Sunday, November 13, 2011

Unethical forex magic trick

Dear Mr Tan,
I strongly suspect that (name removed) is performing an unethnical forex magic trick to lure gullible students to sign up for his forex courses. Please see one of his video (link removed). He probably have an accomplice behind the scene to feed him the calls for long or short. His accomplice may be somewhere else having access to the chart on the screen and signal long or short call by simply calling his handphone. One on his left pocket and the other on his right pocket.

I am a forex trader myself and i am very sure this is a scam. Please help to unweed this unscrupulous forex school before more gullible students fall into the trap.

38 comments:

Tan Kin Lian said...

The informant told me that he is not prepared to lodge a complaint with the Commercial Affairs Department. He hope that I can do something about stopping this scam. But, this is really the work of the government, and not my work.

So, it is quite difficult, when the government does not wish to act on a tip off, and citizens are reluctant to come forward to lodge an official complaint.

Anonymous said...

Dear Mr Tan
I think you are already doing all that can be done as an active citizen.

If the authorities do not want to take action. If nobody wants to lodge a complaint.

Then the best you can do is high-light a possible scenario which requires the public to be more careful in due diligence.

Anonymous said...

Even if someone is to make a complaint, who can the person lodge the complaint to precisely? Would the complaint work? Would the authorities do something? Or would the complaint backfire and the plaintiff becomes the accused?

financialray said...

Before any one signs up for a course that promises you passive income, financial independence, financial freedom, paths to becoming a multi-millionaire, etc, think again about your hard-earned thousands of dollars. Why would anyone want to teach you the WAY when he or she can make tonnes of money himself or herself? Actually to have 20 to 30 students come for a 3 day course that cost $2k each will earn the GURU 40 to 60k in just 3 days. Guess who becomes the millionaire at the end of the lesson.

Anonymous said...

I really don't understand why MAS does not do anything to regulate this industry. You look at those student photos posted by the school, majority of the students are over 40 years old or above. This group of investor should learn how to invest on fixed income product and manage their saving for retirement BUT not go to speculate the market, they don't know forex is an unregulated industry which is opposed to Stock, insider trading is legal in forex. The whole retail market is only accounted of less than 10% of the total market volume but the 7 major investment banks like goldman, Citigroup, UBS ,Morgan Stanley ..etc are covering more than 70% of the market volume, see how unbalance the force is!!


Some of the forex schools are running a MLM model like JFlennon for example, student can choose to become a marketer to introduce a new student to earn referral fee, it ends up one housewife pulls another housewife in, one retiree brings another retiree in. Just one day ,the market collapsed in sudden likes what happened on 6 May 2010, uncountable retail forex accounts got margin call.

Anonymous said...

I assumed the school he is referring is JF Lennon? The trainer Mr. Jimmy Wong said some people accused him of putting hand phones in the pockets like what this guy just said during the preview. And saw one video, he was asking people to exploit him in anyways.

Personally I don't think he got the guts to do this. Some people will sign up and learn from him. Some people could ask him to show pockets. If it is completely scam, they would have reported after course. He could have used easier ways to scam if he intends to.

The best way is to ask the graduates if he is real or just attend yourself. Government not doing anything? I also suspect at the start about him, but not regarding hand phone.

financialray said...

Some simple rules to financial planning :

1. Save at least 10% to 20% of monthly salary. Decide what is needed and what life can do without. If can save more, save as much as possible.

2. Avoid ills eg overeating esp rich foods, alcoholism, gambling. Chinese always mention the 4 social ills. Go one step further by eating healthy and exercising regularly. Health is wealth.

3. Seek advice from wisemen whom you can trust, who will usu offer you free if you cultivate yourself well and seek friendships. Avoid con men who seek you for your money with various schemes and scams.

4. If you qualify for your first HDB or EC as a dwelling, buy and save to pay up your housing loan. First abode for a couple entitles you to government subsidy. Work hard to gain promotions over next few years and keep sufficient cash to await a good time to enter the property cycle. If you are ready for your next property 5 years later, you may then consider renting out your current property.
So current property can even be a 3 room HDB flat to start with. Start small but plan BIG.

5. Spend quality time with your family and keep the family bond strong. Seek the purpose in life and only good family ties will bring your fortune to the next level.

Tan Choon Hong said...

This is another form of speculation. Sooner or later the laws of probability will catch up with the trader and he will lose his shirt. Only the house always wins – whether you buy or sell, it gets a commission.

Anonymous said...

