WASHINGTON (Reuters) - When the U.S. Department of Justice charged a handful of JP Morgan Chase & Co (JPM.N) traders in 2018 and 2019 with alleged commodities futures manipulation, it wasn’t the first time the government had probed the bank’s metals trading activities.

Maybe you’ve seen the commercials on TV, videos on the Internet, or received something in the mail. They predict economic instability and use graphs of past performance to “prove” gold, silver, or some other precious metal is not only your safest bet but is destined to double or triple in value.

The truth is gold and other precious metals are highly volatile and past performance is not a good predictor of future returns. If sales pitches also include a lot of doom-and-gloom or high-pressure sales tactics, they could be setting you up for fraud.

All that Glitters

Banks and other big investors do buy gold, other precious metals, and commodities like oil, to hedge against inflation and other economic risks. Some investment advisers may even recommend that individual investors put small percentages of their diversified portfolios in precious metals too. But that doesn’t mean that gold or silver or other metals are “safe” places to park your wealth.

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The following information is designed to notify you about tricky promises of easy profits from rising prices in precious metals such as gold, silver, palladium, and platinum. Below is information about these offers and simple ways to spot offers that could be scams.

Washington, D.C. — The Commodity Futures Trading Commission today announced the Division of Enforcement has issued new guidance outlining factors the Division considers in recommending civil monetary penalties (CMPs) to the Commission to be imposed in CFTC enforcement actions. The guidance memorializes the existing practice within the Division and has been incorporated into the Division’s

Washington, D.C. — The Commodity Futures Trading Commission today announced the Division of Enforcement has issued new guidance outlining factors the Division considers in recommending civil monetary penalties (CMPs) to the Commission to be imposed in CFTC enforcement actions. The guidance memorializes the existing practice within the Division and has been incorporated into the Division’s

Maybe you’ve seen the commercials on TV, videos on the Internet, or received something in the mail. They predict economic instability and use graphs of past performance to “prove” gold, silver, or some other precious metal is not only your safest bet but is destined to double or triple in value.

The truth is gold and other precious metals are highly volatile and past performance is not a good predictor of future returns. If sales pitches also include a lot of doom-and-gloom or high-pressure sales tactics, they could be setting you up for fraud.

All that Glitters

Banks and other big investors do buy gold, other precious metals, and commodities like oil, to hedge against inflation and other economic risks. Some investment advisers may even recommend that individual investors put small percentages of their diversified portfolios in precious metals too. But that doesn’t mean that gold or silver or other metals are “safe” places to park your wealth.

Like...

Making decisions to trade or invest by yourself, especially if you are socially isolated, could make you more susceptible to fraud, research shows. If you’re solicited to buy or trade assets such as gold, silver, or digital assets, taking a little time to talk the idea over with someone you know and trust could save you significant losses down the road.

A 2019 joint study by the FINRA Investor Education Foundation, Better Business Bureau, and Stanford Center for Longevity found that respondents targeted by fraud were more likely to lose money if they did not have anyone with whom they could discuss the offers. In addition, those who engaged with the fraudsters “expressed significantly higher feelings of loneliness.”

According to previously unreleased data, the study’s authors said, nearly twice as many victims (41 percent) agreed with the statement “I didn’t have anyone to discuss (the solicitation) with” as non-victims (24 percent). Widowed (47 percent) and...

Washington, D.C. — The Commodity Futures Trading Commission today announced the filing of an enforcement action in the U.S. District Court for the Southern District of New York, charging defendant Casper Mikkelsen, a/k/a “Carsten Nielsen,” a/k/a “Brian Thomson,” a/k/a “Thomas Jensen,” a/k/a Casper Muller,” a resident of Denmark, with engaging in a $1.5 million foreign currency (forex) fraud scheme and registration violations.

What’s one significant way coronavirus has affected your work?

With fewer speeches and travel obligations, my time commitments have been redistributed. Part necessity and part circumstantial, I am focused on the more technical elements of my job. While both are important, I tend to prefer technician to orator anyway. Even so, this remote environment has forced me to adapt some of the more methodical approaches I typically apply. I normally print, read, highlight, tab, affix notes, and file for frequent re-examination most technical documents. (My husband claims I approach life much the same way, mentally cataloging my views and conversations to ensure easy recall decades later in the event he might challenge my recollection.) So, while I miss my meticulously organized position limits files (there are many) I have now adopted electronic annotation and filing. My laptop has never been more organized.

What’s a typical day like for you right now as we “shelter in...

The Commission relies on the public as an important source of information in carrying out its regulatory and enforcement responsibilities. If you have information about a violation of the Commodity Exchange Act or Commission regulations, you can report such violations or any other suspicious activities to our Division of Enforcement by submitting either a whistleblower Form TCR or a Complaint Form. You do not need to submit both forms, but you must submit a Form TCR to participate in the CFTC’s whistleblower program. Individuals who submit a Form TCR will receive anti-retaliation protections if applicable, and may be eligible for monetary awards of up to 30% of the money collected as a result of their information. Persons with customer complaints about a futures industry professional may also file a complaint under our Reparations Program.

Making decisions to trade or invest by yourself, especially if you are socially isolated, could make you more susceptible to fraud, research shows. If you’re solicited to buy or trade assets such as gold, silver, or digital assets, taking a little time to talk the idea over with someone you know and trust could save you significant losses down the road.

