Colmex Pro Review – Is Colmex Pro a good forex broker?

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General Company Information

Colmex Pro is a Cypriot broker, offering NDD (No Dealing Desk) trading in forex, commodities, CFDs, stocks, futures, and options through both in-house platforms and the popular MetaTrader 4.

What is more, the broker provides its investors access to the world’s most trusted markets, including NASDAQ and the New York Stock Exchange (NYSE).

Regulation & Safety

Colmex Pro Ltd., doing business as Colmex Pro, is licensed and regulated by the Cyprus Securities and Exchange Commission(CySEC). What is more, the company is also registered with FCA and a number of other EU regulatory authorities.

CySEC applies certain rules to license holders, one of them being the requirement to hold a minimum of €730 000 in order to prove their financial stability. Furthermore, Cypriot brokers should report to the Commission on a regular basis and keep client money in segregated bank accounts.

What is probably most important to traders, is the fact that all CySEC-regulated companies are members of the Investor Compensation Fund, so if any of them becomes insolvent, each customer may receive a compensation, amounting to a maximum of €20,000.

Trading Accounts

There are two basic accounts with this broker, depending on the financial instruments traded: Stocks account for trading in stocks & CFDs on equities, and Forex account for trading in currency pairs & CFD spot metals.

Trading Conditions

Colmex Pro`s trading conditions appear to be average (except for commission fees):

• Minimum deposit of $250;
• Leverage up to 1:400 for forex products;
• Spreads, averaged 0.9 pips on EUR/USD;
• In terms of commission fees, the broker applies different schemes, depending on asset classes and other factors:

Commission Charges for Forex Trades

When trading in currency pairs, clients of Colmex Pro are charged from $3 (applies to VIP client groups) to $15 per lot per side, depending on the deposit amount. According to us, such commission fees are way too high, as a $15 per side means that apart from the spread, traders need to pay $30 per lot round turn, so average trading costs for the EUR/USD pair is around 4 pips per lot, spread included. On average, FX brokers charge commission within the range of $2 – $4 per standard lot per side.

Commission Charges for CFD options trades

When trading in options, a fee of $2-per-option applies.

Commission Charges for Equity & CFD Trades

Trading Platforms

Colmex Pro offers several proprietary platforms, as well as the industry’s standard MetaTrader 4.

Colmex Pro Trader provides real-time, streaming market data in dynamic displays, as well as fast order execution. It allows you to manage multi-accounts and is available in 11 different languages. What is more, users may see daily listing of top 20 performers and follow their trades. There is also a version of this platform, Colmex Pro Trader CFD, specialized in CFDs trading.

The Colmex Expert is an upgraded version ofColmex Pro Trader, which is designed for professional traders. Mobile versions of all of them are available to the broker’s customers, who prefer trading on the go.

This platform is equipped with advanced charting including over 100 built-in indicators, studies and tools, full back-testing system, complete scripting language for all asset classes to design custom executable scripts. It also features a Managed Account Trading (MAT) tool for traders managing multiple accounts and is also available as a mobile version. In order to use the Expert platform, clients of Colmex Pro are required to deposit at least $50,000.

Furthermore, Colmex Pro has combined its non-deal-desk forex execution with the MetaTrader 4 platform. MT4 is preferred platform by most traders, since it offers a number of technical indicators, extensive back-testing environment, advanced charting package and what is more – Expert Advisors (EAs). Traders are able to fully automate their trades by downloading ready-made (from MetaQuotes website) or creating their own EAs and just let the program do all the work.

Methods of Payment

Colmex Pro offers its clients the following payment modes: bank wire, credit/debit cards (Visa, MasterCard), and e-wallets, such as Skrill & SafeCharge.

Conclusion

Colmex Pro is a CySEC-regulated broker that offers a wide range of financial products, focusing on CFD stocks trading. Our main concern with this broker is that it charges standard MT4 forex trades with high commission fees. In a nutshell, here are the advantages and disadvantages with regards to this broker.

Pros                                                                                                       Cons

Well-regulated                                                                        High commission for forex

Variety of trading platforms offered                                  High minimum deposit required for Colmex Pro Expert platform

MT4 available

Easy access to stock echanges