The Nova Scotia Securities Commission (NSSC) has issued yet another warning about binary options trading along with an alert about a couple of specific companies soliciting investors.
The NSSC reports that it’s seeing an increase in “solicitations and marketing for investment in binary options,” including advertising on social media websites and cold-calling Canadian investors.
Also notable is that there are no binary options trading companies that are registered in Canada, the NSSC warns: “These platforms may be engaging in illegal activity. … Much of the binary options market operates through Internet-based trading platforms that do not meet current Canadian regulatory requirements.”
The NSSC also issued a specific warning about Magnum Options, a binary options firm that also appears to go by the name of Hampshire Capital Ventures Ltd., noting that neither firm is registered to sell securities.
Similar warnings about Magnum Options have been issued in Manitoba and British Columbia, the NSSC says.
Indeed, Canadian securities regulators have repeatedly issued warnings about binary options trading and, particularly, unregistered, offshore firms approaching Canadian investors.