Information for users
The Bank of Lithuania, having assessed available information and aiming at protecting investor interests, has updated the list of entities without the right to provide investment services in Lithuania yet offering them, and providing trading possibilities on the websites administered by them.
Let us remind that investment services may permanently and professionally be provided only by:
- financial brokerage firms holding a licence of a financial brokerage firm issued by the Bank of Lithuania or the supervisory authority of another European Union (EU) or European Economic Area (EEE) country;
- credit institutions licensed in Lithuania or another EU or EEE country, where they have the right to grant investment services under their credit institution licence;
- financial advisor companies holding a licence of a financial advisor company issued by the supervisory authority.
The list of companies having the right to provide investment services in our country is available on the Bank of Lithuania website. Where the company is not on this list, the Bank of Lithuania insists on not making use of its services.
Three rules of prudence for retail investors
The Bank of Lithuania warns to beware of companies operating in the market for investment instruments on illegal grounds or of their representatives, in multiple ways seeking to misappropriate the funds of investors.
The first rule – do not to invest in products you are not knowledgeable about. By neglecting this advice, you not only risk losing your savings, but also going into debt.
The second rule – check out if the institution offering investment services holds the appropriate licence. You can do this on the Bank of Lithuania website lb.lt under Licensing. Remember – company name must fully coincide with that indicated on the Bank of Lithuania website.
The third rule – avoid proposals promising ‘easy money’ and ‘no risk’. Investors often lose their funds lured by ‘very attractive investment proposals’ (‘a large variety of flexible products’, ‘minimum risks and guaranteed profits’, ‘small initial fees and the possibility to trade using a high leverage’, ‘we offer bonuses to start trading’, ‘very flexible and exclusive trading conditions’, ‘low or not applicable service fees’, ‘attribution of a personal consultant (broker)’, etc.) from ‘brokers’ on the phone, and entrusting their funds to fraudsters.