category: Unregulated Brokers

Is 4xFX Scam or Legit Broker?

No, it is not safe to trade with 4xFX. 4xFX is a Forex and CFD broker owned and operated by GRF EUROPE OÜ, an Estonia-based company that claims it is registered with a Register of Economic Activities.

• However, it does not mean the broker is regulated and authorized to deliver its service, as the register is just a register without any follow of the company sustainability and delivery of the financial service itself. Despite this, actually, every EU-based company should hold a license that proves the company’s sustainability before its service is offered in the market and to potential clients.

What is 4xFX?

Even though the company mentions its trusted and secure financial service provided through meeting high regulatory and financial standards, the company, in fact, is not regulated or overseen by any reputable authority. Therefore, 4XFX is another non-regulated trading provider among the thousands of other companies we do not advise trading with.

• The broker has also been banned by several regulators:

  "The business listed below (4XFX) has made unsolicited calls or sent emails about investing, financial advice, credit or loans and does not hold a current Australian Financial Services (AFS) license or an Australian Credit license from ASIC." ASIC, 10 January 2019

• "Finantsinspektsioon (the Estonian Financial Supervisory Authority) would like to inform clients and investors that GRF Europe OÜ does not hold an activity license for the provision of investment services in Estonia and therefore GRF Europe OÜ is not authorized to provide investment services in Estonia." Estonian FSA, 14 January 2019

4XFX Review Conclusion 

We advise all investors and traders to avoid 4xFX and other unregulated brokers. Trusting your investments to unregulated Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as IG Markets and XM.com.

4XFX Update

Our research revealed that the 4xFX website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is YFX Capital Scam or Legit Broker?

No, it is not safe to trade with YFX Capital. YFX Capital is owned by T.W capital LTD, registered offshore, in the Marshall Islands.

• The Marshall Islands is notorious for its practically absent requirements and regulations. Due to the setup cost being low, it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as Globalix, Capital88, and more.

What is YFX Capital?

YFX Capital is a Forex broker offers its clients a variety of trading options and products, including CFDs. The broker doesn't disclose any information about its regulation, as well as its location. There are two contact phone numbers mentioned in the "Contact Us" section, those numbers are Spanish and British. However, the broker is definitely not authorized to provide financial services in those countries.

• Moreover, YFX Capital has been blacklisted by Spain's regulator CNMV in July 2017:

"YFX CAPITAL/www.yfxcapital.com is not authorized to provide the investment services detailed in Article 140 of the Securities Markets Law, which include investment advice, or to provide the auxiliary services detailed in letters a), b), d), f) and g) of Article 141 of the said Law in relation to the financial instruments detailed in Article 2 of the said Law, including, for those purposes, foreign currency transactions."

YFX Capital Review Conclusion

We advise all investors and traders to avoid YFX Capital and other brokers from the Marshall Islands. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FXTM and XM.com.

YFX Capital Update

Our research revealed that the YFX Capital website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is PrimeFX Scam or Legit Broker?

No, it is not safe to trade with a Forex broker PrimeFX. It claims to be owned and operated by PFXBank and doesn't seem to be regulated.

The broker doesn’t disclose any information about its location as well as regulation. The contact phone numbers are British and the terms and conditions state that the company is under British jurisdiction, however, PrimeFX is not licensed by the UK’s Financial Conduct Authority.

What is PrimeFX?

PrimeFX is a broker that offers to trade in Forex, Indices, Commodities & Share CFDs.

However, the broker is not properly regulated, and signing with it might mean risking your investments. Based on our research we have found the following:

• The broker's website states that PFXbank operates globally except within the European Economic Area and at the same time the website supports German and Spanish languages which means it has been targeting European clients.
• There is a warning from Spain's regulator CNMV against PrimeFX issued in May 2017:

"DGX SYSTEMS LTD (PRIME FX BANK / PFXBANK) www.pfxbank.com/www.pfx-bank.com is not authorised to provide the investment services detailed in Article 140 of the Securities Markets Law, which include investment advice, or to provide the auxiliary services detailed in letters a), b), d), f) and g) of Article 141 of the said Law in relation to the financial instruments detailed in Article 2 of the said Law, including, to those purposes, foreign currency transactions."

