FCAA cautioning Saskatchewan investors against online trading platform EliteFx Trader

The Financial and Consumer Affairs Authority of Saskatchewan (FCAA) is warning investors about EliteFx Trader Inc.

It says the online trading platform, which offers Saskatchewan residents an opportunity to invest and trade in securities and derivatives, is not registered in the province.

The authority said in a media release on Tuesday that registration is required to sell securities and derivatives in the province.

EliteFx Trader Inc., allegedly based in Chicago, Ill., has been in contact with Saskatchewan residents.

“FCAA strongly cautions investors and consumers to not send money to companies located outside of Canada that are not registered in Saskatchewan, as they may not be legitimate businesses and you may lose your money,” warned FCAA on Tuesday.

“Residents should also be cautions if approached by organizations claiming they could recover investments sent to unregistered entities — such as EliteFx.”

The Securities Act is intended to ensure only honest and knowledgeable people are registered to sell securities and that their businesses are financially stable, said FCAA.

FCAA has provided some tips to protect residents moving forward:

• Always verify that the person or company is registered to sell or advise about securities or derivatives. To check registration, visit The Canadian Securities Administrators’ National Registration Search.
• Know exactly what you are investing in. Make sure you understand how the investment, product, or service works.
• Get a second opinion and seek professional advice about the investment.

Anyone who has been contacted by EliteFx Trader Inc. is asked to contact the FCAA’s Securities Division at 306-787-5936.