Beware! That ‘Torex Trading’ may be a Scam

forex trading
Beware! That forex trading may be a scam

Forex Trading  may be a scam ? Anyone who can consistently make 7.5% a month will be the richest person in the world in a few years.

Foreign exchange (forex) trading is no doubt a thriving business/investment in Nigeria. A report released by Dailyfx (a forex research firm) earlier in 2020, confirmed this when it found that Nigeria’s forex traders trade currency positions worth as much as $1.25 million on average, daily.

This volume is huge enough to build an industry; however, it is also mouthwatering enough to attract quacks or scammers, whose mission is to fleece unsuspecting investors of their hard-earned money.

To curb the operations of scammers, who promise their unsuspecting clients unrealistic/mirage returns on investment, an entrepreneur with business interests in technology and investment management, Dr Tayo Oyedeji shared his experience and offered some valuable advice.

Buyers beware
He shared, “Early this year, a young man walked into my office at @Overwoodng and offered to “help” us make 5% per month on all the investments in our portfolio.

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“I did the math and saw that our $1million will quickly become $1billion in 15 years at 60% per annum from this gentleman. What a deal!”

But unlike several undiscerning investors, he asked about the underlying asset and was told forex trading.

“I asked him about the underlying value he is creating. He said “nothing”. We are just trading currency.

“I asked him about his track record. He said he has made 7.5% per month for the past two years.”

Please note that 7.5% per month is 90% per annum, which means he almost double his principal every year.

In this scenario, it means you can start with N1 million and have almost N40 billion in 20 years.

“Anyone who can consistently make 7.5% a month will be the richest person in the world in a few years. Be careful, guys. I can assure you that less than .01% of FX traders can make more than 2% per month.

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“If 2% per month is so difficult to achieve, how can these magicians offer you a 5% return? You will lose your money. Don’t do it.”

In all, Oyedeji and other investment analysts that have warned unsuspecting investing public against making hasty decisions, are not saying investing in forex trading is not real but expect you (potential investor) to ask these questions:

* Show me your 2-year trading PLATFORM gains. Remember, PLATFORM, not REPORT.

* If you make 7.5% per month, why are you NOT the richest guy in the world?

* Why do you need my meager $1000?

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