PrimeFX Review Conclusion

We advise all investors and traders to avoid PrimeFX and other unregulated brokers. The lack of information about the broker’s regulations, trading conditions, and contact details should be the biggest red flag for those who plan to invest with the entity. Usually, such companies run investment scams. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FXTM, and AvaTrade.

PrimeFX Update

Based on our findings, PrimeFX website is inactive. This means the broker has muted its trading offering and does not operate, however, we recommend avoiding and staying alert in case there are any proposals. 

Is AG Capitals Scam or Legit Broker?

No, AG Capitals is not a safe broker to trade with. AG Capitals is a brand name operated by AG Capital Ltd is registered in the Republic of the Marshall Islands. Many brokerages operate without regulation in offshore jurisdictions such as St. Vincent and the Grenadines, the Marshall Islands, and Seychelles. 

What is AG Capitals?

AG Capitals is a Forex, CFDs, and options broker. However, the broker is not trustworthy as it does not hold a serious license.

• One of the major reasons that these brokers choose to forego regulation is to cut their operational costs.
• Another reason is that those brokers are basically not regulated by any authority. That's why we recommend avoiding trading with offshore-registered brokers. In addition, AG Capitals claims to be regulated by FCA, however, we didn't find any records of this broker in the regulator's register. Moreover, UK's FCA has recently banned the broker:

"AG Capitals (link is external) is not authorized by us and is targeting people in the UK to invest in binary options (see regulated binary options brokers) and other investment products. Based upon information we hold, we believe it is carrying on regulated activities which require authorization."

• Instead, world-known top-tier authorities oversee brokers and provide full safety measures. For instance, if an FCA-regulated broker goes bankrupt, its clients are covered by the Financial Services Compensation Scheme (FSCS). The traders are entitled to receive up £50,000 in total. Check the list of FCA-regulated brokers.

AG CapitalsReview Conclusion

All traders are advised to avoid unregulated/offshore brokers as there is a huge risk of losing money with such firms. Based on our findings, AG Capitals is not a reliable broker. The lack of information about the broker’s regulations, trading conditions, and contact details should be the biggest red flag for those who plan to invest with the entity. Usually, such companies run investment scams. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as Alpari and XM.

AG Capitals Update

Recently the AG Capitals website remains inactive, meaning the broker has muted its trading offering and does not propose account openings. However, we still advise the traders to be alert and careful, in case they receive trading proposals. 

Is Aleforex Scam or Legit Broker?

It is not safe to trade with Aleforex. The broker is suspected of being a scam. The broker mentions its FCA license, yet when we investigated further, we do not come up with any evidence as proof. So,  it leaves us with an assumption that Aleforex only pretends to be a regulated broker. 

• This means that Aleforex is not regulated by any world authority and investing with it will put your funds at risk. 

What is Aleforex?

Aleforex is a Forex broker. The company doesn't provide any information about its location or the entity behind this brand name as well as contact details. The website states that Aleforex is regulated by the Financial Conduct Authority in the UK.

• However, we didn't find any records about this broker in the FCA's register. Also, they provide the list of the affiliate brokerages: Valutrade, MEXGroup, XTB. All three brokers are regulated and have a good reputation, although they don't have any connections with Aleforex. All these facts should be enough to understand that the broker is not reliable, not regulated and better be avoided.
• In addition, Spain's regulator CNMV has issued a warning against Aleforex:
  "Aleforex/forextrading.cat is not authorised to provide the investment services detailed in Article 140 of the Securities Markets Law, which includes investment advice, or to provide the auxiliary services detailed in letters a), b), d), f) and g) of Article 141 of the said Law in relation to the financial instruments detailed in Article 2 of the said Law, including, for those purposes, foreign currency transactions."

Aleforex Review Conclusion

As a general rule dealing with unregulated brokers is risky and we recommend that clients choose properly licensed and supervised brokers. It is safe to trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as HFM and TMGM.

Aleforex Update

Our research revealed that the Aleforex website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is CarterFS Scam or Legit Broker?

No, it is not safe to trade with CarterFS. The company is owned and operated by Elit Property Vision LTD. Despite its location, the broker doesn’t provide any information about the regulation/license and we can also confirm that neither CarterFS nor Elit Property Vision LTD are regulated in Bulgaria by the Financial Supervision Commission.

