category: Unregulated Brokers

Is RaxoFX Scam or Legit Broker?

RaxoFX is a 100% fraud company. The broker is registered offshore and does not hold any proper license from a well-known reliable financial regulator. It is NOT SAFE to trade RaxoFX. We never advise trading with an offshore broker, since the financial investment service they deliver is not trustable.

• The reason is simple, the broker may promise the most ever competitive trading conditions or the trading environment, yet the trader has no guarantee from the official entities that oversee the Forex industry. Thus the engagement in trading with such a company means the trader will believe only in the broker’s words, and of course, it is a high risk.

What is RaxoFX?

RaxoFX is a Forex and CFDs broker, owned and operated by Raxo Limited. Raxo Limited is an offshore company, registered in St. Vincent and the Grenadines with the FSA (Financial Services Authority). There is no information about the registered address on the website. They provide only a contact phone number with a Cambodian country code. Also, the website supports the Indonesian language. Probably, the broker has been targeting the residents of those countries. It is obvious that RaxoFX is not regulated by any of the authorities and simply could be a fraud.

RaxoFX Review Conclusion

Generally, we advise traders to choose from UK, Australian, or other well-regulated brokers, where their funds will be protected. For example, the license from the UK’s Financial Conduct Authority requires EUR 125,000 of capital for the STP license aside from client deposits. Also, all clients of FCA-regulated brokers are protected by the Financial Services Compensation Scheme up to GBP 50,000 per person, in case the company goes bankrupt. Check the list of FCA-regulated brokers here. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as BDSwiss and BlackBull Markets.

RaxoFX Update

Our findings showed that the RaxoFX website is unavailable to reach. Besides, there is no evidence of whether the broker operates or not. We recommend avoiding any offshore-based brokers due to their instability and lack of serious regulations.  

Is EFXGlobal Scam or Legit Broker?

EFXGlobal has been suspected as a scam broker. This broker is blacklisted by a well-known regulatory authority and should be avoided. StoxMarket is owned by Marketier Holdings Limited which is an offshore company registered in the Marshall Islands.

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

What is EFXGlobal?

EFXGlobal is a Forex and CFDs broker, owned and operated by Xchange Group Ltd., incorporated in the Republic of Marshall Islands. The website states that the company is based in London, UK.

• The broker is actually not regulated in the UK or any other country, so it doesn't have any legal rights to offer its financial services to potential traders.
• Also, the website supports different languages (German, Italian, Spanish, French, and Danish), which means the broker has been targeting European countries. 

Overall EFXGlobal Ranking 

Taking into consideration our findings about the safety and reliability of EFXGlobal, we do not rank positively EFXGlobal, based on our Expert Opinion with over 10 Years of experience in Forex Trading.

• EFXGlobal Overall Ranking is 3 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.

EFXGlobal Alternative Brokers

Due to our revelations of issues with the safety of EFXGlobal, here are much better Alternatives to EFXGlobal with good regulations and excellent conditions. We select Good Brokers and trustworthy options for your comparison below: 

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

EFXGlobal Review Conclusion

We highly recommend avoiding trading with unregulated offshore brokers as they usually turn out to be frauds. Many brokers prefer offshore zones because of the low cost, tax-free, and light regulation requirements if any.

Besides, it seems that the broker's website is now offering varying services, which might be an indication that the broker is not operating or has changed its scope of activities. Thus, be careful and choose brokers regulated by reputable agencies, such as FCA in the UK or CySEC in Cyprus. They both provide Compensation Schemes for the traders. Check the list of FCA-regulated brokers here.

• Overall ranking and experience for EFXGlobal is Negative

Is True4x Scam or Legit Broker?

We advise our readers, not to sign in with True4X as it is an offshore entity. True4X is owned by True Forex Limited., which is an offshore company registered in St. Vincent and the Grenadine.

• St. Vincent and the Grenadines 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 Brokerz, TraderUR, and more. You can read our detailed article about the risk of trading with brokers from St. Vincent and the Grenadines.

