Archives: Brokers

Is TradesFX Scam or Legit Broker?

TradesFX 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 TradesFX. 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 TradesFX?

TradesFX is a Forex (Read our Review on AxiTrader Forex Broker) and CFD (Read about BDSwiss, which offers CFD trading) brokerage company owned and operated by Investment 4 Futures Limited, registered in Saint Vincent and the Grenadines - a popular offshore destination for the Forex brokers. It is risky to deal with offshore brokers as on average it takes only USD 2,000 to get the license. The main advantages of having an offshore license are low costs, the speed of formation (it takes only a few weeks to get one), and tax-free.

• TradesFX provides different contact phone numbers with the country code of the European countries (Germany, Netherlands, Austria, Switzerland, Finland, Norway), which means that the broker has been operating across Europe, although it is not regulated in any of the mentioned countries. Moreover, Italy's regulator CONSOB has issued a warning against TradesFX/Investment 4 Futures Limited:
  "the National Commission for Companies and the Stock Exchange has ordered the following companies to cease the infringement of art. 18 of the same Decree consisting of the provision of unauthorized investment services and activities to the Italian public: - by Investment 4 Futures Limited and Tradesfx Limited, through the website www.tradesfx.com (Resolution n. 20626 of October 16, 2018)"

TradesFX Review Conclusion

It is recommended to trade with brokers regulated by UK’s FCA or Australia’s ASIC instead. We advise staying away from TradesFX and signing in with Regulated Brokers only such as FBS and BlackBull Markets recommended as the best trading company provider.

TradesFX Update

Based on our research, the TradesFX 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 Cac400 Scam or Legit Broker?

It is not safe to trade with Cac400, 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 Cac400?

Cac400, as claimed on the official website, is a forward-thinking financial service provider for modern traders from curious first-timers to seasoned veterans, while the company delivers the tools, features, and services at all levels to succeed.

• The operational office of the group is located in Estonia, however, being located in the EU, the broker is not registered in order to deliver its service legally. That fact directly should put an alert to any trader, as the reliable company will protect their clients by necessary registrations and compliance with the international standards of client protection. Overwise, the financial service firm will perform trading on its own behalf only, which shows typical scam-oriented behavior.
• As a result, Cac500 was revealed as a part of the Blonde Bear OU group of companies and obviously is another trading brand of their numerous names that are all claimed as fraud or scam brokers. The international investors were warned times and times by various agencies and authorities to keep their distance from any associated with the Blonde Bear OU firm. Apart from the vast number of “angry” or disappointed trader reviews, which the internet is full of, while clients couldn’t see a reaction to a withdrawal request, or were losing money.

Cac400 Review Conclusion

Potential traders or investors should seriously and carefully check on a broker while choosing the one to trade with, thus always advise to choose among Regulated Forex Brokers only. As the security of funds always goes first, it is much safer to trade with the company, which is regulated by governmental agencies and in many cases compensate clients in case things go wrong with the company.

Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and HFM.

Cac400 Update

Based on our research, the Cac400 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 MT4Invest Scam or Legit Broker?

MT4Invest 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. This results in a very high-risk trading opportunity, despite its alluring proposal.

What is MT4Invest?

MT4Invest is a trading name used by MT4Invest claims its global brokerage and investment firm status specializing in online trading and investment through the highest level of security, fixed spreads (See Zero Spread Accounts), and non-dealing desk execution.

• Although there are no specified details about the corporate situation since the broker simply does not provide its registered address or any other necessary information while just mentioning “global coverage of offices”. Basically, that hiding of information might alert any trader or investor, since the trustable company should reveal its legal information, therefore the MT4Invest is considered a non-regulated broker with the highest risk of fraud. 

• Moreover, the financial regulatory body of Spain the Comision Nacional del Mercado de Valores (CNMV), has issued a warning to the public against investing with MT4Invest as a source of their business requires regulation and authorization. The Forex industry authorities always recommend checking the statements of the company before any registration is done, as the detailed financial services should be provided along with the authorization that secures clients and protects their funds.

