Often referred to as Trade Fred, the association with the BetFred Group raises significant concerns, especially when assessing its regulatory status. Despite TradeFred’s claims of having multiple regulatory affiliations, a cursory search yields warnings rather than endorsements.
Of utmost concern is the fact that their supervisory authority lies with the VFSC (Vanuatu Financial Services Commission), an offshore regulatory entity.
In this article, we’ve uncovered some intriguing recent developments regarding the widely recognized broker, Trade Fred, and certain revelations may indeed raise alarm bells.
Regulatory Standing and Security Measures
To be fair, we harbor no biases against the VFSC. However, it’s worth noting that the VFSC isn’t widely regarded as a prestigious regulatory body for overseeing the types of financial activities offered by this broker.
TradeFred, on the other hand, asserts that it has made improvements in this area. Recently, it transitioned from VFSC regulation to CySEC regulation, and it proudly claims to adhere to MiFID standards. This, in theory, allows it to provide investment services across European Economic Area countries. Regrettably, this assertion appears to be dubious, as numerous past clients have alleged that TradeFred engages in deceptive practices, including false claims about its regulatory compliance and other violations against its clientele.
Our research also reveals that the entity operating behind TradeFred is MagicPath Capital Ltd, conducting its business in Europe from official offices located in the UK.
In Which Countries Does This Broker Operate?
TradeFred asserts that it possesses the regulatory capacity to conduct trading operations worldwide. However, it appears that this broker has transitioned to an unregulated status while attempting to present its past regulations as if TradeFred still maintains them. Such actions are widely regarded as highly deceptive and fraudulent.
What Assets Can You Trade Through TradeFred?
The broker primarily focuses its services on FX trading and dealing with CFDs, offering a reasonably diverse range of assets. In the FX category alone, TradeFred provides access to fifty currency pairs.
However, it’s worth noting that the broker’s FX exchange performance appears to be less than stellar. While TradeFred’s official website advertises highly competitive spreads, the actual spreads offered by TradeFred are fixed. The maximum available leverage for FX pairs stands at one to five-hundred.
TradeFred’s stocks sector promotes “fantastic execution,” along with fair spreads and comprehensive market coverage. Nonetheless, the highest leverage offered in this category is a modest one to ten.
In the Indices section, our TradeFred review reveals coverage of markets from six different regions, accompanied by competitive spreads. However, the maximum leverage available in this segment falls below the industry norm, at one to twenty-five.
TradeFred extends its offerings to include precious metals like Silver, Platinum, and Gold, assuring users of access to these commodities with favorable spreads and a maximum leverage of one to twenty-five.
Conclusion
In conclusion, TradeFred offers a range of trading options primarily focused on FX and CFDs, encompassing various assets, including currency pairs, stocks, indices, and precious metals. However, it’s important to scrutinize the broker’s performance closely.
While TradeFred advertises competitive spreads, it’s essential to note that these spreads are fixed, and the broker’s leverage offerings vary across different asset categories, often falling below industry standards.
Potential investors should exercise caution and thoroughly research TradeFred’s performance and regulatory status before engaging in trading activities with this broker. As always, it’s advisable to stay informed and make well-informed decisions when navigating the world of online trading.
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