What is True4X?

True4X is a trading name used by the True Forex Limited, a company located in Saint Vincent and the Grenadines. Yet, the broker is also registered in the UK as True4x Limited but classified as a company that performs combined administrative service activities.

• The True4X mentions its non-compromised safety of business operations and the importance of Forex broker regulation as an aspect of reliability and trust. It is, however, not a fact of True4X, since the broker only holds registration in Saint Vincent and the Grenadines jurisdiction that considered an offshore zone and requires a minimum for its incorporation. Therefore, it became an offshore zone for shady forex brokers such as Pro TradeFX, Binomo and more. You can read our detailed article about the risk of trading with brokers from St. Vincent and the Grenadines.

• Comparing to FCA (UK) or ASIC (Australia)set of rules, the SVG does not adhere to the strictest rules to financial service companies compliance of operational standards and is not internationally strong in controlling it. The leading authorities regularly check-in whether the broker follows rules and standards that define also the cooperation between the client and broker, apart from the coverage in case of insolvency. For that reason, it is highly recommended to choose among the ASIC-regulated Brokers or others due to their secure trading environment.

• Even though that True4x claims its the successful history of great achievement, technological solutions and long-term relations with their traders through the offering to trade Forex and CFDs, the lack of regulation is a serious disadvantage. In conclusion, instead it is better to choose among the reputable broker rather than engaging with an offshore company that just sounds good, but in fact, you never know what can appear as a result.

True4X Review Conclusion

We advise all investors and traders to avoid True4X and other brokers from St. Vincent and the Grenadines. Traders should trade with well-regulated brokers such as FP Markets and TMGM.

True4X Update

Based on our findings, the True4x 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 GDM FX Scam or Legit Broker?

It is not safe to trade with GDM FX, because it is an unregulated broker. In addition, the company has been suspected to be a fraud. While we checked the company there is no authorization or registration of the address, therefore the company seems to be highly suspicious and might operate its services from an absolutely different location.

What is GDM FX?

Global Derivative Capital Markets NZ Limited is a global broker providing online currency trading services, which operates under the brand name GDM FX. The broker claims its international trading services and tailored solutions while supporting numerous languages that include English, Arabic, Chinese, Spanish, Russian, Turkish, Indonesian, and more. Our research revealed, that the company is located in NZ but does not offer its services within New Zealand, as simply there is no license to do so from the local authority.

• Therefore, the broker chooses the path to target clients from various jurisdictions that do not have the strictest authorities that oversee the industry so the company can find its enemies with no consequences. As a result, you will find an impressive number of negative reviews just all around the internet forex sources, and forums from clients from all world. Mostly, the traders faced issues to withdraw funds while the only replies from the GDM FX were excuses or absolute ignorance. In conclusion, stay far away from GDM FX and their proposals as the company simply does not feel an obligation to withdraw requests.

GDM FX Review Conclusion

Unfortunately, this kind of fraud practice is a quite popular case, while suspicious companies target quite naïve clients, taking their money and going for good. Exactly for that reason, we always advise trading only with regulated brokers, as the licensed brokers are always overseen by authorities and in case there is an unlikely event or non-compliance to the international protection rules the company will be at least fined or even dismissed. Thus, the trader can invest with a secure state of mind along with other benefits that are offered by the regulated brokers only. We advise trading with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and Eightcap.

GDM FX Update

Based on our findings, the GDM FX 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 Market Investment Scam or Legit Broker?

It is not safe to invest in Market Investment as it is an offshore entity. Market Investment is owned by Market Investment Associates Ltd, which is an offshore company registered in St. Vincent and the Grenadine.

• St. Vincent and the Grenadines 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 Brokerz, TraderUR, and more. You can read our detailed article about the risk of trading with brokers from St. Vincent and the Grenadines.

What is Market Investment?

