The National Futures Association (NFA) has ordered 50.ai Investments LLC, a former NFA Member Commodity Manager and Forex firm located in Princeton, New York, not to reapply for membership or act as an NFA Member Principal in any moment in the future.
The Decision, issued by the NFA’s Business Conduct Committee (BCC), is based on a Complaint issued by the BCC and a settlement offer submitted by 50.ai Investments.
Inside ComplaintBCC alleged that 50.ai Investments used misleading advertising material and communications and failed to adhere to high trading price standards and fair and equitable trading principles in relation to a group of commodities managed by the company.
Specifically, the company used promotional material that presented a distorted and misleading view of the potential for clients to make “dramatic gains” by investing in 50.ai Investments.
Several presentations presented a potential 100% annual return on investment. Others promised a return of 4% monthly and 50% annually.
The email communications misstated the amount of money the 50.ai Fund had under management.
The complaint also alleged that 50.ai Investments failed to supervise the operations of the company and its employee.