GCG Asia not a licensed futures broker: Ministry

GCG Asia not a licensed futures broker: Ministry

Jakarta (ANTARA) - The Commodity Futures Trading Regulatory Agency of the Ministry of Trade (Bappebti) gave confirmation that the Guardian Capital Group (GCG) Asia Indonesia from Malaysia did not hold a business license as a futures broker.

Head of Bappebti's Market Development and Development Bureau Sahudi made the statement following public reports linked to fixed income investment offers for foreign exchange (forex) transactions from GCG Asia Indonesia.

"Bappebti has yet to receive an application for business license from GCG Asia Indonesia or PT Guardian Capital Future. To this end, we urged the people to re-examine the business license of a company that offers investment in futures trading for commodity, index, or forex," Sahudi remarked in a statement here on Thursday.

Sahudi noted that futures trading activities can only be conducted by a limited company member of futures exchange that already possesses a business license as a futures broker from Bappebti as stipulated in Law No. 10 of 2011 on Commodity Futures Trading.

"We appeal to people to discern methods employed by an illegal entity to draw customers through website; social media platforms, such as Facebook, Instagram, Twitter, and YouTube, as well as other forms of media," he emphasized.

Among the various ploys frequently used by illegal brokers is offering futures contract or derivative contract (usually for forex, index, commodity, and cryptocurrency) with a low margin.

Moreover, these illegal entities offer high fix income in a certain percentage and period. The investment package list is segregated on the basis of the prospective customer's financial capability, usually in Silver, Gold, and Platinum packages.

These illegal brokers have profiteered Bappebti's legality by brandishing the logo to attract the people and gain their trust.

Sahudi has appealed to the people to exercise caution and cross-check the legality of any firm offering investment. Companies in the Futures Trading Industry that have already bagged Bappebti's license are listed on the website www.bappebti.go.id.  

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