ONEFX TRADE Review – The Troubling Facts about this Broker

ONEFX TRADE Review

Going through the thousands of online brokers can seem like a daunting task to people in their search to find the one that can fulfill their trading needs. Many prefer to just sign up with a brokerage randomly in order to start trading right away.

After all, you do not want to miss out on all the opportunities of making profits and spend time comparing the offerings of multiple brokers. But, as exhausting as that sounds, it is better to do so to avoid a scam.

This is because you cannot ascertain a broker’s authenticity, simply by looking at their website, as this ONEFX TRADE review will clarify.

Instead, you have to evaluate them properly in order to find out what they are really up to and if they can actually help you trade. Choosing a company at random puts you at risk of signing up with a scam broker, or a shady one that may not be the right fit.

Eventually, you will find yourself starting from scratch. Why leave yourself vulnerable like that? It is always better to be safe than sorry and this is certainly true for ONEFX TRADE as well.

You have to remember that the reason these fraudulent brokers are able to achieve their goals is because they know just what tricks to use to con people.

Not only can they present decent websites, but they also advertise features and tools that can tempt people into opening an account with them.

Thus, the best tactic to stay safe is to evaluate everything that a company is promising and then make up your mind. If they live up to their claims, you can go ahead and if they don’t, you can be proactive and steer clear.

When you come across at ONEFX TRADE, you will find that the brokerage is telling quite the story. Claiming to be around since 2012 and catering to more than 100 clients, ONEFX TRADE promises cutting-edge features like copy trading, a variety of tools, payment options and the best security.

But, you will discover some troubling facts about it when you evaluate its offerings. Some of these are listed as follows:

Regulatory warning

The first aspect of any online broker that can help you establish its credibility is its licensing and regulatory status. A genuine company will always be willing to make the effort to obtain a license to offer its services because it knows that this will grant it legitimacy.

It has to meet a certain criteria to get the said license, including capital requirements, compliance with standards and policies and more. But, since they are authentic, they do not have a problem in doing so. Of course, scam brokers would never make this effort because this would expose their true nature.

Therefore, they make false claims about being licensed, a tactic that ONEFX TRADE has also used because it boasts about being a globally regulated brokerage, which is based in the United Kingdom.

The UK is one of the world’s well-regulated regions and its regulatory body i.e. the Financial Conduct Authority (FCA) is considered the most stringent. A license from the FCA is considered extremely valuable because it adds a layer of authenticity.

Unfortunately, a check of its online register does not show ONEFX TRADE listed. Instead, you will find that the FCA has actually blacklisted the brokerage in question.

It has issued a warning about ONEFX TRADE operating illegally in the country, which clarifies that the company is not licensed and is not genuine, or else it would never make such a huge mistake that would destroy its credibility.

Trading software issues

The second troubling fact that you will uncover on the ONEFX TRADE is when you try to check out the trading platform offered to you. Even if you are a beginner, you are probably aware of the importance of a trading platform in your trading journey.

There can be no trading without this software because you need it for executing transactions and using the latest tools. Every company offers a trading platform and its own discretion and ONEFX TRADE is promising the MT5.

This is the top trading software that exists today, which gets people excited to open an account with ONEFX TRADE, but you will find that the download link on its website is not functional. It is extremely disappointing, not to mention shady.

When you try to access it after opening an account, you will be shocked to learn that ONEFX TRADE first demands that you provide copies of your ID card, passport and driver’s license.

At some point, every broker will ask you to verify your identity, but never as a condition to let you access a feature and never immediately. This is something that ONEFX TRADE is doing and it is undoubtedly very troubling.

Trading condition problems

Things continue to take a turn for the worse when you are evaluating ONEFX TRADE and its offerings. The troubling facts about the brokerage are not done yet and you will find more when you check the trading conditions it has to offer.

The leverage ratios that are supported on the platform are as high as 1:500.

This may sound extremely appealing to some traders because leverage gives you greater trading flexibility and can help you make more profits. Who does not want that?

But, leverage is also very risky because it can also double your losses. It is a two-edged sword due to which regulatory bodies in various jurisdictions have imposed a cap on the leverage that can be offered.

One of these is the FCA in the UK, which has capped leverage ratios for retail traders at 1:30, yet ONEFX TRADE is offering ratios that are significantly higher despite claiming to be based in the country.

This shows that it is lying about where it is based and this makes the brokerage completely untrustworthy.

Closing Thoughts

These troubling facts that you uncover about ONEFX TRADE show that it is not the kind of brokerage you should be dealing with for your trading journey.