If the video is JFlennon blindfolded trading marketing video as other people assumed here, I feel it is pointless for the trainer to complain other people keeps accusing him. Internet is a very cost-effective platform to market a product but it can also draw criticism easily too.

The fact is this is not the first time for the school uploaded such kind of video online to promote its course, it has been more than a year since the first blindfolded trading video was uploaded to the internet, and many audience have questioned why he has to do it on historic chart but not a live chart from day one.
The school response is time would not be sufficient to do enough demonstration at live chart during preview if they have to impressive the attendee, that's why the coach uses historic chart.

The logic here is no matter how many times he guess it right, it is still a historic chart and a simulation, get it right 12 out of 20 times from a live chart is far more impressive than achieving a 90% of accuracy over 1000 attempts at a historic chart etc. Also making a such marketing video also take a lot of time, then why not just uses the same amount of time to make a video to capture the screen of a live account with time stamp and apply the same trading skill again. At least, those people who is accusing him of playing magic trick will have the mouth shuts eventually.

At the end of the day, there is no point to keep on accusing this coach too, he likes to use a historic chart to market himself. For people who is not convinced can just walk away and don't sign up anything, gullible students will learn the lesson only when their accounts get burnt.As a normal people like us can't do too much if the government choose not to step in

Anonymous said...

I have attended the above school's preview on one of the recent Saturday.


The trainer Jimmy does show us his live trading results, since 2008 till the very day before the preview date.

He downloaded his live results from the trading platform right in front of us, just like what one of the above comment suggested. Yes, the results are impressive, and I do believe it is real.

So do I believe in his trading skill set, well at least I did at the preview, cause results is a credible way to show the proven skill set of his.

If anyone choose not to believe, they can always walk away.

Anonymous said...

I assumed that the removed name and video is Jimmy Wong and JF Lennon.

I personally find it very interesting and been to their preview. Yes they have done and perform their strategy on historical data. But can anyone else or any other trader perform at a chart at any time period chosen by any third party? the school did mentioned that he cant perform on a Live chart thus the Historical chart trading. It is true.
do we REALLY want to stick to him day and night just to see him enter a trade and close it? How long will it take?

Making videos people complain. Explain about it people complain. They tried their best to show their transparency also people bombard them. U people really have everything to complain except yourself.

One more thing, even though he demonstrate on historical chart, he did show his LIVE TRADING ACCOUNT HISTORY. so how can that be fabricated AGAIN? i see another idiot is going to frame him and say dont know how that big guy manage to fabricate a total fake trading platform again. But that is a fact and the truth that had been witness by many people with their own eyes. There are also preview-goers like me who personally checked the account and made sure its a live platform. As far as it is concern, his results is a proof of his skillfulness, trading on historical chart only shows the strategy that he is selling will work.

So what else do u people want? Since so skeptical, then shut the hell up, stop attending previews, and stop thinking about making a profit from Forex trading. Just keep your money in your bank or milo tin and be contented with it.

A Student said...

Hello,

I am a student of the Trading Master featured in the video. I have seen my master performed it many times and also seen his live trading results, they are simply amazing. I have worked more than 20 years in corporate world; in an International Bank, been with 4 MNCs and a local telco. I think I am worth the salt to bear witness that this incredible performance is absolutely true and is no trick at all. Cheers!

Anonymous said...

I think the government cannot do anything to Jimmy Wong even if he was caught with two handphones in his pocket or his accomplice was caught.
He already said very clearly that his performance is a magic trick. Magic tricks are all fake. Plaintiffs will not have any case against him.

Anonymous said...

Tan Choon Hong, you are right that the laws of probability will catch the trader up.

But the Main difference is the coach can get a FREE funding from the school fee to speculate the market every month.

If the speculation is successful, it can be another good opportunities to market the school again. The principal is kept the school running, markets it in a right way, the free funding will come in every month.

For example, a retail trader/home trader opens a standard 10K USD forex acct could be 3 to 4 months of his/her salary, how many 10K USD for a normal singapore family can afford to lose?

The coach is different, let say each student pay 4K SGD for a 2 day course and there are 30 students signed up will generated 120K SGD revenue for the school within 2 days, even though the coach only takes 20% for speculation, it stills has SGD$24K. Can a normal singaporean affords to lost 24K in a month?

Lim Teck Huat said...

Actually before we condemn anyone for any unethical action, does one has proof to justify that? Did the informant see it with his own eyes that he is doing what he has described as unethical forex magic trick? If no, and if it is purely his/her speculation, then this person maybe liable for defamation if Jimmy will to take action against him/her.

