A trading signal service that has absolutely no verifiable track record. Vendor refuses to disclose any personal trading history. Vendor making outrageous and outlandish claims of 2,500% percent returns trading only a single ES contract since 2007. Vendor and his prior employment include companies that have been fined by the CFTC and the NFA for a combined total of over $10,000,000. Yes, you are reading this correctly, over 10 million dollars for embezzlement, fraud, and misappropriation of funds by a CTA (Commodity Trading Advisor) and CPO (Commodity Pool Operator). Vendor making outrageous claims that over one billion dollars are currently being managed by banks and hedge funds that rely upon his magic trading indicator.
Thanks for reading today’s review of FractalAlerts.Com
What is Fractal Alerts? The service is a trading signal service that specializes in providing trading signals in a variety of commodity markets. The service claims that through the use of a fractal indicator, that Fractal Alerts can accurately predict where a market will be in 3 to 12 days into the future. The service contains the following offerings: stock indices at $150 per month, commodities at $150 per month, Forex $150 per month, and an all in one service that contains all of the signals for $400 per month.
The signals are relayed as a +1 or -1 type signal. Where as the +1 represents a bullish trend, and a -1 represents a bearish trend. The signals are sent via email once per day. There are no stop losses, suggested stop losses, profit targets or suggested profit targets. All of this information is clearly explained on the website. However, very recently the company decided to stop publishing the monthly prices of the various services, and so I had to pull the data from Archive.Org
A quick look at the FractalAlerts.com website reveals a very clean website. Its well organized and does a great job of creating buzz around the use of fractal indicators. In addition to the well crafted website, there are also additional related websites that link out to related products. These include FractalGo.com, and FractalAlternative.com. Apparently, this Fractal person really likes Fractals! (Fibonacci, Gann, etc.) A quick look at the Fractalgo.com reveals that the company is claiming that over $1,000,000,000 is currently being traded with this special fractal indicator. Yes, you read that correctly…over one billion dollars. In addition, the company claims that they have over 900 paying subscribers. These include banks, hedge funds, sophisticated investors, etc. All of these major players simply cannot live without their fractal indicator.
The first thing that you probably have noticed is that the fractal indicator is highly subjective. A person is simply given a +1 or -1 to indicate either bullish or bearish, and the forward predictive trend can be as long as two weeks into the future. Of course, the problem with this type of indicator service is that there is no clear instruction whatsoever. On none of these fractals websites will you find any information regarding how these signals have performed in the past. Instead, a person simply must trust that their investments are safe because of the fractal indicator.
Who is running FractalAlerts.com? A review of the site reveals that nobody is willing to step forward and say, “Here I am! This is my service! This is why you should do business with me!”. Instead FractalAlerts has decided just to simply hope that nobody asks questions about whom these people are. Is it possible that people would base their investment decisions upon a random website that purports a fancy math indicator?
On three separate occasions, using three different aliases, I emailed FractalAlerts and attempted to find out whom actually owns this company. The only response was, “We are a Swiss company. We are a team of professional traders, we are a private company that provides signals to 900 banks, hedge funds, and private investors”. Which banks? Which hedge funds? Please let me know which bank or hedge fund is basing their investment decisions on your magic fractal indicator?
Another red flag can be found in the supposed performance disclosure of the emini SP500. The company claims that if a person had invested $20k in 2008, then that investment would now be worth nearly $500,000, or a return of 2500%. Anyone claiming a return of 2500% certainly needs extra vetting. And so I did.
Contacting Fractal Alerts
Using three separate alias’s spread out over a 3 month period. I attempted to collect evidence of these fantastic 2500% returns. Unfortunately, none could be or would be provided by the person running the company. The company claims over 900 subscribers. Assuming that all 900 are paying the monthly minimum fee of $150, then this sums to $135,000 per month. You would think that the person running the company would have the resources to actually trade a live account. And with a claimed 2500% return on only a single market, you would think that they would proudly display the real time results. Unfortunately, this company can provide absolutely no proof that their magic math indicator can actually produce these fantastic returns.
I have not even gone into what the company purports that this magic math indicator has returned in crude oil, gold, Euro FX, cotton, silver, etc. The 2500% return is a pittance to the wild claims of only the Emini SP500 market. The company claims massive returns in 34 different markets. Free money my friends. The Fractal Alerts magic math indicator is here to solve all the worlds financial problems.
