In March 2017, some very “useful” binary websites started to promote a new broker, called 24stockoption. I need to clarify from the beginning that this company has nothing to do with 24option and is run by the London based BHL TRADING NETWORK LTD.
What is fascinating about 24stockoption is that the company claims to be a Canadian-regulated binary broker and in final approval by the USA Financial Industry Regulatory Authority (FINRA). How does that sound to you? It is hard to believe that a binary broker is regulated by the Investment Industry Regulatory Organization of Canada.
So, I tried to contact 24stockoption support to clarify how exactly the company can be regulated by IIROC but not listed on the iiroc.ca website. So far, I’ve received no answer. The live chat on the website is not working, and the broker’s Facebook profile also doesn’t seem to be very active. However, I couldn’t miss the broker’s spicy friends on Facebook and one follower on Twitter.
What makes me dubious about 24stockoption is the fact that the company is not an exchange but a typical binary broker, like Banc de Binary was. As we know, only binary exchanges, Nadex and Cantor, are regulated in the USA and Canada does not regulate binary options at all.
Please don’t get me wrong. I will be more than happy to see a regulated broker in Canada but is 24stockoption really licensed? I would be glad to hear BHL Trading Network’s position.
The trading platform looks similar to TechFinancials product, what 24option used until last year, and now we see 24stockoption with TechFinancials. Is that a coincidence?
I would also love to hear how the Fully Managed Accounts work on 24stockoption. According to its website, you can deposit $100,000, and an expert trader will take care of your money. This trader is well-equipped with deep knowledge in the financial markets and will place binary trades with a 92% win ratio. So, you can relax and watch your account growing every 60 seconds in real time, and at the end of the day, you can withdraw your 92% profit.
The binary expert will do this work for just 5% of the generated profit. As far as I know, when a trader makes a profit, the house (in the binary broker’s case) pays him. So, I deposit $100,000 at 24stockoption, and the expert starts trading and pays me $92,000 profit. Where does that money comes from? Can someone from the broker explain it to me? Probably, the broker is trading my money at some of the competitors’ brokers, like Anyoption or OptionBit.
I would also want to know how these transactions are explained to IIROC in Canada.
If 24stockoption is a US and CA regulated broker, this will be a game changer in the binary industry, but I don’t see it as such a player. Please prove the opposite if I am wrong.