If the informant is so dead sure that Jimmy from JF Lennon is doing all such unethical tricks, then this informant should have no qualms to report it to the Commercial Affairs Dept and let them to investigate JF Lennon. I find it very strange here!!!

Actually I also have done a research on JF Lennon and from their facebook JimmyFX page, it seems to me that the page is full of energy and with so many student celebrating their profit and loss as well. If he is really a scammer, I do not think you will see such happenings over there.

I too agree that there are scam schools out there and I think it will be good if all these so called Forex Guru can participate in a forex competition and then weed out all those unscrupulous forex school once and for all.

This will definitely help the public in a big way.

Anonymous said...

There are too many school marketers out there and fake testimonial on the web which makes this industry very messy

Talk is cheap, for those student who claim the accounts grows healthy after the fx course, the best way to support their claim is to upload their last 9-15 mths trading statement to the web , don't mask off the Account Number, Account Name etc....Same thing goes to the coach, at least people can have a little knowledge whether the coach is teaching the same strategy that he used for marketing and whether the student can see the same trading opportunities as the coach does.

Anonymous said...

If Mr. Jimmy Wong needs 2 hand phones to cheat, then he needs someone to sit at the side or back to scroll the chart fast and call (with vibration) him. Did anyone see that during all the previews?

I saw one video where he scrolled the chart himself and trade instantly. The speed was fast. I think he can't afford the time to wait for call.

I am not a student thus I am not sure did he teach what is related to his "magic".

He said he will only teach fine tune strategy to his students. I assumed he will still teach candlestick trading to his students but not his own full version? Student please correct me.
If it is not related to his own skill set, example he uses pure candlestick to trade, and then teach students other strategy, then it is more possible he is trying to cheat to market his course.

He is aiming for 8-25% returns for students am I right? Did most students achieve that?

I attended a school where the trainer said he is confident with his strategies. Aiming for 100% returns within 3 months for students. Some of us did not hit the target and he did not do anything.

Anonymous said...

It doesn't matter to me whether the school named above is a scam or real.

I don't trade forex or at least I won't choose retail fx-broker as my counterparty if I intend to step into this market.

The reason is because my NTU-professor was once a proprietary FX trader at UBS, credit suisse and BNP paribas (singapore), he told me the very truth of the FX market.

He already retired from the ibank and now conducting master course at NUS/NTU and also running his own licensed fund management company.

I found many of the retail forex schools just paint a very nice picture to the student or selling a dream.

How many students did go to look for some statistics to try to understand this market before going for any course preview????

http://en.wikipedia.org/wiki/Forex_scam

Next time, when you meet a coach who sells you a very consistent and profitable strategy during the course preview.

Please ask him (1) how many % of his students are still making money after 12 mths upon the course completion date. (2)How many % of his students got margin call after 12 mths upon the course completion date. (3) How many % of the students have their accounts in negative zone after 12 mths upon the course completion date.
(4). Must ask him how he handles the counterparty risk too!!

Ask for a valid prove if the coach gives you the figures of these question.

Anonymous said...

Lim Teck Huat,

I agree with your views.

Mr Tan Kin Lian suggested for the informant to report the matter to CAD, but the person refused to do so.

What does it tell us, there is proof to the informant accusation, and nothing concrete to proof the video otherwise.

In this time and in Singapore, what we need are evidences.

I have more than a decade of experience in the finance and banking industry, and involved in the wealth mgt business during the lehman brothers crisis, dealing with ABS and MAS as well.....

My experiences have armed me with the skills to identify a scam school and real trading skill set.

Forex is just another investment tool.

I do agree there are many scam schools out there advertising in the papers almost everyday, and their main income is from brokers commission. The trainers are not even trading themselves. (FX1, Power-Up, Statistical Trader, Phoenix trader, T3B, Six capital, ATKL etc......) So many of them. None of their trainers have and can show consistent results of their own live account over the past 2 to 3 years.... Yet they claim to be the best and can make their students wealthy over 1 to 2 years.
Ridiculous!


Thus far based on my research, JF Lennon and Jimmy is the only school with ISO9001:2008. Of late, the trainer Jimmy has been showing his live trading results in previews after previews for his past 3 years of achievement since 2008, till current time. At one of the preview, all of us signed a witness letter to vouch that the accounts are his live trading accounts with impressive results.

An amazing trading skill set that I have not seen in any retail bank traders.

