Is WorldFXM a scam or legit broker?

No, it is not safe to trade with WorldFXM. WorldFXM is owned by CHO DEVELOPMENT 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 is low and it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as GoTechFx, Obsbit and more.

According to the website, WorldFXM offers its clients a variety of products, including 65 of the most popular FX pairs, 33 contracts for difference (CFD), products, across equity indices, energies, alternative asset futures and other instruments to help deliver more trading opportunities. However, the broker’s regulation is quite questionable. We couldn’t find any information about its regulation as well as location. The contact number provided on the website is from the UK, which means the broker has been targeting UK residents without being authorized in the country.

Moreover, the company has been blacklisted in several countries. The UK’s Financial Conduct Authority has recently issued a warning against the broker, stating that:

“World FXM/WorldFXM (trading name of CHO Development Limited) is not authorised by us and is targeting people in the UK. Based upon information we hold, we believe it is carrying on regulated activities which require authorisation.”

There is also a warning from the Austrian Financial Markets Authority issued in August 2018:

“WorldFXM with its registered address apparently at p.A. CHO DEVELOPMENT LTD, Marshall Islands is not entitled to carry out banking transactions in Austria that require a licence. The provider is therefore not permitted to trade in financial futures contracts (futures) on its own account or on the account of others, including equivalent instruments settled in cash as well as call and put options on the instruments.”

We advise all investors and traders to avoid WorldFXM 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 IG Markets and Plus500.

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