Finance Capitalfx Review – Reasons To Avoid This Broker
Everyone wants to be a successful forex trader encouraged by many shady brokerage firms promising a great return on investment. One of them is the Finance Capitalfx broker; at first glance, an ordinary forex provider, but at its core, it is an investment scam that will take advantage of you.
In its fish stories—such as serving more than 750K clients in 8 different languages in over 50 countries worldwide—this phony broker forgets one important thing, i.e., a license.
That is because Finance Capitalfx is an unlicensed brokerage firm. But more on regulations in the following section.
Continue reading our Finance Capitalfx review and find out reasons to avoid this broker.
|Company||FinanceCapitalFX Cyprus Ltd|
|[email protected], [email protected], [email protected]|
|Minimum Deposit||250 USD|
Finance Capitalfx Regulation and Funds Security
According to its website, Finance Capitalfx is allegedly headquartered in Limassol, Cyprus, one of the premium jurisdictions when it comes to financial services. But in the Companies House Cyprus, there are no details about this company.
Moreover, every Cyprus-based broker must be authorized by CySEC, a highly respected financial market regulator. Again, after checking the registers of this authority, we couldn’t find any info on this FX broker.
That leaves us to conclude that Finance Capitalfx is anonymous, unlicensed, and unauthorized to provide online financial trading services. Therefore, it can’t offer protection for your funds and can be involved in fraudulent trading activities without consequences.
Moreover, after googling the internet, we have discovered that there is an official warning against Finance Capitalfx issued by the Canadian financial authority (Quebec AMF). The bottom line, your investment is at extreme risk with this illegal broker.
For comparison purposes, CySEC-regulated brokerage firms must hold 730K EUR of minimum working capital and comply with the law all the time. On top of that, they minimize trading risks by offering negative balance protection and segregated accounts. Lastly, traders are covered by the CySEC compensation scheme, which is up to 20K EUR.
Trading Platform Supported Overview
We have already mentioned how this bogus broker is prone to falsehood, such as that you can trade on its cutting-edge trading software enabling access to hundreds of tradable assets.
Actually, it is a subpar browser-based platform with limited functionality. It can’t match the leading trading programs offered by legitimate brokers, such as MetaTrader 4, MetaTrader 5, cTrader, and Sirix.
These powerful trading platforms come with lots of advanced tools like stop loss, social trading, and expert advisors.
As for assurance of providing a range of trading instruments, we are very skeptical about it. In furtherance of information, we have listed the main offer of this broker.
- Forex: EUR/USD, USD/JPY, GBP/USD, AUD/USD, USD/CHF.
- Commodities: gold, silver, crude oil, wheat, cotton.
- Shares: Walmart, CVS Health, JP Morgan, BHPVGroup.
- Indices: NASDAQ100, FTSE100, Dow Jones, S&P 500, DAX40.
- Digital currencies: Bitcoin, Litecoin, Ethereum, Tether, Ripple.
Finance Capitalfx Offers Bonuses
One thing is fairly typical of scam brokers, and that is bonuses and promotions. Consequently, Financial Capitalfx offers the following bonuses.
- A 5-10% welcome bonus is for new clients.
- Friends bring friends is a 15-20% referral bonus if you bring other traders.
- An 18-23% bonus for transferring funds from another broker to Finance Capitalfx.
The important thing about bonuses is that they come with attached strings. In the case of this broker, you can’t withdraw bonuses but only profits made from them. There are many cases of mishandling bonuses, therefore, they are prohibited by financial authorities in many jurisdictions.
Funding Methods Available at Finance Capitalfx
Speaking of how traders can transfer money to and from Finance Capitalfx accounts, we are sure depositing is easy but can’t say the same for withdrawing. With the illicit broker Finance Capitalfx, there are no money withdrawal guarantees.
If we neglect the risk for a second, let’s discuss available funding methods at Finance Capitalfx. It claims you can deposit funds via credit/debit cards, wire transfers, and wallets. The minimum required deposit is 250 USD. The overview of its live trading accounts is below.
- Standard: 250 USD deposit
- Premium: 2,500 USD deposit
- Luxury: 25,000 USD deposit
Just for reference, you can start trading with a credible broker for as little as 5 USD (see our suggested forex brokers).
Regarding withdrawals—if they are even possible here—Finance Capitalfx charges hefty fees. The minimum withdrawal amount is 250 USD incl. 50 USD fee for bank transactions, while it is 100 USD incl. 25 USD for credit cards and wallets.
On top of this, there is a 10 USD processing fee. It also levies 10% fees if your account is inactive (a monthly dormant fee) and hasn’t reached 200 turnovers.
How the Scam Is Undertaken
A Finance Capitalfx scam has been around for a while. Fraudsters behind this cyber fraud count on the fact that people, especially beginners, will fall for their hoaxing and invest.
We have emphasized several times in this article how this financial swindler frames information about its business to lure you. So, nothing coming from Finance Capitalfx is true.
If you are defrauded by this online trading scam, don’t be downhearted. Scams can happen to anyone! It is important to act fast. Contact us to get advice from cyber security experts. Of course, notify the authorities.
Finance Capitalfx Summary
At the end of the Finance Capitalfx broker review, let’s summarize key facts. This broker claims to be registered in Cyprus but without validation, which has proven to be a blatant lie. On top of this, it is not authorized to provide financial trading services, not in Cyprus or anywhere. Most importantly, it is an exposed scam by the Canadian AMF.
Besides, its leverage is too high (1:500) for an EU-based broker (EU limits leverage to 1:30). This bogus brokerage firm offers bonuses despite them being forbidden in the EU.
There are countless reasons why you should not trade with Finance Capitalfx, and we have analyzed some of them. So don’t take chances with not legit and not trustworthy companies.
FAQs About Finance Capitalfx Broker
What Is The Minimum Deposit at Finance Capitalfx?
It is 250 USD and is several times more than what is required by legitimate brokers.
Is Finance Capitalfx Offer a Demo Account?
No, it isn’t; fraudulent brokers usually don’t offer demo accounts.
What Instruments Can I Trade with Finance Capitalfx?
According to its website, you can trade hundreds of products on the following instruments: forex, commodities, stocks, indices, and crypto.