It doesn’t matter which financial market has drawn your attention; whether you want to trade stocks, forex, commodities or even cryptocurrencies, you will need the services of an online broker. The fact that there are hundreds of them should have made life easier, but that is not the case because these brokers are not the same. Like every other industry, you will find reputable platforms here, and there are also fraudulent firms that are only looking to make quick money. Just run a Google search and you will find out just how many people have become victims of brokerage scams. The point of this TopFxMarkets review is to show you how it is done.
Half of the time, people don’t even realize that they have signed up with a shady platform because these cybercriminals use such convincing tactics and strategies. It is easy to be misled, especially when you are in a hurry. Rather than leaving yourself vulnerable, you should arm yourself with knowledge to determine how you can distinguish good brokers from the bad ones. Yes, it can be done and the reward is a reliable broker that allows you to take advantage of the profitable opportunities in the financial markets.
A mistake, on the other hand, can lead to disastrous consequences where you suffer from hefty losses and have to deal with a great deal of stress. TopFxMarkets is one of the brokers that can cause you to stumble. This is because at first glance, it appears to be a completely legitimate and licensed broker. But, it is this fact that makes it very dangerous because when you uncover the layers, you will find just how big of a scam it is. Ready to know? You can check out the details outlined below:
No licensing and regulation
If you have researched into the different ways to identify a scam broker, you have probably learnt that unregulated and unlicensed brokers should be avoided because they are mostly fraudulent. Therefore, when you see a company claiming to be licensed and regulated, you will relax and look at their services to determine if they can suit you. However, it is essential to confirm the licensing and ensure it is good enough, rather than just taking a company’s word for it.
It is a good rule to follow and it certainly pays off in the case of TopFxMarkets because you find out that it is owned and operated by a company named Brikanta Ltd. As per the broker, it is properly registered and licensed, but when you take a closer look, you will find that it doesn’t really count. Why? It is because the company is based in St. Vincent and the Grenadines, a jurisdiction known to be the home of most scam brokerages. The authorities in St. Vincent and the Grenadines have mentioned that they don’t regulate forex brokers, so it doesn’t count.
In addition, TopFxMarkets has also claimed that their website is run by a Romanian company, but this is also irrelevant because this one doesn’t have any license either. To be able to operate in Romania, it has to be licensed by the ASF and follow strict rules and regulations, as the country is a member of the European Union, but the broker doesn’t actually breaks the policies.
Malicious Terms and Conditions
To add to the false claims about licensing and regulation, malicious clauses have also been added by TopFxMarkets to its Terms and Conditions. Checking these is important because they indicate what kind of relationship you will have with the broker and it turns out to be a good thing because you will uncover the reality of this broker. First and foremost, you will notice the outrageous bonus policy of the company.
It should be noted that European regulatory environment doesn’t allow brokers to offer trading bonuses because they exploit traders and are unfair. This is obvious with the policy you find on TopFxMarkets where traders are required to meet minimum trading volume requirements to withdraw their funds. Once your account has been credited with a trading bonus, you have to meet the requirement and it is so outrageous that even experienced traders will not be able to achieve it.
For a bonus as little as $100, you are asked to have a trading volume of around $4 million, which is ludicrous. The problem doesn’t end here because TopFxMarkets also has some malicious fee clauses as well. As per their Terms and Conditions, dormant account fees will be applicable after three months of inactivity, but they have not mentioned how much it would be. This means they can and will charge whatever they want, abusing this policy. Likewise, they have mentioned a ton of other fees that may also apply and haven’t provided a proper schedule of fees to expect.
Extremely high leverage
If the aforementioned issues were not enough to convince you of the broker’s scam, you will also find that TopFxMarkets is offering leverage of 1:1000. These levels of leverage are extremely high and carry significant risks, due to which most regulatory bodies in the European market, UK, Australia and the US do not permit it.
Excessive minimum deposit
You are required to make a minimum deposit for opening a trading account with many brokers in the financial markets. The same is applicable in the case of TopFxMarkets, but there is a difference. If you check the amount, you will notice that they are asking for a deposit of a whopping $2,000. The standard deposit is not more than $200 to $250. As a matter of fact, many platforms are now letting traders open accounts for as low as $10.
What is the Verdict?
Yes, you will have access to the MT4 trading platform when you sign up with TopFxMarkets and this is the leading platform in the market. They also support credit cards and wire transfers as payment options, but this doesn’t take away from the fact that it is an unlicensed broker that has malicious conditions, so signing up with them is not the right decision.