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Trust Management – A Legal Trap in Financial Markets

🔥 Warning from Ronin Academy:
✅ Trust management is a scam in 99% of cases.
✅ Handing over money to third parties without a license is illegal.
✅ If you're promised a stable passive income – it's a trap.

In this article, we’ll break down why trust management is dangerous, how scammers operate, and how to protect yourself from losing your capital.

🔹 What is “pseudo” trust management?

Trust management (TM) is presented as a service where an "experienced trader" or "investment fund" manages your money in exchange for a share of the profit.

It sounds appealing: you don’t need to study the market, analyze, or think. You are promised passive income, and your money will be managed by a "professional."

📌 But in reality, trust management is almost always a scam.

Why? Because transferring money to a third party without a license for capital management is illegal.

🚨 Financial regulators prohibit such schemes, but scammers disguise them as "alternative investments."

🔹 Why Investment Portfolios, PAMM Accounts, and Copy Trading Are Often Scams

Scammers have adapted trust management into various formats to create the illusion of legitimacy. Here are three common types:

1️⃣ Investment Portfolios

🔺 What they promise:

Asset management "based on a strategy"
Access to exclusive investment tools
Fixed returns starting from 5% per month

⚠ The reality:

Your money isn't invested but goes into a Ponzi scheme
Promised returns are completely made up
Payouts come from new investors, not real trading
When the cash flow dries up, the company disappears

📌 Key Red Flag: If they guarantee stable profits, it’s 100% a scam.

2️⃣ PAMM Accounts (Percentage Allocation Management Module)

🔺 The bait:

PAMM accounts are supposedly "automated trust management"
You open an account with a broker
A trader manages funds from multiple investors

⚠ Why it's a scam:

The "trader" can intentionally lose money while receiving kickbacks from brokers
Investors have no control over the trades
The trader bears no responsibility for losses
At any moment, the "successful" trader can disappear

📌 Key Red Flag: The promise of a “professional trader” managing your money.

3️⃣ Copy Trading (Signal Subscription)

🔺 The pitch:

You simply copy the trades of a "successful trader"
No need to understand the market
The more you invest, the more you make

⚠ The reality:

"Traders" may publish fake trades
You follow random, unverified strategies
Losses are inevitable, and signal providers take no responsibility
Brokers profit from your losses through spreads and commissions

📌 Key Red Flag: They convince you that copying trades is "passive income."

🔹 How Scammers Convince You to Hand Over Your Money

✅ 1. They create an illusion of trust

Show "successful" reports
Display fake profit screenshots
Run ads with luxury cars, vacations, and millionaire lifestyles

✅ 2. They use pressure and urgency tactics

"Only 5 spots left in the investment pool!"
"Exclusive opportunity – only for select investors!"
"Offer valid until the end of the week!"

✅ 3. They use fake licenses and documents

Create fraudulent investment firms
Present "official" certificates
Register in offshore jurisdictions with no oversight

🔹 Where Does Your Investment Actually Go?

💰 99% of funds go directly into scammers’ pockets.

❌ No real trading
❌ No actual investments
❌ No transparency

If they pay you a return, it’s simply from new investors’ deposits (Ponzi scheme).

When the money flow stops, the company vanishes, accounts are frozen, and you can't recover anything.

🔹 Legal vs. Illegal Trust Management: How to Tell the Difference

✅ Legal trust management

Conducted only by licensed companies
All trades are transparent and regulated
Agreements are notarized
The company is accountable to financial regulators

⚠ Illegal "trust management"

No license
No oversight
Guaranteed "stable income" promises
High-pressure sales tactics
Fake investment reports

📌 Reminder: If the company isn’t registered with financial regulators (SEC, FCA, CySEC, etc.), it’s a scam.

🔹 How to Protect Yourself from Trust Management Scams

❌ Never transfer money to unknown "traders"
❌ Verify licenses and company registration
❌ Don't believe in "stable" or "guaranteed" returns
❌ Avoid offshore brokers
❌ Learn market analysis to trade independently

💡 Ronin Academy reminds you: "If someone promises easy money – it’s a scam."

🔥 No trust management can be legal unless it has an official license!

🔹 Conclusion: Trust Management Is a Trap

📌 What you must remember:
✅ All trust management schemes are fraudulent unless legally licensed
✅ Scammers convince you of passive income, but their goal is to steal your money
✅ PAMM accounts, investment portfolios, copy trading – all traps
✅ If someone offers to "manage your funds" – it’s 99% a scam

🚨 The best way to protect your money is to learn how to trade on your own.

❌ Don’t fall for trust management scams!
❌ Never hand over your money to third parties!
❌ Financial literacy is your best defense!

👉 Ronin Academy warns you: Only those who control their capital can succeed in investing!