Mega Equity Review by professional Forex trading experts the “ForexSQ” FX trading team, Finding out everything you need to know about the broker is in this Mega Equity Review.
Mega Equity Review
Mega Equity offers its clients a single STP/DMA account with tight inter-bank variable spreads, leverage up to 1:400, and the option to trade in micro lots. Besides, clients benefit from their Exchange Membership, multi-asset global execution and clearing capabilities.
The Company. Security of Funds
Mega Equity (also known as MegaFX) is a European public joint stock company established back in 1999 that offers various financial investment and intermediary services.
It is a 100% DMA/STP broker, offering wide range of financial instruments for trade: more than 50 currency pairs, precious metals, various CFDs, Exchange Traded Funds (ETFs), equities and Futures and Options on the Greek Markets. The company behid the brand is Mega Equity Securities and Financial Services Public Ltd., a Cypriot Investment Firm (CIF), licensed by Cyprus Securities and Exchange Commission (CySEC) since 2003.
CySEC requires Cyprus Investment Firms to hold at least €730,000 in order to prove their good financial standing. In addition, Cypriot forex brokers must keep customer funds in segregated accounts, separated from the company’s operating funds.
As a further guarantee to clients’ funds, all CySEC-regulated companies are members of the Investor Compensation Fund, which is able to pay compensation up to 20,000 EUR, If a regulated company is becomes insolvent.
Additionally, every CySEC- regulated investment company is also MiFID compliant and therefore entitled to offer cross-border services within the EU under the MiFID Passporting Regime.
In addition, the company is a Member of the Cyprus Stock Exchange, the Athens Stock Exchange, the Athens Derivatives Exchange and of X-NET Markets (the electronic trading platform of the Athens Stocks Exchange that enables Member Firms to offer competitive and cost effective Direct Market Access to 35 foreign stock markets).
Minimum Initial Deposit
In order to open an account with Mega Equity, traders have to invest a minimum of $200, which is average. Nonetheless, other Cyprus-based brokers require less – FXTM, for example, demands just $5 from its clients as a start.
Spreads & Commissions
Mega Equity offers tight interbank floating spreads, averaged 0.1 pips on EUR/USD, however it charges a commission of $14 per lot round turn. So, average trading costs with this broker amount to around 1.5 pips per lot, which is on the upper end of average.
For purposes of comparison, FXTM’s average ECN spreads amount to 0.5 pips on EUR/USD and involve a of commission $4 per standard lot (round-trip). For further information and comparison, you may look up real-time spreads of 15 leading brokers here.
The maximum leverage level offered by Mega Equity is 1:400, which is considered high, as such leverage levels involve greater risk of losses. Regardless of this, many Cyprus-based brokers offer similar or even higher leverage rates – for example, FXTM provides leverage up to 1:1000.
Probably this practice is about to change, as the CySEC proposed default leverage levels offered by forex brokers to be just 1:50, and other European Authorities also intend to cap leverage levels, in line with ESMA’s recommendations.
Mega Equity supports MetaTrader4 (MT4), the most popular choice among both brokers and traders.
The MT4 offers more than 50 built-in technical indicators and tools, advanced charting package, a wide range of Expert Advisors (EAs) and extensive back-testing options for them. Traders can download ready-made or create their own EAs and let the program do all the work.
Besides, MetaTrader 4 platform allows users to subscribe to the Meta Quotes Social Trading service. Traders who choose to use this service can automatically copy trades from other traders directly within the Mega Equity MT4 trading terminal.
Mega Equity’s Smart Order Routing Technology (SOR) aggregates the fragmented markets into a single, unified view systematically scanning 80+ Derivatives and Commodities Exchanges, including Dark-Pools and Light-Pools as well as Primary Exchanges such as the LSE, VIRT-X, XERTA, NYSE, or NASDAQ.
In addition, Mega Equity offers Multiclient – their platform specialized in global equities trading, and Periskope – an application for valuing, real-time market watch and portfolio management for derivatives (a front office system for the Athens Derivatives Exchange).
Methods of Payment
Mega Equity offers its clients the following payment methods: credit/debit cards, bank wire transfer and e-wallet payment system Skrill.
Mega Equity (MegaFX) is a well-regulated forex and CFD broker with more than 13 years of experience. It offers reasonable conditions for trading on the standard MT4 platform, as well as advances stock broking services.
Instead of the forex broker you can use Plus500, XM, eToro, Fxpro or AvaTrade forex brokers.
Mega Equity Review Conclusion
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