Yesterday (5/5), New Zealand regulator Financial Markets Authority (FMA) released warning against Forex Trend Limited (Forex Trend) and its website fx-trend.com due to many withdrawal failure complaints.

Yesterday (5/5), New Zealand regulator Financial Markets Authority (FMA) released warning against Forex Trend Limited (Forex Trend) and its website fx-trend.com due to the many withdrawal failure complaints received by the FMA related to the infamous Ukrainian-based forex broker.

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The FMA indicated that Forex Trend is insolvent and should stop providing services to customers. According to FMA, Forex Trend's New Zealand director Manlai Zhang has advised the FMA that the company is currently unable to meet its obligations to customers and intends to appoint a liquidator. However, the broker's website is still online to this day and apparently they still continue to solicit funds from the public. Additionally, many overseas customers complained of failing to withdraw funds from the company. Because of that, FMA specifically released warning for New Zealanders and overseas not to invest in Forex Trend.

FMA also suggested that, as Forex Trend is a member of the New Zealand Financial Dispute Resolution (FDR), customers can ask the FDR for help related to complaints. According to FMA, FDR will investigate complaints and work with the customer and Forex Trend to reach an agreement. If an agreement cannot be reached, FDR will propose a final decision, which will be binding on Forex Trend if accepted by the customer.

Forex Trend has long been suspected of bad business practices. Previously, Russian self-regulatory body for Forex industry CRFIN have blacklisted the company, Alpari RU warned the company not to use its trademarked PAMM account service, and forex industry news source Forexmagnates even questioned whether Forex Trend is going to be the next scandal in Russian forex scene after last year's Forex-MMCIS debacle.