Reason for this visit

Cyprus imprudently purchased Greek government bonds in 2012. When the Greek government bonds default occurred, the Cyprus banking system suffered heavy losses exceeding 30% of the annual GDP of Cyprus, and the countrys domestic debt crisis occurred. In response to the crisis, the Cyprus government introduced a terrible solution that was opposed by all the people, which aggravated the crisis. At the same time, some people in Cyprus discovered that having an upward trend in price, various foreign currencies that were independent of the sovereign currency might be able to cope with this crisis. As a result, people poured funds into the small foreign exchange market in an attempt to hedge and protect themselves. For various reasons, Cyprus has gradually become a country with active foreign exchange transactions. In an attempt to help investors better understand the current situation of foreign exchange brokers in Cyprus, WikiFX survey team decides to go to the country for on-site visits to local companies.

On-site visit

In this issue, the survey team went to Cyprus to visit forex broker GVD MARKETS as planned according to its regulatory address that 20 Omirou, Thomaides Group, 1st Floor, M2, 3095, Limassol, Cyprus.

The investigators came to 20 Omirou in Limassol, Cyprus for an on-site visit to the brokers office, and located the Thomaides Group, a 4-storey commercial building with a well-maintained facade, in the city center.

Upon arrival at the building for further investigation, the survey personnel spotted a directory in the lobby, which displayed that the 1st and 2nd floor were occupied by Brand Engineering Ltd and Brand Performance Ltd. The two companies were affiliated with the same group. Meanwhile, the mezzanine floor was vacant, and the stickers indicated that it had been occupied by a legal consulting firm.

The inspection team then saw an office sign by the entrance on the 1st floor, which showed Brand Engineering Ltd and its three brands logos. However, it did not provide the information concerning GVD Markets. From the open office of Brand Engineering Ltd, it could be seen that the technical equipment and tools inside were not related to financial business. Obviously, it was a sales and marketing company for OEM auto parts.

According to the online information, GVD Markets claimed that it was operated by GVD Korimcy Ltd and regulated by CySEC. However, the regulatory information of GVD Markets could not be found on the CySECs website.

Through the on-site investigation, it has been confirmed that the broker does not have a physical presence at the location.

Conclusion

The survey team went to Cyprus to visit broker GVD MARKETS as scheduled, but did not find the companys office at its regulatory address. Accordingly, investors should be meticulous in choosing the broker.

Disclaimer

The content is for informational purpose only, and shall not be taken as a final order for making a choice.