Discussion RHO 1.1

?! what happen here ?

that brooker is been linked to scamming

Why is a broker fault ? is the algoritm responsable for the losses ?
cheers
Xam

It was an OBVIOUS PONZI SCHEME from the beginning run by Hungarians at a NZ ""regulated"" (what a joke) broker. They did almost the same thing as Bernie Madoff - the retired NASDAQ CEO - did a few years ago and now he spends his rest of his life in prison.

These guys were ""smarter"" criminals than Bernie Madoff and they got away with it.

1. Investors could participate in this (RHO 1.1) strategy ONLY at a 3TGFX. In other words there was a collusion between the "strategy owner" and 3TGFX. (Upon my request 3 years ago they refused to run the same strategy at a reputable, ASIC or FCA regulated broker to assure that it was legitimate.)

2. In all likelihood the shown results were handcrafted by 3TGFX broker itself, showing a safe stable and believable profit curve for LARGE investors.

3. 3TGFX broker has kept all the funds in-house, and actually no trades were executed on the client accounts (i.e. those were also handcrafted). Clients just received ""hand-crafted"" statements, similarly as Madoff's clients did.

4. When 3TGFX could not lure in any more NEW clients, and the OLD investors started taking out more funds than the inflow from the new clients was, the strategy owner has simply crashed the strategy, and so all related accounts have been crashed, too.

5. The bottom line: Now they OWN practically all deposited client funds (probably Millions of Dollars). LEGALLY!

They could get away with it because the "nameless" strategy owner (of "RHO 1.1") and 3TGFX were legally separate entities.

CONCLUSION: NEVER EVER believe ""too nice"" MyFxBook results running at a ""no name"" and poorly regulated broker (i.e. registered in New Zealand or on an "offshore" island).

Apparently 3TGFx has walked away with $60 million dollars. They accumulated 5000 clients, at roughly $12,000 per account...