Libertex Review – Learn More About Libertex.Com
Libertex is one of the oldest online brokers currently in business. The company was founded in 1997 as Libertex Group but has since diversified into a number of different entities in order to provide its services to a wider audience. Currently, Libertex boasts over 2.7 million active users and more than 40 international awards.
Libertex is a fully licensed and regulated broker. This company is regulated by CySEC from Cyprus, as well as FSC from Mauritius. We will explain the implications of these in the Security and Regulation section of our Libertex Review.
Libertex Brokerage Pros and Cons
There are a few pros and a few cons for this broker. When it comes to pros, Libertex offers a wide range of different trading instruments. These are separated into two trading accounts, which are carefully tailored for different aspects of trading scenarios. Good asset liquidity is provided by a large number of financial channels. Libertex also uses the industry standard software, MT4 and MT5.
The cons with this broker include poor quality of educational materials and the lack of Shariah trading accounts. The bonuses are only available to international clients that operate outside of the EU. The affiliate program is not available in Spain due to legal constraints. Live chat customer support is only available to international clients.
|Broker Status:||Tier 1 Licensed Broker|
|Owner:||Indication Investments Ltd|
|Regulated by:||CySEC, FSC|
|Trading Instruments:||FX, Stocks, Crypto, ETFs, Commodities, Indices, Options|
|Trading Platforms:||Libertex Trading Platform|
|Mobile Trading:||MT4, MT5, Libertex Trading Platform|
|Deposit Bonus:||Up to 100% first deposit, only available in some countries|
|Maximum Leverage:||1:30 in the EU, higher for intl. clients|
|Free Demo Account:||Yes|
|Accepts US clients:||No|
How Are You Protected at Libertex? Security and Regulation
Libertex is well regulated by one tier 1 regulator, and another offshore, tier 3 regulator. The main regulatory entity for a Cyprus-based company, such as Libertex is CySEC. This regulator has a strict legal framework that is compliant with an international agreement for EU-based entities, called MiFID.
Companies that trade in the EU must comply with these safety standards:
- The minimum initial capital is 730,000€
- The compensation fund required is 20,000€
- Negative balance protection must be assured
- Segregated bank accounts must be provided
- The leverage maximum is 1:30
- Regular transaction reports are required in accordance to EU MiFID
- Bonuses not allowed
Depending on your nation of origin, you may expect different trading conditions. For traders outside of the EU, a regulator from Mauritius called the FSC, holds legal precedent. This tier 3 regulator has much more slack trading restrictions. Traders can enjoy higher leverage and bonuses but do not benefit from most European safety standards. Mauritius does not require negative balance protection, or a compensation scheme to be implemented, for instance.
Which Accounts Types Can You Expect at Libertex?
Libertex is offering two different trading accounts, which are customized to take better advantage of different markets. There is also a demo account available, which is good news for novice retailers that wish to train in a risk-free environment. Retailers who require special provisions to trade under Shariah will be disappointed, however, as Libertex does not offer a swap-free account.
These are the account types available at Libertex:
- Libertex CFD
- Libertex Portfolio
Libertex CFD is a good starting point for the vast majority of retail traders. This account supports a wide variety of different trading instruments and is available as a free demo for novices. This is an account created for high-risk trading environments and allows for leveraged trading.
Libertex Portfolio is optimized for professional-level investment. It can be used for trading Stocks and ETFs and does not support other trading instruments. The account features low risk and moderate market volatility. This account type does not have leverage, but allows for fractional purchasing of Stocks, and pays dividends to the users. There is no demo for the Libertex Portfolio.
Libertex Trading Platforms Overview
Libertex offers a good selection of different trading software solutions. Industry-standard software, Metatrader 4 and Metatrader 5 are available with this broker. They allow trading on multiple platforms and operating systems, including mobile devices that work with both Android and iOS.
Metatrader 4 is one of the oldest trading platforms in use today. Don’t be fooled by the fact that it was first launched in 2005, this program has undergone serious incremental development over the years. MT4 is among the fastest trading solutions on the market and works great even on aging hardware. MT4 is renowned for the great flexibility it offers.
Metatrader 5 is a newer program that offers even more options than its older brother. This trading platform has even greater flexibility, but it runs best on newer devices. One of the distinctive features of MT5 is automated trading integration and others such as Expert Advisors.
Besides these, there is also the Libertex Platform. This is a Web Trader Platform for users that prefer the more simplistic platform instead. Different brokers customize their Web Trader in different ways, but the limitation of running a trading platform on a web browser makes it ultimately a poor choice for advanced users.
