RoyalFunds – Is it a Safe Forex Broker?
Stop! It’s a Scam! Your money is not safe if you are trading with this unregulated, off-shore broker.
RoyalFunds - DO NOT TRADE WITH THIS PROVIDER
2.4/10
$100
Minimum Depositupdated 2020
RoyalFunds claims to be a leading financial institution in Europe that deals with trades in Forex, CFDs and Binary Options. The broker offers its clients various account types as listed below:
- Standard: To be able to trade on this account type, you need to make an initial deposit of $250. This account type has a leverage of 1:200.
- Silver: For this account, you need to first deposit $10,000. You will get a leverage of 1:200.
- Gold: For the Gold account, you need to put in an initial deposit of $25,000. Your maximum allowable leverage will be 1:400.
- VIP: This account, you have to start with a deposit of $100,000, and your leverage ratio is at 1:1000.
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: https://www.royalfunds.co/
Founded: N/A
Regulations: Unregulated
Languages: English
Deposit Methods: Credit Cards, Xpate
Minimum Deposit: $250
Free Demo Account: No
Number of Assets: N/A
Types of Assets: CFDs on Stocks, Indices, Commodities, Bonds, and Cryptocurrencies. Forex
Trading Accounts and Conditions
RoyalFunds claims to be a leading financial institution in Europe that deals with trades in Forex, CFDs and Binary Options. The broker offers its clients various account types as listed below:
- Standard: To be able to trade on this account type, you need to make an initial deposit of $250. This account type has a leverage of 1:200.
- Silver: For this account, you need to first deposit $10,000. You will get a leverage of 1:200.
- Gold: For the Gold account, you need to put in an initial deposit of $25,000. Your maximum allowable leverage will be 1:400.
- VIP: This account, you have to start with a deposit of $100,000, and your leverage ratio is at 1:1000.
There is no information on the RoyalFunds website about the spread, except that the first three accounts have a fixed spread, and that the VIP account has a variable spread.
However, when we registered and entered the broker’s trading platform, we found that spread for the benchmark trading pair, the EUR-USD, to be at 3 pips. This spread is much higher than industry standards and favor brokers and not traders.
RoyalFunds – Advantages
Here are the few advantages we could find for RoyalFunds:
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Range of Trading Instruments
The broker claims to have a wide range of trading instruments.
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Extremely Generous Leverage
RoyalFunds offers its clients quite a generous leverage of 1:200 for its standard account, and a massive leverage of 1:1000 for its VIP account. While these leverage ratios are significantly higher than industry standards, it must be kept in mind that higher leverage levels come hand-in-hand with higher levels of risk.
RoyalFunds – Disadvantages
Let us look at the long list of disadvantages because of which we believe that RoyalFunds is not a safe broker to trade with:
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No Corporate Information – Anonymous Broker
The biggest red flag that marks this broker as a scammer is its corporate anonymity. On RoyalFund’s website, there is no information about the company that owns and operates this brokerage – not even a name. There is no corporate address, no phone number or any other information with which we could trace the company.
So, if you trade with RoyalFunds, you won’t know whom you’ve entrusted your money to.
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.
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.
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Not Regulated
Because of the fact that we do not even know which company is operating this brokerage, we can safely assume that RoyalFunds is not regulated by any financial authority.
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Blacklisted by CONSOB
Italy’s financial watchdog, Commissione Nazionale per le Societa e la Borsa (CONSOB), has issued a warning to traders to not use RoyalFunds as their broker. The agency has stated that RoyalFunds is not authorized to offer financial services in Italy and that its website is to be blocked in their country.
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Trading Platform
RoyalFunds claims to offer its clients 2 different trading platforms – the most popular MetaTrader 4 (MT4) software and the web-based Status Pro.
However, when we tried to use the MT 4 platform, we found out that it was a software that did not even bear the name of RoyalFunds. In fact, it was provided by a third party. It also did not offer any of the broker’s trading conditions.
The Status Pro platform was the only one that was active, and it definitely does not match up to the quality of the true MT4 platform. It is a decent enough terminal – if you’re a novice.
This platform has a few charting options, a few pending orders, a live news feed as well as a few other simple features. However, it does not really have anything that professional traders could use.
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Asking Clients to Use AnyDesk and Team Viewer
RoyalFunds also promotes the use of AnyDesk and Team Viewer on its website. These are remote access desktop tools, where you need to download the app onto your device and then share its settings with the entity that offers the software – in this case RoyalFunds.
What this means is that an untrustworthy broker such as this one will have access to your PC or other device, which also means that it will also have access to sensitive information such as online banking passwords, credit card details, your home address and so on. This can leave you vulnerable to being robbed.
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No Demo Account
The broker also does not offer its clients a demo account, which means that you have to take RoyalFunds at its word about its trading conditions. The only way you can verify whether the broker is telling the truth is by creating a live account and trading on it.
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Spreads Are Not Clear
Despite the fact that the broker has mentioned the maximum leverage for each account type, there is no clarity about the kinds of spreads RoyalFunds offers. Traders need to know about spreads to execute educated trades, and a broker not being transparent about its spreads has something to hide.
Conclusion
We went through RoyalFunds’ website and trading platform in detail, and we have concluded that this is one broker that is not trustworthy and is a scammer.
The broker is anonymous, has no license to operate and has been blacklisted by Italian authorities. These are all clear-cut warnings to all traders that if you invest with RoyalFunds, you are sure to lose your money.
If you wish to trade in FOREX and CFDs, it would be best to choose a broker that is regulated and transparent.
Do not trade with unregulated brokers that will steal your funds - try these regulated brokers:
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.
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 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.