Beware! CVC Markets is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
Indeed CVC Markets has some potential to it, if one were to look only at the aesthetic parts of this alleged broker. Like most offshore firms, so does CVC Markets begin to shows its ugly sides once we began unveiling. The leverage is capped at 1:500, and the EUR/USD spread is 1.4 pips for the Standard Account.
CVC MARKETS REGULATION & SAFETY OF FUNDS
We will go straight to the point ans say it; CVC Markets is NOT REGULATED because it does not hold a license. The website claims that the broker is registered in the ever popular St. Vincent and the Grenadines, a destination well known in the forex industry as one of the most dense melting pots for illicit brokerage firms. Aside from the St. Vincent and the Grenadines claim, there are no other specific details on a regulation.
There are an array of paragraphs stating that CVC Markets is regulated under local laws, but has not specified which laws. Needless to say, this is yet another for the illegitimate pile.
Traders should be trading with risk-free brokers, that hold licensed from renowned and austere agencies, like the FCA or CySec , which have made a name for themselves as some of the top regulators. Readers should be aware that both agencies have adapted very strict rules of conduct, and their licensing framework guarantees safety and security for all clientele. A good example of this is the segregation of accounts which assures that client money and broker money are kept in separate accounts. Furthermore, FCA/CySEC brokers participate in a financial reimbursement scheme that cover traders losses in case the broker becomes insolvent.
The FCA provides up to 85 000 pounds per person, while CySEC guarantees up to 20 000 euros.
CVC MARKETS TRADING SOFTWARE
In order to access a trading software one must register, otherwise we are relying on the words of an illicit broker. Well, we were able to register after waiting a full 20 minutes for our credentials. When we received the email with the credentials, for some reason they did not match, and so we couldn’t log in.
Yet, we did successfully logged a live account with CVC Markets own MT4 terminal. There we got a EUR/USD spread of 1.4 pips, which, if we are to follow the Accounts page, would put our account in the Standard category.
The MT4 is abundant in trading options that accommodate all of the trader’s needs: Expert Advisors, one click trading, multiple order types, superior chart management and customizable trading indicators (and many more). The platform also allows for VPS’s, letting the auto trading bots to trade without worrying that their job will be interrupted.
There are commissions on open positions. However, in typical scammer broker fashion the exact numbers have not been disclosed.
CVC MARKETS DEPOSIT/WITHDRAWAL METHODS AND FEES
A reminder that fraudulent brokers cannot be trusted with the information that is on their website especially one that is concerned with deposits and withdrawals. However, we have no choice but to include it as part of the review, seeing that our registration attempt was cut short. The Accounts section of the site claims that the minimum deposit amount is $100 for the Classic account, going all the way to $25k for Pro Accounts. The depositing methods have not been revealed.
We found a concerning clause sating that deposited funds will no longer belong to the user, and CVC Markets will have proprietary claim over them.
We want to point out that there is close to no information on withdrawals anywhere on the website, including the legal documents. One might think that a users cannot withdraw, which is what we think, as the evidence piles in favor of this.
We strongly advice traders to only deposit the minimum deposit, or better yet – not deposit at all! As for the withdrawals, scammers are known to either deny such requests, or impose incoming and unexpected charges.
How does the scam work?
Users will be in the middle of a scam without even knowing it, that’s how efficient these scams are. Yet, clients will also be surprised that the most utilized scammer structure is laughably easy to grasp, making it predictable. We have dedicated the following section to the reveal of how the scam works.
Users of the internet will be lured or intrigued by the countless ads that float around the internet, mostly on popular websites such as social media hubs. These ads promise fast money, and are accompanied either by images of luxury or made up testimonials. Clicking on them redirects users to a so called robo-scam website, where a simple registration process will require from you a telephone number and email address. We assure traders, that once these details have been shared, they will shortly get a call from the broker or brokers, on whose ad you just “stumbled”; this is when the game begins. The voice on the other end of the line will urge you to deposit in their broker some $250 (approximately), by reassuring you of the possibilities of profit, and the like.
Should you deposit, the initial scammer has just earned a hefty commission from this deposit. Now it’s time for the senior scammer to talk you into depositing more, by claiming that the only way to increase profits is to deposit more and larger sums. These second level frauds are great talkers, charismatic and influential, twisting their lies to sound like the absolute truth.
At some point or another, the trader will inevitably start suspecting something, and will want to withdrawal his/her funds.
However, the scammers have anticipated this development, and are ready to counter any withdrawal request. Typically they find excuses for delaying the request in the legal documents that hold specific clauses for these purposes. The reasons are many. One thing to remember is that all illicit brokerage firms will deny the withdrawal request for as long as they can, because of the imposed time limit traders have for filling a chargeback. Once the crucial due date is not met, any chargeback requests will be denied.
What to do if scammed?
Those of you who deposited using VISA and MasterCard will be glad to know that both companies have extended their chargeback time span to 540 days, especially if the reason for it is an online scam.
Scammers will steal directly from a bank account, if the traders has provided crucial details, like banking password or security code. If it get down to this, be sure to either block the account or change the password.
Sometime victimized users will stumble upon the so called recovery agents that promises to magically reclaim all lost investments, for a fee that is. Needless to say, they will not get back any of the lost funds, and will basically scam you a second time.