Leverage Fx Review – The Disturbing Facts about the Broker

Leverage Fx Review

All your excitement about starting online trading is going to go out the window once you realize the sheer number of brokers you have to sort through to choose one. No, it is not as simple as just picking a brokerage at random and opening your account.

A lot of people think it is a good way to do things and if it turns out to be the wrong fit, you can just go with a different one. But, what if it turns out to be a scam? Indeed, this is a possibility because there are lots of brokerages that are not what they pretend to be, as this Leverage Fx review will ultimately reveal.

If you were not already aware of the existence of these scammers, it is time to get to know them because many of the companies offering their services in the financial markets are fraudulent.

If you do not know how they operate, there is a strong possibility that you could end up picking a scam one and they can walk away with your money before you realize it. Such a scenario is obviously devastating and you want to avoid it at all costs.

No, this does not mean that all brokerages are bad; there are some exceptional ones that can give you the trading experience you want, but others try to pretend to be the same, only to con you out of your money. A little caution can help you go a long way and this is what you need to remember.

Your goal is to make profits and keep losses to a minimum and the right broker can help you accomplish this. You will find that Leverage Fx promises to be that brokerage, but unfortunately it cannot be.

Even though there does not seem to be anything wrong with Leverage Fx on the surface, you will discover some disturbing facts about the broker when you go into the details. What are these facts? You can go over some good ones below:

No regulation

If you are looking for a professional and reliable broker, you should look for one that has a license to provide its services. The security, quality and transparency that a regulated broker can offer you is second to none and no matter how lucrative the offerings of an unlicensed entity may be, you should not forget the risks.

Licensed and regulated brokerages are a great deal more trustworthy because you can hold them accountable and the same cannot be done in the case of unlicensed and unregulated ones.

You should check the regulatory status of Leverage Fx and once you do that, you will discover that it is registered in Saint Vincent and the Grenadines.

Any trader worth their salt will be aware that this is a scam haven because this offshore jurisdiction has absolutely no laws and rules that apply to forex brokers. The authorities of the island have stated it outright that they play no part in regulation of the forex industry.

This means the companies that are based there are not answerable to anyone and it includes Leverage Fx as well. It shows that the brokerage has absolutely no credibility.

Moreover, when you go over its details, you will also find that it has fake phone numbers on its website and this is further proof that the brokerage is not one you can rely on in any scenario.

Misleading trading platform

How do online brokers allow their clients to trade in the financial market? They provide the trading platform that has the technology to connect to the markets and to ensure trade execution.

The platform also boasts the trading tools that are required during the process to make the right decisions that can lead to profits. But, you should know that the platform available to you is at the discretion of the broker, so you do not have the same experience with all.

When it comes to Leverage Fx, you will find the MetaTrader 5 (MT5) trading platform available and this is a huge surprise. After all, the MT5 is an award-winning and leading trading platform in the market and you would not expect a shady brokerage like Leverage Fx to offer it to you.

So, what is the catch? As it turns out, the MT5 distribution that the broker is offering does not belong to it at all.

Instead, Leverage Fx has simply taken the default distribution available on the developer’s website of the MT5 and nothing else. Essentially, it means that it will have no bearing on your account with the brokerage.

Poor trading conditions

The trading conditions that you will come across on Leverage Fx are also quite disturbing because they make you realize that the brokerage is not competitive at all.

First things first, the spreads that you are being offered start at 2 pips and this is at least twice more than what other brokers charge and it means that you would have to bear a higher cost.

Next, you have to check the leverage and even though Leverage Fx really does offer attractive leverage ratios, it is not a good thing. The ratios go as high as 1:200, which is highly dangerous for retail traders. Most regulatory authorities have a cap on the leverage, which is not higher than 1:50.

No reliable payment method

You need to check the payment methods offered by a brokerage before signing up to ensure they are secure and a chargeback is possible.

A look at the Leverage Fx website will have you believe that the brokerage supports payments via Neteller, Skrill, credit cards and other options. This is reassuring because it means that you will be able to file for a chargeback if you want.

However, it turns out that these payment options are not available at Leverage Fx at all. It asks for some kind of voucher, which is extremely shady.

Ending Thoughts

Taking all these disturbing facts about Leverage Fx into account, you can determine that this brokerage does not fall into the reliable category.