Companies must be registered with the FSCA to deliver financial products and services. FXnonstop is not registered.
The Financial Sector Conduct Authority (FSCA) is warning the public to be careful when conducting financial service business with FXnonstop (Pty) Ltd, which offers investors returns of 40% per week.
FXnonstop offers trading software for investors and according to the company’s website, its “cutting-edge software” will “unlock the power of seamless trading”, “elevate your trading experience” and help you to “achieve your financial goals with confidence”.
According to the FXnonstop website, the founder is someone called Phumelela Mnguni, who says he was born and raised in South Africa. He describes himself as a businessman, entrepreneur, business executive and founder of FXnonstop.
“I always believed that working a 9-5 job isn’t the best way to live life. I am a living proof of breaking the curse of working to earn a normal living. After realising that, many individuals follow the usual path of making a living, while they were missing out on what the financial market has to offer.
“I then decided to change that and generate wealth through forex trading and created the FXnonstop swing indicator. A software that shows you the direction of the market. Now the rest is history and I’m here to provide value and help others achieve their financial breakthrough.”
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FXnonstop video shows wads of R100 notes and expensive whisky
In a video on YouTube, titled Forex Profit by FXnonstop, Mnguni shows a programme on a computer screen while he handles wads of R100 notes with a bottle of Hennesy whisky standing next to the screen.
However, the FSCA advises the public to act with caution when dealing with FXnonstop, saying it received information indicating that FXnonstop is possibly providing financial services to members of the public by offering investment opportunities with guaranteed profits, without being authorised to do so.
“FXnonstop is promising investors returns of up to 40% per week. Without making or communicating any finding in this regard, the FSCA points out that FXnonstop is not authorised to provide financial products or render financial services in terms of any financial sector law.
“The FSCA endeavoured to contact FXnonstop but did not respond. The FSCA also points out that profits resulting from trading cannot be guaranteed and that the returns promised in this instance is not realistic.”
Mnguni also did not respond to an email from The Citizen requesting his comment on the FSCA statements.
The FSCA says it wants to strongly discourage members of the public from conducting financial services business with people who are not authorised to conduct such business.
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How to check if a company is registered with the FSCA
Members of the public are advised to contact an authorised financial services provider if in doubt and to always check:
- that an entity or individual is authorised by the FSCA to provide financial products and services, including for giving recommendations about how to invest
- what category of advice the person is registered to provide, as there are instances where companies or people are registered to provide basic advice for a low-risk product and then offer advice on far more complex and risky products
- that the FSP number the entity or individual offering financial services uses matches the name of the FSP on the FSCA database.
You can use one of these methods to confirm the status and FSP number of the service provider or a person that claims to be an authorised service provider:
