A highly specific firm, openly engaging in deceptive practices, claimed to possess a license that doesn’t align with the actual regulations in place. Operating from the UK, they should adhere to FCA guidelines, yet they assert an IRBEM license, a non-existent entity. Our investigation into FinexTrader unearthed ties to Finex Group LTD and a web of sham trading entities associated with it.
Additionally, it’s crucial to remember and steer clear of other fraudulent trading schemes like Absolute Markets, EGMarkets, and StellarFX. Always exercise caution by thoroughly vetting the background of online trading companies before considering investments.
Unveiling the Finex Trader Broker Scam
It appears that Finex Trader is merely another incarnation of the Finex Group, having previously operated under the eXFinances and XFINANCES brands. Notably, none of these entities held licenses for trading in Forex and CFD markets. Their primary objective is to extract as much as possible from unsuspecting clients before vanishing without a trace.
The Vital Case for Trading with Licensed Brokers
Licensed brokers, particularly those holding Tier 1 licenses like FCA, BaFin, or ASIC, are mandated to provide regulators with specific information. In the event of their disappearance, regulators possess the means to pursue them. Moreover, trading with licensed brokers offers transparency regarding basic and trading terms and conditions.
To ascertain the fraudulent nature of Finex Trader, we examined the databases of mentioned Tier 1 regulators. Unsurprisingly, the broker’s name was conspicuously absent from these lists.
Heeding Red Flags and Regulator Warnings
Evaluating the legitimacy of a company is a straightforward process, as evidenced in virtually any Finex Trader review. It takes mere minutes to uncover both advantages and drawbacks. For those who remain skeptical, regulator-issued warnings against the company serve as a reliable source of validation. Notable warnings come from CONSOB (Italy) and FMA (Austria), offering further clarity.
Customer Feedback Analysis: A Portrait of Deceit
Gathering perspectives from other individuals was equally straightforward. At the time of writing, Trustpilot hosted 15 distinct reviews, primarily echoing the same sentiment – fraudulent activity. Over 60% of these reviews awarded the broker a one-star rating, unequivocally labeling Finex Trader as a scam.
Assessing Finex Trader as a Trading Platform
Their web-based trader is user-friendly, well-suited for beginners. Nevertheless, experienced traders might find its lack of features, such as social trading and EA tools, a drawback. To address this, Finex Trader provides access to the MT4 platform, facilitating social and copy trading, albeit with a caveat – vigilance against falsified trades.
Platform Flexibility: Desktop and Mobile
The desktop version is exclusively available with MT4, a prudent choice for traders seeking a reliable trading environment. Mobile users can access the web-based trading software, although the platform’s optimization for mobile devices remains uncertain. Therefore, we recommend adhering to MT4 for mobile trading, celebrated for its exceptional performance.
Diverse Financial Instruments Offered
Finex Trader extends an array of financial instruments:
- Forex: USD/JPY, EUR/NZD, GBP/CAD
- Indices: BE20, FTSE100, CAC40
- Commodities: Silver, natural gas, crude oil
- Shares: Apple, Cisco, General Motors
- Futures: US Tech 100, US30, S&P500
- Cryptocurrencies: Bitcoin, Dogecoin, Dash
- ETFs: Vanguard 500, SPDR, iShares
Despite this variety, questions linger regarding the reliability of the data. It is essential to investigate trading execution speeds and spreads before committing to these instruments.
Regions Impacted by the Finex Trader Scam
Through our investigation, we identified that Finex Trader is duping traders hailing from economically prosperous countries like Italy, Spain, Germany, the UK, and France. These regions place a premium on regulatory compliance, making the absence of a trading license a significant drawback for Finex Trader.
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