Reason to avoid: Offshore License
Listed Date: November 26, 2018
Top 3 Regulated Forex Brokers
Beware OneTradex is an Offshore-Licensed Broker. It is NOT SAFE to trade.
- Company name:
- Registration Address/ License:
Cayman Islands. Offshore License, No Regulation.
OneTradex is a company that claims direct market access to stocks, bonds, options, futures, funds, CFD’s, ETF’s and precious metals that are available from a single offshore investment account. OneTradex based in the Cayman Islands while offers tax-neutral trading accounts for offshore residents and expatriate investors, including the non-resident U.S.
The broker states their fully-licensed operation offering through an online discount trading, while the license is received by Cayman Islands authority “OneTRADEx is licensed to conduct securities investment business by the Cayman Islands Monetary Authority”. However, in fact, the Cayman Islands as an offshore zone does not regulate Forex or trading business, but just issues an establish certificate with a very small requirement and that’s all. That means the OneTradex is a typical broker with an offshore license that unfortunately does not operate according to the strictest standards, not overseen constantly in terms of the operation, therefore is a broker we do not recommend trading with.
Safety of funds is the main concern of any trader or investor, while the necessary protection can be provided only by the fully legitimate and licensed companies, as they are watched at every level. In addition, the regulated entities fall under the scheme in case of the company insolvency or payment issues, thus the trader can trade rest assured. For that reason, the brokerage companies that are authorized by UK’s FCA, Australian ASIC Regulated brokers, or similar are at the list of brokers to choose from. While an offshore and non-authorized company providing only the highest risk to lose funds or to fall on a fraud.