The Financial Sector Conduct Authority has published a warning to people on February, 18th. The warning was consequently issued against the Forex Successful Investors and Sibusiso Mgedezi.
The FSCA suspects that those two parts were involved in the unauthorized financial which as a result, has violated the financial laws.
To describe the case more precisely, Forex Successful Investors and Sibusiso Mgedezi are giving promises to people, taking funds from them, and promising huge returns. As the FSCA states, those two parts are not able to render financial advisory and intermediary services, so they do not have the rights to conduct the services, they are promising.
The first thing people should do, when they are close to making the decision regarding starting the investment process, is to check the registration of those advisors, if they are registered with the FSCA and have the right to provide the Financial Advisory & Intermediary Services. The checking of the authorization is the key for the public for now.
What is the FSCA?
The FSCA is a financial market regulator that provides financial services and financial products. All of them are regulated and licensed by the financial sector laws and regulations including banks, retirement funds, and market infrastructure.
FSCA is generally responsible for market conduct and supervision. It aims to enhance and strengthen the efficiency and effectiveness and to support and promote the customer-service and providing them with financial education and help, if necessary.
The main vision of the Financial Service Conduct Authority is to ensure an efficient and effective financial sector where the customers are informed with the proper information and regulations and are threatened with fairness, not like the case, mentioned above.
The main mission of the service is to ensure a fair and stable financial market, where those who are not acting accordingly to be treated as deserved, for not to jeopardize the well-being of the customers.
The main values are Agility, Camaraderie, Diligence, Fairness, Integrity, Perseverance.
Who are the Forex Successful Investors?
Let’s first start with the explanation, what does the Forex Investor mean. Through the Forex market, investors can buy, sell, exchange, and speculate on currencies. It is the largest and most liquid financial market in the world and trading or investing in it offers many benefits. Not everyone can become successful in this kind of competitive environment.
It is a well-known fact that 90% of the Forex retail traders do not succeed. To become successful trading forex with one of the trusted brokers in South Africa, you must be very well aware of the Forex mechanics, trust your analysis and make moves according to your strategy.
There are some characteristics, we might not know about the Forex Investors.
- They do not lose – there are no traders or investors without the loss, however, there is a massive difference between how the beginners lose and how professionals. The main difference is in their Mindset. Professionals know that your loss is not because the market did something bad to you, it happened because of your strategy and something you could have done differently and better.
- They use price action – they identify key levels on the market and it serves as a representation of the psychology of the market.
- They have defined trading edge -it is important to define or develop your edge. The edge is everything the way you trade that helps to put odds in your favor.
- Successful Forex investors do not try too hard – the definition of this is very simple – trying too hard to find trading opportunities is a good way to lose money on subpar setups.
- They think in terms of risk – the risk can drastically change your balance, this is why a lot of professionals are taking risks on the financial market.
- They don’t need money – they know that there is no guarantee on the Forex Market. This means that not a single successful Forex investor needs to win money today, to pay the electricity bills tomorrow.
- They know when to walk away – Taking a break after a win will allow your emotions to settle.
Finally, to sum up, all the mentioned characteristics which are mutual for the successful traders/investors might cause a huge gap between them and the general public. Specific knowledge of the field, software, hardware systems makes people believe in them and they are less likely to ask questions that the professionals might have trouble answering. This is the main reason why people are deceived by them and cases like the above, happen. For this reason, the operating of the FSCA is very important for the financial market.