Beware! LSS FX 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.
LSS FX Markets has the appeal of a genuine brokerage. Really, this firm can be dangerous, because is is able to fool the average internet user into thinking that it offers legitimate forex broker service. The website is quit a sight, nothing to strong or particular, it just looks professional. Yet, one look at the roots and core of LSS FX Markets and the initial positive vibe is slowly but surely killed off. replaced by your typical offshore/shady brokerage aspects that we have come to expect from such entities. Please read the review for the most important aspects of LSS FX Markets.
The registration process was simple enough, yet we had to wait some 15 minutes for the confirmation email to arrive in our mail box. After which we were given access to a trader area that was, nevertheless, blocked for it required a set of ID documents to be attached. This move is seen as a safe protocol with many legitimate brokers’nearly all of them want to verify their users before giving away access to live accounts. The case at LSS FX Markets is arguably a good move as well, however, seeing that the broker is shady and most certainly unlicensed, these circumstances can only bring LSS FX Markets’ score even lower. Furthermore, seeing that now we have to rely on the website for both trading and payment info, we urge users to note that all info in the website is not fully trustworthy.
Anyway, the site declares the leverage to be capped at 1:1000, while the spread is systematised in such a way, that the only lucrative cost of trade is unlocked only to VIP Account users, which is only available after a $5000 minimum deposit. Take a look for yourselves:
So the standards spread turns out to be 1.9 pips for the EUR/USD currency pair. This cost simply won’t do any good to no one.
The Home Page suggest completely other trading terms. In fact the entire website is riddles with shocking inconsistencies that will result in your confusion, as it happened to us. Thus we cannot vouch for any of the info that has been provided.
The assets that one can trade with are forex pairs, commodities, and indices.
The language of the website is English only.
LSS FX MARKETS REGULATION AND SAFETY OF FUNDS
The only information that we can work with, that is concerned with a license, is found, out of all places, in the registration process sub page. There a very simple sentence reads “Licensed in Saint Vincent and the Grenadines”.
This country does not regulate the FX market, which is clearly evidenced by the sheer number of scammer firms located on the islands nation, or claiming to be working from there. Thus a forex brokerage cannot possibly be licensed in the Caribbean nation.
Clearly, LSS FX Markets is NOT LICENSED by any entity, and as such is a risk to all investments.
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.
And anyway, LSS FX Markets has no legal documents what so ever. There is no better proof than this that LSS FX Markets is completely unlicensed.
LSS FX MARKETS TRADING SOFTWARE
The trading platform is supposed to be the MT5. Yet, as we reached the download link to the MT5, we were quickly stopped in our tracks by the fact that the offered here MetaQuotes software does not go under the broker’s name. Instead, the .exe file that we downloaded, through which the MT5 is installed, was owned by a liquiditysoftsolutions. First of all, this name has nothing to do with the current broker we are reviewing, and second, liquiditysoftsolutions has been mentioned before, in a review we did a while ago of of TrintFX. The aforementioned brokerage was, unsurprisingly, a scam, and LSS FX Markets seems to follow in its footsteps.
In the end, it turns out that not only is this brokerage completely unregulated, but it also lacks any trading software. This begs the question. what kind of a company is this LSS FX Markets, if not a brokerage one? Usually, the defining aspect for any legit FX trades offering website is its software through which one handles these trades. At LSS FX Markets there is no such thing, and as such we have no right to interpret this firm as a broker.
LSS FX MARKETS DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit is $50, but this only opens user to the Standard account, which we saw was of no use due to its high spread. However, as we mentioned in the intro of the review, the broker is packed with information disagreements applicable also the payment info. For example, the minimum deposit according to the Home Page is $200, while the classic account is free.
Considering this, all the info there, we can almost be certain, does not match what the user dashboard will reveal to verified users.
Anyway, the only withdraw info is that the fees are $10, and only applicable for user of the Standard account and the Pro account. It seem that LSS FX Markets really is pushing for that $5000 deposit.
We have not included the usual scammer broker provisions because there are none to speak of. The legal documents are missing, and we are left with the question, did LSS FX Markets really even think of including them at some point, or the idea never passed through their minds in the first place. No answer is needed, for it is not important. What matters is that LSS FX Markets is unlicensed and riddled with scammer elements, and therefore it is absolutely against our advice for you to make any sort of investment in it.
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.