Business

Popular Forex Trading Scams, and How to Avoid Them

Forex is big business. Approximately $5 trillion worth of currency is traded each day mostly by large banks and financial institutions. In the past, you needed to have a finance related degree from a high ranking university in order to work as a trader.

As a result, most people were ‘locked out’ from the profitable world of forex trading. Now you can trade forex from a smartphone anywhere in the world.

Private individuals account for approximately 7% of currency trading. This is worth hundreds of billions of dollars. Wherever there is that type of money, you will find scammers. We will be taking a look at the most common forex scams and how you can avoid them.

High yield investment programs (HYIPs)

A “millionaire” forex trader invites others to invest in his fund. He shows fake screenshots and testimonials showcasing his consistent run of results.

There is always a ridiculously large interest rate. As people get the returns promised word of the scheme spreads like wildfire through word of mouth.

The scammer uses new signees to pay old ones. The scammer waits until the scheme reaches critical mass and then disappears with the money. This is a classic Ponzi scheme modified for the forex industry.

It is straightforward to assume an identity online, and video testimonials can be bought. Don’t assume that just because someone poses in a mansion or supercar that it is theirs.

Mansions can be rented on Airbnb for a few hundred dollars and so can private jets. Any forex trader with the skills to get consistent results won’t need to invite random strangers to invest.

They would simply take a loan from a bank at a low-interest rate or form a company and invite angel investors. Big companies conduct due diligence before investing.

Unregulated Brokers

Launching a legitimate looking brokerage is incredibly easy and inexpensive. Freelance graphic designers and copywriters to give it that “wow” factor.

Would you deposit money into a bank which is yet to obtain a licence? Of course not, so why invest with a broker which isn’t regulated.

Regulatory bodies do more than just award certificates. They audit forex brokers wherever necessary to ensure that the investments of customers are protected.

Plus, they also record the owners and verify that their identity documents are valid. Scammers don’t like to be tracked.

Therefore, they create fake badges or recreate regulatory websites in order to appear legitimate. Another common way they try to bypass is to create sites which have similar names and designs to well-known ones.

It is incredibly easy to find out if a broker is regulated. Each country or region has its own regulatory bodies. Here are a few:

The National Futures Association – U.S.A

Financial Conduct Authority – United Kingdom

Australian Securities and Investments Commission – Australia

Cyprus Securities and Exchange Commission – Cyprus

Many forex brokers prefer to base themselves in Cyprus or Gibraltar due to the minimal taxes on offer. Another way to verify if a broker is genuine is to type the domain into Whois.

Check to see if the domain is registered by a company. Alarm bells should ring if it is registered by an individual or the registrant details are masked.

Managed forex accounts

This involves a trader telling you that they can fully manage your account, and make you wealthy. All you need to do is send them money. A majority of forex traders never turn a profit.

As a result, such an offer can seem like an answered prayer.

The scammer simply takes the money and vanishes. Generally speaking, forex traders are only focused on their accounts. Therefore, why would they offer to help you run yours?

Outrageously priced training programs

I am yet to meet a top forex trader who can attribute their success to a particular course. There is so much free training available. You don’t have to give someone a large sum of money to be trained as the next “forex millionaire”.

There are some great coaching programs out there; however, much of what you will learn can be found in a few Google searches. Plus, this takes away money you could be using to trade with.

I get it, Forex can be challenging; therefore, a course taught by a “millionaire” guru can seem like a shortcut. The most effective training strategy is to start off with a demo account and implement strategies you find online.

There is no risk because you aren’t trading real money. You can then develop a profitable trading system and trade with real money.

How to easily detect forex trading scams

The forex industry is a lucrative playground for scammers. New scams are created on a daily basis; however, they all share similarities. Here are 5 things to look out for:

1) “Everyone can do it”

In order to get more victims, they will suggest that anyone can make money from their scheme. And the truth is most traders don’t have the focus and commitment needed. This is why 96% of forex traders don’t turn a profit.

2) Referrals

In an attempt to increase revenue, most scammers will ‘reward’ you for referring more people. In most cases, there is no product or service. You only make money with successful referrals.

This is a classic Ponzi scheme. You are likely to lose relationships with family and friends. Plus, Ponzi schemes are illegal, and you can end up in court for participating.

