The Financial Markets Authority (FMA) of New Zealand has issued a warning on Tuesday that the Capital Market Investments Limited is not operating under strict licensing.
According to the NoaFX website, they are a premier trading company that offers “superior” trading services, customer support, as well as training to their international clients, retail, and organizational clients.
The regulator emphasized that the website of the forex broker NoaFX claims that it is registered in New Zealand as a provider for financial services and a member of a financial dispute resolution scheme. “In fact it is neither,” says FMA. “The company is not operating under the strict licensing and regulation requirements of New Zealand, as claimed.”
The FMA regulates capital markets and financial services in New Zealand. They seek to promote and facilitate the establishment of fair, efficient, and transparent financial markets. They have the responsibility of making sure that the public is confident in the financial markets and support the growth of the capital base in New Zealand.
Checking the Registry
A check was performed in the Financial Services Providers Register in New Zealand which showed that Capital Markets Investments from 2013, but it has already been discontinued in January 2016.
NoaFX, the forex broker of the company, is actually offering trades in forex and CFDs with a leverage of up to 1:500 per request. It is important to note that the normal leverage is only 1:100. Trading is done through the MetaTrader4 platform and the NoaFX web platform.
Capital Markets Investment Website
On the website of the Capital Markets Investment, it says that it offers forex brokerage solutions, private equity and investment funds, immigration advice, debit card solutions, real estate and hotel management, and other financial services. The company claims that it has businesses in 32 countries that have strong footholds in New Zealand and South East Asian Markets, envisioning themselves as the gateway for global investors in these various regions.