I could not believe myself when I heard of Jimmy until I see it with my own eyes and hear with my own hears.

Though I have not pick up their course as I may not have the time to practice and learn, being busy in my rat race and working hard for promotions, it does not mean JF Lennon is not good enough for me.




Dear Mr Tan Kin Lian,

With all due respect, I believe that to manage any matters of feedback, one needs to be balance and impartial, and not listen to just one side of the story.

I was skeptical, until I see and experience myself what Jimmy Wong is capable of.

The media (Business Times and Sunday Times) can't be writing about his success without checking on his background and skill set. This is one credible proof in my humble opinion.

Hence to be fair, it is important to listen and see for ourselves before making any recommendations or conclusions on the school.


There are many scam schools, but it does not mean the 1 school with real skill set is a scam as well.

Best way is to ask the students in the video to testify if the video is fabricated.

I believe this would be fair to all.


My humble opinion and contribution as a public.


Thanks.

Fiona Chua said...

To the Skeptics and jealous competitors here:

if really the students of JFL have gone thru the courses and feel unjust, u think there will be ABSOLUTELY no CASE against them?

as much as Singaporean likes to complain, they also very daring to bring it to the lawful eye of the government if they feel cheated.

If there is a CASE, then u think the ISO9001 just dropped from the sky for JFL?


OBVIOUSLY the informant is NOT even a student nor had experienced the education from JFL before, therefore he has ABSOLUTELY NO CASE AT ALL TO FILE!

no actual and factual case to file at all, how is he EVER going to be prepared to lodge complains to Commercial Affairs Department.

even a 3 year old kid knows he cant make a police report when he got NOTHING to record about.

Lee Voon Eng said...

I agree with Lim Teck Huat, we should not condemn any one for any unethical action unless one has proof. From what i have researched the school is ISO certified and from thier facebook fan page by Jimmy, students give thanks to him for trade calls or skill set taught. I have attended thier preview, every thing they share is very realistic and they even warn you that this is not a get rich quick program. I feel very comfortable and was not forced to take up their courses.
Having a forex competition will be great! If all the forex Guru can come together to compete then it will make our life easy, no need guessing which school is better.

Keat Leong said...

Hi, if the subject of discussion here is JF Lennon and Jimmy Wong, then the only thing I can say is that Jimmy is as good as it comes.. what else can one ask for when the coach/ guru shows you his personal trading results (and they are impressive). I too saw the videos of his blindfold trading but that was not what got me to his presview. In fact a friend recommended me to the school and I liked what I saw.

The ones that we have to watch out for are those who advertise aggressively, promising incredibly high returns in a very short time. I too was attracted to attend one of the previews from a school that advertises weekly, and was totally disgusted with their emotional selling techniques. I did not like what I saw and I walked away.

In the end, it is a personal choice and if you are not comfortable with the product, DON't BUY... and this rule applies to ALL INVESTMENTS, not only forex.. we all need to grow up and take responsibility!

Anonymous said...

Dear Mr Tan Kin Lian

It is sad that after you manage to warn the public, the authorities do not do anything.There is no need to warn the public. If they are greedy they will fall for such scams.

I am a frequent visitor of your fine blog, it pains me to see it vandalized like this by unethical people.
Mr Tan has sufficient experience to tell a proper warning if there is a need to.

There is no need to defend( an old adage in Chinese, If you do not want people to know? Unless you really don't do it yourself . )

There is no need to to deface a experienced and wise investor's blog.

Anonymous said...

May I know what ISO9000 has to do with the trading strategy from the school? There is no organisation in this world offers a service to verify whether the trading strategy will be profitable or not

It just likes foodcourt with a "OK" sign dose not mean the food is tasty. It just highlights to consumer the process should be cleaned at most.

Loh Siew Fong said...

I am a student of JF Lennon. I agree with Lim Teck Huat. When you accuse someone, you should have concrete proof, not just heresay. I have personally witnessed Mr Wong trading demonstration on historical charts, his live trading and live trading results. There is no scam!

Everyone is entitled to his or her opinion. If anyone is uncomfortable about Forex trading, then please do not attempt trading.
In fact, that is what Mr Wong has been teaching us. Trade responsibly.

But no one has the right to accuse anyone without proof. If anyone has actual proof of wrongdings, he or she can complain to CAD, MAS ...
That is an act of responsible citizen.

Anonymous said...

I saw someone replied with the comment below, why he managed to find out all the other school coaches are not trading themselves but except one, how he managed to check this out? any proof??

