Categories
brokers

HMS LUX Review

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

HMS LUX Review

HMS Markets Luxembourg is an established broker-dealer. This review will only focus on their retail forex trading offer (where traders manage their own funds). HMS LUX is partnered with the Saxo Bank for this service. They offer the same trading platforms, but trading conditions may vary.

HMS LUX Advantages

Regulated company – HMS LUX is regulated by the Luxembourg financial watchdog – Commission de Surveillance du Secteur Financier (CSSF). This means your funds will be safe when trading with this broker, which is definitely not the case with others.

Many trading instruments – when we say there are multiple assets at HMS LUX, we’ll don’t smiley mean exotic currency pairs and CFDs (although these are also available). They spectrum includes stocks, futures, exchange-traded options and more. Do keep in mind, effectively trading some of the more complicated assets will require a higher level of understanding.

Relatively nice trading platforms – There are basically two platforms only offer at HMS. One of them the “HMS Trader 2” is a desktop application, which packs a lot of functionality – the charts are nice, one car create custom watchlists and multiple layouts.

The “HMS Trader Go” is a web-based solution, which allows you to access your trading account from any device. This is one of the best available web-based solutions on the market.

HMS LUX Disadvantages

Marker maker on some instruments – The main flaw of HMS LUX, is that their partner (Saxo Bank) is a market maker on some instruments (forex and CFDs). On the other hand, the exchange traded products can be accessed directly.

Complicated for beginners – The fact HMS LUX offers a lot of trading instruments can actually hinder new traders. One can easily not be sure if he is entering a CFD or real stock trade (without leverage). By some estimates the platform has over 30,000 instruments available.

Relatively wide spreads – The target EUR/USD spread at HMS is 2 pips. When testing the platform we saw the target being hit, but at the end of the day this isn’t a competitive level. Check out our spread comparison platform to see the current offers provided by other brokers.

Low leverage – The maximum leverage ratio available at HMS LUX is 1:40 (there is a 2.5% margin requirement on EUR/USD). While this will still be suitable for most traders and even protect them from losses, others may be used to dealing with higher gearing, like at least 1:100. On the other hand some brokers have gone completely the opposite way, increasing the leverage to almost absurd levels. Take XM for instance – they provide 1:888 in leverage.

Min deposit and trade size not mentioned – While this may not worry some of you, keep in mind forex trading has became increasingly easier to get into. Some people will prefer to start out small and from our experience we can tell you different partners of Saxo Bank have vastly different minimum deposit requirements. In case you want to see how real-money trading feels, witouth risking much, you can always open a cent account with FXTM, after depositing $5.

Methods of payment not mentioned – HMS LUX have also nor mentioned how one can deposit money with them. Again, this isn’t that big of an issue, but it may very well prevent some clients from joining. While other brokers proudly boast they accept PayPal or Neteller, HMS has taken a more boutique approach – you have to contact them in order to find out.

HMS Markets Luxembourg offers retail trading, in partnership with the popular Danish broker Saxo Bank. Their trading platform allows access to almost all imaginable traditional financial assets (cryptocurrencies are excluded, although there are several ETFs at some exotic stock exchanges).

When it comes to the security of your funds, which should always be your top priority, these two companies left nothing to be desired. HMS LUX is overseen by the Commission de Surveillance du Secteur Financier (CSSF), while the Saxo Group, as a whole is overseen by a dozen regulatory agencies, including the UK’s Financial Conduct Authority (which like to give as an example for a top-rated watchdog).

While your investment at HMS LUX will be safe against fraud, their trading conditions aren’t that good, from a purely forex trading perspective. That being said, if you want access to a broad range of markets, this may be a decent choice for you.

HMS Markets Luxembourg is not good, Instead of the forex broker you can use Plus500, XM, eToro, Fxpro or AvaTrade forex brokers.

HMS LUX Review Conclusion

For more information about currency trading brokers visit forex brokers comparison website, Tip foreign exchange trading experts please by share this article about HMS LUX Review.