UOBBF Review by professional Forex trading experts the “ForexSQ” FX trading team, Finding out everything you need to know about the broker is in this UOBBF Review.
UOBBF has just one type of account, which does not seem to be very attractive to retail investors because of its trading conditions. There is also the option for a free demo account.
The brokerage offers trading in a fairly small portfolio of forex pairs, but no other products traditionally offered by forex brokers like FxPro, Grand Capital, XM and FXCM who have extensive trading portfolios of hundreds of various financial products.
The Company. Security of Funds
Company Country Regulation
UOB Bullion and Futures Limited Singapore MAS
The United Overseas Bank (UOB) is a Singaporean group that offers multiple types of banking and other financial services, including leveraged trading in forex. The company is regulated by the Monetary Authority of Singapore (MAS). It has two subsidiaries who are licensed to offer trading in forex.
The subsidiary UOB Bullion and Futures Limited (UOBBF), which we are currently reviewing, holds a license for Leveraged Foreign Exchange Trading. There is another subsidiary of UOB Group – the stockbroking arm UOBKayHian also holds this type of license.
Among the 29 holders of such licenses in Singapore are major global forex brokerages like IG, Gain Capital, Oanda, CMC Markets, Saxo Bank, etc.
Minimum initial deposit
The minimum deposit required to open a forex trading account is SGD 30 000, or nearly $22 000, which is a significant sum for a small retail trader. Like we already noted, perhaps they are not among the target clients of UOB.
The majority of retail forex brokers have rather low deposit requirements. IG, for example, requires just $1, while FXTM and XM require $5. There are others with higher requirements, like HYCM and easyMarkets who require $100 and Fibo Group with $300.
Spreads and Commissions
UOBBF says it charges spreads between 1 and 3 pips for major currencies and 3-6 pips for major crosses in normal market conditions. Additionally, the brokerage charges a fixed commission for the online transaction and additional 2 pip charge for transactions done on the phone.
Those spreads, when compared to other brokers like FXCM with an average spread of 1.4 pips and IG with 0.8 pips, are rather wide. There are other brokers like Windsor Brokers and EverFX who offer spread of below 1 pip and charge additional commission.
UOBBF offers a maximum leverage of 1:20, which is not much. There are other brokers on the Singaporean forex market, like IG, which offers a leverage of 1:50.
UOB Bullion and Futures offers several types of trading platforms, depending on the instruments. There is the Trading Technologies’ X_Trader for futures, the CQG charting and analysis platforms and the FlexTrade System’s algorithmic trading platforms FlexFX, MaxxTrader and FlexTQM platforms.
UOBBF also offers the option to discuss the availability of other trading platforms for corporate and professional traders.
UOBBF does not offer the vastly popular MetaTrader 4 (MT4) platform.
Methods of payment
UOBBF does not offer the typical for the majority of forex brokers payment methods like PayPal and Skrill. Instead, the brokerage accepts account funding through cheques, cashier’s orders and interbank telegraphic transfers.
The leverage forex trading does not seem to be the core business of UOB Bullion and Futures Limited, but is more of an afterthought. This is not unusual for major large companies or groups who offer multiple financial products and services, so it is a small surprise UOBBF’s forex trading conditions are not the most attractive for the smaller retail clients.
On the other hand, in Singapore are present brokerages whose core business is indeed trading in forex and CFDs like IG, Gain Capital and Oanda who cater to the needs of retail clients.
Instead of the forex broker you can use Plus500, XM, eToro, Fxpro or AvaTrade forex brokers.
UOBBF Review Conclusion
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