• Previously, CarterFS was owned by Solutions CM which had a bad reputation because it was banned multiple times as an owner of such brokers as Britonprice and Easy Line Pro.

What is CarterFS?

CarterFS is a platform that offers various investment and trading options in stocks, commodities, indices, and currencies for personal use.

• However, CartersFS is not an exception when it comes to warnings. Spain's CNMV has issued a warning against the broker in February 2017:

"CARTER FINANCIAL SERVICES is not authorised to provide the investment services, which includes investment advice, or to provide the auxiliary services relation to the financial instruments, including, to those purposes, foreign currency transactions."

• Also, the broker has recently been banned by Austrian FMA:

"Carter Financial Services is not entitled to carry out banking transactions in Austria that require a licence. The provider is therefore neither permitted to trade on a commercial basis on its own account or on behalf of others."

• And there is also a warning from the Italian CONSOB:

"The National Commission for Companies and the Stock Exchange has ordered the following companies to cease the infringement of art. 18 of the Consolidated Law on Finance, consisting of the provision of unauthorised investment services and activities to the Italian public"

CarterFS Review Conclusion

We advise all investors and traders to avoid CartersFS and other unregulated brokers. The lack of information about the broker’s regulation, trading conditions and contact details should be the biggest red flag for those who plan to invest with the entity. Usually, such companies run investment scams. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as eToro and XM.

CarterFS Update

Our research revealed that the CartersFS website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is Option888 Scam or Legit Broker?

Option888 has been suspected as a scam broker. The information the broker provides on its website on its location and regulation is quite confusing. Research shows, that  Option888 simply does not have and license, thus being an unreliable broker for investments. 

What is Option888?

At Option888 is a trading name and brand used by Capital Force Ltd, with its stated location in the Republic of Samoa. The broker stated their combination of a modern, user-friendly platform with the latest advancements in online technology, to give our users a fast, responsive and accurate trading experience with guaranteed execution and accurate times. Moreover, Option888 mentions its run of offices worldwide including offices in London, Sweden, Malta, Germany, Holland, Spain, and France, while the broker has managed to become the largest Forex broker (Read BDSwiss review, which is one of the largest trading companies) serving Europe, Oceania, and the Middle East.

• However let us check closer the states of Option888, what is first that the company writes its ownership and operation by Celestial Trading Ltd, that is licensed and regulated by the Montenegro security exchange commission. While the payments provided via credit cards are processed Celtic Pay Ltd, located in the United Kingdom. That is a quite confusing information, as addresses of incorporation, alleged regulation and payment providers are different. Also, in fact, Montenegro does not establish strict regulation to a Forex business, therefore the Option888 is rather simple non-regulated broker (Find the fake forex brokers list by link) than the one they wish to be.

• In addition, the broker was banned and warned by Europe at authority as they are not authorized to offer their business. 

  “Option888 is not entitled to provide investment services or banking services in Austria that require a license. The provider is therefore neither permitted to trade on a commercial basis on its own account or on behalf of others (Art. 1 para. 1 no. 7 BWG), nor to provide commercial portfolio management

  FMA, Austria. November 2017.

Option888 Review Conclusion

In conclusion, you better avoid Option888 and choose among the brokers that are regulated, while their promises are overseen by the authorities. There are many brokers to choose from, thus select from ASIC Regulated brokers or similar entities (Read about ASIC Regulated GO Markets & Axitrader).

Option888 Update 

Based on our research, the Option888 website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals. 

Is Ibex Technology Group Scam or Legit Broker?

Ibex Technology is not safe to trade with. The broker does not provide any evidence of its regulation. Based on the information on the broker's website, it is an offshore broker, located in Nevis, the British Virgin Islands. It is also important to mention that the broker has changed its name from Parnassus Group to Ibex Technology Group. 

• Ibex Technology Group does not hold any license from any world financial authorities, so it is a great risk to trust and invest with it. We only recommend choosing well-regulated brokers with the necessary amount of protection and safety measures.

What is Ibex Technology Group?

Ibex Technology is a Northern California-based technology company that owns and operates a set of highly specialized technology trading platforms, called IBEX. The broker mentions 8 years of continuous development and testing, while Ibex Technology has produced a software-trading engine, Ibex that achieves stable ROI when trading currency pairs on the FOREX. However, the company was organized and established under the laws of Nevis, the British Virgin Islands an offshore zone.

