QUOTE(Ultimate Warrior @ Oct 27 2022, 10:42 AM)
Hi,
Question 4
Is possible a Fund Manager in TFXi is the same person or group in other brokerage with you already explain.
Thanks for the answer.
In summary, if we would to change TFXI to or brokerage name. The same applies for Fund Manager.
New Question (sorry for so many question as I see you are able to answer)
1. Is the anyway to identify possible scam in Forex investment before its burst?
2. What is the red flags in your opinion a possible investment scam in a making can we investor take note when we decide to make any investment in any brokerage?
3. Any investment involved risk, like you previously said don’t invest all in. And nothing last forever. So in your opinion, how we choose a brokerage?
Based on what criteria in your opinion are consider trustworthy brokerage (do not need to mention any brokerage name).
You're welcome.
1. Identifying scam Forex Investment is not difficult yet its not easy. Like many always say you can't know which is scam until its burst. However, there are a few red flags that you may take into consideration which comes to your second question.
2. Red Flags to Identify SCAM Investments
i. Guaranteed Profits (No Risk)- Scam will usually guarantee you profit & tells you that it is zero risk. Logically speaking there's no such thing as guarantee. Let's use previous scams as example. Such as JJPTR. JJPTR guarantees 20% returns a month without any clear explanation or trading transparency. Such guarantee is BS & its clearly a scam. In TFXI, IBs who tells their client their profit are guarantee, don't invest with them. Yes, there are FM in TFXI that gives consistent 7%++ net profit per cycle. But we are always educated in a way where it is still not guaranteed in the end of the day.
ii. Lock-In Period.- Scam usually will Lock your capital & only can be withdrawn if you "recruit someone", or you gain your profit back slowly.
Eg: Zuttello Gambling Scam/ MBI. Those scam platforms literally lock your capital for eternity & only can be recovered through their scheme profit or recruitment.
In TFXI, all capital can be withdrawn once the cycle is over (within 4-5 weeks). The only logical explanation for a cycle lock-in is that, your capital is used for trading. Hence, its quite impossible to withdraw your capital in the middle of the cycle when your copy-trades are still on floating.
There are some platforms that don't lock capital for eternity but maybe 1-2 years. Such platforms need 2nd consideration before investing. Logically speaking, Forex is a fast win/lose trading due to volatility. So it doesn't make sense to lock your capital for 1-2 Years. Don't tell me your FM needs 2 years to make profit for you in order for your capital to withdraw.
iii. Impose Nonsensical Fees- Scam usually will impose many fees when you're investing. Such as Admin Fees, Agent Fees, Document Fees, FM fees etc. Although this is practice in most Unit Trust/Mutual Fund scheme, there are many scam platform that impose heavy fees to REAP your capital off before you even start investing. So be aware of that. In contrast with TFXI, there are 0 fees impose. You invest 1K usd, your balance is 1K usd. IBs don't touch your capital. Only override from trading profit.
iv. Promotion (Eg: Deposit 1K usd, get free 100usd)- Promotion are usually an early signs of the ponzi collapse. I personally have seen many platforms giving promotions and within a few months it collapses. So if you're investing in any scheme that launch promotion out of nowhere, please get out ASAP. TFXI through 13 years have never give any promotion.
v. Dealing Desk Brokers (For Forex/Crypto Scams)- Scams such as IGOFX, Tradesto (CK Group/BigBrainBank), Cooper Market, ASJ Forex & many more that operates under Dealing Desk brokers are usually scams. DD brokers are brokers that doesn't have Liquidity Providers (LP) to provide liquidity for them. Hence, all profits gained from clients are broker's losses & vice versa. DD brokers usually scam by manipulating the price to lose all investor's trades OR hire an FM & they collaborate to intentionally lose all money of clients. So the losses from clients is gained from the brokers. TFXI is a NDD broker using STP/ECN execution. May read this below for more info.
https://www.investopedia.com/terms/n/no-dealing-desk.aspvi. 3 Party / White Label Scams- Most scams such as Maxim Trader/TP Eagles/GCG/MIA/Midasama & many more are scams using either 3rd party or White Label Scams. This technique is one of the trickiest ways of scam. Let me give you an example. When investing in MIA back in 2019, MIA claimed to be a 3rd party for broker called FintechFX.
