Forex Preview Anti-Scam Checklist
|Is the preview held in a respectable location||□ YES □ NO|
|Does the speaker own an actual ACRA registered company?||□ YES □ NO|
|Is he/she listed as a director by name?||□ YES □ NO|
|Do they have an actual office with a physical address?||□ YES □ NO|
|Do they have a phone number (landline) where they can be reached?||□ YES □ NO|
|Do they have a website with a professional support helpdesk?||□ YES □ NO|
|Does the speaker/company have any verifiable credentials/accolades?||□ YES □ NO|
|Has the speaker/company been featured in mass media before?||□ YES □ NO|
|Do they have any printed literature/book?||□ YES □ NO|
|Have you done a “Speaker/company + Scam” search on the web?||□ YES □ NO|
|Do the search results reflect positive or negative feedback?||□ YES □ NO|
|Does the speaker/company own a trading account?||□ YES □ NO|
|Is the speaker personally vested in his/her own trading account?||□ YES □ NO|
|Is the speaker’s capital substantial enough to reflect that?||□ YES □ NO|
|Can the speaker produce PROOF of results? (Check frequency and lot size)||□ YES □ NO|
|Are the results from a LIVE account or DEMO account?
(Golden orange versus green)
|□ YES □ NO|
|Can the speaker prove that the results are consistent?
(A minimum time frame of 12 months)
|□ YES □ NO|
|Is the proof verifiable and documented?||□ YES □ NO|
|Is there any form of notarization?||□ YES □ NO|
|Is there further proof that the results have truly been derived from his/her system? (This is to ensure that there is no bait and switching)||□ YES □ NO|
|Can the speaker prove that others have succeeded with his/her system? (Testimonials)||□ YES □ NO|
|Is there a respectable number of success stories?||□ YES □ NO|
|Can the supposed “success stories” produce verifiable proof of their results?||□ YES □ NO|
|Does the speaker require you to use a specific broker?||□ YES □ NO|
|Is the speaker, an introductory broker who makes IB commissions?||□ YES □ NO|
|Is there any sort of guarantee or KPI (Key Performance Index)?||□ YES □ NO|
|Is the guarantee or KPI realistic or too good to be true?||□ YES □ NO|
* If the speaker/company gets more than 3 NOs, then you probably want to avoid enrolling in the program.
Appendix & Important Points For Consideration
|Demo Account||LIVE Account|
1. Company profile, history and information?
- How long has the company been around?
- Is the school a “shell” company? (No employees, no activities i.e. JUST a name)
- Where is the school located? If the school promises you the “high returns” on Forex trading, logically speaking, they should be doing well, and their office, if any, should be presentable, well-furnished and centrally located.
- Are they a pure Forex school? What business(es) and/or investment tools are they involved in besides Forex? Typically, the higher the degreee of specialization, the more credible the source.
2. *IMPT* ALWAYS Ask for ‘LIVE’ Trading Results.
- Always ask the school for their PERSONAL CURRENT LIVE results to prove that they are trading LIVE. (Ask for last 12 months “LIVE” trading results TO SHOW CONSISTENT RETURNS )
- Ask for LIVE results direct from their MT4 platform
– must be from computer, laptop, tablet or mobile phone (LIVE acct is a “GOLD” icon – See image above)
- If the results are hand-written or typed over an excel sheet, it does NOT count as proof. “Results” of thse nature can be totally made up and fabricated.
- Make sure you see the school owner’s name on the trading account. Some school use student’s trading accounts to show the public.
- Check the frequency of trades (e.g. how many trades did he enter in a day or month). Some school just enter 1 (ONE) trade to prove that he is trading LIVE.
- What is the “LOT SIZE” for the trades he entered? If he is trading a 0.10 lot size trade, then ask yourself if he/she is even fit to teach you forex trading. Most likely, HE/SHE HAS NOT CREATED WEALTH THROUGH FOREX but rather he/she is trying to profit by selling your FOREX courses instead. As the popular saying goes…”People that don’t do…teach!” There is much truth in that.
3.Sell you Fund Management
- Do they have proper trading license and/or legal licenses with the relevant authorities to start Fund Management.
- Bear in mind that it is 100% illegal to collect and trade funds without proper licenses.
- LASTLY, “common sense question – which investors in the right frame of mind would allow NEWBIES to trade their funds in forex trading
4.Who designed the trading system and has it evolved over time?
- Is the school owner a trader himself? Did they just plagiarize other school’s system in a thinly veiled attempt to separate you from your hard-earned money?
“Common Sense – why learn from a student or second hand source of info?”
- Make sure the system is not readily available online for free or anywhere else Do they use 1 strategy for all currency pairs and/or even worse across different investment tools (e.g. stocks, options, futures, etc)?
5.Are they Introductory Brokers (IB) ?
- Is it COMPULSORY for you to use their broker(s) to fund your LIVE account?
- If YES, they are EARNING at YOUR expense. They get commission fee $$$ everytime you enter a trade regardless if you WIN or LOSE that trade.
- Being an IB, they charge you low on course fee (you won’t learn anything anyway)
6. Some schools claim that they are partners and/or they know some of reowned/well-known celebrites or public figures.
- Organising events for the so-called “celebrities” or “well-known” character means you are their partners?? Standing next to them and took a photo means you know them?? GO TO INVESTFAIR 2016 and take a photo with Jim Rogers and you can claim that you are his partner too.
- Any well-known celebrities and/or characters will not endorsed any unknown & small forex company as their partners because it is way too risky for them to risk their reputation.
7. What are the credentials and current/recent track records of the trainers and school owners?
- Do they have any certifications and awards to earn their rights to teach and coach you?
- Do a background check on the school owner(s).
- Did the school owner(s) truly and authentically create his wealth through Forex trading?