AximTrade – Are They Trustworthy?

Website URL: www.aximtrade.com

Founded: N/A

Regulations: Not Regulated

Languages: English, Chinese, Thai, Vietnamese, Indonesian, Malay, Turkish, Arabic

Deposit Methods: Bank Wire (including local transfers in Indonesia, Malaysia, Thailand, China and Vietnam), Credit/Debit Cards, AliPay, FasaPay, QuickTransfer, China UnionPay, Bitcoin

Minimum Deposit: $1

Free Demo Account: Yes

Number of Assets: N/A

Types of Assets: Forex, Commodities, Indices, Shares

Trading Accounts and Conditions

Here is the list of trading accounts offered by AximTrade:

• Standard Account: The minimum deposit you are asked to make to use this account is just $1, the maximum leverage is 1:3000 and the spreads start at 1 pip.
• Cent Account: To trade on this account, you need to make a minimum deposit of $1. The maximum leverage offered is 1:2000, and the spreads start at 1 pip.
• ECN Account: The minimum deposit you are asked to make for this account is $50. The maximum leverage levers offered are 1:1000 and the spreads start at 1 pip.

AximTrade – Advantages

Here are the advantages of trading with AximTrade:

• MetaTrader 4 Support Offered

The one good thing about trading with this broker is that they offer support for the MetaTrader 4 trading platform. The MT4 software is the most popular on the planet, with more than 80% of all brokers and traders using this platform. This is because this software is easy to use and offers great advanced features such as the Expert Advisors, which are automatic trading bots, as well as charting and market analysis tools.

• Very Low Minimum Deposit Requirement

To begin trading with AximTrade, you simply need to deposit a dollar in your trading account. This figure is extremely low by market standards. Usually, brokers ask for a minimum deposit that ranges from $100 to $250. So, the $1 minimum deposit requirement that this broker has is extremely attractive.

AximTrade – Disadvantages

Now, let’s look at the disadvantages of trading with AximTrade:

• Confusing Corporate Information

There is a great lack of clarity about who actually owns and operates AximTrade, and where this company may be based. The broker first mentions a company called Axim Trade LLC, which it claims is based in St. Vincent and the Grenadines, and is registered with the country’s Financial Services Authority.

Then, another company is introduced. This company is called Thara Heights Owners’ Corporation, which the broker says is based in the British Virgin Islands, and is regulated by their Financial Services Commission.

Plus500

$100

Minimum Deposit

Start Trading

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82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money

Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.

 

AvaTrade

$100

Minimum Deposit

Start Trading

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The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.

• Unregulated Broker

Here’s the problem. SVG’s financial authority has made it clear that they don’t have regulatory oversight forex brokers. And the British Virgin Islands is a known destination for scammers because of its lax regulations. Being registered with either of these jurisdictions doesn’t mean much since licenses from there are not recognized in other parts of the financial services world.

This means that this broker is not regulated in any way, especially to offer financial services in the countries it targets.

Because of this broker’s anonymity and the fact that it is unlicensed, there is a great financial risk to trading with AximTrade.

• Unrealistic Trading Conditions

AximTrade offers you spreads that start at just 1 pip, which sounds really attractive. When we checked their demo account for the trading conditions, the spreads were even lower. The EURUSD pair had a spread that ranged between 0.0 pips and 0.3 pips, which is unrealistically low.

Furthermore, the leverage that this broker offers, 1:3000, is unrealistically high. Even the most generous of brokers offer a leverage that doesn’t go higher than 1:1000, so this kind of leverage is just too high.

Dealing with high leverages is so risky that most financial authorities do not allow brokers to offer these ratios any more. In fact, you will usually see leverages of up to 1:30 or 1:50 in most strongly regulated markets. This is a step taken by financial regulators to protect the interests of the consumers.

The broker also states that it does not charge any commission fees.

The question then is: how does AximTrade make money? The spreads are so low that the broker would make almost no money from the trades carried out by their clients. And there are no commission fees.

What this looks like is that these trading conditions are just a gimmick to get traders to invest their money with this broker.

• Trading Bonuses Offered

Another red flag is the trading bonuses this broker offers. Trading bonuses are dangerous because of the very unfair clauses that they carry. You are required to meet a massively high turnover target before you are allowed to withdraw your funds.

In AximTrade’s case, you need to meet a target of 200 lots, which is an impossible task for most traders. And if you do not meet this target, you will be charged a 10% fee if you try to withdraw your funds.

Please note that no legitimate broker will put such clauses to you withdrawing your own money from your account.

Conclusion 

AximTrade offers some seriously attractive trading conditions – a $1 minimum deposit requirement, spreads as low as 0 pips, and a leverage that’s through the roof! Such conditions can tempt most traders to sign up with them. However, do not be fooled. These conditions are unrealistic and are meant to attract unsuspecting traders into handing their money over to AximTrade.

It is also wise to remember that these seemingly attractive trading conditions are being offered by an anonymous and unregulated broker. A broker that is operating outside the boundaries of the law is not one that you should trust. The chances of you losing all your money are extremely high.

If you looking for an online brokerage, we would recommend that you look for one that is strongly regulated and also offers realistic trading conditions that are competitive.

AximTrade

2.4

User Experience

2.8/10

Payment Options

2.1/10

Security

2.3/10

Support

2.4/10

Reputation

2.2/10

Pros

• MetaTrader4 Supported
• Very Low Minimum Deposit Requirement

Cons

• Confusing Corporate Information
• Unregulated Broker
• Unrealistic Trading Conditions
• Trading Bonuses Offered