FXC Markets Review
FXC Markets is a forex broker, which offers multiple account types to its clients. That being said there is no change in the trading conditions, at least from the company’s website. One must contact an account manger in order to get a clear picture of the options. In our experience, this is a practice used by companies, which later turn out to be not exactly trustworthy. Shariah-compliant (swap-free accounts are also offered, with the minimum deposit being $2,500.
The Company. Security of Funds
FXC Markets is a brand, allegedly owned by CRLINK LIMITED, a UK based non-financially specific company. That being the case, it is not under the oversight of the local financial regulator – the Financial Conduct Authority (FCA),
As we reiterate in most of our reviews, a broker’s license is what gives it credibility. There are different legal systems around the globe, but most countries have a specific government agency for regulating the financial services sector. These watchdogs vary in stringency, with most off-shore jurisdictions offering loose conditions, while more reputable bodies, such as the aforementioned FCA being more diligent. For instance, one of the rules enforced by the British regulator is the mandatory implementation of segregated accounts. This forbids the broker to use the funds in clients accounts for its own purposes. Another key ruling is the participation in the Financial Services Compensation Scheme (FSCS), an insurance-like mechanism, by which companies part with some of their profits, in order to create a common pool. This is later used to cover clients’ investments, in the off-chance one of these brokers goes bankrupt. With the UK’s scheme, all accounts are insured up to £ 50,000.
FXC Markets is not under the oversight of the FCA, or any other agency. On the other hand Italy’s CONSOB issued a warning against the company in the summer of 2017. FXC Markets states on their website they do not offer their services in the European Economic Area, with Italy being specifically mentioned. This is a rather strange situation, which may have occurred after the warning was issued. Most forex brokers do not offer trading to US clients, as the regulatory environment there is very specific. That being said, even shady brokers often target European customers.
Minimum Initial Deposit
FXC Markets has set its minimum initial deposit at $1000. This is quite highfor the current forex trading environment. Some brokers have set absurdly low minimum entry levels, in attempt to attract new less experienced traders.For instance, FCA-ragulated broker and spread-betting provider IG doens’t even have a minimum requirement.
Keep in mind this should not be an important factor, when comparing forex brokers, unless you are a new trader. There is nothing wrong with opening a small account when you are still learning. Veteran traders would not bother with small accounts, but there is no shame in doing so, until you gain the confidence to move up
Average spreads & Commissions
Spreads at FXC Markets are not disclosed on the company’s website. That being the case, our testing showed fixed spreads on all forex pairs, with the lowest level being 3 pips on EUR/USD. This is not competitive, with the current offers by other fixed-spread brokers. For instance, if you deposit more than $250 with easyMarkets, you will get a 1 pip spread on this pair.
While fixed spreads offer a level of predictability, most brokers nowadays offer floating spreads. You can compare the precise conditions, given by some of the world’s leading brokers here.
The maximum leverage offered by FXC Markets is 1:400. This is quite high, but you may not be surprised by it, if you follow the current state of the industry.
High leverage ratios are often a trap for less experienced traders. Some industry analysts state they are the number one reason, why most traders fail. Utilizing a 1:400 leverage ratio completely (i.e. not having any funds free for trading) is rally dangerous for your account. If you do this often, you may be confusing trading with gambling.
FXC Markets provides MetaTrader4(MT4),as the platform of choice. This is the leading currency trading platform in the world, as most brokers prefer using a proven solution, instead of creating their own software. If you ate feeling sorry for software developers, you shouldn’t be, as the platform’s popularity has led to an explosion of technical indicators and automated trading systems. They can be found at the MQL marketplace and used with any broker, offering MT4.
The platform has mobile support, with app versions being available in both major app stores. From our experience, they work fairly well with recent devices. Furthermore their functionality appears almost identical to the desktop versions. That being said, there is one issue with the PC platform, which experienced day traders will find annoying – the lack of multiple monitor support. If you have such a setup, you would have to fill the rest of your screens with different pieces of information.
Methods of Payment
FXC Markets offers a variety of payment options. The traditional Bank Transfer and Credit/Debit Cards are being accompanied by e-wallets, such as Skrill, Neteller, China Union Pay and Webmoney..
FXC Markets Review Conclusion
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