Samtrade FX Broker Review 2022 – Stay Away From This Anonymous Forex Broker

Samtrade FX Review

Samtrade FX is an international forex broker offering a selection of over 30 forex pairs and some CFDs with he MetaTrader4 platform and leverage of up to 200:1. The broker recently acquired an FCA license as well as one from ASIC, the Australian overseer. However, the broker has along way to go. There are many aspects of its website and delivery of services that it needs to improve on. With these two new regulation, Samtrade FX will undoubtedly do so; it’s just a matter of time.

The website can easily be changed to its branching websites, where all the necessary precautions are taken, or about to be taken. in order to comply with the newly acquired licenses.

Trading instruments include some exotic currencies such as the Singapore Dollar, Hong Kong Dollar and Chinese Yuan, as well as CFDs on gold, silver, platinum, oil, indices and bitcoin. Major FX pairs are also present, acting as the main trading assets.

As for the 1:200 leverage, we have to remind users that ESMA has issued a decree, which limits all retail leverage in the EU to 1:30.

As tested with a demo account, the EURUSD reference spread fluctuated around 1.8 pips, which is slightly higher than the levels, traders normally expect with a standard account. We assume that if a real account is opened, the broker provides the user with a lower spread than this.

Samtrade FX regulation & safety of funds

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The newly reformed Samtrade FX is a trading name of Samtrade UK International Limited. The company has newly regulated branches in the following locations: Samtrade UK International Limited regulated by the FCA and Samtrade Pty Ltd in Australia licensed by ASIC.

Being regulated by the FCA is quite an achievement, for this agency is by far one of the top license issuers in the world. As part of the FCA, Samtrade FX must abide by a very strict set of guidelines. For instance, it must hold a minimum capital requirement of at least €730 000 in net tangible assets for the reason of proving that they are financially stable. Next, the broker must hold the clients’ funds away from they own money in segregated bank accounts. Furthermore, and crucially, users whose brokers are licensed under the FCA are insured with up to £50 000, a sum that can be reimbursed should the broker fall into insolvency.

ASIC is similar in some ways to the FCA, however its biggest shortcoming is that there is not compensation fund. ASIC brokers must hold a capital requirements of AUD 1 million, and must also keep their users’ money is segregated accounts. Of course we are not mentioning that hundreds of other minutiae requirements that ASIC regulated brokers must follow, otherwise they will get penalized. Furthermore, there is no limit on leverages in Australia, and we have seen before ASIC overseen brokers offering leverages as high as 1:500, which can be risky.

Samtrade FX is also incorporated in Saint Vincent and the Grenadines – an offshore location that has no financial regulator which is why the leverage offered at Samtrade FX goes at the 1:200 maximum.

However, as of updating this review, we found some difficulties with completely understanding the regulatory information in full. There are far too many confusing elements to consider. Yes, Samtrade FX is regulated by the aforementioned watchdogs, and we assume that it still is updating its website to fit the requirements of these agencies. Yet at present, there is still a long way to go.

One of the biggest elements on which they have to work on are the legal documents, which at this time are still very reminiscent of offshore and shady brokers; they are short and uninformative.

How Online Trading Scams Work?

Online trading scams usually start with an overpromising advertisement showing the life you could have if you started investing. Combined with other news you hear every day, such as Bitcoin price or the price of Tesla shares, you start believing that your dreams are just around the corner. Unfortunately, many companies that advertise themselves are nothing but bogus operations, such as Samtrade FX, established with an utmost goal of taking as much money as possible and disappearing. It’s not uncommon for these companies to suddenly close their website or relocate to another offshore country. Some of them keep existing with another domain, pretending to be not related to a similar-named scam.

Once you fall for the story and invest your money, you will be assigned with an account manager. He will do anything in his power to help you make money. Of course, that money will be only virtual and only on your screen. You will be persuaded to invest more because there’s always a better market opportunity.

Suppose you decide you cannot afford further investment and want your funds back. You will discover that your account manager is no longer available and your account is no longer accessible.

It’s a common scam offshore brokers are conducting. Report anything suspicious and never let scammers run with your funds!

Got Scammed by Samtrade FX?

There’s a chance you have been scammed by Samtrade FX or any other illicit brokerage. Yes, it happens, and it’s not the end. There’s always a solution! You need to file a dispute and request a chargeback.

A chargeback is a way for your bank to reverse the transaction if you can prove you have been a victim of an online scam. Since Samtrade FX is offshore, such a process requires knowing international processors and international banks. For assistance with this matter, contact professionals.

With years of experience, we’re here to assist you and help you get a positive dispute resolution. Don’t hesitate, get in touch now and let’s get back to what’s rightfully yours!

Samtrade FX Broker Review 2022 – Stay Away From This Anonymous Forex Broker (Video):