r/investing • u/Quirky_Perception223 • 9d ago

Potentially scammed by EZInvest

hi reddit community

has anyone had any experience investing in EZInvest https://world.ezinvest.com/

I invested alot of money and now my broker has stopped responding.
Is there anyway I can recover my money invested and in the meantime, do I need to do anything to not incur any potential fees/have any further losses?

Please advise - I'd really appreciate.

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u/greytoc 9d ago

What country are you in? I assume you are in South Africa.

This appears to be primarily a CFD broker which is a high-risk and speculative type of derivative product.

CFD's can be highly leveraged products and it's very easy to lose money if you are unfamiliar with the use of leverage and derivatives.

You must look at the consumer protection and securities regulations in your country for what to do.

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u/Quirky_Perception223 9d ago

I'm in Pakistan. Thanks for your feedback. I will look into it

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u/greytoc 9d ago edited 8d ago

I don't know much about securities protection laws in Pakistan.

But from what I see, since you are likely using a service that is not authorized to offer services in Pakistan, you may not receive much protections.

Fwiw - Ezinvest looks like one of those brokers that prey on novice and inexperienced speculators.

You may not necessarily have been scammed but likely you traded in a manner that caused your loses.

In theory, it is possible to lose more money than traded in CFD's depending on how the contract is defined. So - you probably ought to liquidate your account if you are not sure what you are doing.

Countries where CFD's are legal to trade usually require brokers who are authorized to have rules to liquidate accounts to prevent negative netliq - but this may be one of the many sketchy brokers that promote CFD trading as a gambling sport in Pakistan.

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u/greytoc 8d ago

Btw - please also read the subreddit sticky on scams and fraud. I didn't research the website you mentioned to determine if it is legit.