MIA > FintechFX
Singliworld > TFX Global
CK Ltd > Tradesto & many more
Many platform tend to claim they're investment company that DEALS with 3rd party broker. If you're encountering such investments, to stay away. Now lets compare with Legitimate brokers and how they deal.
HotForex > Invest & deal directly with broker
AvaTrade > Invest & deal directly with broker
TFXI > Invest & deal directly with broker
Etoro > Invest & deal directly with broker
Again, I'm not saying "dealing directly with broker" = Not Scam. As there are smarter scammers using "Dealing Desk Technique" (Point vi.) to scam. So even if you invest with broker directly, doesn't mean the broker is not DD. So due diligence is needed when it comes to this.
vii. Licensing & Regulators- Scams brokers usually either they DO NOT have Regulators, or just merely REGISTERED by 1 single entity. Heck, some brokers even claim they're regulated by this and that but when you go to the regulators official site, you can't seem to see any name of the broker there. So again, due diligence in important.
- Next is to identify what TIER of Licensing & Regulators they're regulated. FCA, CySEC, BaFIN, NFA, Finma, ASIC are a few TOP TIER Licenses. Ignore the LowYat Clowns claiming CySEC is shit. Do your due diligence & you'll find out CySEC is TOP TIER Licenses.
Most scam brokers they don't have top tier licenses as it is very difficult to obtain.
In TFXI, we have CySEC & Seychelles Regulators. Seychelles isn't Top Tier but still a reputable Tier-3 regulator. Some may say Fund Management of TFXI has nothing related with CySEC which is practically true. But you can say the same thing for TOP TIER brokers such as Pepperstone/Etoro/Plus500. All these brokers have CySEC, Seychelles, ASIC and other entities.
The true reason why brokers have so many regulators is to cater for different regions & operations. Usually offshore regulators such as BVI/Seychelles regulators cater for those who wants to trade with high leverages. As TFXI FM needs high leverages for their trades, TFXI opt for Seychelles as an entity.
viii. Number of yearsScams usually will not last more than 3-4 years. I'm talking about FOREX scams that gives return monthly. Not Bernie Maddoff/MBI. Those ponzis have different scheme & payout schedule to lengthen their ponzi. Do some research on MBI/Bernie Maddoff & how they operate. Understand their inner operations to know why they lasted so long.
Usually scams using the name of Forex doesn't last for 13 years such as TFXI. As their payout has to be consistent & this fasten the ponzi process.
3. Your 3rd question's answer will be = Choose a broker that doesn't have all the red flags as stated above.
Lastly, I would like to elaborate that most "criteria" highlighted by haters in this Forum are somewhat not logically explained. Let's use TFXI as an example. Some said TFXI is scam due to:
- Opening Time & Closing Time is same = Which is already explained thousand times of our post trade mechanism to prevent people from copying LIVE Trades elsewhere
- Singliworld/TFX Global News = I've proven in last few pages it has nothing to do with that. Go to page 50 onwards & read about it.
- SC/MAS Alert List = Alert lists are just alert lists. They are not proven as scams. Some do, some don't. Binance, Etoro are in SC Alert List. They're not a scam for sure. So it doesn't make sense. Plus, I've seen many people love to say
"It has been BLACKLISTED by SC/MAS" which is completely misleading as we're not BLACKLISTED. It's just under ALERT LIST.
- And all those recycled bullshit from bullshit site such as BehindMLM/FPA/ScamRecoverySites/WikiFX/GlobalFraudProtection etc that has their own agenda or competitor to bring some broker's name down.
**DISCLAIMER: I'M NOT PROMOTING ANYTHING ABOUT TFXI & IS SOLELY TO REPLY WHATEVER @UltimateWarrior QUESTIONED. JUST INCASE HATER STARTS TO WOOF WOOF WOOF***This post has been edited by Don Salvatore: Oct 27 2022, 01:20 PM