SCn Broker Review
SCn Broker Review
SCn Broker is a forex broker, which, judging by its Facebook page is aiming at Tai clients. The company appears to be a fairly new contender in the forex space and is currently missing some valuable information on its website. That being the case, we will update this review, as the situation changes.
The Company. Security of Funds
Company Country Regulation
SCNBroker Unknown N/A
SCn Broker does not mention the name of the company which is behind it. This does not inspire a lot of credibility, although the project appears to be in its early stages. Obviously, we can not be speaking of financial regulation, when we don’t even know the name of the company.
If for any reason you don’t realize why this is so important, we will reiterate the importance of financial regulation. If you are trading with an unregulated company, there is no guarantee you will ever get your initial investment back, let alone the profit. This is one of the reasons why most countries have created agencies dedicated specifically to monitoring the financial services sector.
As an example, one such watchdog is the UK’s Financial Conduct Authority (FCA). They oversee a lot of companies (which are not limited to forex brokers) and force them to follow certain stringent rules. In terms of the security of your funds, two rules are the most important – the segregation of client accounts and the compensation scheme. First of all, the segregation of client accounts implies the broker can’t freely access your investment – they must follow a strict procedure, before transferring any money. On top of that, participation in the Financial Services Compensation Scheme means traders can be sure their funds will be safe, if the broker they trade with goes bankrupt. All accounts are covered up to £50,000, by the brokers’ contributions to the scheme.
Minimum Initial Deposit
There is no information on the minimum deposit, other than the one required for an ECN account at SCn Broker. While $5,000 may seem high, the other account types should demand lower levels. Other brokers, like the FCA-regulated industry leaders at IG, have even removed the entry barrier, accepting all clients, no matter how small.
That being said the minimum deposit requirement should not be much of a criteria, when comparing forex brokers. Financial regulation is a far more important factor.
Average spreads & Commissions
Spreads at SCn Broker are undisclosed. This is unusual, but not unexpected given the overall presentation of the company. Other brokers point-out their minimum or average spreads on their website. Most brokers offer spreads around 1.0-1.5 pips on EUR/USD nowadays, but you can find a full comparison of the top-rated ones at topforexbrokers.com website.
The maximum leverage at SCn Broker is 1:500 for the smaller account types, with it going down to 1:200 for the bigger ones. While the former may seem absurd to you, SCn Broker are not alone in offering such high leverage.
Remember, high leverage ratios are one of the key reasons why new traders lose money in the markets. Be sure to understand how margin trading works, before deciding if it is the right thing for you.
SCn Broker offers MetaTrader4(MT4). This is the world’s leading currency trading platform, which is provided by a lot of brokers. Its charting potential is top-notch and thousands of newly developed technical indicators and automated trading systems are available for it.
Sadly, the platform provided by SCn Broker currently has no instruments loaded. This should change in the future, when the broker is fully operational.
Methods of Payment
SCn Broker does not provide information on the methods of payment, which the company accepts. Again, this will surely change in the future.
SCn Broker is a relatively new competitor in the world of retail forex trading. The company’s current presentation is rather lacking, but this will most likely change in the future. Currently there is no information on the spreads, the minimum deposit or much else. On top of that, the platform is not functioning. We will update this review, once the situation changes.
SCn Broker Review Conclusion
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