3) Selling a lifestyle

People are attracted to success. And hope is always in demand. Therefore, scammers are experts at selling the illusion of success. They create a persona in order to make you jealous and motivate you into buying. They spend more time talking about how easy their program is, and the riches it “will” bring. As a general rule, there is no easy way to wealth. You need to be exceptional, and that takes hard work.

Final thoughts

Forex is filled with opportunities. Unfortunately, it also attracts criminals. Therefore, you need to be selective and vigilant. Just to recap, here are the key points covered:

Be wary of unusually high returns on investments.
Unregulated brokers can easily disappear with your money and there is little the authorities can do about it.
As a general rule, wealth doesn’t come easy. Be careful of those who claim that anyone can make money using their system.

Business

PepsiCo Reduces Revenue Projections As North American Snacks And Key International Markets Underperform.

(VOR News) – In the third quarter of this year, Pepsi’s net income was $2.93 billion, which is equivalent to $2.13 per share. This was attributed to the company.

This is in stark contrast to net income of $3.09 billion, which is equivalent to $2.24 per share, during the same period in the previous year. The company’s earnings per share were $2.31 when expenses were excluded.

Net sales decreased by 0.6%, totaling $23.32 billion. Organic sales increased by 1.3% during the quarter when the effects of acquisitions, divestitures, and currency changes are excluded.

Pepsi’s beverage sales fell this quarter.

The most recent report indicates that the beverage and food sectors of the organization experienced a 2% decline in volume. Consumers of all income levels are demonstrating a change in their purchasing habits, as indicated by CEOs’ statements from the previous quarter.

Pepsi’s entire volume was adversely affected by the lackluster demand they encountered in North America. An increasing number of Americans are becoming more frugal, reducing the number of snacks they ingest, and reducing the number of times they purchase at convenience stores.

Furthermore, Laguarta observed that the increase in sales was partially attributed to the election that occurred in Mexico during the month of June.

The most significant decrease in volume was experienced by Quaker Foods North America, which was 13%. In December, the company announced its initial recall in response to a potential salmonella infection.

Due to the probability of an illness, the recall was extended in January. Pepsi officially closed a plant that was implicated in the recalls in June, despite the fact that manufacturing had already been halted.

Jamie Caulfield, the Chief Financial Officer of Pepsi and Laguarta, has indicated that the recalls are beginning to have a lessening effect.

Frito-Lay experienced a 1.5% decline in volume in North America. The company has been striving to improve the value it offers to consumers and the accessibility of its snack line, which includes SunChips, Cheetos, and Stacy’s pita chips, in the retail establishments where it is sold.

Despite the fact that the category as a whole has slowed down in comparison to the results of previous years, the level of activity within the division is progressively increasing.

Pepsi executives issued a statement in which they stated that “Salty and savory snacks have underperformed year-to-date after outperforming packaged food categories in previous years.”

Pepsi will spend more on Doritos and Tostitos in the fall and winter before football season.

The company is currently promoting incentive packets for Tostitos and Ruffles, which contain twenty percent more chips than the standard package.

Pepsi is expanding its product line in order to more effectively target individuals who are health-conscious. The business announced its intention to acquire Siete Foods for a total of $1.2 billion approximately one week ago. The restaurant serves Mexican-American cuisine, which is typically modified to meet the dietary needs of a diverse clientele.

The beverage segment of Pepsi in North America experienced a three percent decrease in volume. Despite the fact that the demand for energy drinks, such as Pepsi’s Rockstar, has decreased as a result of consumers visiting convenience stores, the sales of well-known brands such as Gatorade and Pepsi have seen an increase throughout the quarter.

Laguarta expressed his opinion to the analysts during the company’s conference call, asserting, “I am of the opinion that it is a component of the economic cycle that we are currently experiencing, and that it will reverse itself in the future, once consumers feel better.”

Additionally, it has been noted that the food and beverage markets of South Asia, the Middle East, Latin America, and Africa have experienced a decline in sales volume. The company cut its forecast for organic revenue for the entire year on Tuesday due to the business’s second consecutive quarter of lower-than-anticipated sales.

