GMGroup – The alleged financial service provider GMGroup presents itself on its own homepage as an online broker. According to this, worthwhile investments for clients could be made there. In February 2022, the UK Financial Conduct Authority (FCA) reported that the provider could be a clone company.

You have invested with GMGroup and want your capital back? The law firm Herfurtner can help you in case of difficulties.

GMGroup – Trading Valuation

Currently, there is an extremely high number of online trading platforms such as GMGroup. This means that it has never been so easy, but also risky, to invest in the unpredictable financial markets.

Precisely because there are numerous options, choosing an online broker can be time-consuming and challenging. Especially if you want it to meet your individual investment needs. Have you already invested with GMGroup? Then the following aspects are important for you as an investor.

  • Licensed online brokers, trustworthy provider sites, costs and bonuses, product options and customer reviews are just some of the aspects you should take into account when making your final choice.
  • A wide range of order types can be used in the www trading area.
  • Access to cross-border stock markets is made easier and more affordable for investors through online investing.
  • A very good place to start for investors who want to inquire about stocks, futures, binary options and cryptocurrencies is a web presence like this one.

The other information is a general suggestion for investors – regardless of the platform in which you invest capital.

Is GMGroup authorised by a financial supervisory authority?

Both financial markets and investor protection benefit from rules of conduct and organisational responsibilities. Investment services firms and firms like GMGroup must comply with a wide range of standards of conduct. The same applies to their employees.

This requirement is intended to prevent conflicts and the associated disadvantages for financial investors. This includes the company’s obligation to inform its corporate clients about the most significant features of a bond transaction before it is concluded. This applies both to the specific investor and to the investment itself.

In line with this idea, supplementary information is required for corporate clients who wish to engage in highly speculative or risky transactions. Companies such as GMGroup have a duty of care towards their clients. This goes significantly beyond the provision of a product or service.

Is the service provider authorised to sell investment products? You should definitely clarify this. In this context, you can use the broker check data collection of a financial supervisory authority and type the brand name of the financial service provider into the search function.

Unsolicited telephone advertising calls

Have you received a call from a stranger in the past who presented you with an offer? Do not answer under any circumstances. Unsolicited calls are against the law. “Cold calling” is clearly prohibited at investment service providers and other companies such as GMGroup.

There are also groups that claim to work for professional web trading platforms. They do this to get people to trust them with their personal information. Most of the time, you are asked to deposit more money after your first payment. Phone scammers are always coming up with new schemes to rob investors of their savings, cash and other valuables.

A common strategy of the perpetrators is to call the people they want to harm at inconvenient times of the day. This is, for example, very early in the morning or very late at night. In other words, times when they are least concentrated.

In addition, the lawbreakers pretend at the beginning of the conversation that they and the person being called are known to each other. The other possibility is to pretend that the callers are obliging. By doing this, the perpetrators give the person they are talking to on the phone a feeling of goodwill and trust.

Check whether you are really dealing with the GMGroup company when they contact you by phone.

Pump and Dump

The term pump and dump is used to describe a situation where the price of a share is unnaturally inflated by insiders. Afterwards, the same share is sold at a loss to other investors. This is therefore a fraud. A manipulation that profits from the inexperience of small investors and stock market novices.

This approach is therefore prohibited in a controlled securities market and for companies like GMGroup. The crypto market, on the other hand, is still by and large “Wild West” as far as such tactics are concerned. Because of this, extreme attention is required!

Pump-and-dump scams are increasingly found there in the context of the generally so-called altcoins. The pump-and-dump scam is used by fraudsters to drive up the price of an unknown currency or even a currency they have created themselves.

They achieve this by spreading false information on the internet or social media or by luring co-investors with unreasonable profit expectations. So make sure that the provider GMGroup provides you with all the essential information on this complex of topics, if requested.

Recognising investment fraud in general

You would like to invest money with GMGroup? In this case, you should find out all the essential information about the company. Investment fraud is a special form of fraud. The perpetrator promises or deceives a large group of people about a profitable investment in the capital market.

Capital investment fraud is punishable by a prison sentence of up to three years or a fine, in accordance with Section 264a of the Criminal Code. The following products and strategies may be considered as capital investment fraud:

  • Shareholdings in companies
  • Unsolicited telephone advertising calls, so-called cold calling
  • Shareholdings in shares, funds and certificates
  • Boiler Room Scam, a cold call seeking investors by telephone call

Those who have fallen for investment fraudsters have often invested a lot of capital. What can you do in case of investment fraud?

  1. Recovering assets from GMGroup: If payments have been made by credit card, in many cases this can be recovered by calling a law firm. In the case of transfers from the current account, this can often be recovered by bank order.
  2. Claim damages: People who have been given incorrect advice can claim damages from the investment adviser.
  3. Revoke or contest contracts: Affected persons who have concluded a contract can revoke or contest such a contract in the case of investment fraud.
  4. Involve the police and the financial supervisory authority through a lawyer: Police collective proceedings exist against specific fraudulent companies in the FRG and also abroad. The police are entitled to have the accounts of the rip-off artists blocked and the money seized. In addition, the public prosecutor’s office is called in.

Supposed offers of help to recover assets

Anyone who has ever lost funds to a fraudulent investment platform knows how disastrous that can be. That alone is terrible enough. But in addition, the criminals behind the bogus model contact you in a short time by email or phone call. This time, however, they do not pose as GMGroup investment advisors.

Rather, they promise to provide assistance in recovering the stolen capital for a fee. Many rip-off artists even appear to have been hired or entrusted by trusted organisations such as a financial regulator. After stealing your personal information, it is not uncommon for rip-off artists to pose as good Samaritans.

They promise to assist you in recovering the stolen money. Even if you have invested money with a provider like GMGroup, your contact details may be stolen. Anyone who has lost a large amount of money is usually desperate. The criminals take advantage of people’s desperation by calling themselves “recovery companies”.

They offer their services under the bogus pretext of helping them get their money back. This means they guarantee in a dubious manner that they will recover the lost assets.

Getting back deposits from GMGroup: Lawyer helps

You have invested with GMGroup, or another provider? Now you are encountering difficulties with repayment? Then we recommend that you block further payments immediately. This is especially true if the broker demands additional payments to compensate for losses. Furthermore, you should attempt to recover the lost capital.

In this context, affected investors can seek investor protection and contact the lawyers of our law firm. Our law firm examines civil law as well as criminal law options and possible claims for damages against the company and against involved payment service providers such as financial institutions.

“One can no longer speak of an exceptional case when a private investor loses money in the course of online trading. Numerous investors are misled by the professional appearance of the providers and only realise too late that they are not responsible for their losses.”

Our recommendation is therefore not to despair, but to react quickly and with commitment. Because the prospect of recovering the lost capital is often greater than the aggrieved investors suspect. Would you like to talk to one of our lawyers about GMGroup? Then you can go straight to our contact section here.