GFX Securities – Is Your Money Safe?

| Publish date: 02/13/2020 (Last updated: March 24, 2020 02:39 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.

GFX Securities - DO NOT TRADE WITH THIS PROVIDER
2.6/10
$100
Minimum Deposit
X

updated 2020

GFX Securities offers its clients 3 different account types for the purpose of Forex and CFD trading:

  • Basic: To open a basic account, traders need to deposit a minimum of $1,000 initially.
  • Elite: To open an Elite account with GFX Securities, you need to first make an initial deposit of $10,000.
  • ECN: Top open an ECN account with this broker, you need to first make a deposit of $5,000.

The maximum leverage offered by GFX Securities to its clients is 1:500, but all we know about the spread is that it is a floating spread. With the ECN account, you also get a commission on your trades.

Try these regulated brokers if you want to start trading cryptocurrencies

Plus500 Review - Regulated broker
Europe's #1 CFD Trading Platform

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

Website URL: https://www.gfxsecurities.com/

Founded: 2018

Regulations: No Regulation

Languages: English

Deposit Methods: Skrill, Neteller, MasterCard, Bank Wire, Visa

Minimum Deposit: $1,000

Free Demo Account: Available

Number of Assets: Not Known

Types of Assets: CFDs in Commodities, Stocks, Indices, Precious Metals / Forex Pairs

Trading Accounts and Conditions

GFX Securities offers its clients 3 different account types for the purpose of Forex and CFD trading:

  • Basic: To open a basic account, traders need to deposit a minimum of $1,000 initially.
  • Elite: To open an Elite account with GFX Securities, you need to first make an initial deposit of $10,000.
  • ECN: Top open an ECN account with this broker, you need to first make a deposit of $5,000.

The maximum leverage offered by GFX Securities to its clients is 1:500, but all we know about the spread is that it is a floating spread. With the ECN account, you also get a commission on your trades.

GFX Securities – Advantages

Here is what is good about trading with GFX Securities:

  • MT5 Trading Platform Offered

The biggest advantage of using GFX Securities as your forex broker is that you get to use the MetaTrader 5 platform to execute your trades.

This is the latest version of the MetaTrader trading software, and it is pretty similar to the older MT4 platform – top-of-the line charting options, automated trading, and other analytics tools to make trading easier. The biggest difference is that with the MT5 platform, you can trade in multiple markets from a single account.

  • Range of Assets for Trading

Another positive about trading with this broker is that you can choose from a wide range of assets, which can help diversify your portfolio. Trading instruments include currencies, as well as CFDs on a large number of stocks, multiple indices, a range of precious metals, and commodities.

  • High Leverage Levels Offered

GFX Securities offers its customers a leverage level of as much as 1:500, which is high by any standards. This means that traders who trade at all levels of risk will be comfortable trading with this broker.

Having said that, high leverage levels should be treated with caution, since they also come hand-in-hand with high levels of risk. This is reason why various regulators around the world have decided to put a cap on the amount of leverage a broker can offer.

GFX Securities – Disadvantages

The disadvantages of trading with GFX Securities far outweigh the advantages. Read on to find out more:

  • Not Regulated by Any Financial Authority

This broker is owned as well as operated by GilgameshFX Limited (GFX), which operates from Bahrain, which is located in the Persian Gulf. The company claims to be registered in the United Arab Emirates.

The first red flat we noticed was that nowhere on GFX Securities’ website did we find any information about the broker’s registration status or details. So, we decided to check with the online registry of the Bank of United Arab Emirates, the financial regulator in the UAE.

When we checked the registry, we found that this broker was not licensed at all.

Plus500
$100
Minimum Deposit

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.

 

  • Negative Reviews by Users

While searching online about GFX Securities’ regulation status, we found a large number of negative reviews about this broker from traders who had used its services.

Clients of the broker are complaining that they are unable to withdraw their funds, which is quite a serious issue.

With so many public client complaints, it leads us to suspect that traders’ funds are not safe with this broker.

  • Unattractive Demo Spreads

When we signed into the demo account, we found out that the spreads were not that attractive. We found the spread for the benchmark EURUSD currency pair was standing at 1.9 pips, which is higher than the industry average range of 1 pip to 1.5 pips.

The higher the spread, the more the broker makes, and the more money the trader loses. So, when a broker has a high spread, we would advise caution in your dealing with them.

  • High Minimum Deposit Requirement

Another huge negative with trading with GFX Securities is the brokerage’s high minimum deposit requirement. On an average, brokers in the forex industry require their customers to make an initial deposit of around $100 – $250. There are many who charge even less than that.

However, GFX Securities is asking its customers to deposit $1,000! This is more than 4 times the average.

  • Lies About Winning Awards

While this may seem a small matter, many unsuspecting and gullible traders can get impressed by seeing how many awards a broker has won. And GFX Securities uses this weakness to attract more customers.

It claims to be an award-winning broker, that it has won multiple awards in 2017. The thing is, this website wasn’t registered until 2019, so it wouldn’t have been possible for this broker to win awards when it wasn’t even operational.

However, just to make sure, we looked up all the awards this broker supposedly won. Legitimate awards always have the list of awardees on their websites. When we checked these lists, we found – obviously – no mention of either GFX Securities or its parent company.

Conclusion 

If you are planning to trade with GFX Securities, we would recommend that you do not. This broker has kept itself as anonymous as possible, has no legitimate license to operate, and has outright lied about numerous facts on its website.

If you are still not convinced, we suggest you also take a look at the user reviews about this broker. There are serious complaints about traders not being able to get their money back from GFX Securities.

If you really wish to trade online, then we recommend you find a broker that is legitimate, transparent and regulated.

GFX Securities

2.6

User Experience

3.2/10

Payment Options

2.5/10

Security

2.3/10

Support

2.4/10

Reputation

2.5/10

Pros

  • MT5 Platform Offered
  • Range of Assets for Trading
  • High Leverage Levels Offered

Cons

  • Not Regulated by Any Financial Authority
  • Negative Reviews by Users
  • Unattractive Demo Spreads
  • High Minimum Deposit Requirement
  • Lies About Winning Awards

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

Plus500
$100
Minimum Deposit

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. 66% 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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