Hong Kong SFC Says Yingda Securities Likely Tricking Investors

Proving that it's not only Europeans that are susceptible to the sharp talons of investment scammers, this Thursday the Securities and Futures Commission (SFC) added a Chinese firm to its Alert List.

The Hong Kong regulatory intermittently adds firms to the list if it suspects them of offering their services to investors in Hong Kong without having the necessary regulatory licensing. It also adds firms that it believes are based in Hong Kong or that have some association with the territory.

The firm added to the SFC's list on Thursday is called Yingda Futures.

As its name suggests, the company purportedly offers access to trading in futures and different other financial instruments.

Not only that, but it claims that it can connect investors to different derivatives exchanges around the world - including the Chicago Mercantile Exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term, the London Metal Exchange and the Singapore Exchange.

No license from the Hong Kong SFC

Of course, it's almost 100 percent certain that the company doesn't offer anything of the sort but, if you have a high-risk appetite, feel free to give it a try - just don't blame us for what happens next.

On top of its ability to connect people to these various exchanges, Yingda Futures also says that it has a regulatory license from the Hong Kong SFC.

Given that the SFC has added the company to its warning list of firms not to do business with, and which have no regulatory license, that's simply not true.

As with almost every firm that pops up on a regulator warning list, the company is probably following the same old routine. You sign up to use their services and deposit some cash. Maybe they'll tell you you're doing well and could invest some more cash to make even more money.

When the time finally comes to withdraw your money, the company will stop replying, and you'll never see the money again.

So stay away folks - stay far away.