The FSA has put out a warning about two unauthorised firms that have been actively targeting UK investors in the last few months.
Firms trading under the name Jackson Cole and Smith Fairchild are not authorised and the FSA is warning investors that while these firms have not done anything illegal, caution is needed when dealing with unauthorised firms.
FSA director of enforcement Andrew Procter says: “Companies contacting you out of the blue at work or at home offering to sell or buy shares should be treated with care. Don't be taken in by their glib promises of sky high profits or the fact that they appear to have UK phone numbers and addresses.
“Dealing with firms that are not authorised is a high-risk business as there are no complaints and compensation schemes to turn to if your deal turns sour. “