Is Magnum Options a scam broker?
Magnum option is owned and operated by Solaris Vision Ltd which is located at Sofia Bulgaria and was a binary options broker. It was launched in April 2013. They had offices in America/Canada and the UK.
In binary options industry, all the brokers’ websites are more or less monotonous. Finding a different one is tough. And Magnum Option was a “different” one. The difference is that it offers plenty of webinars, sometimes even seven webinars in ten days. The company introduced many other things which have now become a trend.
They used SpotOption 2.0 which is a very good platform and has a many added advantages. There is a Strategy Advisor at the bottom left corner of each chart. When you move the mouse over the options you get to choose between RSI, Moving Averages and Bollinger Bands, when you click on any one it automatically generates suggestions. This is a feature which cannot be seen on any other binary options websites. These and many other features set Magnum Options apart from others in this industry.
They had on offered nearly 200 assets composing of 8 commodities, 74 stocks, 36 indices and 33 currency pairs etc. The range of expiry types was such that it suited many traders. Expiry time was of 60 seconds for short term. 1 hour, 4 hours, end of the day for the medium term. And a week, month, and year for the long term.
Magnum Options in a scam broker. It was first warned by Canada’s BCSC for rendering services without authorization. MSC also issued a warning when a 61-year-old woman was defrauded. NSSC also issued a notice as Magnum Options was not registered in Nova Scotia. Later on, Bulgarian FSC declared that the company was not authorized in its country. Magnum Option was on the list of illegal operators by French AMF.
UK High Court has shut down the binary options Magnum Options because it has cheated people by GBP 750,000. Another brand of the same company namely Hampshire Capital Ventures Limited is also placed in provisional liquidation following an investigation by Britain’s Insolvency Service.
On one of the famous website .thatsucks.com (previously binaryoptionsthatsucks) one of the authors Mr. Z describes how Magnum Options scammed him. His brief story is that he was trading for 6 months. He worked with 4 different account managers and has lost $40,000. He made more money when he traded by himself and wished to protect his money as he was not sure of accounts managers’ caliber. He deposited money because there was one clause in T&C of the company that either “Guaranteed Profit Contract or Risk-free Contract” so whenever the trades were lost the company was to add money (equivalent amount) as a bonus to his account. It had a huge turnover rate of 30X but at time of signing the contract, it was 0X for withdrawal. The company refused to honor its T&C of “Guaranteed Profit Contract”. The company closed his accounts when he kept on complaining them for refunds. He feels that account manager has stolen his money. Magnum Options scammed him and alert everyone not to do business with the company.
Magnum Options in a scam broker and there may be many victims spread across America, Canada, UK and Europe. They all can retrieve their funds with help of MyChargeBack. If the broker is not processing your withdrawal request you can call your bank and request a chargeback. Just think if the broker is a good investor why he is interested in trading your money instead of his. Actually many brokers only make money when you lose your money.