The Financial and Consumer Affairs Authority of Saskatchewan (FCAA) issued a warning to investors of a company they say has been contacting Saskatchewan residents.
The online trading platform, EliteFx Trader Inc., is offering residents an opportunity to invest and trade in securities, according to the FCAA.
EliteFx Trader Inc. is not registered in Saskatchewan, which is necessary to legally sell securities and derivatives in the province. The platform's website indicates that it's based in Chicago.
"FCAA strongly cautions investors and consumers to not send money to companies located outside of Canada that are not registered in Saskatchewan, as they may not be legitimate businesses and you may lose your money," said a release issued by the province.
"Residents should also be cautious if approached by organizations claiming they could recover investments sent to unregistered entities - such as EliteFx."
Investors are advised to do the following to protect themselves:
- Always verify that the person or company is registered to sell or advise about securities or derivatives. To check registration, visit The Canadian Securities Administrators' National Registration Search.
- Know exactly what you are investing in. Make sure you understand how the investment, product, or service works.
- Get a second opinion and seek professional advice about the investment.
You can contact the FCAA's Securities Division at 306-787-5936 if you've been contacted by EliteFx Trader Inc.