Prestige.FM – Is It a Scam?

Website URL: https://www.prestige.fm/

Founded: Not Mentioned

Regulations: Not Regulated

Languages: English, German

Deposit Methods: Bank Wire, MasterCard, Visa

Minimum Deposit: €5,000

Free Demo Account: Not Offered

Number of Assets: Unknown

Types of Assets: Currency Pairs

Trading Accounts and Conditions

Prestige.FM provides its customers with the following types of trading accounts:

• Basic: To use the Basic account, the minimum required deposit amount is €5,000.
• Advanced: For the Advanced account, the minimum deposit requirement is €25,000.
• Expert: To start trading on the Expert account, you need to make a minimum deposit of €75,000.
• Prestige: There is no information given about how much you need to first deposit to be able to trade on the Prestige account.

There is no mention of the amount of leverage offered by Prestige.FM. All we know after we registered for an account with this broker is that there is a fixed spread of 3.6 pips offered for trading on its platform.

Prestige.FM – Advantages

Despite trying out level best, we could not find anything that could be advantageous for you to trade with Prestige.FM.

Prestige.FM – Disadvantages

We need to tell you that it would extremely disadvantageous to trade with this broker. Here are the reasons why we feel this way:

• Anonymous Broker

There is no information on Prestige.FM’s website about its corporate identity. There is no company name provided, so we don’t know which entity runs this brokerage or even where that company is headquartered. All we have is a number that has a UK country code, but that doesn’t mean much since it is possible to get a phone number with any country code today.

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• Not Regulated

We obviously could not track the company that owns and operates Prestige.FM, so we decided the check the UK’s FCA’s (Financial Conduct Authority’s) online registry to see if there was entity by the name of Prestige.FM in its list of regulated brokerages.

As expected, this broker is regulated in any way.

• Blacklisted by FMA

While we were searching for Prestige.FM’s regulatory status, we came across a warning by the FMA (Financial Market Authority), Austria’s financial regulator.

According to the public warning, the FMA has blacklisted this broker for offering financial services illegally in its jurisdiction. The authority has also received numerous complaints from its citizens, who state that they have been scammed by this broker.

From this warning, we also found out that Prestige.FM’s domain is actually owned and operated by a company Euro Wealth OÜ, which is based out of Estonia. This company was earlier called AllPro Tech OÜ.

Euro Wealth also owns another domain and brokerage called Prestige Financial Markets – which is also banned by the FMA.

After we found out that Prestige.FM’s parent company was based in Estonia, we also checked the country’s regulator, the FSA (Financial Supervision and Resolution Authority) online register to see if the broker was regulated by at least some authority. We were to be disappointed again. This broker is not even regulated by the FSA.

• Simplistic Trading Platform

The first thing we noticed about Prestige.FM’s platform is that it is a simplistic web-based trading interface that only has a basic dashboard, and no clear trading conditions.

This platform is completely unimpressive, offering none of the advanced trading features that you can find in the MT4 trading platform, which is the world’s most popular trading software. With the MT4 interface, traders get to take advantage of the many market indicators, charting options and Expert Advisors (EAs – automatic trading robots) to make their trades more easily.

Prestige.FM’s web-based trading platform doesn’t offer any of these benefits.

• No Demo Account

Prestige.FM offers no demo account to its customers, which we consider a disadvantage. It is important for brokers to allow customers to see a broker’s trading conditions before they invest real money with them.

Not allowing customers to practice on a demo account is the norm with brokers that are shady or outright scammers.

• Very High Spreads

When we finally registered for an account and accessed Prestige.FM’s trading platform, we found out that this broker offers its customers a fixed spread of 3.6 pips.

This is significantly higher than industry averages, which range from 1 pip to 1.5 pips. The reason why higher spreads are a disadvantage to traders is because it means that brokers take a higher cut from your earnings.

• Excessively High Minimum Deposit Requirement

Prestige.FM asks customers to make a minimum deposit of €5,000 before they can start using its (extremely unimpressive) trading platform. This is a ridiculous sum of money, since the industry average stands within a range of $100 to $250.

To us, for a broker to ask its customers to invest so much money with them can only mean one thing – they are scammers.

• Offering Multi-Level Marketing Program (MLM)

Another very troubling discovery we made about this broker is that Prestige.FM offers a Multi-Level Marketing (MLM) program. This is a very shady practice that no legitimate broker uses. In an MLM program, the broker asks customers to invest money with them before any potential profits can be made.

This leads us to conclude that Prestige.FM is a market maker of the worst kind, and possibly a Ponzi scheme to boot. So, if you invest with this broker, you will be exposed to the risk of substantial losses.

Conclusion 

After completing our investigation into Prestige.FM, we can let our readers know that this broker is not safe and that it would be in your best interests to stay far away from them.

Not only have they kept themselves purposely anonymous, but they are also offering illegal financial services. There are multiple complaints against them from traders in Austria – proof that this broker is a scammer. It would be best that you choose a broker that is regulated and above-board rather than Prestige.FM.

Prestige.FM

2.5

User Experience

3.3/10

Payment Options

2.3/10

Security

2.5/10

Support

2.2/10

Reputation

2.4/10

Cons

• Anonymous Broker
• Blacklisted by FMA
• Simplistic Trading Platform
• Very High Spreads
• Excessively High Minimum Deposit Requirements