Sandton Direct Review
Sandton Direct Review
Trading conditions of Sandton Direct vary depending on the platform clients choose to use: MetaTader 4 or xStation. Both account types offer leverage up to 1:500, and the option to use micro tradeable lots.
The broker’s MT4 provides spreads fixed at 1 pips on EUR/USD, which is a competitive offer, as most fixed-spread brokers offer a spread of 2 pips for this pair. Sandton Direct’s xStation, on the other hand, offers variable spreads, and the broker claims that the typical spread on the EUR/USD amounts to 0.3 pips. When we tried out its services its services on a demo xStation account, we found out that the spreads are even lower, and that no commission applies. If the situation is the same in live trading, there is no way for the company to be profitable. So, we assume that the lack of commission fees and the tight spreads on demo accounts are just a trick to attract customers.
Usually, brokers offer variable spreads within the range of 1.0 – 1.5 pips on EUR/USD. Even major brokerages such as FxPro apply a commission of $4.5 per standard lot to the spread of 0.3 pips on cTrader accounts. Besides, low trading costs are not the most important thing when choosing a forex broker. It is sound financial regulation.
The Company. Security of Funds
Sandton Direct offers trading in forex, binary options, precious metals and some CFDs. The company operating the brand, Sandton Limited, has registered offices in St. Vincent and the Grenadines (SVG) and Dubai, UAE.
SVG is an offshore zone, where forex and binary brokers are not regulated, nor supervised. In Dubai, on the other hand, the body in charge of forex brokers is the Dubai Financial Services Authority (DFSA). However, Sandton Direct mentions nothing about DFSA license. So, to cut things short, this broker is not regulated.
We won’t get tired of repeating that investing in a broker that is not regulated, nor supervised by any authority is a risky business and we do not recommend doing business with such companies. Instead, we advise traders to select among brokers licensed by UK’s FCA, Cyprus’CySEC, or another reliable financial regulator. Brokers regulated and these jurisdictions are required to meet a number of requirements, such as for capital adequacy, transaction reporting, segregation of client accounts, etc.
As we have already mentioned, Sandton Direct supports both xStation and MT4.
xStation is a platform developed by X Open Hub that is based on open-API XOH Trader. It is user-friendly, fully-customizable platform equipped with a number of technical analysis tools and advanced charting package. xStation also features one-click dealing and the ability to deal straight from the chart. Multiple Account management (xMAM) and social trading (xSocial) solutions are also available within the platform.
Besides, Sandton Direct has partnered with Match-Trade Technologies to offer their MT4. MetaTrader 4 is an internationally acclaimed trading terminal, offering a full spectrum of trading tools and resources. In addition, the platform is equipped with a wide range of Expert Advisors (EAs) and extensive back-testing environment, so Traders can download ready-made or create their own EAs and let the program do all the work.
Methods of Payment
Sandton Direct offers bank wire transfer and credit/debit cards and Bitcoin as payment methods.
Sandton Direct offers trading in forex, CFDs and binary options on two trading platforms. The main problem with this broker is that it operates without a license. Besides, trading costs on xStation platform are unrealistic.
Sandton Direct Review Conclusion
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