Arzik Financial Review
Are you new to the financial markets? Are you eager to start online trading? Nowadays, a massive number of people are joining the trading bandwagon because the global coronavirus pandemic has driven them to look for alternative ways to earn money. Since brokers are the ones that facilitate these traders, their numbers have gone up significantly. Nonetheless, you need to bear in mind that not all the platforms in the market are reliable or professional. In fact, scam brokers are more than common, so you need to choose your platform carefully, which including going through this Arzik Financial review.
Is this necessary? Indeed, this does become necessary because scam brokers have also come a long way. They will not have any warning signs to indicate they are fraudulent. Instead, you will have to actually look for these signs to be able to learn the truth about a broker. You need to take the same route in the case of Arzik Financial because it has been presented as an award winning brokerage that has been offering forex and CFD trading services since 1999. It claims to be based in the United Kingdom and also has offices in some of the prominent global hubs.
These include Hong Kong, New York, Sydney and London. Moreover, Arzik Financial also claims that it is a part of a notable financial group, which is actually traded on the NYSE i.e. the New York Stock Exchange. What does all of this indicate? For the uninitiated, this would mean the perfect broker and they would be ready to sign up right away. However, as mentioned above, shady and fraudulent platforms also look very decent and authentic at first glance. It is only when you check closely that you will find the red flags. This is no different in the case of Arzik Financial because you will soon learn about the number of problems associated with the broker. What are they? Let’s find out:
Blacklisted by the FCA
If you make a list of well-reputed regulatory authorities in the world, the Financial Conduct Authority (FCA) would be amongst the top ones. This is the financial regulator in the UK, which also oversees all the brokerages that operate in the country and issues licenses. It has set strict guidelines and rules that these brokers have to comply with in order to get a license. Therefore, any platform that has been authorized by the FCA is considered trustworthy.
As mentioned earlier, Arzik Financial claims to be based in the United Kingdom, which has prompted the FCA to issue a warning against it. As per the regulator, the company is providing services without their authorization, which makes it illegal. The broker claims to have an address in the UK, but it is operating illegally because it does not have a license to offer its services in the region, or is lying about its address.
Regardless, it has targeted people in the area, which has drawn the attention of the FCA. In addition, if you go through the Arzik Financial website, you will find that the broker is essentially anonymous, with the exception of the controversial address. This obviously means that a platform like this cannot be trusted.
When you go through the Arzik Financial website, it would definitely come off as an impressive one because it is extremely neat, well-designed and to the point. There is absolutely no indication that it is a scam website of any kind, but the truth is that there is a reason why the website looks the way it does. As it turns out, the scammers behind Arzik Financial have actually copied entire sections of the website of one of the most renowned brokerages in the financial market called FXCM.
How does this become obvious? This will become apparent when you go through the content on the Arzik Financial website and realize that they have done a rather poor job when it comes to editing the copied content. In some places, they have not bothered to replace the FXCM name with their own. If that wasn’t enough, it turns out that Arzik Financial is also using the license details of another company illegally, which is Leucadia and Jeffries Group.
This is an American financial services company and multinational independent bank, which had merged with its largest shareholder, Leucadia National Corporation in 2012. The company has its headquarters in New York. It is another sign that Arzik Financial is running a clone scam because it is using the details of other companies.
The broker also boasts a certificate that it claims has been issued by Hong Kong’s Securities and Futures Commission, but this is fake. It shows the name of a company named Sun Hung Kai Forex Limited, but a check of the SFC’s registers does not list it. While a company by that name does exist, it is not connected to Arzik Financial in any way.
Unbranded trading platform
The trading platform that you are given by a broker is an extremely vital feature because it shapes your trading experience. You obviously want the best one and Arzik Financial claims to provide it to you i.e. the MetaTrader 5. This is recognized as the leading platform in the market, but there is a problem here as well. You will notice that the MT5 that you find on the Arzik Financial website is actually provided by a third-party company named Edu Vector Ltd. This does not make any sense at all and is another warning sign.
High minimum deposit
The problems with Arzik Financial are not over yet, as you will find that they are asking for a minimum deposit of a whopping $1,000 for their starting Lite account. This is at least four times more than the standard amount of $250 that are required by some of the most reputable brokerages in the market.
If you want to make the right decision for your trading journey, you should avoid Arzik Financial altogether because it is not an authentic platform.