The SC Added Unauthorized Hot Forex and OANDA to its Warning List

​The Securities Commission (SC) of Malaysia today updated its warning list by adding two companies to it. The post noted the risks and vulnerabilities raised by unlicensed companies. 

The two companies are popular foreign exchange brokerages: Hot Forex(clone authorized Hot Forex ) and OANDA Malaysia Corporation, a clone of the OANDA website and not associated with OANDA, which is headquartered in the United States.

Viewing remarks given by the regulator, Hot Forex is operating a recognized market without authorisation from the SC, but carrying out of the unlicensed capital market activities of dealing securities. As for the clone OANDA- it is carrying out of the unlicensed capital market activities of dealing in derivatives and securities.

According to the Commission, these two brokerages are not licensed in Malaysia and thus not authorized to offer their services in the country. 

Is OANDA  and HotForex reliable?

It is worthy of note that both HotForex and OANDA are regulated and hold multiple licenses from international regulatory bodies.

HotForex is authorized by the regulatory authorities in the UK, UAE, Cyprus and some other countries. OANDA is regulated by the CFTC in the US (one of the largest forex brokers in the country), FCA in the UK, ASIC in Australia, IIROC in Canada, MAS in Singapore, and FFAJ in Japan, all of which are well-known regulators.

While OANDA is headquartered in the United States, Hot Forex is based in Cyprus.

"The public is advised not to make any investment with companies/individuals that are not licensed or approved by the SC" said the regulator.