  “Only registered companies have obtained authorization after proving compliance with certain requirements (sufficient capital, organization, and adequate means, etc.) and are subject to the controls of the supervisory bodies”

  CNMV, April 2017

MT4Invest Review Conclusion

Preliminary there were other reputable agencies that warned against MT4Invest, as well as numerous negative reviews and scam alerts from traders. It is obvious that Mt4Invest is not a broker to trust and trade with, Overall, we do advise always to trade only with regulated forex brokers exactly for this reason.

Apart from the officially provided services the authorized broker follows guidance concepts that are designed to provide a safe trading environment and secure investors. Traders are recommended to trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and HFM.

MT4Invest Update

Based on our research, the MT4Invest 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 FXT24 Scam or Legit Broker?

It is not safe to trade with FXT24, 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 FXT24?

FXT24 is a web-based Foreign exchange brokerage. The info on the website says that the company operates from London, United Kingdom. Although the company is not regulated in the UK.

• As to the regulation, they say that FXT24 brand is authorized and regulated in various jurisdictions. So they mention jurisdictions without naming them or giving out legal info about their licenses.
• We don't recommend dealing with this broker, as the biggest issue is regulation, meaning - the lack of it. In addition, FXT24 was also blacklisted by the Spanish regulator CNMV.
• We recommend you trade with serious and reliable regulators, such as FCA in the UK and FMA in New Zealand. For example, the license from UK’s Financial Conduct Authority requires EUR 125,000 of capital (aside from client deposits) for the STP license. The regulator also protects customers when authorized financial services firms fail. Here you may check our list of brokers licensed by the FCA.

FXT24 Review Conclusion

We strongly advise opening a trading account only with brokers regulated by 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 Eightcap and BlackBull Markets.

FXT24 Update

Our findings showed that FXT24 is no longer active. The broker’s 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 HQBroker Scam or Legit Broker?

HQBroker has been suspected to be a scam broker. This broker is blacklisted by a well-known regulatory authority and should be avoided. HQBroker is owned by Capzone Invest Ltd 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 being low, it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as GoldmanCFD, Capital88, and more. 

What is HQBroker?

According to the website, the company's operational address is in Hong Kong, however, it is not regulated by its local Securities and Futures Commission (SFC). Our biggest concern is the numerous warnings issued against HQBroker by different regulators. 

• In April 2018, the UK's Financial Conduct Authority has warned the public about HQBroker:

"Capzone Invest Ltd t/a HQ Broker is not authorized by us and is targeting people in the UK. Based upon information we hold, we believe it is carrying on regulated activities which require authorization."

• In July 2018, the Ontario Securities Commission (OSC) also issued a warning:

"The Ontario Securities Commission (OSC) is warning investors that HQBroker is not registered to sell securities in Ontario."

• There's also a warning from Spain's CNMV:

  "HQ BROKER Capzone Invest LTD is not authorized to provide the investment services, which include investment advice, or to provide auxiliary services in relation to the financial instruments including, for those purposes, foreign currency transactions."

HQBroker Review Conclusion

We advise all investors and traders to avoid HQBroker 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 Eightcap and BlackBull Markets.

HQBroker Update

Our findings showed that HQBroker is no longer active. 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 8888Markets Scam or Legit Broker?

It is not safe to trade with 8888Markets, 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 8888Markets?

8888Markets is an unregulated Forex and CFD broker that claims to be located in Dublin, Ireland. Although the company is not licensed to offer its financial services in Ireland they have been targeting Irish residents. Moreover, the Central Bank of Ireland has issued a warning against 8888Markets.

• We don't recommend trading with 8888Markets or any other unregulated financial entities as they are not bound by any financial or ethical rules.

8888Markets Review Conclusion

We strongly advise opening a trading account only with brokers regulated by 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 Pepperstone and BDSwiss.

8888Markets Update

Our findings showed that 8888Markets is no longer active. The broker’s 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 IGOFX Scam or Legit Broker?

IGOFX is a 100% fraud company. The broker is registered offshore (See other scam forex brokers) and does not hold any proper license from a well-known reliable financial regulator. It is NOT SAFE to trade IGOFX.

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 IGOFX?

IGOFX is a broker, offering online trading in Forex and CFDs. The company is owned and operated by IGO Global Limited, registered in Vanuatu by Vanuatu Financial Services Commission (VFSC).

