Bridgefund.io Draws Warning from Germany’s BaFin

​​Germany's financial regulator Bafin​ ordered Bridgefund to immediatly stop offering unauthorised portfolio management and conducting unauthorised dealing on own account.

According to the watchdog's notice, Bridgefund helps the customers open the trading accounts on its website bridgefund.io. The customers can trade in forex products, contracts for difference (CFDs), commodities, indices, shares and cryptocurrencies.

However, the company itself – using a remote administration tool – makes investment decisions regarding the accounts without first consulting the account holders. Furthermore, according to the terms and conditions published on the Bridgefund website, the company offers the sale of financial instruments at prices it has determined itself.

“Bridgefund is therefore providing portfolio management under section 1 (1a) sentence 2 no. 3 of the German Banking Act (Kreditwesengesetz – KWG) and dealing on own account under section 1 (1a) sentence 2 no. 4 (c) of the KWG. The company does not hold authorisation from BaFin as required under section 32 (1) of the KWG and is therefore conducting unauthorised business.”

There is no a legal notice and related business domicile in the company's website.