Heck, if I had a magic math indicator that returned these types of profits, then why sell it? Especially to the general public. Why not keep it a secret? The company claims 900 subscribers, in which many are supposedly banks, hedge funds, world leaders, captains of industry, Justin Beiber. Heck, if I were the Finance Minister of Greece, then I would jump on this awesome indicator. All of the countries money problems would be quickly erased.
Fractal Alerts: introducing Rich Clifford
As hard as Fractal Alerts attempted to remain anonymous, I was finally able to crack open the secret and find the person behind this company. However, I have to give a big thanks to a frequent reader at TradingSchools.Org, whom is a cyber security expert that untangled the identity secret by using some top level snooping tools and found a solution to discover whom is actually behind the website. And once I had this information, thanks to the hard working investigators at the CFTC, I was able to provide all of the connecting information that pieced together this story.
FractalAlerts.com is run by a guy named Rich Clifford. A person out of Switzerland, whom in my opinion, has a very shady past. Let’s take a closer look at Rich Clifford.
Rich Clifford “The early years” (2001-2002) : Risk Capital Group
It appears that the Rich Clifford begin his trading career with a company Risk Capital Trading Group, Inc. A review of the National Futures Association website reveals that Rich was employed as a registered representative of the company.
During the year 2003, the CFTC, in an emergency action froze the assets of the company and seized all of the companies books, records, and recoverable assets. Apparently, the company had been running a massive fraud during 2001 through 2002, where 95 percent of their customer lost a total of $9 million dollars. It had been discovered by CFTC investigators that the company had been fraudulently misrepresenting performance and misappropriating investor funds.
The end result for the company was a CFTC fine of $8,771,235.
Rich Clifford (2002-2004) : Lake Dow Capital aka Clifford, Edwards, and Taylor
After the Risk Capital Group fraud, it appears that Rich Clifford moved onto his next investment scheme known as Lake Dow Capital aka Clifford, Edwards, and Taylor. Low and behold, more fraud! Yet another emergency injunction by the CFTC and a fine of $1,879,156.
The CFTC complaint is a real doozy…fraud, embezzlement, identity fraud, the whole enchilada.
Rich Clifford (2004-2005) : American Derivatives
After Lake Dow Capital, what does Rich Clifford do next? How about working for a company named American Derivatives. What happened next? You guess it…more fraud. In 2005, the CFTC stepped in and shut the company down for massive fraud.
Rich Clifford (2007-2008) : Magma Fund Advisors
After American Derivative, it appears the Rich Clifford started a company named Magma Fund Advisors. What happened next? Yet again…more fraud.
Rich Clifford (2012-?): Fractal Alerts, what exactly is this?
Since about 2013, Fractal Alerts has been in business. This is Rich Clifford’s current gift to the investment community. He is no longer hustling up pooled investor accounts, instead he has taken his amazing fractal trading indicator to the masses and is offering a stand alone trading indicator that promises huge returns. But beyond that, what is he really offering? What is the core sales proposition that Rich Clifford is presenting to us? Let me explain.
Rich Clifford is not selling a magic trading indicator. What he is selling is an illusion. The illusion is that his magic fractal trading indicator is “used by hedge funds, banks, big proprietary traders”. He is implying that if the big guys, the smart guys, are using his indicators then you must also use them. A free trial of these fantastic indicators? Heck no. No free trial whatsoever. Yet, on his website he is claiming that over $1 billion dollars is currently trading with his magical $150 a month fractal trading indicator. And that you…the struggling little guy better also be using the magic fractal trading indicator. You want to be just like those big guys, with those fancy indicators, and that inside information. For only $150 per month, its all yours.
Wrapping Things Up
Rich Clifford’s websites talk a big talk. They exhume confidence and exclusivity. They are “Swiss”, and that means financial awesomeness. They are based upon a really interesting word, “fractal”. However, at the end of the day Rich Clifford and his fractal indicator are just an indicator, like every other indicator out there. And fractal indicators are nothing new, google fractal indicators and whole list pop up. Many of you are familiar with Fibonacci, which is a fractal indicator, is that really so awesome?
So really what is needed is focus and verification. The focus should be on Rich Clifford’s interesting past of pulling off all sorts of deceptive shenanigans. This focus gives us a clue as to whether this guy can be trusted. The verification is the hard cold proof that Rich Clifford could easily provide. Perhaps his trading is awesome, but he refuses to show anything. Instead makes these wild eyed and completely outrageous claims that over a billion dollars are trading with his super special indicator. But of course, no proof exists. Just another fancy looking website from a guy that has worked for a long line of fraudulent investment companies.
Thanks for reading and don’t forget to leave your comments below.