Beware! GmtsMarkets 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.
After hundreds of reviewed brokers, we have reached a point in our career where we can create a statistically average shady broker, and it will probably bear a close resemblance to GmtsMarkets. The Home page of this broker has all the revealing elements: a poorly proportioned logo, a broken flash player section (here its the news feed), lack of regulatory information, and the list can go on. Truly a masterpiece of scammer mediocrity this is.
Trouble starts a brewing early on. Registrations are saved only to invitees. The sign up page has an Invitation field, that cannot be left empty. Yet we left it blank, for we were never invited by GmtsMarkets.
This tells us a lot of GmtsMarkets, that we could have only guessed at this point of the review. For one, GmtsMarkets picks its own users, which is a practice saved for suspicious firms, some of which having nothing to do with forex trading. Second, the election, if we can call it that, happens over the phone, meaning that the broker has somehow acquired your phone number without the consent of the user. You will find the rest of this scheme at the end of the review.
What the missing regulation means, is that all trading and payment info will be quoted from the website, and this is never a source to fully trust, seeing that GmtsMarkets is suspicious and probably a scam.
So the leverage is maxed a 1:200, while the trading instruments are forex currency pairs, crypto coins, commodities, and a number of undisclosed CFDs. As for a cost of trade, there was none to be found.
The website comes in English and Japanese.
GMTSMARKETS REGULATION AND SAFETY OF FUNDS
The closest one can get to any semblance of a regulatory detail is the alleged address in Australia.
The Aussie market is a huge one, and for that reason there is ASIC to regulate it all. Let’s get the obvious out of the way; GmtsMarkets is not regulated in Astralia.
The truth is that GmtsMarkets is NOT LICENSED anywhere, a conclusion easily reached even without considering the lack of a regulation.
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.
Another huge details that must be mentioned is that there are no traces of legal documents on the website. There is a section of the website entitled “Important Documents” which is a dead end. Sometimes, these legal provisions appear during the log in process, or the registration process, but in this case there was nothing.
There is not a legit company in the world that does not operate under some sort of agreement with its customers or partners. Their omission creates an empty space between the two parties involved, a sort of no man’s land, where rules are bended, usually to the liking of the provider or seller, in this case GmtsMarkets.
GMTSMARKETS TRADING SOFTWARE
We had no way to register, which puts us in a situation where we cannot access the trading platform. And even if we were able to, a little detail we found about tells us that the trading terminal is not as it seems. The website promises the MT4 yet he download link gives us an .exe file under an unknown name, one ghprime. This firm, or what ever it is, is in no apparent way connected to this here broker. And so the MT4 is out of the equation.
Considering that the MetaQuotes software is not available, we assume that there is no trading platform. The evidence to support this is the fact that GmtsMarkets is unlicensed, and as such erases any interest the broker has in providing a trader’s office.
How could you expect to be taken seriously if you do not have the one things that defines your essence?
GMTSMARKETS DEPOSIT/WITHDRAW METHODS AND FEES
Please be aware that we do not vouch for the information that the broker provides that concerns payments the like.
What we just wrote could be for nothing because there is no real and provable deposit nor withdrawal insight anywhere. Out of the entire website, the Home page was the one to give us, as far as we’re concerned, the only payment detail, that of the minimum deposit, which is said to be $500. If such is the case, this requirement is far to high for the casual trader.
As was made clear, the broker “forgot” the legal provisions. Recently, we were discussing whether it’s worse to have illicit clauses or no legal docs at all. On the one side you have some truly unacceptable clauses, while on the other you have nothing. The latter can be interpreted as total freedom to do as one wishes, which is what we incline to think. GmtsMarkets may start abusing its registered user, for the reason that no legal agreement stands in its way.
It’s important to keep this in mind, as well as the obvious verdict that GmtsMarkets is not worth you time and money.
How does the scam work?
The usual scam operates on a multi-level, though very basic model. The users will be tempted to click on an Internet ad promising quick and easy profits. If they do, it will take them to a website that will ask for their personal details, including email address and phone number. Once they submit this information, an avalanche of emails and phone calls will be unleashed. Scammers will promise the world to these potential traders in order to induce them to make an initial deposit between $200 and $300.
These “brokers” will get a fat commission from the deposited sums and will transfer the unsuspecting users to “senior” scammers. The latter are smooth talkers who will try to persuade users to invest more funds, using phrases like “now is the right time” and “the moment is perfect for making hefty profits”. Of course, these are empty words, and traders will soon have doubts whether they have not been played.
When they try to withdraw their money, these doubts will be confirmed: the con-artists will do anything to deny or at least delay their withdrawals. From trying to convince the traders that they are making a big mistake to withdraw funds now because they will lose big profits, to asking for additional documents or citing clauses in the accepted agreements, to transferring you to another department, there is a single objective to delay the users from filing for a chargeback with their financial institution and lose any chances of recovering their money.
What to do when scammed?
Anyone can fall prey to such a scam. In the unfortunate event this happens to you, there are a few things you can do. If you deposited using a credit card you should immediately file for a chargeback. In an effort to combat online fraud VISA and MasterCard have extended the period in which one can file a chargeback to a year and a half, so there is a big chance that you may be able to recover your funds. If however, you used a bank wire or bitcoin to deposit, chances to get your money back are almost none.
We should also warn against “recovery agencies” who prey on victimized traders by claiming they can recover their funds. These scammers will ask you to pay a fee for this service, but will only take your money and do nothing.