Fx-globalinvest – Are They a Scam?

Website URL: www.fx-globalinvest.com

Founded: 2020

Regulations: Unregulated

Languages: English

Deposit Methods: Credit Card, PayTrio

Minimum Deposit: $250

Free Demo Account: No

Number of Assets: 10,000+

Types of Assets: Foreign Currencies, Commodities, Futures, Stocks, Indices

Trading Accounts and Conditions

Fx-globalinvest offers you the following trading accounts:

• Mini: The minimum deposit requirement is $500.
• Classic: The minimum deposit requirement is $5,000.
• Premium: The minimum deposit requirement is $20,000.

There was no information on the broker’s website about its trading conditions. However, we were able to log into their web trader and check this information. The spreads start at 3pips and the maximum leverage is at 1:200.

Fx-globalinvest – Advantages

You will not find any advantages to trading with Fx-globalinvest.

Fx-globalinvest – Disadvantages

Listed below are all the disadvantages to trading with Fx-globalinvest:

• Anonymous, Unlicensed Brokerage

There is no corporate information give about this brokerage. We do not know what company runs Fx-globalinvest. There are two phone number provided, both of which are UK-based. However, there is no address or information on where this brokerage is based. Therefore, what we have here is an anonymous broker.

The broker has also not provided any information about its regulation status. However, since it provides us with phone numbers based in the UK, we checked the online register of FCA (Financial Conduct Authority), the country’s financial regulator, to see if this broker is, in fact, regulated. Of course, it was no surprise to find that this broker is not regulated by the FCA – or any other financial authority for that matter.

It is not a good idea to deal with a broker that is not only unregulated but also anonymous. Regulated brokers are bound by the law to ensure that their clients and their funds are kept safe. Unregulated brokers are not bound by such laws, which means that your money – and even the information you have provided them about yourself –  is not safe.

Plus500

$100

Minimum Deposit

Start Trading

Read Review

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

Read Review

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 Support for MetaTrader 4 Platform

Fx-globalinvest claims on its website that it offers support for the MetaTrader 4 platform. The MetaTrader 4 software or MT4 platform as it is more popularly known, is the world’s most used trading platform. This is because it offers a range of features that make trading much easier. Its interface is user-friendly, a wide compass of analytics tools, advanced charting options, auto-trading algorithms and much more. You can customize all the tools to suit your trading strategy, which is what makes this software so popular.

If Fx-globalinvest actually had the MT4 software, it would have been a major advantage for the broker. However, when we checked the broker’s client area, we could not find a link to download this platform.

Instead, we got access to a web-trading platform that has few functions and a very poor design.

• High Spreads and Commissions

When we checked Fx-globalinvest’s trading platform, we found that the spreads were at 3 pips for the EURUSD benchmark currency pair. The market average is 0.5 pips to 1.5 pips, so a 3-pip spread is too high. This makes executing trades very expensive.

Furthermore, you will be charged a flat $6.95 fee for every equity trade you carry out over the internet.

So, even if this broker were regulated and had a functioning MT4 platform, we would still not recommend Fx-globalinvest to any trader.

• No Terms and Conditions

When we clicked on the Terms and Conditions link, we were taken to a page that was broken with links to other parts of the website; there was no legal document.

The contract is critical for a broker to provide, because it clearly outline the terms of service. If you go ahead and register with a broker that does not have such a contract in place then you leave yourself vulnerable to being taken advantage of without any recourse to legal help.

• Contradictory Minimum Deposit Information

On the broker’s FAQ section, the broker states that there is no minimum deposit requirement when you open a new account. But if you wish to get margin and options privileges, then you need to make a deposit of at least $2,000.

However, on the Account Types page, the broker clearly states that the minimum deposit requirement is $500.

But then, when you visit the Account Funding page, you are told the following:

• The minimum deposit requirement if you use a credit card is $250, and the maximum is $5,000.
• There is no minimum or maximum deposit requirement if you make a bank draft transfer.
• If you make a deposit through a wire transfer, then the minimum amount you need to put in is $10,000.

And finally, when you go to the payment area, you cannot make deposits using wire transfers or bank drafts.

All these inconsistencies clearly indicate that something is not right with this broker.

• Broker Can Hold Your Funds for Up To 60 Days

Yet another proviso that is a cause for concern is the one that states that all electronic funds will reviewed. And while your money transfers are being reviewed, the broker states that they can hold your funds for a period of up to 60 days.

No legitimate broker would ever hold your funds for any reason – especially not for such a long time.

Conclusion 

Fx-globalinvest is not a broker that you should trust. In fact, we would go so far as to say that this broker is a scammer. It is anonymous, unlicensed, does not have a real trading platform and has no legal contract in place.

We would recommend that you find another broker to contract with. It is best to choose a broker that is regulated by a strong financial authority such as the FCA or the CySEC so that you know your funds are safe – and that you will be afforded protection against losses that are due to broker issues or even bankruptcy.

Fx-globalinvest

2.4

User Experience

3.2/10

Payment Options

2.3/10

Security

2.3/10

Support

2.1/10

Reputation

2.2/10

Pros

• None

Cons

• Anonymous, Unlicensed Brokerage
• No Support for MetaTrader4 Platform
• High Spreads and Commissions
• Contradictory Minimum Deposit Information
• Broker Can Hold Your Funds for Up To 60 Days