Updated on January 5, 2024
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In our rigorous review process, a team of seasoned financial specialists, boasting more than 20 years of experience in Forex trading, carries out an exhaustive evaluation of various trading services. Our team delves deep into the investigation of fees, assesses the trading platforms, and verifies adherence to regulatory standards. We also interact directly with customer support and conduct actual trades to gain a real-world understanding of the trading conditions. This comprehensive approach enables us to provide informed insights and advice on why we recommend avoiding LittInvest due to the issues we've identified.
Is LittInvest Scam or Legit Broker? ▲
LittInvest emerges as a highly uncertain Forex brokerage, primarily due to its lack of any form of licensing from globally recognized financial authorities. This absence of regulatory oversight indicates a potential scam operation, as the brokerage has not undergone preliminary compliance checks, lacks continuous monitoring for operational safety, and is essentially free to conduct its business without adherence to established financial norms and regulations.
LittInvest is a Forex and CFD brokerage entity, owned and managed by Orston Partners KFT, with its registration in Budapest, Hungary. Despite its Hungarian base, to legally offer its trading services, it would necessitate a license from the Hungarian Financial Supervisory Authority, which, alarmingly, it does not possess. Furthermore, despite claims of being under British jurisdiction in its terms and conditions, LittInvest fails to hold a license from the Financial Conduct Authority (FCA) in the UK.
Moreover, LittInvest has attracted negative attention from regulatory bodies, including being blacklisted by the FCA in May 2018 for unauthorized operations in the UK and a warning issued by the International Financial Services Commission of Belize in February 2018 for operating without a necessary license. These regulatory warnings underline the broker's unsafe trading environment and its dubious operation practices.
Not applicable due to the broker's unlicensed status and regulatory warnings.
Unlicensed by any recognized financial authority, posing a significant risk to traders' funds.
Blacklisted by the UK's Financial Conduct Authority, indicating unauthorized operations within the UK.
Received a warning from the International Financial Services Commission of Belize for lacking the required license for financial services.
Confusion regarding jurisdiction and regulatory compliance, with claims of British jurisdiction but no evidence of FCA licensing.
The broker's website is currently inactive, suggesting a cessation of operations but still posing a potential risk for unwary traders.
Conclusively, LittInvest presents numerous red flags that cannot be overlooked by potential traders. The absence of any form of regulatory licensing severely undermines its credibility and suggests a possible scam operation. Regulatory warnings and blacklisting by reputable financial authorities such as the FCA and the International Financial Services Commission of Belize further compound these concerns, indicating LittInvest's non-compliance with financial regulations and unauthorized trading activities.
Given the myriad of risks associated with unregulated brokers, we strongly advise traders to opt for brokerages that are duly regulated by reputable authorities such as the FCA in the UK, ASIC in Australia, or CySEC. Choosing a regulated broker ensures a higher level of protection for your investments, including adherence to financial standards, operational transparency, and access to dispute resolution mechanisms. Therefore, in light of our extensive examination of over 1000 brokers and the specific issues identified with LittInvest, our recommendation is to avoid this broker and exercise caution, prioritizing safety and regulatory compliance in your trading endeavors.
When considering alternatives, brokers like Interactive Brokers, City Index, and AvaTrade stand out. They not only offer the security of stringent regulation but also bring to the table comprehensive trading solutions that can meet the needs of both novice and seasoned traders.
LittInvest Review 2024