Libertex Trading Instruments Offered
As we have mentioned before in the accounts section, the availability of trading instruments differs greatly between the two account types. Stocks and ETFs remain the more popular choice for traders that use the services of Libertex, but investors that look for a more volatile market will not be disappointed either.
Let’s take a look at a list of the instruments now:
- More than 50 Forex pairs (EURUSD, GBPUSD, USDJPY, USDCHF)
- Over 50 Stocks available for fractional trading (Tesla, Boeing, IBM, BMW, Gazprom)
- 10 various ETFs (US, Germany, UK, China, Latin America)
- 50+ different Cryptocurrencies (Bitcoin, Ethereum, Monero, Cardano, Shib)
- 5 precious metals CFDs (Gold, Platinum, Palladium, Silver, Copper)
- 28 different indices CFDs (US2000, DAX, AEX, Hang Seng, Izrael 35)
- 8 agricultural commodities CFDs (Corn, Wheat, Soybean, Coffee, Cocoa)
- 6 energies CFDs (Brent, Crude, Natural Gas)
- Options trading is available
Libertex Offers Bonuses and Promotions
Bonuses that Libertex offers are not available in all regions, as per European regulatory standards. New and long-term customers at Libertex can expect bonuses for their trading accounts.
There are first deposit bonuses, as well as a loyalty program. New customers can expect a 100% first deposit bonus, which is capped at $10,000. In order to become eligible for a first-time bonus, a trader must deposit more than $100 of initial funds.
A loyalty program is not a financial bonus, but rather a set of perks. Loyalty status is achieved by keeping an account balance over a given threshold or executing a required trading volume during a calendar month. Libertex will extend loyalty status for as long as either of these conditions is met.
As with any other high-profile broker, Libertex offers a range of financial channels to keep the money flowing.
These are the funding methods available at Libertex:
- Bank Card payments (Visa, Master Card)
- Bank Wire Transfers
- E-Wallet transfers (Neteller, Skrill, Jeton Wallet, Webmoney)
- Cryptocurrency transfers (Bitcoin, Ethereum, USDTether)
- PayRedeem eCard payments
Depending on the deposit method and amount, Libertex reserves the right to charge a commission. PayRedeem payments are subject to 5% commission, which is the highest commission charged. Crypto transfers are subject to an administrative fee, if an amount below a certain threshold is deposited.
Withdrawals at Libertex are usually handled in one business day, unless they are for legal reasons subject to additional scrutiny. Depending on the method of withdrawal, and withdrawn amount, users can expect some low fees from the broker, as well as 3rd party fees (for Bank Wire transfers and e-wallet payments).
Research and Education
Unfortunately, not everything can be perfect even with good company. The lower quality of education materials is one of the cons when trading with Libertex. Education is limited to online articles on the website, as well as a tutorial on how to make your first trade. This is why we recommend this broker predominantly to experienced traders.
Research materials are limited as well, and only available in the form of yearly market analysis and webinars. The analysis is quite comprehensive, but the lack of regular updates will leave you searching for more up-to-date information elsewhere on the web.
The support teams at Libertex are only available 24/5, which may leave you hanging if you are a weekend trader and you encounter a problem. The Customer Support agents are available in English, Russian, Spanish, and Portuguese, and you may contact them through a variety of means.
Customer support is available via email, online Live Chat, as well as Telegram and Whatsapp. Email replies take up to one business day, however. There are a number of different phone numbers that allow you to contact one of the offices worldwide.
Libertex Overall Summary
Broker is a well-established name in the broker business. Libertex is a regulated broker that holds a license in two different jurisdictions. The minimum deposit is $20, and you may fund your account through a variety of financial channels.
This broker uses high-quality MT4 and MT5 software, as well as a web-based Libertex Trading Platform. Depending on the nation from which you conduct trade, you can expect different trading conditions. Outside of the EU, clients are eligible for a number of bonuses. Although trading conditions are great, customer support and education are lackluster.
FAQs About Libertex Broker
Are my Deposited Funds Protected at Libertex?
Deposited funds at Libertex are protected under the strict regulatory framework of the EU.
Does Libertex Offer Demo Account?
A demo is available on Libertex, but only for the Libertex CFD trading account.
What is the Minimum Deposit at Libertex?
The minimum deposit amount is $20, but in order to take full advantage of bonuses, a first deposit over $100 is recommended. Regional restrictions apply.