Beware! Proquote27 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.
Proquote27 is an offshore Forex broker having a lot in common with many confirmed scam brokers, but most importantly, it’s their contact address. Suite 305 in the Griffith Corporate Centre in St. Vincent and the Grenadines is known to be an address where you can find countless dodgy comapnies, linked with scam brokers, tax evasion, money laundering and so on. Proquote27 doesn’t look like a true Forex broker upon the first look at their page, starting with the annoying add that welcomes you. Also, there are other functional problems with this broker which you will find in the full Proquote27 review.
Proquote27 REGULATION AND SAFETY OF FUNDS
Proquote27 is a shady offshore Forex broker which is solely and exclusively operated by Empire Capital LLS, which is a company allegedly registered in SVG. The precise contact address is as follows: Suite 305, Griffith Corporate Centre, Beachmont, P.O. Box 1510, Kingstown, Saint Vincent and the Grenadines. We’ve seen this address used by many other suspected and confirmed scam Forex brokers, such as Coinsoft, Optical Invest or Investactive, just to name a few. Dodgy companies such as Hanabishi Partners LTD and Lengvin Partners LTD, which are linked with even more scam Forex brokers, are also headquartered there.
SVG is an offshore zone with very simple and ineffective financial regulatory regime. The retail Forex activities are not supervised in any way, and the island itself confirmed that no rules or regulations are going to be implemented in the foreseeable future.
Your funds are not safe if you make a deposit with Proquote27, it’s an unlicensed, unauthorized and unregulated Forex broker, and you should avoid it! The thing with the offshore Forex brokers is that these do not offer any protection to the funds of the customers, they might cease to exist tomorrow, causing many troubles to the traders.
If you are looking for a reliable, true Forex broker choose between the CySEC(EU) and FCA(UK) regulated companies, which are among the leaders in the retail Forex industry. The customer protection policy is placed on top of their priority list, not because they want to, but because they have to. In these jurisdictions the Forex brokers have to comply with many strict rules and regulations, such as minimum capital requirements of 730 000 EUR, personnel qualification standards, segregation of the clients accounts etc. But most importantly, there are money protection schemes in operation, such as ICF in Cyprus and FSCS in UK, which guarantee the deposits of the traders. Under CySEC(Cyprus) supervision you can claim up to 20 000 EUR in compensation, while in UK under FCA you are guaranteed of even up to 85 000 GBP. Each EU member state is compelled to create and further operate similar insurance funds, which are seen to be the last resort for the traders, in case a Forex broker faces difficulties to meet its financial obligations.
Proquote27 TRADING SOFTWARE
Proquote27 claims to offer Metatrader4 accounts, Metatrader5 are not available. However, they fail to provide the customers with any functional trading platform whatsoever. We tried to download their Desktop edition, but unsuccessfully, also the web trader provided seemed to be broken, as well.
Here is the result of our download attempt, they wanted us to deposit money with them first, what an absolute scam sign and a red flag!
Here is the web trader, the login process turned to be very mysterious one, we tried really hard but our efforts were in vain because we couldn’t access the platform!
The EUR/USD spread is supposed to be 0.2 pips, and the leverage level is up to 1:500. We do not recommend using insane levels such as 1:500 because it’s no longer trading, but gambling. The risks are enormous and it’s more likely to lose your money in a single bad trade than to make profits consistently.
In EU and UK, for example, there is a leverage cap imposed, provoked by the gambling nature of the high-leverage trading. ESMA, the European security markets regulator, launched a product intervention in the retail Forex market, placing a ceiling of 1:30, as a customer protection measure. The data showed that the traders and investors with little or no experience tend to be attracted by the increased leverage, which results in greater losses for them. Our strong advice for you is to stop looking for brokers offering 1:500 or 1:1000, because you will most probably end up making a deposit with scammers.
Proquote27 DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit required is supposed to be 1000 USD, if we are going to believe their Account Types page. Proquote27 T&Cs do not include such important topics as deposits, withdrawals or fees. It is a huge red flag and a warning to the traders, do not open accounts or deposit money with Proquote27, it doesn’t act like a true Forex broker. There are too many scam signs!
The funding and withdrawals methods are only two- Credit/Debit cards or wire transfers. No fees or commissions payable to Proquote27 for money transfers. No minimum withdrawal amount specified.
No dormant account policy or fees for inactivity known. Proquote27 withholds too much information from the traders, do not deal with this Forex broker and report immediately if representative of theirs contact you!
No bonuses or other trading incentives offered, also no partnership programs introduced.
HOW DOES THE SCAM WORK
A group of scammers usually operates many different scam brokers, scam websites and call centers. Sometimes they will simply rely on the quantity, they will publish tens or hundreds of websites and will just wait for traders and investors with little or no experience to bite. Nowadays, it’s very cheap to create one, and it looks like a profitable strategy, as they carry on doing it.
Fraudsters are working in the social media nowadays, an increasing number of scammers will first introduce their “services” to the people through Facebook or Instagram. You will click on a page, promising a lush lifestyle if you follow their example, they will contact you, probably offer you a demo account and after some time you will be tempted to invest and make guaranteed profits. Once you are signed-up they will ask you to deposit money and this is just the beginning, because gradually they will be asking for more, no matter if you lose or make profits. The end is always the same, a robbed-off investor who lost his hard-earned money.
WHAT TO DO WHEN SCAMMED
No one is immune to scam, anyone can fall into the trap. Scammers are constantly looking for new and different ways to scam consumers. What you need to do first, in case you got scammed, is to protect yourself from further risks. Contact your bank and explain to them your situation, they will give you important instructions to follow and will help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing. Seek help actively!
Share online your experience, it is important to protect others, as well. Be responsible!