LIFESTYLE

Don't Be Fooled By The Likes of Sandile Mantsoe And Fake Forex Traders Who Flex on Social Media

Trading is a complicated affair.

20/09/2017 09:57 SAST | Updated 20/09/2017 16:55 SAST
Getty Images/iStockphoto

More than 120 people claim Sandile Mantsoe, on trial for murdering his girlfriend, Karabo Mokoena, scammed them out of hundeds of thousands of rands. This was revealed on eNCA's Checkpoint episode on Tuesday.

Mantsoe (27) claimed to be a highly successful forex trader through his company, Trillion Dollar Legacy.

Read: Why Forex Trading Is Becoming Such A Big Deal in South Africa

Social media users were incensed by how Mantsoe and traders like him continue to scam many South Africans out of their hard-earned cash.

Here are three top things that have come out of the conversation on Twitter:

1. It is not that people are ignorant, they are misinformed and sometimes just desperate


2. The lifestyle as seen on social media is appealing especially to young people -- and attracts them to the trade

Read: Inside A Forex Trading Seminar Where Big Promises Are Made

3. Forex trading is legit, only there are too many scammers masquerading as genuine traders

How to tell the fake from real

Potential traders have every right to check if the trader or trading company they want to invest money in is registered with the Financial Services Board (FSB). The FSB is an institution for non-banking financial services providers, aimed at protecting South Africans who want to branch into non-banking financial avenues such as forex from losing their money.

The board says: "Persons rendering financial services without a licence or without being appointed as representatives are acting in contravention of the Financial Advisory and Intermediary Services Act. Transgressors can be fined and or imprisoned."

However, although trading is protected, the challenge remains that forex trader training is still unregulated -- and this is where some scammers make the most money.

Read: 7 Things That May Stop You From Being Taken For A Forex Ride

Thank you, Checkpoint, for shining the light again on such an important conversation.