Alpha FX Review: Learn More About AlphaGroup.com
lpha FX or Alpha Group, is a UK-based company that has been in business since 2009. Alpha Group is publicly traded on the FTSE AIM 100 stock exchange.
They are regulated by the FCA, MFSA, FINTRAC, and Revenu Quebec, but even though they offer the possibility to invest in forex, they are not actually authorized to do so.
Mainly because their FCA regulation is only for the permission to issue electronic money (e-money) and provide payment services. As you can see, they are not authorized to provide forex trading on the grounds of Canada and the UK.
And because of that, we decided to make this Alpha FX review, so we can cover all the things this brokerage is doing and what services they can actually offer.
|Broker Status:||Regulated broker|
|Owner:||Alpha FX Limited|
|Regulated by:||FCA, MFSA, FINTRAC, ASIC|
|Trading Platforms:||Proprietary platform|
|Free Demo Account:||No|
|Accepts US clients:||Yes|
How Are You Protected at Alpha Fx?
As we have mentioned, Alpha FX has now changed its name to Alpha Group but we will stick to Alpha FX. The company is registered with the UK’s Financial Conduct Authority (FCA) but is not permitted to offer specific services such as holding or trading clients’ money. Beasied being regulated by the FCA, they hold a license from MFSA, FINTRAC, Revenu Quebec, and ASIC.
But according to the FCA, Alpha FX “cannot hold or control client money”. On top of that, they can’t “carry on the MiFID investment service and activity of placing financial instruments.”
So simply put, the company Alpha FX is not permitted to provide foreign exchange (Forex) trading services in the United Kingdom. And yet, the company still does it freely.
Besides being regulated by the FCA, Alpha FX also has a subsidiary in Malta called Alpha FX Europe Limited. This entity is registered and regulated by the Maltese Financial Services Authority (MFSA).
Since they are regulated by the MFSA, we also checked its register to confirm this. Sure, they are registered there but the thing is, MFSA is a Tier 2 regulator which means that the authority does implement ESMA rules but is not as strict and attentive as Tier 1 regulators.
Another country where Alpha FX has its office is Canada. On their website, we saw that they stated that they are registered with Canada’s FINTRAC and the Revenu Quebec.
All of that would be good if they were actually authorized to offer trading services but they are not. On both the FINTRAC and Revenu Quebec registers, the only thing they are allowed to do is offer money transferring and payment services.
Additionally, they are not even registered by IIROC, which is the main regulatory body in the country of Canada. So with all of this said, we do suggest you start your trading with an FP Markets broker.
Alpha Fx Deposits and Withdrawals
As they are not actually authorized to offer forex trading in the UK and Canada, there aren’t any deposit methods available on their website anywhere. Alpha FX is only authorized to offer money transferring and payment services and open IBAN accounts for clients.
In other words, you are not allowed to deposit your money with them since they have no regulation to be able to hold and trade your money as a company.
Trading Platforms Overview
Alpha FX is advertising itself as the proud owner of an amazing and cutting-edge trading platform. Unfortunately, we are unable to confirm this since in order to do so, you need to be an already existing client.
After some digging, we did however, manage to find many reviews about the Alpha FX trading platform and it seems that they offer a basic Web Trader that lacks many trading tools that both the MetaTrader4 and MetaTrader5 offer.
And because they don’t actually have a proper trading platform and because they are not allowed to offer trading services, it’s better to find another broker.
Account Types Available at Alpha Fx
When it comes to the trading account types, that is yet again another mystery about the Alpha FX broker. Nowhere on their website can you actually see any mention of any trading accounts. Therefore, you don’t know what to expect.
The only way you can actually start trading with this broker is by filling out a registration and then one of their agents will give you all. This is a big problem since you don’t even know what their minimum deposit requirement is.
This leaves a lot of space for their agents to be pushy and to ask you to deposit as much as you can. Be wary of this.
On top of that, since they don’t even offer basic account types, you also don’t have a Demo account. In other words, you will have to open a Real account without even testing their trading platform.
Alpha Fx Trading Instrument
Alpha FX is offering only forex trading. There isn’t any CFD or cryptocurrency trading. According to sources, the company offers 88 currency pairs on which clients can trade spots, options, and forwards.As for the leverage, trading conditions, spread, and commission, yet again there is nothing on their website. It’s all one big mystery. We can only guess that since they are regulated by the FCA, that leverage cap is at 1:30.
All in all, they don’t seem very transparent with their clients and at the end of the day, Alpha FX is not even permitted to “hold or control client money”!
This is quite weird as well-regulated brokers such as OctaFX will always have plenty of material that can help you on your trading journey. The lack of materials is not great, especially for all of those who are new to trading and may be hesitant to ask many questions.
Either if you are a beginner or an advanced trader in the whole investing world, we still advise you to choose brokers that took some time to make any kind of webinars, tutorials or e-books for you.
Customer service is always an important part of any company that deals with clients on a daily basis. As part of our review, we tried our best to find more about Alpha FX’s customer service options, response times, and problem resolution effectiveness regarding their platform.
Based on everything that we saw, Alpha Fx does not do a good enough job to keep their clients happy. Many complained at slow responsiveness and limited availability even though they claim to be available 24/5. There is also a possibility to contact them via their website in case you prefer that over a phone or regular email.
Many clients also complained about the fact they could not withdraw money and their accounts were blocked shortly after this request.
Overall, the customer service is lacking a lot and there is plenty of room for improvement.
Alpha Fx Overall Summary
In this Alpha Fx review, we talked about this established UK-based company. It is regulated by many Tier1 and Tier2 regulatory bodies including FCA, ASIC, MFSA, FINTRAC, and Revenu Quebec. However, the company is not authorized to hold or control clients’ money but only to open an account in the name of their clients and offer money transferring and payment services.
They also did not provide any of the necessary information including minimum deposit, leverage, or even a demo account. These are all things that you will never see with a well-regulated forex broker.
As for the accounts, we don’t know what they offer as there is nothing to be found on their website. Same as with fees which are not even mentioned under the legal tab, where you should usually find them.
Just like with any other broker, whether a regulated or unregulated one, you should always think twice before investing, especially online. You want to make sure that you are working with a good and reliable broker that will help you earn money and teach you something along the way.
FAQs About Alpha Fx Broker