"I do agree there are many scam schools out there advertising in the papers almost everyday, and their main income is from brokers commission. The trainers are not even trading themselves. (FX1, Power-Up, Statistical Trader, Phoenix trader, T3B, Six capital, ATKL etc......) So many of them. None of their trainers have and can show consistent results of their own live account over the past 2 to 3 years.... Yet they claim to be the best and can make their students wealthy over 1 to 2 years.
Ridiculous!
Thus far based on my research, JF Lennon and Jimmy is the only school with ISO9001:2008. Of late, the trainer Jimmy has been showing his live trading results in previews after previews for his past 3 years of achievement since 2008, till current time. At one of the preview, all of us signed a witness letter to vouch that the accounts are his live trading accounts with impressive results."

Anonymous said...

ISO9001 is just a quality system that is used to guage how well certain criterias are being met. E.g. it states that records are being kept, there is training documentation etc. Even a company with the latest ISO system can still go bust or a scam company can still qualify for a ISO qualification as it has nothing to do with whether the company is fraudulent or not but merely that it has met minimum standards of documentation e.g. its sales staff are trained to meet minimum standards or courtesy etc.and that such training records are kept for a certain period of auditing and verification etc.

Anonymous said...

I agree with "There are too many school marketers out there and fake testimonial on the web which makes this industry very messy" even on other websites you can see the fake testimonials of the JF lennon Marketers. It seems not only unethical magic tricks but also extend to other practices.

As the general public , I would keep away from such .These people are conduct unethical " magic trick" - reportable to CAD, and also illegal MLM which can be reported as well
http://app.mti.gov.sg/default.asp?id=567#9

Definitely not something a proper company will do.

Anonymous said...

As the general public. I hope the authorities will DO SOMETHING.

Anonymous said...

I've heard that during the sales preview, Jimmy Wong will prevent all cameras and recording equipment from being used. He claims that there will be spies from other forex schools who are there to steal his customers. The presentation tends to include how he spends his money on his cars that are paid in cash. Same sales pitch as other schools. The price for his courses are around 4200 dollars for a 2 day course.

Sunflower said...

https://www.facebook.com/messages/100000905807436#!/pages/Singapore-Scams-Awareness/127914440641494 This thread has been noted under Singapore Scam Awareness. Thanks.

Anonymous said...

Now his course is 5232 dollars for 2 days.

Anonymous said...

JFLennon is such a badass that they do not refund my deposit even if i decided not to go for the course.

Andi Anderson said...

I truly like to reading your post. Thank you so much for taking the time to share such a nice information.
the forex wiki

CreateWealth8888 said...

Anyone has any ideas why Microsoft and Oracle are not selling trading software since trading by specific method is so profitable?

Sometime, use common sense to judge and not emotions.


uncle gob said...

for it not to be too trusting with someone who calls himself the best in forex. I am trading myself with armada markets by learning by reading.

Anonymous said...

As long as there is money to be made. They will always be around.

The new story in town is Forex software trading. Please beware!!!!
If it is so good. They wont be sold for you to make money.

Take a look at the story below:

Three friends signed up for a preview seminar on foreign exchange (forex) options trading. Two of them paid up for the actual course after attending the preview seminar. After 3 years, one has finally given up trading forex options after suffering huge losses while the other is still struggling to make a profit. The third friend felt put off from attending the actual course because the trainers at the preview seminar seemed overly positive, focusing mainly on: the potential to make large gains with little upfront cash; the potential for limiting loss and unlimited gains; and finally, the potential to make profits under all market conditions.

Forex trading is about betting on the future movement of exchange rates. Forex trading is generally considered a high-risk activity as it is usually leveraged. These days, forex trading seminars are often marketed online and through marketing collaterals which feature attractive success stories: a chance to retire early, earn extra income or make some money after years as a home-maker are appealing.

http://www.moneysense.gov.sg/Understanding-Financial-Products/Investments/Consumer-Alerts/Get-rich-Quick-Seminars.aspx

Anonymous said...

Paid few k to attend the course. Paid additional to attend JFL boot camp. All were given tips by Jimmy for live trade. Ended up losing 2.5k with 1 single trade. A so call investment opportunity with jimmy was opened up to selective students. Lost 25k with no explanation where the money went to. Did it really go into investment? Painful and expensive lesson learnt - theres no shortcut to earning money. If jimmy were indeed so good in trading, why need to teach? To give back society? Come on. Heard that whoever opposes this guy gets threatened. So no one dares to expose him

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