The financial markets are known to offer money making opportunities that may be very lucrative, but you have to remember that it is not easy to accomplish your goal. Yes, barriers to entry do not exist and initiating the process is simple enough, but you have to have certain skills and knowledge to make it work. Most importantly, you also need a broker you can trust to provide you with the right services in order to make the profits you are after. The latter has become quite a challenge because of the rampant scam brokers in the market. You can check out this Bankwisse review to find out how these scams operate.
When you take a look at the Bankwisse website, you will realize that it has been advertised as a one-stop solution for everyone’s trading needs. Wouldn’t you jump at the chance of trading with such a broker? Most people would certainly do that because they are eager to begin and when the website seems suitable enough and the offerings are appealing, you don’t want to delay it any more. However, the lack of due diligence can come back to haunt you once you are scammed out of your hard-earned money.
You have to remember that no scam broker will actually come out and accept that they are scams. It is up to you to take necessary precautions and vet a broker thoroughly before you make a decision about them. Sure, it might take you a little bit of time and some effort, but the fact that you can save yourself from any serious consequences makes it worth it. Doing this in the case of Bankwisse also pays off, as you will find out in the following review:
Licensing and regulation
In order to determine whether you should trust a broker or not, you should take their license and regulation into account. After all, a broker that has a license to operate and is regulated by reputable financial authorities will automatically garner your trust. The authority will depend on where the broker is based, which means you need to know where they operate from. When you want to find this out about Bankwisse, you will encounter your first hurdle.
This is because you will come to know that there is a major conflict in this regard. According to Bankwisse, it has its operations in the United States. Yet, when you go through their Terms and Conditions, you will find that they are governed by the laws of the Marshall Islands. Which one should you believe? Rather than just accepting the broker’s words, it is best for you to check for your own peace of mind.
To be able to operate from the US, Bankwisse would need to be regulated by the Commodity Futures Trading Commission (CFTC) and would also have to be a member of the National Futures Association (NFA). They have some tough prerequisites that have to be met for a broker to be licensed and regulated. You can check their online registers and not find Bankwisse listed anywhere. In addition, the broker has not given any corporate background on their website, so we don’t even know exactly who is operating the platform.
Essentially, the Bankwisse website is anonymous and this is certainly not a good sign. Moreover, if it is based in the Marshall Islands, it is another problem because this is an offshore jurisdiction and is known for being a favorite for scammers because they don’t have any such regulations prohibiting their activities.
Terms and conditions
Checking the Terms and Conditions of a broker is of the utmost importance because they will define the relationship you will have with them in the long run. When you check out the Terms and Conditions of Bankwisse, you will have some cause for concern. All you have to do is go through their Bonus Policy and their intentions will become clear very quickly.
First off, you should know that trading bonuses have been banned in most regulated markets because brokers were using them to exploit their clients. Scam brokers use them for this exact purpose; trading bonuses come with strings attached. As per Bankwisse, you have to have a specific trading volume to be able to make withdrawals after your account has been credited with a bonus. The requirement is such that even the most professional brokers cannot meet, which means you will essentially not be able to withdraw at all.
Perhaps, the most crucial offering of a broker is the trading platform because it is the software used for trading purposes. Your performance is dependent on the platform to a great extent, so it is understandable that you want access to the best i.e. the MetaTrader platforms. Yet, Bankwisse has added a web trading platform to its offerings, which has become the norm for most scam brokers out there. The problem with this platform is that it is rather primitive and doesn’t really offer much in terms of tools and features you can get from the MetaTrader platforms.
Spreads and Leverage
The trading conditions of a broker will directly affect your profits, so knowing what you are provided is a must. When you check the spreads Bankwisse is offering, you will be in for a rude awakening. They have a spread of 3 pips for the EUR/USD pair, which is almost twice the spread most brokers offer.
Along with spreads, you have to know how much leverage is available and Bankwisse offers 1:200 to its clients. While some may find this attractive, you have to remember that it is further confirmation that the company is not regulated because most authorities do not permit brokers to offer such high leverage ratios due to the risk. The same is applicable in the US as well, where Bankwisse claims to be based.
Once you have done your due diligence and carefully checked Bankwisse’s offerings, you can see that it is not a broker you can or should trust with anything.