InnovestFX Review by professional Forex trading experts the “ForexSQ” FX trading team, Finding out everything you need to know about the broker is in this InnovestFX Review.
InnovestFX offers three different account types, based on initial deposit and preference. Spreads are floating with commissions being added to the ECN and Mirror accounts. The company currently offers only forex and spot metals as trading instruments.
The Company. Security of Funds
Company Country Regulation
InnovestFX Cyprus N/A
Innovest is an introducing broker for TOPFX. As is the case with most IBs the company is not under the supervision of any relevant agency, but this should not worry you. TOPFX, on the other hand, is regulated by The Cyprus Securities and Exchange Commission (CySEC). The commission requires companies to have at least EUR 730,000 as a sign of good will, before they can become a regulated broker. Furthermore a compensation scheme is in place, guaranteeing clients’ funds up to EUR 20,000.
Additionally, every CySEC- regulated investment company is also MiFID compliant and therefore entitled to offer cross-border services within the EU.
Minimum Initial Deposit
To open an account with InnovestFX, one has to deposit at least $100, which is close to the industry average. Keep in mind this is not a sufficient amount for serious trading, with proper risk management rules.
Average spreads & Commissions
InnovestFX offers variable spreads starting from 1.0 pips. The EUR/USD spread (on the MT4 platform) varied between 1.4 and 1.7 pisps at the time of our test, during one of the most liquid sessions. Most forex brokers offer spreads between 1.0 – 1.5 pips for this pair, so the offer is in line with expectations. For further information, you may look up and compare real-time spreads of 15 leading brokers may be viewed here.
The EUR/USD spread on cTrader was around 0.9-1.0 pips during our test. Keep in mind this is for the account type which also has the flat $8.5 per lot commission. That brings the aggregate costs to 1.75-1.85 pips per trade.
The maximum leverage at InnovestFX is 1:100. Such leverage is considered to be low by modern standards. Many forex brokers offer 1:500 or even higher levels.
Keep in mind, a high leverage may not always be beneficial for clients. As you probably know leverage can increase the magnitude of both winning and loosing trades. This is why some regulators like the US National Futures Asostiation (NFA) have placed a limit the maximum leverage offered by licensed brokers to 1:50.
InnovestFX offers MetaTrader 4 (MT4) and cTrader to its clients. All the platform extras are also available. These include MT4 mobile apps for iOS and Android, as well as cTrader’s web version, cAlgo and cMirror.
Methods of Payment
At the time of this review clients of InnovestFX can deposit and withdraw funds via Bank Transfer. Currently Credit/Debit Card payments as well as Nettler are being implemented. Keep in mind that, bank transfers and especially international ones, can take several days, while the other methods are instant (at least for deposits).
InnovestFX is an introducing broker of TOPFX, a CySEC regulated forex broker. Spraeds are in line with the industry averages, albeit on the high end. InnovestFX offers only currency pairs and spot metals.
Instead of the forex broker you can use Plus500, XM, eToro, Fxpro or AvaTrade forex brokers.
InnovestFX Review Conclusion
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