The Swiss Financial Market Supervisory Authority (FINMA) has included Forex broker Brainreason into its warning list.
The company says on its website (https://brainreason.com) that it has an address in Zurich, although the watchdog has found that the broker’s name is not entered in Switzerland’s commercial register. Furthermore, the company, which targets retail investors in the stock and Forex markets, claims to be regulated by FINMA and to be a member of ISDA.
The inclusion of the broker in FINMA’s warning list does not necessarily mean it is unauthorized. It means that the regulator is checking into the matter.
In fact, FINMA’s warning list of companies comprises names of business entities that might be operating without a licence although their service requires authorisation and should be supervised by FINMA. If after the watchdog’s check, suspicions that a business is unauthorized are confirmed, FINMA can laumch enforcement proceedings and impose measures of varying severity, including closure of the company.
The companies on the list (including Brainreason) are being checked by FINMA to see if they are providing unauthorised services, but the findings are so far inconclusive because they have not complied with the requirement to supply information. A company may be removed from the list as soon as FINMA has been able to complete its investigations and make any appropriate adjustments.
FINMA has recently redesigned its website, which is now easier to navigate, especially if it comes to finding information about enforcement and unregistered businesses. The warning list can be found by clicking here.