The company’s performance during the quarter was adversely affected by the Quaker Foods North America recalls, the decrease in demand in the United States, and the interruptions that occurred in specific international markets, as per the statements made by Chief Executive Officer Ramon Laguarta.

Pepsi has revised its forecast for organic sales in 2024, shifting from a 4% growth rate to a low single-digit growth rate. The company reiterated its expectation that the core constant currency profitability per share will increase by a minimum of 8% in comparison to the previous year.

The company’s shares declined by less than one percent during premarket trading. The following discrepancies between the company’s report and the projections of Wall Street were identified by LSEG in a survey of analysts:

SOURCE: CNBC

Business

Old National Bank And Infosys Broaden Their Strategic Partnership.

(VOR News) – Old National Bank, a commercial bank with its headquarters in the Midwest, and Infosys, a firm that specializes in information technology, have recently entered into a strategic expansion of their link, which has been in place for the past four years.

This expansion is more likely to take place sooner rather than later, with the likelihood being higher.

For the purpose of making it possible for Old National Bank to make use of the services, solutions, and platforms that are offered by Infosys, the objective of this expansion is to make it possible for the bank to transform its operations and processes through the application of automation and GenAI, as well as to change significant business areas.

This lets the bank leverage Infosys’ services, solutions, and platforms.

Old National Bank Chairman and CEO Jim Ryan said, “At Old National, we are committed to creating exceptional experiences for both our customers and our fellow employees.”

This statement is applicable to Old National Bank. Infosys is carefully managing the business process innovations that it is putting us through, putting a strong emphasis on efficiency and value growth throughout the process to ensure that it is carried out efficiently.

This is a routine occurrence throughout the entire operation. Because of Infosys’ dedication to our development and success, we are incredibly appreciative of the assistance they have provided.

Old National has been receiving assistance from Infosys in the process of updating its digital environment since the year 2020, according to the aforementioned company.

Ever since that time, the company has been providing assistance. The provision of this assistance has been accomplished through the utilization of a model that is not only powerful but also capable of functioning on its own power.

Infosys currently ranks Old National thirty-first out of the top thirty US banks.

This ranking is based on the fact that Old National is the nation’s largest banking corporation.

It is estimated that the total value of the company’s assets is approximately fifty-three billion dollars, while the assets that are currently being managed by the organization are valued at thirty billion dollars.

Dennis Gada, the Executive Vice President and Global Head of Banking and Financial Services, stated that “Old National Bank and Infosys possess a robust cultural and strategic alignment in the development, management, and enhancement of enterprise-scale solutions to transform the bank’s operations and facilitate growth.”

This remark referenced the exceptional cultural and strategic synergy between the two organizations. Dennis Gada is the one who asserted this claim. This was articulated explicitly concerning the exceptional cultural congruence and strategy alignment of the two organizations.

We are pleased to announce that the implementation of Infosys Topaz will substantially expedite the transformation of Old National Bank’s business processes and customer service protocols. We are exceedingly enthusiastic about this matter. We are quite thrilled about this specific component of the scenario.

Medium-sized banks operating regionally will continue to benefit from our substantial expertise in the sector, technology, and operations. This specific market segment of Infosys will persist in benefiting from our extensive experience. This phenomenon will enable this market sector to sustain substantial growth and efficiency benefits.

SOURCE: THBL

Business

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

The largest regulated water and wastewater utility company in the United States stated Monday that it had been the target of a cyberattack, forcing the company to halt invoicing to consumers.

American Water, The Largest Water Utility In US, Is Targeted By A Cyberattack

American Water, based in New Jersey and serving over 14 million people in 14 states and 18 military facilities, said it learned of the unauthorized activity on Thursday and quickly took precautions, including shutting down certain systems. The business does not believe the attack had an impact on its facilities or operations and said employees were working “around the clock” to determine the origin and scale of the attack.

water

The corporation stated that it has alerted legal enforcement and is cooperating with them. It also stated that consumers will not be charged late fees while its systems are unavailable.

According to their website, American Water operates over 500 water and wastewater systems in around 1,700 communities across California, Georgia, Hawaii, Illinois, Indiana, Iowa, Kentucky, Maryland, Missouri, New Jersey, Pennsylvania, Tennessee, Virginia, and West Virginia.

SOURCE | AP