Pruton Capital Review
In fact, the information on trading accounts and conditions of this broker is rather scarce and contradictory. That is why we will assume that Pruton Capital offers a single account type (which we call Standard for convenience) that is commission-free, and offers variable spreads on the industry’s standard MetaTrader 4 platform. Although the broker claims to offer micro lots, when we tried out the demo MT4, we found that the minimum trade size is 0.1 (micro lot).
The Company. Security of Funds
Pruton Mega Holding Limited
Commodity Futures Trading Regulatory (BAPPEBTI)
Established in 2006, Pruton Capital (PT Pruton Mega Berjangka) is a Jakarta-based broker that nowadays maintains offices in Singapore, Malaysia, Thailand, Vietnam, Laos, China, Hong Kong, and Pakistan. It offers trading in a wide range of financial instruments – forex, precious metals, various CFDs, and binary options.
The company behind the brand, Pruton Mega Holding Limited is operates under the supervision of Indonesia’s Commodity Futures Trading Regulatory and is also a member of the Jakarta Futures Exchange (JFX), and of the Indonesian Derivatives Clearing House (IDCH).
As the regulatory system for the financial services sector in Indonesia is still in its infancy, there isn’t a formal set of requirements for financial service providers, except holding a BAPPEBTI and abiding the Sharia law. Besides, we found there is an FPA Traders Court guilty vote against this company and the popular forum (Forex Peace Army) recommends a high level of caution dealing with Pruton Capital.
Worse still, this broker is present in Malaysia’s Central bank (Bank Negara Malaysia) list of known companies and websites which are not authorized, nor approved under the relevant laws and regulations administered by BNM to provide financial services.
Minimum Initial Deposit
We could not find any information about the minimum investment required by Pruton Capital, however according to a couple of user reviews on the FPA forum, traders have to invest a minimum of $10 000. Such initial deposit is very high, as most brokers require a deposit of $200 – $250 as a start.
Spreads & Commissions
In one section of its website, Pruton Capital says it offers spreads starting from 1.2 pips on EUR/USD, and on another – 0.8 pips for this pair. However, when we tried out the broker’s demo MetaTrader, it turned out that the typical spread for the EUR/USD is around 2.4 pips, which is a very high value. By comparison, leading global broker FxPro, which also operates in Indonesia, offers spreads averaged 1.4 pips on EUR/USD on its commission-free MT5 accounts.
The maximum leverage level offered by Pruton Capital is 1:200, which is average for the forex market. Nonetheless, a number of brokerages, FxPro included provide leverage up to 1:500 or higher.
Higher leverage levels allow some small traders to score big profits with low initial deposits, however this also means greater risk.
Pruton Capital offers the renown MetaTrader 4 (MT4) platform.
MT4 combines an intuitive user interface with a feature-rich environment, and provides everything a trader needs to analyze market dynamics, place orders, manage positions and automate trades via EAs.
Methods of Payment
Pruton Capital supports a small range of payment methods – bank wire transfer, credit/debit cards, as well as e-wallets PayPal and Skrill.
Pruton Capital is a regulated Indonesian broker, which offers trading in forex and various CFDs on the MT4 platform. Unfortunately, Pruton Capital’s spreads are way too high, the information on its website is controversial and untrue. In addition, the broker’s reputation in the forex circles is not very good.
Pruton Capital Review Conclusion
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