TradeFX is a Singapore-based forex broker, which offers several account types, all of which provide variable spreads with reasonable leverage levels on the MT4 platform. All accounts, but the ECN Pro one, are commission-free.
Besides, if you are unwilling to put much at stake, you can trade in micro lots on the Standard account type.
The MetaTrader4 (MT4) is the industry leading platform for a decade now. It is therefore provided the majority of brokers, among which leading ones such as IG, FxPro and many others. The MT4 offers a lot of useful functionality, with the multiple custom technical indicators and automated systems (EAs), available at the MQL marketplace. Last but not least, the charting on the MT4 is top-notch.
VPS service is also available with this broker, so that clients of TradeFX can install their favorite EAs and run them without requiring their PC to be on. MT4 VPS hosting (via Beeks and CNS) with this broker is free of charge to VIP clients that deposit a minimum amount of $20 000.
Reasonable leverage levels
The leverage levels at TradeFX are in line with the average in the industry – not dangerously high, yet gearing up traders with a certain power.
Lack of regulation
The most important factor about TradeFX or any other broker is whether it holds a valid license. In the case of TradeFX, it does not. It is only registered in Singapore, and not licensed by the local financial watchdog, the Monetary Authority of Singapore (MAS).
High spreads on demo accounts
Although TradeFX has announced its spreads on commission-free accounts start out at 1 pips on majors, our test of their platform allowed us to see a 2.8 pips spread on EUR/USD. This level is high for the current day and age, where basically everything above 1.5 is viewed as a high spread.
By comparison, global forex broker IG , which holds a license from MAS, among others (by UK’s FCA, Germany’s BaFin, Australia’s ASIC, to name a few), offers spread averaged 0.6 pips on EUR/USD, and charges no commission fees. For further information and comparison, you can always check the conditions provided by the major brokers at our dedicated page.
Announced spreads differ from those on demo platform
Considering the above said, TradeFX is obviously not a forex broker with transparent pricing, which is definitely deemed as a disadvantage.
Comparatively high minimum investment
The minimum deposit level at TradeFX is $250, which is not uncommon in the forex world, yet it seems a bit too much for a non-regulated broker. Besides, there are brokerages, like IG , which have not set a minimum investment requirement, so you can start out with just $1.
TradeFX is Singapore-based forex broker, that offers trading in forex and various CFDs on the MetaTrader 4 platform. However, the actual costs of trading with this broker are high: the minimum investment required is not to be underestimated and the spreads are significantly higher than announced on its website.
Nonetheless, the biggest issue we have with this broker is the fact they are not regulated. As most countries, Singapore has also created an agency to monitor financial services providers – the Monetary Authority of Singapore (MAS). However, Trade FX Pte. Ltd. (the company owning and operating the broker) is not licensed by it.
One should be aware that every dollar deposited with an offshore or unregulated broker is at risk, although TradeFX claims that clients’ money is held with NatWest Bank Plc in the UK in segregated named client accounts. So, you’d better choose a reliable and well-regulated broker with better spreads. We often mention FCA-licensed brokerages as an example of solid regulation, because it applies strict rules to forex brokerages and their clients are basically protected.
TradeFX Review Conclusion
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