A 2019 joint study by the FINRA Investor Education Foundation, Better Business Bureau, and Stanford Center for Longevity found that respondents targeted by fraud were more likely to lose money if they did not have anyone with whom they could discuss the offers. In addition, those who engaged with the fraudsters “expressed significantly higher feelings of loneliness.”

According to previously unreleased data, the study’s authors said, nearly twice as many victims (41 percent) agreed with the statement “I didn’t have anyone to discuss (the solicitation) with” as non-victims (24 percent). Widowed (47 percent) and...

Before working with any person or firm to trade in commodity futures, commodity pools, options, forex, or other derivatives, verify that the entity is properly registered with the CFTC.  The Commodity Exchange Act requires certain firms and individuals to be registered with the CFTC.  Registration and examination of intermediaries is conducted on behalf of the CFTC by the National Futures Association (NFA) under the supervision of the CFTC.

Making decisions to trade or invest by yourself, especially if you are socially isolated, could make you more susceptible to fraud, research shows. If you’re solicited to buy or trade assets such as gold, silver, or digital assets, taking a little time to talk the idea over with someone you know and trust could save you significant losses down the road.

A 2019 joint study by the FINRA Investor Education Foundation, Better Business Bureau, and Stanford Center for Longevity found that respondents targeted by fraud were more likely to lose money if they did not have anyone with whom they could discuss the offers. In addition, those who engaged with the fraudsters “expressed significantly higher feelings of loneliness.”

According to previously unreleased data, the study’s authors said, nearly twice as many victims (41 percent) agreed with the statement “I didn’t have anyone to discuss (the solicitation) with” as non-victims (24 percent). Widowed (47 percent) and...

The Commodity Futures Trading Commission’s (CFTC) Office of Consumer Outreach and the Securities & Exchange Commission’s Office of Investor Education and Advocacy are issuing this Investor Alert to warn about fraudulent schemes involving binary options and their trading platforms. These schemes allegedly include refusing to credit customer accounts, denying fund reimbursement, identity theft, and manipulation of software to generate losing trades.

Making decisions to trade or invest by yourself, especially if you are socially isolated, could make you more susceptible to fraud, research shows. If you’re solicited to buy or trade assets such as gold, silver, or digital assets, taking a little time to talk the idea over with someone you know and trust could save you significant losses down the road.

A 2019 joint study by the FINRA Investor Education Foundation, Better Business Bureau, and Stanford Center for Longevity found that respondents targeted by fraud were more likely to lose money if they did not have anyone with whom they could discuss the offers. In addition, those who engaged with the fraudsters “expressed significantly higher feelings of loneliness.”

According to previously unreleased data, the study’s authors said, nearly twice as many victims (41 percent) agreed with the statement “I didn’t have anyone to discuss (the solicitation) with” as non-victims (24 percent). Widowed (47 percent) and...

Today, a substantial number of binary options are traded through online trading platforms. These web sites often do not comply with U.S. regulatory requirements. In fact, the increase in the number of these platforms has led to an increase in binary-option related fraud complaints to the CFTC.

Complaints include scams in which binary options trading firms claim they deposited money in an investor's account but did not. They might deny requests to return funds or even require hidden fees to return assets. Many online binary options trading platforms overstate the average return on investment or even manipulate past charts to make investing appear more promising than it really is. Some binary options trading platforms may offer a bonus for opening or adding to an account. The bonus is a monetary amount added to the deposit under the condition that the investor subsequently makes a specific minimum amount of trades before withdrawing any funds.

Binary options are an...

Making decisions to trade or invest by yourself, especially if you are socially isolated, could make you more susceptible to fraud, research shows. If you’re solicited to buy or trade assets such as gold, silver, or digital assets, taking a little time to talk the idea over with someone you know and trust could save you significant losses down the road.

A 2019 joint study by the FINRA Investor Education Foundation, Better Business Bureau, and Stanford Center for Longevity found that respondents targeted by fraud were more likely to lose money if they did not have anyone with whom they could discuss the offers. In addition, those who engaged with the fraudsters “expressed significantly higher feelings of loneliness.”

According to previously unreleased data, the study’s authors said, nearly twice as many victims (41 percent) agreed with the statement “I didn’t have anyone to discuss (the solicitation) with” as non-victims (24 percent). Widowed (47 percent) and...

The Commodity Futures Trading Commission’s (CFTC) Office of Consumer Outreach and the Securities & Exchange Commission’s Office of Investor Education and Advocacy are issuing this Investor Alert to warn about fraudulent schemes involving binary options and their trading platforms. These schemes allegedly include refusing to credit customer accounts, denying fund reimbursement, identity theft, and manipulation of software to generate losing trades.

Washington, DC — The Commodity Futures Trading Commission today filed a Notice of Intent to revoke the registrations of Phy Capital Investments, LLC (PCI), a registered commodity pool operator with its principal place of business in Miami, Florida, and its chief executive officer and registered associated person, Fabio Bretas de Freitas (Bretas), a former resident of Miami, Florida. 

The notice alleges that PCI and Bretas are subject to statutory disqualification from CFTC registration based on an order and judgment by default entered by the U.S. District Court for the Southern District of New York on October 3, 2019. [See CFTC Press Release No. 8052-19] The order found that PCI and Bretas misappropriated commodity pool funds and issued false quarterly statements to pool participants.  Among other sanctions, the order permanently enjoined PCI and Bretas from further violations of the anti-fraud provisions of the Commodity Exchange Act, and ordered PCI and...