Beware! FXFixed 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.
FXFixed comes with a very attractive website, designed simply with overtones of quality in mind; this is what the broker aims to denote in users… We found out soon enough that many of the qualities can be reinterpreted as filler content, either to be easier for users to find it via a set of keywords or because the broker has not quite yet grasped the workings of the financial markets industry. Read the review as we will expose FXFixed for what it’s worth.
We are off to a rocky start as exemplified by the simple and fast registration procedure, which took us less that half a minute to complete. This is a sign that just anyone can open an account. What followed afterwards was a familiar client dashboard, one that we have seen innumerable times with scammer brokers! The only difference is the FXFixed broker logo in the top right. Everything else has been treated like a template.
After some nuisance with the trading platform(s), a bother we will explore further down, we opened an alleged proprietary platform. There we got a EUR/USD spread of 0.1 pip which is probably the best cost of trade, however it cannot be like this without some sort of commission. The leverage is capped at 1:500, i.e the most common offshore broker leverage. The trading terminal gave us the following assets: forex pairs, stocks, commodities, crypto, and indices.
Users can access the website in English, Vietnamese, and Spanish. A rather odd selection of languages.
FXFIXED REGULATION AND SAFETY OF FUNDS
The only clear mention that this broker might be regulated somewhere is its supposed registration in Hungary.
All brokers that are located the EU country must be regulated by the country’s national bank, the Magyar Nemzeti Bank. The institution’s website did not produce any results for a FXFixed.
So if the broker is not regulated in Hungary, and there is no other information on a location or regulation, then we must conclude that FXFixed is UNLICENSED, and therefore a risk to all those that invest in it. And anyway, as a EU based broker, FXFixed should not be offering a retail leverage higher than 1:30.
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.
Furthermore, for a broker registered in Hungary, why is the website made available in Vietnamese, but not in the local Hungarian?
FXFIXED TRADING SOFTWARE
The alleged MT4 is one owned by a certain tradingtechnologies, as seen from the .exe file. We have previously stumbled on this mystery firm with Pipsswap , a broker that turned out to be one of the most issue-plagued and scammer-like firm we had seen. The same there applies here: tradingtechnologies is not a part of FXFixed, and thus the MT4 is not available.
What we are left with in the end is the is a half-arsed web-trader abundant with issues but sweet on the eye. In fact, it is the exact same terminal as the one used by Pipsswap…
We have underlined something of interest to us. The Trading View is a third party chart provider that takes its asset spread from a different source, one that has no connection to FXFixed’s liquidity pool, if it even has one. So we can assume that the superb spread of 0.1 pip is provided by Trading View. What this means is that in essence, FXFixed has no spreads of its own.
Needless to say, turning to the surprising 0.1 pip, there are commissions, but they are not disclosed anywhere on the website. So, who knows what they are and how far they increase the actual trading cost.
According to the snip, we can assume that users are by default given access to the Gold Account, yet we hadn’t even deposited. This is yet another instance of total confusion that just propels the shadiness and our distrust of FXFixed.
FXFIXED DEPOSIT/WITHDRAWAL TIME AND FEES
As per the client area a user can deposit only via Credit card, a process which take 3 to 5 days, which is an unacceptable time for a payment method that takes no more than a minute to complete in normal circumstances. Furthermore, the website’s deposit area gives us a totally different payment gateway: ipaytotal claiming that payments are highly risked! We are not exaggerating; take a look:
The payment process in the client area allowed us to continue with just $1, which is the minimum deposit, as opposed to the $500 figure mentioned in the website (as seen on the snip above)
Withdrawal requests are processed within 24 hours, and the minimum amount in order to continue is $200 for credit cards and $500 for bank transfers. There is no mention of withdrawal fees. Before withdrawing, a user has to turnover the deposit according to the margin:
The broker does not charge a fee for dormant accounts. Instead, it deactivates an account that has not had any trades or has zero balance in it until the client contacts the broker.
There is a bonus system that can be applied to users, but there is no mention of any trading volume requirements. Instead, we have the following provision allowing the broker to modify and/or remove the bonus it gives a user without his/her prior notification:
The last clause is a classic one. The indemnification clause holds the broker free of any guilt, liability, user losses, damages, etc.
Even with no ludicrous provisions that are common to illicit brokerages, we still do not recommend this one to users. Do not deposit here!
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.
The internet is filled with ads, it’s the fuel of the industry, and a big chunk of said advertisements are misleading and some are downright deceitful. The ads concerned with unregulated forex brokers are often very promising, and most of the times utilize completely false claims of immediate profit. Those tempted enough will be redirected to a robo-scam website that further guarantees profits. The only thing that separates the user from the unrealistic promises is a fast registration process that requires a phone number and an email address. After inputting this info unsuspecting users will start getting phone calls from illicit broker representatives, whose one and only job is to initialize the scheme by pushing a trader to make that first deposit of around $250. After that’s done, the senior representatives will be calling. These expert scammers are extremely good talkers, and will start working on you to start putting even more money in. They say that the more money invested, the higher the profit will be. At this point most traders start seeing the big picture, and will want to withdrawal their money and get out fast.
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