Universal Wealth Group – The online broker presents itself on its website https://universalwealthgroup.com/ as a service provider in the field of finance, offering its customers an online trading platform. Accordingly, investors can trade digital currencies, commodities, indices and shares.

Do you encounter complications with the distribution of your capital investment? Our lawyers can help you with claims against Universal Wealth Group.

Universal Wealth Group – what is known about the provider?

Currently, there is a very high number of investment service providers such as Universal Wealth Group. As a result, investing in the unpredictable financial markets has never been as easy but also as risky as it is now. Especially because there are so many opportunities, choosing a broker can be time-consuming and frustrating.

Particularly if it should correspond to your individual investment plans. Are you considering investing with Universal Wealth Group? Then the following points are important for you as an investor.

  • State-licensed online brokers, reputable providers, fees and commissions, product options and customer reviews are just some of the criteria you would need to factor into your final decision.
  • In the area of trading on the web, you can use a wide range of order types.
  • An ideal place to start for investors who want to learn about stocks, futures, binary options and cryptocurrencies is a website like this one.

The following is general advice for investors – regardless of the platform you invest capital in.

Financial regulators: What is their purpose with financial services providers like Universal Wealth Group?

Both financial markets and investor protection benefit from conduct of business rules and organisational responsibilities. Equity services firms and companies like Universal Wealth Group must comply with a wide range of regulations. The same applies to their employees.

This requirement is intended to circumvent conflicts of interest and associated disadvantages for investors. This includes the obligation of the company to inform its corporate clients about the most important features of a securities transaction before it is sealed.

This applies both to the specific investor and to the investment itself. According to the idea, additional information is needed for clients who want to engage in highly speculative or risky transactions. Towards their corporate clients, companies such as Universal Wealth Group have a duty of care.

This goes significantly beyond the provision of a product or service. Does the service provider have authority to distribute investment products? You should definitely check this. To do this, you can use the broker checklist of a financial supervisory authority and type the brand name of the service provider into the search mask.

Universal Wealth Group: Transfers to accounts abroad?

Is it beneficial for you to transfer money abroad? Look carefully at what you are doing. Countless investors have already lost assets in this context. It is conceivable that you lose track of where your money goes and how it is invested.

When money was made available to a broker, it happened that the online broker did not invest the amount received as agreed or even not at all. There were also cases where the company simply did not exist, although it presented itself in a similar way to Universal Wealth Group.

Apart from the licensed providers, there are a number of dubious online trading platforms where a very similar procedure can be observed in most cases. Potential investors are contacted by employees of the respective trading website.

For example, with a phone call if the new customer has left non-binding contact information on the service provider’s website. In many cases, however, they are also contacted by mass e-mails. These entice with seemingly profitable investments.

The investor is promptly provided with a personal broker who instructs him on how to create a customer account and make his first investments. At first, the investor feels well advised and online trading largely begins with smaller sums. But shortly afterwards, higher investments are requested – usually to accounts abroad.

These transfers are intended to increase the possible profits. Problems with dubious online trading platforms finally arise when the investor wants to be repaid. This is repeatedly delayed or linked to further payments such as alleged taxes and commissions.

In the past, the perpetrators traded solely from dubious locations. Now they are active from very different locations such as the United Kingdom (incl. London), the Netherlands, Canada, the Kingdom of Spain, Dubai and many others.

For many people, it is costly to identify tricky schemes. Companies often receive e-mail orders with very large order volumes that are out of proportion to the usual purchase amounts. In order to lure the German company, large promises of profits are used.

However, the considerable order volume only serves as a means of pressure in the communication with the provider in order to demand correspondingly high authorisation and registration costs. It is not always clear whether the recipient of this payment is also the client of the products.

Notwithstanding this, one can assume that providers who are active abroad will not have to pay regional taxes on shipments to other countries in the foreseeable future. Check whether this also applies to investments with Universal Wealth Group.

