NZ FMA Flags Suspected Scam King Capital Management

The Financial Markets Authority (FMA) of New Zealand, the government agency responsible for financial Regulation Regulation Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Like any other industry with a high net worth, the financial services industry is tightly regulated to help curb illicit behavior and manipulation. Each asset class has its own set of protocols put in place to combat their respective forms of abuse.In the foreign exchange space, regulation is assumed by authorities in multiple jurisdictions, though ultimately lacking a binding international order. Who are the Industry’s Leading Regulators?Regulators such as the UK’s Financial Conduct Authority ( Read this Term, has yet again updated its warning list this Friday as scams within the industry continue to be a thorn in regulator’s sides.

Today the New Zealand watchdog has flagged King Capital Management, an entity which claims to be a full-service financial brokerage company based in Jakarta, Indonesia.

According to the warning from the FMA, it is: “concerned that King Capital Management may be operating a scam and accordingly advise caution before dealing with them.”

In its warning, the regulator doesn’t state whether the entity has the authorization to operate in New Zealand. One of the most common reasons that a regulator might suspect an entity of fraud is by operating without a license. Whether this is the case here is unclear.

FMA provides details on King Capital Management

The FMA provides the following details that belong to King Capital Management, and consumers should therefore avoid:

TRADING NAME: King Capital Management

ADDRESS: 23/F Pondok Indah Office Tower 3, J1. S. Iskandar Muda, Jakarta 12310, Indonesia

WEBSITE: www.kingcapitalmanagement.com

PHONE: +6221 2975 9208

EMAIL: info@kingcapitalmanagement.com

Via the entity’s website, it states: “The company was established in 2007. It was created by a team of highly experienced professionals who identified a need for bespoke financial services for expatriates, corporations and professional people throughout Asia, Middle East, Africa and Europe. We have a vast number of cumulative years experience in stocks, commodities, bonds and fixed income markets.”

On its website, the alleged Indonesian broker claims to offer a number of products including foreign exchange (Forex Forex Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Foreign exchange or forex is the act of converting one nation’s currency into another nation’s currency (that possesses a different currency); for example, the converting of British Pounds into US Dollars, and vice versa. The exchange of currencies can be done over a physical counter, such as at a Bureau de Change, or over the internet via broker platforms, where currency speculation takes place, known as forex trading.The foreign exchange market, by its very nature, is the world’s largest tradi Read this Term), contracts for difference (CFDs), exchange-traded funds (ETFs), commodities, international equities and more.

FX and crypto scams are on the rise

Scams within the financial industry, particularly in the FX and crypto sector, are on the rise. As Finance Magnates reported, earlier this year, the Financial Conduct Authority (FCA) revealed that Brits lost approximately £27 million ($33.6 million) to FX and cryptocurrency-related scams in the 2018/2019 fiscal year.

According to the British regulator, authorities received 1,834 scam reports last year. That was almost a four-fold increase on the prior twelve-month period.