Fox Markets – Are They Safe?

| Publish date: 07/06/2020 (Last updated: July 06, 2020 03:13 AM)
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Stop! It’s a Scam! Your money is not safe if you are trading with this unregulated, off-shore broker.

Fox Markets - DO NOT TRADE WITH THIS PROVIDER
2.6/10
$100
Minimum Deposit
X

updated 2020

Fox Markets offers the following trading accounts to its customers: Standard, STP, Customized. While there is no information given on the broker’s website about the trading conditions, we downloaded their demo account to see if we could find that information.

We could not find out what the minimum deposit requirement is, but we did find out the spreads on this broker’s platform starts at 2 pips, and the leverage ratio offered is a maximum of 1:400.

Try these regulated brokers if you want to start trading cryptocurrencies

Plus500 Review - Regulated broker
Plus500CY Ltdauthorized & regulated by CySEC

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.

 

Website URL: www.fox-markets.com

Founded: 2020

Regulations: Unregulated

Languages: English, German

Deposit Methods: GiroPay, SOFORT, ADVCash, Credit Cards, Wire Transfers, Bitcoin

Minimum Deposit: Not Specified

Free Demo Account: Yes

Number of Assets: N/A

Types of Assets: Cryptos, Forex, Metals, Indices, Commodities (coffee, cocoa, corn, wheat, fruit, soybean).

Trading Accounts and Conditions

Fox Markets offers the following trading accounts to its customers: Standard, STP, Customized. While there is no information given on the broker’s website about the trading conditions, we downloaded their demo account to see if we could find that information.

We could not find out what the minimum deposit requirement is, but we did find out the spreads on this broker’s platform starts at 2 pips, and the leverage ratio offered is a maximum of 1:400.

Fox Markets – Advantages

We did not find any advantages to trading with Fox Markets, so we have left this section of our review empty.

Fox Markets – Disadvantages

Here are all the disadvantages we found with Fox Markets:

  • Offshore, Unregulated Broker

This broker claims to be owned and operated by Fox Markets Ltd. which is incorporated in St. Vincent and the Grenadines (SVG). Being incorporated in SVG is not good enough from the perspective of being legally regulated since the financial authority of this country does not offer regulatory oversight for forex and CFD brokers.

The broker also implies that it is regulated by the FCA (Financial Conduct Authority) of the UK. What the broker says is that it is a part of the FSCS (Financial Services Compensation Scheme), which is backed by the FCA.

So, we checked the watchdog’s online register, and we did not find the name Fox Markets listed there. Which means that this reference to the FCA is just a cover-up, meant to fool customers into thinking that this broker is actually legally licensed to offer its financial services. And this also means that this broker has lied about being a part of the FSCS.

And finally, considering the fact that this broker offers German as an alternate language on its website, we can assume that Fox Markets is targeting customers in that country. This would mean that it would need to be authorized by the BaFin (the German financial regulator) to operate there. Or, at least have a license from another member-country of the European Union. Fox Markets does not have any such license.

So, if you contract with Fox Markets, you will essentially be dealing with an offshore broker that has lied about its regulatory status. And when you deal with such a broker, your funds are definitely at risk. You will not be afforded the protection that is given to traders who contract with regulated brokers – account segregation, participation in a compensation scheme such as the FSCS in case of broker fraud or insolvency.

Plus500
$100
Minimum Deposit

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

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.

 

  • No Information on Minimum Deposit Requirement

The only thing that Fox Markets says about its minimum deposit requirement is that it is low; there is no figure mentioned. As a reference point, market averages for minimum deposits are between $100 and $250. However, the fact that even basic information such as this is missing is another red flag against this broker.

  • MT4 Platform Belongs to Third Party

Usually, we would put support for the MetaTrader 4 platform as a big advantage. This is because this software is the world’s leading trading platform. It is so easy to use that even completely novice traders don’t have a problem with it. And for advanced traders, there are a range of features such as market analysis and charting tools, as well as Expert Advisors – automatic trading bots – to help you with your trades.

The problem we have with the MT4 platform offered by Fox Markets is that it is owned by a company called PVP Markets Limited. And we have no information about this company.

It is highly unusual for a broker of offer a trading platform that belongs to another entity and this itself causes suspicion about Fox Market’s legitimacy.

  • Unfair Withdrawal Conditions on Bonuses

Yet another point to note is that Fox Markets offers bonuses that come with huge strings attached – its withdrawal conditions. When we read through the conditions for withdrawal of funds related to bonuses, we found that you need to meet a trading volume target of 200 lots. And if you do not meet that target and try to take your money out, you will be penalized with a massive 10% withdrawal fee.

If a regulated broker does offer trading bonuses, they make it a point to state the terms of the bonus clearly – not in the fine print of their terms and conditions.

  • Lies About Payment Methods

When you check their website, Fox Markets states that it supports the following payment methods – SOFORT, ADVCash, GiroPay, Wire Transfers, Credit Cards and Bitcoin.

However, when we checked further, we found out that the only way that you can make deposits is via a Bitcoin wallet. This is yet another indication that you cannot trust this broker. A bitcoin transaction is completely irreversible and anonymous. This means that if you want your money back, there is no way for you to get it back or know who has your money.

  • High Spreads and Leverage

First of all, we had to check the demo account to get information on this broker’s trading conditions. Which is something that no legit broker will do; all of this critical information will be mentioned clearly on their website.

And once we got this information, we found that the spreads 2 pips, which is high than the average range of 0.5 pips to 1.5 pips. And the leverage ratios offered stand at 1:400. Considering that this broker is offering services in Europe and the UK, this is extremely high. Regulators have capped leverage ratios at 1:30 and 1:40.

Conclusion 

Fox Markets shows all the signs of being a scammer. And while it has not yet been flagged off by a financial authority, we would still recommend to all traders that they should avoid this broker.

Fox Markets

2.6

User Experience

3.4/10

Payment Options

2.3/10

Security

2.2/10

Support

2.4/10

Reputation

2.5/10

Pros

  • None

Cons

  • Offshore, Unregulated Broker
  • No Information on Minimum Deposit Requirement
  • MT4 Platform Belongs to Third Party
  • Unfair Withdrawal Conditions on Bonuses
  • Lies About Payment Methods

Do not trade with unregulated brokers that will steal your funds - try these regulated brokers:

Plus500
$100
Minimum Deposit

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

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.

eToro
$200
Minimum Deposit

eToro is a multi-asset platform which offers CFD and non CFD products. 74% 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.

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