi
For more information about the 1st Finance Magnates Annual Awards, visit https://bit.ly/3Zb7wNz
#FinanceMagnatesGala #IndustryExcellence #GalaHighlights #FinanceMagnatesAnnualAwards #FinanceMagnatesAwards #CelebratingSuccess #FinanceCommunity
🎥Catch the best moments from the Finance Magnates Annual Awards Gala Dinner!
An evening where top names in finance came together to celebrate achievements, enjoy live music, and connect over a memorable dinner. Watch the highlights and feel the energy of our first gala in Cyprus!
Congratulations to all the winners for their dedication to excellence and leadership in the financial industry, including XM, Trading PRO, FP Markets, Deriv, FxPro, LATAM, Headway, ATFX, FBS, AMEGA, EC Markets, Axi
For more information about the 1st Finance Magnates Annual Awards, visit https://bit.ly/3Zb7wNz
#FinanceMagnatesGala #IndustryExcellence #GalaHighlights #FinanceMagnatesAnnualAwards #FinanceMagnatesAwards #CelebratingSuccess #FinanceCommunity
FMLS:24 | Shaping the Next Era of Financial Evolution
FMLS:24 | Shaping the Next Era of Financial Evolution
Welcome to FMLS:24 – the premier event where influential brands and leaders in trading, payments, fintech, and digital assets come together!
Join over 2,500 industry professionals, engage with 150+ expert speakers, and discover endless opportunities with 70+ top exhibitors. FMLS:24 is where senior executives and decision-makers gather to close deals, forge new partnerships, and strengthen connections with long-term clients.
Whether you’re in finance, technology, or payments, this summit is your gateway to future growth, meaningful collaborations, and industry-leading insights.
👉 Don't miss out – secure your ticket now at https://events.financemagnates.com/ZQEYy0?utm_source=youtube&utm_campaign=fmls24-awareness&utm_medium=video&RefId=MLS%3A24+Video+Promo
#fmls #fmls24 #fmevents #financemagnates #forex #payments #crypto #events #london #fintech #ai #generativeai #technology #onlinetrading #forex #investing #investors #tech
📣 Stay updated with the latest in finance and trading!
Follow FMevents across our social media platforms for news, insights, and event updates. Connect with us today:
🔗 LinkedIn: https://www.linkedin.com/showcase/financemagnates-events/
👍 Facebook: https://www.facebook.com/FinanceMagnatesEvents
📸 Instagram: https://www.instagram.com/fmevents_official
🐦 Twitter: https://twitter.com/F_M_events
🎥 TikTok: https://www.tiktok.com/@fmevents_official
▶️ YouTube: https://www.youtube.com/@FinanceMagnates_official
Don't miss out on our latest videos, interviews, and event coverage. Subscribe to our YouTube channel for more!
Welcome to FMLS:24 – the premier event where influential brands and leaders in trading, payments, fintech, and digital assets come together!
Join over 2,500 industry professionals, engage with 150+ expert speakers, and discover endless opportunities with 70+ top exhibitors. FMLS:24 is where senior executives and decision-makers gather to close deals, forge new partnerships, and strengthen connections with long-term clients.
Whether you’re in finance, technology, or payments, this summit is your gateway to future growth, meaningful collaborations, and industry-leading insights.
👉 Don't miss out – secure your ticket now at https://events.financemagnates.com/ZQEYy0?utm_source=youtube&utm_campaign=fmls24-awareness&utm_medium=video&RefId=MLS%3A24+Video+Promo
#fmls #fmls24 #fmevents #financemagnates #forex #payments #crypto #events #london #fintech #ai #generativeai #technology #onlinetrading #forex #investing #investors #tech
📣 Stay updated with the latest in finance and trading!
Follow FMevents across our social media platforms for news, insights, and event updates. Connect with us today:
🔗 LinkedIn: https://www.linkedin.com/showcase/financemagnates-events/
👍 Facebook: https://www.facebook.com/FinanceMagnatesEvents
📸 Instagram: https://www.instagram.com/fmevents_official
🐦 Twitter: https://twitter.com/F_M_events
🎥 TikTok: https://www.tiktok.com/@fmevents_official
▶️ YouTube: https://www.youtube.com/@FinanceMagnates_official
Don't miss out on our latest videos, interviews, and event coverage. Subscribe to our YouTube channel for more!