• This means that the company operation is overseen by none of the authorities, as well as the broker carries on the strategy and management of the client's funds and an opening of trades themselves in a way they see right. In a financial world that is full of fraud, this is an unacceptable luxury to trust just the word of mouth of a particular broker when the firm does not devote appropriate settlement tools to comply with reputable authorities.
• In addition, the Ibex Technology Group received a warning and was alerted by the ASIC authority since there is no applicable permission to offer its service.
• The broker used to go under Parnassus Group, yet now it has completely switched to Ibex Technology, with almost no mention of Parnassus Group on its website.

“ASIC advises the company Ibex Technology (Parnassus Group) could be involved in a scam. Do not deal with this business as it is unlicensed in Australia. The business listed below has made unsolicited calls or sent emails about investing, financial advice, credit or loans and does not hold a current Australian Financial Services”

ASIC, Australia. May 2017.

Overall Ibex Technology Group Ranking 

We found multiple regulation and safety issues with Ibex Technology, thus we do not rank positively Ibex Technology, based on our Expert Opinion with over 10 Years of experience in Forex Trading.

• Ibex Technology Overall Ranking is 2 out of 10 based on our testing and compared to 500 other brokers, see Our Ranking below compared to other popular and industry Leading Brokers.

Ibex Technology Group Alternative Brokers

We revealed that Ibex Technology has a lot of issues, especially in respect of its safety and customer care. Thus, here are much better Alternatives to Ibex Technology with tight regulations and favorable trading conditions. We select Good Brokers and reliable options for your comparison below: 

• AvaTrade – Good Instruments and CopyTrading
• Pepperstone – Low Spreads and Competitive Trading Conditions
• XM – Wide Range of Trading Opportunities

Ibex Technology Group Review Conclusion

In conclusion, we should point out the lack of regulation of Ibex Technology. Besides, the broker has lately changed its name from Parnassus Group to Ibex Technology. Following advice from reputable regulators, we do recommend choosing brokers among ASIC Regulated brokers or similar entities and not to involve in the highest risk with an offshore broker alike Ibex. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as IG Markets and BlackBull Markets.

• Overall ranking and experience for Ibex Technology Group is Negative

Is Prime Scam or Legit Broker?

Prime has been suspected as a scam broker. According to the website, the broker is a part of the ADS Dahui Group as a part of ADS Securities LLC. ADSS is a limited liability company registered under the laws of the UAE (Check out Forex Brokers in UAE) and licensed by the Central Bank of the United Arab Emirates and the Financial Conduct Authority in the United Kingdom. All the information about ADSS is correct and the company is legal, however, Prime broker has nothing to do with the regulated entity.

What is Prime?

Prime is a Forex and CFDs broker. It turned out the broker has been using the details of the ADSS in order to delude the traders.

• It is called a 'clone firm'; and fraudsters usually use this tactic when contacting people out of the blue, so investors should be especially wary if they have been cold-called. They may use the name of the genuine firm, the 'firm reference number (FRN) that was given to the authorized firm, or other details. The Prime broker is just one of these "clone firms", so it definitely should be avoided.
• Moreover, the FCA in the UK has issued a warning against Prime by ADS Securities (a clone of FCA authorized firm):
  "This firm (Prime) is not authorized or registered by us but has been targeting people in the UK, claiming to be an authorized firm. Fraudsters are using or giving out the following details as part of their tactics to scam people in the UK. This FCA-authorised firm (ADS Securities) that fraudsters are claiming to work for has no association with the ‘clone firm’. It is authorized to offer, promote or sell services or products in the UK."

Prime Review Conclusion

FCA warns about suspicious brokers and urges investors to consult its website prior to investing with any forex broker that claims to be regulated in the UK. Prime is evidently a scam that should be avoided to trade with. We highly recommend only dealing with regulated forex brokers, authorized by reputable regulatory institutions like CySEC, FCA, or ASIC, and brokers such as FBS and BlackBull Markets 

Prime Update

We found that the Prime website is inactive. This means the broker has muted its trading offering and does not operate. However, we recommend avoiding and staying alert in case of any proposals.