Online trading is one of the biggest trends to have emerged in the last couple of decades and there are a lot of people out there who have truly benefited from it. The potential of making high returns, even on a small investment, has attracted people from all over the globe. Plus, there is no denying the ease and convenience with which you can get started because there are no traditional barriers to entry, as you may find in some other industries and markets. What does that have to do with this AltumFX review? Well, despite the advancements that have been made because of internet and technology, there is one element of trading that remains unchanged.
What is that? You still require a brokerage to begin online trading in the financial markets and AltumFX is one of the options that you will find. But, why is a review needed? Simply because when you look for a broker, you will come across an endless list of options that claim to be the best. Moreover, you will also discover that the choice of platform also has an impact on the profits you make, so it is not something that you can leave up to chance. You can find stories about people who did so and ended up paying for it in more ways than one. Why?
Like other online spaces, the trading world has also become rampant with fraudsters and scammers. Fake brokerages and platforms are their go-to option because it allows them to lure unsuspecting traders with impressive offerings, get them to deposit their money and share their private and confidential data. They then take off with the money and misuse or sell the data to other criminals, leaving people in a bind. Do you want to deal with such disastrous consequences? Probably not. The key to avoiding them lies in doing your homework and not falling for the lures and claims of scam brokers.
Where does AltumFX fit it? As mentioned above, it is one of the brokers operating in the market and is presented as a regulated broker that offers forex trading, along with CFDs to its clients, all on the MetaTrader5 platform. This sounds like a very impressive package for any brokerage and of course, you will be intrigued. But, you need to do your homework to avoid a scam and that’s where this AltumFX review plays an important role. First off, let’s look at the advantages they are offering:
Indeed, the most prominent benefit that AltumFX claims to offer to its clients is the chance to use the MetaTrader5 platform for their trading needs. A bit of research will show you that it is the golden standard when it comes to trading platforms and one you, or any trader worth their salt, would want to use.
The Minimum Deposit
When you take a look at the minimum deposit asked for by AltumFX, you will find that it is just a meagre $10. This is very low and may confuse because you expect scammers to ask for a high initial deposit. However, this is also a common trick you will come across in investment scams that lure in people with low initial deposit, but don’t let them profit until they have added more money.
A look at the leverage offered on the AltumFX platform will show you that they offer 1:500 at maximum. Once more, this is confusing because scam brokerages tend to offer impossibly high levels of leverage to convince people to sign up with them. But, you shouldn’t let this mislead you at all.
It is important to know what kind of spreads you will be charged by a broker because it affects your bottom line. The spreads at AltumFX begin at 1.4 for the EUR/USD currency pair and even though it is a bit on the high side, it is still in the range of the industry standard i.e. between 1 and 1.5 pips. This is another trick because they have deliberately kept it on the edge so as not to arouse your suspicion.
The Payment Methods
One of the best payment methods that traders prefer to use in online trading, or even elsewhere, are credit cards, including VISA and MasterCard. Why? This is because it is easy to file for a chargeback in case you have a dispute, or there is a scam. You will find that AltumFX has advertised the availability of credit card support on their platform and this just may attract people to sign up on their website. But, a deeper look shows that they don’t accept such payment options at all. Instead, they only work with bank wire, crypto options and Skrill, and this is a clear lie. Would a legitimate brokerage lie? Certainly not.
This is not the only problem that you will find at AltumFX. Other issues include:
Background and Regulation
AltumFX claims to be an offshore broker that’s licensed in Seychelles, but this doesn’t make them a legitimate broker. They are said to be owned and operated by 360 Degrees Markets Ltd. This company does hold a Securities Dealer License that is issued by the Seychelles Financial Services Authority (SFSA). But, if you go through the SFSA’s registry, you will not find the broker mentioned anywhere. This indicates that the brokerage is either a scam, or it might be a clone firm, which means it is illegally using the name of a legitimate firm that isn’t related to it in any way.
Apart from that, even if it is indeed registered and licensed in Seychelles, it doesn’t help much because brokerages registered in Seychelles don’t have to follow any such strict rules. They just have to have a capital of $50,000 to start offering their services and are not subjected to any real oversight. Hence, this makes AltumFX quite untrustworthy.
Considering the data that you have uncovered above, it is quite obvious that AltumFX is not a legitimate broker and you shouldn’t trust it with your money, or your data.