The Nova Scotia Securities Commission is alerting investors that Magnum Options, which is operated by Hampshire Capital Ventures Ltd., is not registered to sell securities in Nova Scotia.
The commission previously issued an alert regarding Magnum Options in November 2016. Warnings against this company have also been issued in Manitoba and British Columbia. This company, also known as magnumoptions.com and magnumoptions.eu, is offering a binary options trading platform to Nova Scotians.
At least two Nova Scotians saw advertisements for Magnum Options on Facebook, used credit cards to open online accounts, and lost money. One Nova Scotia woman says she authorized a payment to Magnum of $250 on her credit card, however, after this initial charge, an additional $10,000 was charged to her credit card without her knowledge.
The commission urges Nova Scotians to exercise extreme caution when dealing with firms that are not registered in Nova Scotia. It is illegal to solicit investments in Nova Scotia without registering with the commission and complying with Nova Scotia securities laws.
Nova Scotians can go to www.AreTheyRegistered.ca to verify registration status of any investment firm or representative across Canada.
“Checking registration is step one,” says Heidi Schedler, senior enforcement counsel at the commission. “After that, Nova Scotians need to be extremely cautious about giving out personal financial information such as credit card numbers or banking information. Take the time to research what you are being told, understand it fully, and be confident that you are not investing more than you can afford to lose.”
Contact the commission at nssc.novascotia.ca/recognize-and-report-scam to report a scam.
The Nova Scotia Securities Commission is the provincial government agency responsible for regulating the investment industry in the province.