StocksCM – Can You Trust Them?

Website URL: www.stockscm.com

Founded: 2019

Regulations: Unregulated

Languages: English, German

Deposit Methods: Credit/Debit Card, Deposit by Phone, Crypto-Wallet

Minimum Deposit: $250

Free Demo Account: No

Number of Assets: N/A

Types of Assets: Stocks, Indices, Currencies, Commodities, Cryptocurrencies

Trading Accounts and Conditions

StocksCM offers its clients the following types of accounts to trade:

• Silver: The minimum you are to deposit to use this account is $250. The maximum leverage you get is 1:100.
• Gold: The initial deposit for this account needs to be a minimum of $10,000. The maximum leverage is 1:200.
• Platinum: You need to make an initial deposit of $50,000 to use this account. The maximum leverage is 1:300.
• VIP: You can only open a VIP account if you are invited to do so. There is no minimum deposit information for this account type, but the maximum leverage is 1:400.

The broker does not give any information on its spreads, and the only thing StocksCM says about this trading condition is that their spreads are lucrative. However, when we accessed this broker’s trading platform, we found that the spreads for the EURUSD pair stood at 7.2 pips.

StocksCM – Advantages

There are no advantages you will get if you trade with StocksCM.

StocksCM – Disadvantages

Given below are the main disadvantages of trading with StocksCM:

• Unlicensed Broker Operating Illegally

StocksCM claims to be owned by Zolton Ltd, a company that is registered in St. Vincent and the Grenadines (SVG). However, when you read through the broker’s Bonus policy, they state that they follow the financial laws of Estonia.

Being licensed in SVG doesn’t mean anything since the country’s government does not have a financial regulator for forex and CFD brokers. Therefore, if a broker is registered on an offshore location such as this, then it needs to be licensed to operate by the financial authority of the country in which it offers its services.

Since this broker mentioned Estonia (which is a part of the European Union), we checked the country’s financial regulator, the Finantsinspektsioonacts’ online register. We did not find StocksCM listed as there, which means that this broker is not regulated by that country’s financial authority.

This broker has not given any other regulatory information, therefore we can conclude that it is not regulated at all and is operating illegally.

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• Sharing Your Personal Information

In its terms and conditions, StocksCM states that it can use your personal data for advertising or for protecting itself from liabilities. The broker also states that it will share your data with third parties it is associated with. However, it doesn’t mention who these third parties are, where they are located or even what your data will be used for.

This is a huge red flag since this is something only a scammer would do. No legitimate company would share your personal data with a third party.

• Weak Trading Platform

StocksCM does not offer its clients the use of a professional trading platform such as the MetaTrader 4 software. This is the world’s best and most popular software because it offers its users a range of features (charting and market analysis tools, automatic trading, etc.) that make trading easier and more efficient.

What you get with this broker instead is a proprietary trading platform with few features. This is a platform that only novice traders would be fooled by.

• Worrisome Payment Policies

There are a number of issues we have with this broker’s payment policies.

• According to this broker’s Withdrawal, Refund and Cancellation terms, all your deposits are non-refundable! Which is another way of saying you will not be allowed to withdraw your funds.
• The same policy also states that you will have to pay a minimum of $30 in fees to withdraw your money.
• Withdrawal processing will take as much as 10 working days. This is time span is ridiculous considering that technology has advanced to the degree that legitimate brokers can carry out the same process in less than 24 hours.

• Unfair Fees

There are a number of fees and charges this broker applies which we consider unfair:

• Dormancy fees: If your account has been inactive for more than 30 days, then you will be charged a fee of $99 per month!
• Default fees: If you violate the terms and conditions set by this broker in any way, you will be charged a Default fee. But the broker doesn’t mention what this fee is.
• Third party charges: If there are any fees incurred then you will have to bear the cost. This is ridiculous, since these monies are actually supposed to be paid by the broker.

• Ridiculously High Spreads

We have heard of high spreads of 2.5 pips and 3 pips. But StocksCM has a spread of 7 pips. This kind of a spread is just outrageous, since it means that you will be paying an extremely heavy price for trading with them. The average spreads in the market is between 0.5 pips and 1.5 pips.

• Unfair Bonus Withdrawal Conditions

StocksCM states that the only time you can withdraw your funds if you have accepted a bonus from them is when you have traded at least 50,000 times the bonus amount!

This is an impossible target for the majority of traders. And this means that most traders will never be able to withdraw their funds!

Furthermore, if you do manage to meet that turnover target, then you will only be allowed to withdraw 20% of the bonus and deposit amount. If you withdraw more, then your bonus will be cancelled.

Conclusion 

Everything about StocksCM tells us that you cannot trust this broker. It is operating illegally, the brokerage shares your personal information with third parties, has a poor trading platform, terrible trading conditions and very unfair terms of service.

We strongly recommend to all traders that they avoid dealing with StocksCM.

StocksCM

2.6

User Experience

3.5/10

Payment Options

2.4/10

Security

2.3/10

Support

2.5/10

Reputation

2.2/10

Pros

• None

Cons

• Unlicensed Broker Operating Illegally
• Share Your Personal Information
• Weak Trading Platform
• Worrisome Payment Policies
• Unfair Fees