• Vanuatu is an offshore zone popular among forex brokers because of the variety of tax benefits, although most of the brokers registered there are not actually regulated or licensed by any authority.
• The terms and conditions "governing law" part states that IGOFX is overseen by the jurisdiction in England, but the broker is not regulated in the UK. Moreover, the Monetary Authority of Singapore (MAS) has issued a warning alert against IGOFX in March 2017:
  "based on information received by MAS, IGO Global Limited; IGOFX may have been wrongly perceived as being licensed or authorized by MAS."
• Also, the Bank Negara Malaysia (BNM - Central Bank of Malaysia) added the broker to its alert list in July 2017:
  "IGOFX is neither authorized nor approved under the relevant laws and regulations administered by BNM."

IGOFX Review Conclusion

To sum up, dealing with unregulated offshore companies such as IGOFX is very risky as they don't guarantee the safety of customers' funds. We recommend dealing with the entities authorized by the serious and reliable authorities, where regulation is strict. For example, you can choose regulated brokers from the FCA in the UK or ASIC in Australia.

IGOFX Update

Based on our research, the IGOFX 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 Vix500 Scam or Legit Broker?

Vix500 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. This results in a very high-risk trading opportunity, despite its alluring proposal.

What is Vix500?

Vix500 is an online trading broker that offers several account types to invest, depending on the size of a trader, and availability to trade through market-leading platform MetaTrader4 Forex, Indices, Stocks, Commodities, and other assets. The broker claims its security and trustful trading through the quotes received from the leading liquidity providers and guarantees of transactions.

• However, Vix500 is a part of the Blonde Bear OU group of companies and various trading brands that, however, were detected and warned times by reputable agencies that oversee Forex business and investment services firms, as well as maintained an extremely negative reputation.
• The operational office of the group is located in Estonia, Tallinn while the broker is not registered or overseen by any authority. Being located in the country part of the EU, the financial investment firm is mandatory to obtain a license in order to deliver its protected and legitimate trading service. Besides, the Vix500 brand is registered in Vanuatu, an offshore zone, which means the company tries to show its legal ruts in another jurisdiction, that yet does not set customer protection requirements.
• As a result, the company showed its scam and fraud behavior towards clients and Forex trading itself, which is quite common among non-regulated brokers.
• For that reason, the traders should take it seriously while choosing a broker and not to involve in any action with the Blonde Bear OU group of companies and their offerings. The blacklisting, fraud reputation, and generally non-regulated trading environment are the issue, which should be carefully checked before any decision is made. For that reason, we always recommend investment only with the Regulated companies that comply with the necessary protection rules set by the world authorities alike FCA (UK), CySEC (Cyprus), and others.

Vix500 Review Conclusion

We recommend all investors and traders avoid Vix500 and other unregulated brokers. It's a common practice that 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 FP Markets and HFM.

Vix500 Update

Based on our research, the Vix500 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 DracoFX Scam or Legit Broker?

DracoFX 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 DracoFX. 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 DracoFX?

DracoFX states its operation as a dealing room facility for trading various financial products including foreign exchange, CFDs, and commodity spot trading through innovative technology and vast market liquidity. Draco Business Solutions is operating under the name DracoFX while registered in Saint Vincent and the Grenadines.

• Saint Vincent and the Grenadines (SVG) is a popular offshore jurisdiction for forex brokers due to its low set-up requirements and minimal regulation. However, the lack of regulatory oversight and lax requirements can also lead to potential risks for traders who choose to sign up with brokers registered with the SVG Financial Services Authority.
• The broker is a relatively young company, while delivering its trading opportunities and mainly targets clients across the Asia region, claims numerous awards from reputable agencies in terms of their technology and service. Moreover, the broker mentions its safety of funds and delivery of highly reliable trading conditions.  
• In addition, there are many unfavorable comments and reviews towards DracoFX from the company traders, regarding withdrawals of funds and suspicious misleads while trading. Overall, it all seems like DracoFX is another company that delivers “not very well maintained” trading conditions and opportunities.

DracoFX Review Conclusion

We strongly recommend choosing among the reputable and regulated brokers that comply with necessary maintenance requirements and deliver customer protection service through their license. 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 FP Markets and HFM.

DracoFX Update

Based on our research, the DracoFX 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.