Pump and Dump: How does the scam work?

The term pump and dump is used to explain a situation in which the value of a share is artificially inflated by insiders. Afterwards, this share is sold again at a loss to the other investors. This is therefore a fraud. A deception that profits from the cluelessness of small investors and stock market novices.

For this reason, this approach is illegal in a controlled stock market and for providers such as Universal Wealth Group. The crypto market, in contrast, is still largely “Wild West” as far as such tactics are concerned. Therefore, extreme caution is necessary!

Pump-and-dump scams are frequently encountered there in connection with the altcoins commonly referred to as such. The pump-and-dump scam is used by criminals to drive up the price of an unknown or possibly self-created currency.

They achieve this by spreading disinformation online or in social media or by luring co-investors with unreasonable profit expectations. So make sure that you are provided with all the necessary information on this subject matter by the provider Universal Wealth Group, if applicable.

Online broker does not pay out – what can you do?

Investors are repeatedly wooed by an “online broker” or a call centre employee as soon as they have set up an account on the apparent trading platform. The aim is to persuade the investor to increase his permanent investments in order to maximise profits.

This is also a legitimate goal of the broker Universal Wealth Group. Shortly after the customer has transferred his capital, the first profit developments may be displayed on his account. This should motivate the investor to continuously invest in the financial instrument.

However, the operators of the trading platform can use fraud software to simulate manipulated account movements and profits, even without the buyer noticing.

Ensure that accounts can be authenticated equally with Universal Wealth Group.

In practice, no trading takes place on several online trading platforms per se. Rather, the transferred capital is transferred by the fraudulent brokers to accounts outside Germany’s borders. This is not initially registered by the investors.

The “online brokers” delay the disbursement of the represented profits by demanding the payment of apparently incurred taxes and processing costs from the investors. The deceptive manoeuvres only serve the purpose of increasing profits.

Sooner or later, the contact breaks off completely. The paid-in capital is used up. From that moment on, the only way to take the necessary steps is to go to a lawyer.

Duty to inform about fees

Before investing with Universal Wealth Group, find out how much of your investment amount will be used to cover costs, fees and commissions. This is a useful time to look in detail at the info provided by service providers! Investors must be made aware of all calculated costs and how they affect the margin of investment service providers.

Furthermore, the remunerations must be listed individually. If you request a detailed overview of any costs, the financial service providers are obliged to provide you with this information. For obvious reasons, a broker like Universal Wealth Group is usually interested in as many trading transactions as possible.

Usually the fees are so exorbitant that it is difficult to make a profit. The costs can even eat up the invested assets in a very short time. Therefore, be sure to pay attention to the costs! The broker’s trading fees must be publicly available.

The transparency of the structure of the costs is also set in the legal requirements and licensing. In connection with a violation, the service provider’s licence can be revoked.

Losses with Universal Wealth Group – Recommendations for action from a lawyer

It is advisable to take precautions as soon as possible if the suspicion is confirmed that a financial service provider is not acting conscientiously and there is a risk that the online broker will refuse to pay out.

In addition to a criminal complaint, which we file for our clients with the criminal investigation department, and a report to the financial authorities, the service provider should also be held responsible under applicable law, if necessary.

This involves assessing the claims against the broker agreed in the contract as well as possible chances of compensation. In the case of financial transactions, it is also significant to check whether banks can be held responsible in the event of an error.

Claims for compensation against banking institutions can arise, for example, in the case of money laundering or other criminal acts. However, this must be examined depending on the context at hand. If your broker delays the distribution, you should therefore immediately contact a competent law firm:

  1. Tell our law firm about your case by e-mail
  2. Tell us how long the online broker has not paid you
  3. Give us the names and contact details of all the people you have been in contact with

Our lawyers will give you a no-obligation initial assessment in connection with Universal Wealth Group. We will also let you know promptly whether we think you have a real chance of recovering your losses.