Market Investment Associates Ltd that offers its forex brokerage services through the brand name Market Investment claims its ECN Forex solution to trade Forex instruments and CFDs for individual and corporate clients. The company states its office in the UK, yet is not registered as it should be for a firm located in the UK by the local authority FCA.

• Instead, the broker mentions about how safe and trustworthy it is, while operating within the legal regulatory requirements worldwide through its registration with Financial Service Authority (FSA) in Saint Vincent and the Grenadines with registration number 22770.
• However, the SVG FSA regulation is far away from the international standards, since it is the most liberal authority, which is considered to be an offshore-licenser that does not comply and follow strictest compliance to run the Forex business or brokerages.

Market Investment Review Conclusion

Generally, we do not advise to engage and trade with offshore brokers, since there are many questions appearing on how exactly the broker delivers its service.  Taking into consideration the fact, that the Market Investment broker located in the UK but didn’t follow the criteria to be licensed by FCA it is not advisable to sign in with the broker.

Therefore, we do not advise trading with Market Investment and recommend to choose between well-regulated brokers such as BDSwiss and XM.

Market Investment Update

Based on our findings, the Market Investment 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 Up4x Scam or Legit Broker?

Up4x is a 100% fraud company. The broker is registered offshore and does not hold any proper license from a well-known reliable financial regulator. It is NOT SAFE to trade Up4x. We never advise trading with an offshore broker, since the financial investment service they deliver is not trustable.

• The reason is simple: the broker may promise the most ever competitive trading conditions or the trading environment, yet the trader has no guarantee from the official entities overseeing the Forex industry. Thus, engaging in trading with such a company means the trader will believe only in the broker’s words, and of course, it is a high risk.

What is Up4x?

Up4x is a brokerage that offers trading Forex, CFDs including various indices and commodities. There are two brands behind this company. The first one mentioned on the website under "regulation" heading: “UP4X” (www.”Up4X”.com) is a registered brand name of ”Up4X” Ltd., a company authorized and regulated Worldwide. They don't specify what licenses the company has and in what countries it is regulated, which already seems suspicious.

• The second owner-company can be found in the terms and conditions: Easy FX Solutions Ltd., based and registered with the Vanuatu Financial Services Commission. The broker is either not licensed at all or has an offshore license which is also a reason to avoid this firm.
• Moreover, Italy's regulator CONSOB has issued a warning against Up4x/Up4x Lts. in May 2017:
  "The National Commission for Companies and the Stock Exchange reports that now Up4X ltd is not authorized to perform investment services and activities in Italy in accordance with any manner and, therefore, either through the website www.up4x.com"

Up4x Review Conclusion

We strongly advise opening a trading account only with the brokers that are regulated by the respected world authorities that comply with the required set of rules and a good reputation through the delivered timeframe of operations. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and TMGM.

Up4x Update

Based on our findings, the Up4x 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 Master4x Scam or Legit Broker?

It is not safe to trade with Master4x, because it is an unregulated broker. In addition, the company has been suspected to be a fraud. While we checked the company there is no authorization or registration of the address, therefore the company seems to be highly suspicious and might operate its services from an absolutely different location.

What is Master4x?

Master4x is a Forex and CFDs broker, owned and operated by Strategic Future Investment LTD. The company claims to have a head office in Dubai. This is basically all the information about the brokerage available on the website. They don't disclose any contact details as well as trading conditions.

• There is no information about the company's regulation or registration. Terms and conditions say something about the Cyprus jurisdiction, although the firm is not licensed by the Cyprus regulator CySEC or any other authority.
• Also, there are lots of negative reviews on the net about Master4x's cold calling. The managers call and tell the potential client's that the company is reliable because it is FCA regulated, which we already know is not true. Seems like this broker uses fake regulation to get people's trust.

Master4x Review Conclusion

We recommend traders to avoid unregulated brokers and choose among those regulated by well-known reputable agencies, such as the Financial Conduct Authority in the UK or Cyprus Securities and Exchange Commission. These regulators guarantee the safety of clients' funds and even can compensate in case the broker goes bankrupt. Check the CySEC-regulated brokers here and sign in with reliable brokers such as XM, BlackBull Markets, and HFM.

