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DCFxbroker Review

DCFxbroker Review by professional Forex trading experts the “” FX trading team, Finding out everything you need to know about the broker is in this DCFxbroker Review.

DCFxbroker Review

DCFxbroker is a forex broker, offering the account types listed above. We have a lot of reservations about this broker, which we will cover below (including the trading conditions).

DCFxbroker Advantages

Reasonable minimum deposit – DCFxbroker requires a mere $100 as a minimum investment, which is pretty standard in recent times. However this is not a major factor, as such levels are also required by industry leaders as HYCM and easyMarkets. On the other hand, if you wish to start out with an even smaller amount, other companies, like IG, accept clients regardless of the deposit.

Relatively nice leverage ratios – The leverage ratios provided by DCFxbroker are fairly standard. Some may mistakenly consider them to be low, as other brokers, like XM offer much greater levels. That being said, this is a factor which only allows one to take bigger risks – something which isn’t always beneficial.

MetaTrader4 available – DCFxbroker offers trading via the most popular currency trading platform. This is a solid choice, which will suffice the needs of most traders. The platform has desktop, mobile and web versions, but more importantly offers top-notch charting and is very light on the hardware.

DCFxbroker Disadvantages

Unregulated company – The main and potentially disqualifying flaw of DCFxbroker is the fact they are not regulated. This carries a significant risk for your investment.

Little info about the company – There is a general lack of information about the team behind this broker. The only notable reference which we found was the fact they are based in the “Abu Dhabi Airport Road business centre”.

Methods of payment not mentioned – Information on the ways one can deposit and (potentially) withdraw funds to/from DCFxbroker is not given by the company. Most brokers accept Bank Transfers, but instant payment options such as Credit/Debit Cards and Skrill have also gained popularity.

Spreads on paper and platform don’t match – the costs of trading provided by this broker, look almost good – spreads starting from 1.6 pips are nothing special, but also nothing terrible. However when testing their trading platform we saw a much worse situation – the EUR/USD spread was hovering around 2.3-2.4 pips. We are not certain what one would get when opening an account with this broker.

Technically speaking, the rates offered at the platform fill the criteria of being above 1.6 pips, as stated by DCFxbroker, but this is simply a misleading practice.

DCFxbroker is an unregulated forex broker, which provides little information about itself. This is much more important than anything else they have to offer. The situation with the spreads mismatch is also an issue, but still, far less important than the main red flag.

For those of you who are not that familiar with the financial services sector, we will briefly underline the importance of regulation. The most brutally honest way to put it is that you may not ever see your money again, if you were to invest with this broker. While the company may actually be honest and offer a decent service, but there is no way to be sure, without it being overseen by an appropriate agency.

Scammers, who claim to offer forex trading are not as rare as you would imagine. This is why most countries have regulatory bodies, tasked with monitoring the industry.

The first such watchdog which pops to mind is UK’s Financial Conduct Authority (FCA). They impose a lot of rules upon the brokers, registered with them. We will not bore you with all the details, but briefly mention the two rules, which guarantee the security of your funds.

All client funds are held in segregated accounts. This is a special banking mechanism, which prevents brokers from simply taking your money and offering “parper” trading. On top of that all companies are forced to participate in the Financial Services Compensation Scheme (FSCS). In essence this is an insurance-like pool. Brokers make periodic contributions to the Scheme, which are kept as a guarantee against one of the brokers becoming bankrupt. In case your FCA-regulated broker goes under, you could claim compensation equal to your account value, but no more than £50,000.

The Broker is not a safe forex broker, Instead you can use Plus500, XM, eToro, Fxpro or AvaTrade forex brokers.

DCFxbroker Review Conclusion

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