Urgent Warning from Japan FSA

Japan's Financial Service Agency, (FSA) warns Investors against Cold-calling. The authority stated, It is a practice where an entity disguises itself as a brokerage firm or an asset management firm and approaches potential investors via non face-to-face channels, such as by phone, fax, and emails, in order to solicit investment in securities or financial products.

Typically, a “cold caller” makes unsolicited calls to potential investors, cajoles them into deciding to purchase certain securities, and then, becomes unavailable for contact after the investor sends the money for that purchase.

In most countries, a person is required to be registered with or licensed by the national regulatory body before conducting solicitation of securities transactions. However, cold-callers do not have such registration or licenses.

The FSA has received extensive information from overseas investors and foreign regulators concerning cold callers who claim to be located in Japan. The FSA has made a list of entities that are not registered with or authorized by the FSA under the Financial Instrument and Exchange Act of Japan. Investors should be very careful and vigilant about conducting business with these entities, potentially opting against conducting any transactions via these entities.

About FSA

The Japanese government's Financial Services Agency, or FSA, regulates banking, insurance, and securities and exchange. The FSA was established in July 2000. It is headquarter is located in Tokyo.The Financial Services Agency's role is to ensure the stability of Japan's financial system while also protecting depositors, insurance policyholders, and securities investors.

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