Master4x Update

Based on our findings, the Master4x 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 ECN Capital Scam or Legit Broker?

ECN Capital is not a secure Forex broker since it does not hold a license from any worldwide serious Forex authority. Meaning the broker is suspected of being a fraud company since it was not checked for its compliance before establishment, was never monitored in terms of its safety, and simply may operate the business in any way it wishes.

What is ECN Capital?

ECN Capital is a company incorporated in Moslok Ltd registered in Larnaca, Cyprus. The broker claims it offers services to trade on a range of currency pairs, stocks, and commodities through a technological execution.

• However, being based in Cyprus the company should be registered with the CySEC in order to deliver its financial service offering to the public.  Yet, the ECN Capital does not hold any license and targets their clients in those jurisdictions that are mainly popular by the fraud companies to concentrate in.

• In addition to numerous negative user reviews that internet sources are full of, the company also was detected in its relation to Trade-24 broker. In the official agreement, there is a mentioning of the account name with the Trade-24, while the broker is also listed as a Broker to Avoid due to their fraud operations.

• Moreover, the international authorities issued alerts to investors against trading with ECN Capital for offering services without regulatory authorization. This includes warnings from the FMA New Zealand, Estonian FSA, French AMF and Belize IFSC.

  “Finantsinspektsioon (the Estonian Financial Supervision Authority) would like to inform investors that according to Finantsinspektsioon´s knowledge Moslok Ltd, ECN Capital has turned to Estonian population and offered them investment services. Moslok Ltd does not hold an activity license for the provision of investment services in Estonia and therefore is not authorized to provide investment services in Estonia.”

  Estonia FSA, 2017

ECN Capital Review Conclusion

We strongly advise opening a trading account only with the brokers that are regulated by the respected world authorities that comply with the required set of rules and a good reputation through the delivered timeframe of operations. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and TMGM.

ECN Capital Update 

Based on our findings, the ECN 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 Caesar Trade Scam or Legit Broker?

Caesar Trade is a 100% fraud company. The broker is registered offshore and does not hold any proper license from a well-known reliable financial regulator. It is NOT SAFE to trade Caesar Trade. We never advise trading with an offshore broker, since the financial investment service they deliver is not trustable.

• The reason is simple, the broker may promise the most ever competitive trading conditions or the trading environment, yet the trader has no guarantee from the official entities that oversee the Forex industry. Thus the engagement in trading with such a company means the trader will believe only in the broker’s words, and of course, it is a high risk.

What is Caesar Trade?

Caesar Trade is an international brokerage firm that operates through its office in Seychelles and provides trading on Forex, CFDs, and Binary Options (See also Regulated Binary Options Brokers). However, previously the company was based in New Zealand as well had held a license from the local authority FSP. In 2016 the company changed its registration and jurisdiction to Seychelles, which is an offshore zone with a not imposed regulation of the financial firms.

• Moreover, the broker’s presented information is quite confusing as there are different names appearing in a trading terminal, addresses, and names in a legal document of the company itself. Throughout a quick search, you would find numerous complaints from the traders that faced serious issues and in the end concludes a company operating as a scam. The issue was mainly with the withdrawals, while the broker found reasons why it can not be done. Considering the above said it seems that the broker moved to another country and mixes the information in order to avoid compliance and regulations for the purpose of its own benefit.

Caesar Trade Review Conclusion

Unfortunately, these are the typical steps that fraud companies do, they are not authorized by any reputable authority like FCA (UK) or FINMA (Switzerland), the main aim is to target the clients convince them to make deposits, and then find tons of excuses why the money are gone. Therefore, we strongly advise avoiding Caesar Trade offering and choosing only with the Regulated Forex Brokers, as at the least there is a legal entity, which constantly oversees the operation broker provides.

Caesar Trade Update

Based on our research, the Caesar Trade 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.