Denmark, Canada add binary options traders to warning lists
Regulators in Canada and Denmark have issued warnings about two binary options trading companies operating in their respective countries. The British Columbia Securities Commission has added Redwood Options to its Investor Caution List after it was found to be trading without authorisation in British Columbia. Meanwhile, Denmark's Financial Supervisory Authority has added TechOption to its warning list, after revealing it had been "soliciting its services to consumers" without its permission.

The Danish Financial Supervisory Authority (FSA) has issued a statement today informing the public that TechOption, a binary options brokerage offering a range of services via its online platform, including mobile and social trading, has been soliciting its services to consumers without permission.

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The firm which operates via www.techoption.com, is operated by CG Capital Investments (VA) Ltd, Govant Building, BP 1276, Port Villa, Vanuatu and by GGM Payment Solutions, Kyriacou Matsi 18, Nicosia, Cyprus.

According to the FSA, TechOption is not allowed to offer services covered by the Financial Business Act in Denmark and has therefore been added to its warning list.

The FSA’s website (www.finanstilsynet.dk) includes a list of companies that are allowed to offer financial services in Denmark as well as a listing of warnings against companies so potential traders wishing to check the authenticity of a financial services provider can do so here.

Danish FSA Scope

The main task of the Danish FSA is the supervision of financial undertakings including banks, mortgage-credit institutions and insurance companies. The most important supervisory activity is monitoring that undertakings have adequate own funds to cover their risks.

The Danish FSA also supervises the securities markets in Denmark, ensuring that listed companies comply with their Obligations Obligations In finance, an obligation is a financial responsibility where the terms of a contract must be met. Should an obligation between parties fail then the party who is at default may face legal action. In this scenario, the guilty party will not only have to agree to pay the set amount to fulfill the contractual arrangement but may also be responsible for covering all legal proceedings cost. Routine payments or outstanding debt of any kind are considered financial obligations, so if someone owes you In finance, an obligation is a financial responsibility where the terms of a contract must be met. Should an obligation between parties fail then the party who is at default may face legal action. In this scenario, the guilty party will not only have to agree to pay the set amount to fulfill the contractual arrangement but may also be responsible for covering all legal proceedings cost. Routine payments or outstanding debt of any kind are considered financial obligations, so if someone owes you Read this Term. It also monitors the markets with a view to intervening in market abuse, including insider dealing and price manipulation.

As well as supervisory activities, the Danish FSA assists in drawing up financial legislation and issues executive orders for the financial area.