DT-Index Review – Identifying the Red Flags

DT-Index Review

DT-Index logoThe financial markets have been making the news very frequently off late. Why shouldn’t they? Despite the global COVID-19 pandemic that has affected businesses and industries, they appear to be doing quite well. Many people looking for money-making opportunities are contemplating entering these markets to benefit from the lucrative opportunities. However, most people hesitate because of the challenge of finding a broker. Sure, you only need to search on Google to make a list, but sorting through them to find a good one is easier said than done. If you take a look at this DT-Index review, you will understand the kind of problems associated with brokers.

On the surface, they may appear to be decent and say all the right things to draw your attention. But, a deeper look can help you in identifying the red flags that indicate they are a scam. This is the case with DT-Index, or DingTian, because even though it claims to be a globally regulated and recognized brokerage firm, it really isn’t. You can check out the red flags associated with the company below:

DT-Index website

Background and Regulation

The first interesting thing you will note about the DT-Index website is that its default language is Chinese. Why is this interesting? It is because the broker claims to be regulated by a European regulator. Then why is its default language Chinese, if it is offering its services to European clients? Moving on, the regulator in question is the Euro Finance Investigation & Security Organization (EFISO) and all you have to do is search on Google to discover that no such authority exists.

It is a fake regulator and DT-Index is only making regulation claims to fool people. The European pan regulator is the European Securities and Markets Authority (ESMA), which is in charge of the financial markets, but doesn’t license forex brokers. Instead, the regulatory agency for every EU member state issues the license.

Other than this problem with DT-Index, you will discover that the broker claims to have 4 offices in 13 countries. Seeing as there are only seven continents, this is a big blunder and no legitimate company is likely to make it. Moreover, you will not find any address on the website, nor is there any decent contact information available. The footer of the website indicates that DT-Index is owned by Dingtian Inc., but no information is available about the company either.

Furthermore, the other sections of the DT-Index website mention different company names altogether, such as Dingtian Information Limited, Dingtian group and DingTian International Co.

Legal Documentation

Another way for you to determine that foul play is involved in the case of DT-Index is the absence of any Terms & Conditions on their website, or Client Agreement. The purpose of this legal documentation is to define the relationship between the broker and traders and it serves as a contract between the two parties. But, an absence of such essential information is a huge red flag and you will have no idea of what DT-Index is going to charge you, whether it is for withdrawal, transaction fees, or any other fee.

Spreads

The spreads charged by a broker also determine your trading costs, so they are worth checking out. The demo account offered by DT-Index reveals that their spread for the EUR/USD pair is 8.3 pips, which is extremely excessive to say the least. The average spreads charged by brokers for this spread is between 1.0 and 1.5 pips for the same pair, so it indicates that DT-Index has excessively high spreads.

Payment Methods

You can use China UnionPay and USDT wallets for making your payments on the DT-Index website. Both of these methods don’t give you the option of chargeback, so you will not be able to get a refund in case of a problem.

Final Thoughts

Just because DT-Index offers the MT5 trading platform and has a minimum deposit of $100 doesn’t mean you should ignore its red flags because it is a scam broker.