FVP Trade Review – 5 things you should know about fvptrade.com

FVP Trade Review – 5 things you should know about fvptrade.com

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Beware! FVP Trade is an offshore broker! Your investment may be at risk.

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Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.

 

The array of awards and recognitions on FVP Trade’s website is impressive as well as all the assurance about traders’ safety of funds and brilliant trading options. How much of this is true, we are about to find out by looking at some key features.

FVP Trade Regulation and safety of funds

From the company’s website, we understand that the website is managed by FVP Trade Ltd which is a subsidiary of FVP Holdings registered and regulated by the Financial Conduct Authority (FCA) in the UK. Immediately we checked the FCA register to verify this information. Our search (screenshot below) shows that such a company does not exist in the FCA register. This is proof that the information on FVP Trade is a lie and this broker is non-registered, non-regulated and is possibly a scam. 

Furthermore, we found in the Terms and Conditions that the governing law of the agreement is of St Vincent and the Grenadines which is an offshore zone for forex trade and there is no forex brokers’ regulation body in this jurisdiction.

 

 

If you look at this company’s interface, one of the things you will notice is that it claims that clients’ funds are kept in segregated accounts and will be safe in the event of broker insolvency. This claim is also false because in the Terms and Conditions we found a clause that contradicts that statement (screenshot below). It states that the clients’ money will not be segregated from the company’s and what is even more worrisome is that the client will serve as a creditor in case of bankruptcy which means that clients’ money will go to cover any losses the broker may suffer. We hope that we have provided you with enough reasons why you should not trade with this broker.

 

 

If you are looking for safe ways of trade and protection of your funds, you should direct your attention towards the well-established jurisdictions of the US, the EU, the UK and Australia. Only in these jurisdictions, you will find measures that protect you from scammers and provide a guarantee for the safety of your funds. One of the requirements for getting a license in these jurisdictions is the fact that brokers must be well-capitalised and provide huge amounts of money in the form of initial capital. The US is on the top of the list by demanding $20 million from its brokers, followed by Australia – 1 million AUD and the EU and the UK where the initial capital is the ‘modest’ amount of 730,000 EUR. However, the EU and the UK are not to be ignored where clients’ conditions are concerned because only in these two jurisdictions clients can be compensated if the broker goes bankrupt. For example, in the UK, brokers regulated by FCA must deduct funds towards the local Financial Services Compensation Scheme from which their clients can be reimbursed up to 85,000 GBP per person. In the EU, brokers regulated by CySec that contribute to the local Investor Compensation Fund will provide up to 20,000 EUR per person in the form of compensation for their clients.

In all the above-mentioned jurisdictions, brokers must keep clients’ accounts segregated with tier-1 bank establishments to provide additional safety for their funds and they must report on a daily basis their transactions to provide transparency.

You won’t find better conditions than these ones, so please, use the links above and do your research to select the best forex broker for your trading needs.

FVP Trade Trading software

 The trading software FVP Trade offers to its clients is MetaTrader 4. We must say that this is an excellent choice of a trading platform as the MT4 is reigning strong despite its old age of 15 years. This platform comes equipped with one of the best packages containing trading tools and instruments among which we can mention the auto trading option, the trading signals, the code base with customs scripts, the app market, VPS, etc. Its charting options are second to none and contain many charts to choose from, time frames, colours and even the option of creating personalised templates. Also, we must mention the array of technical analysis indicators, such as Fibonacci retracement, moving averages, Bollinger Bands, etc., that help traders predict the future direction of exchange rates and make a profit.

However, we could not open a live account as we did not want to provide the scammers with personal and financial information, so we do not know how the parameters of the platform are set by this broker.

When considering a trading platform, we advise you to look for parameters that offer low spread (the industry average is 1.5 pips) and low leverage. Licensed brokers in the EU and UK cannot exceed leverage of 1:30, and in the US, leverage over 1:50. Using low leverage reduces traders funds’ risk exposure in case of unsuccessful transactions, the financial loss will not be staggering.

FVP Trade Deposit/Withdrawal methods and fees

Apart from a live and a demo account, it is not clear what other types of trading accounts exist. Normally, with licensed brokers, this information will be visible and readily available on the company’s website, but not in this case though.

What we found, however, is that there exist a big variety of payment methods, including credit card, Sofort, Giropay, BPay, Neteller, Skrill, WebMoney and bank wire, to mention a few. The minimum deposit amount is $5 with no fees.

The withdrawal methods are the same as the deposit ones with the same minimum withdrawal amount of $5 and no fees. However, we could not verify this information through the life account. However, we are not sure if the withdrawal information is accurate because it looks like it just copies the deposit information. Normally for withdrawals, the withdrawal request processing time will not be instant with some of the methods, so we cannot accept it as fully accurate.

You should also know that this broker offers welcome bonuses. This is again proof that this broker is not regulated by FCA because FCA licensed brokers do not offer bonuses or any other free gifts.

The welcome bonus consists of $100 if the client deposits $200. However, the condition is that in order to withdraw the bonus amount, the trader must trade 6 standard lots withing 1 month. This is not as easy as it may look and our advice is not to get tempted and accept any bonuses as they may seriously mess up your funds.

How does scam work?

Actually, it’s quite simple and people often fall into the trap of experienced scammers. We bet you have seen those attractive ads on the Internet promising big and quick profits over a short period of time. Just provide your personal information, and voila! The scam brokers are waiting for you and you will be inundated with phone calls promising easy profit. Tempting, right? You think ‘ok, I can spend $200-300 and see what profit it brings me’. Congratulations, you just provided a fat commission for your scammers that will be distributed down the food chain. Now you have ‘graduated’ to be handed over to a senior ‘broker’, a smooth talker who will try to convince you that there is no more perfect time like now to invest more money. After all, you want to make more profit, right? However, something starts to feel off and now you start asking yourself questions and all you want is to withdraw your money and get out fast.
Unfortunately, it is too late! Someone has pulled the cheese and you are trapped because scammers don’t give up easily. Scammers will do anything in order to delay you so that you miss the deadline for a chargeback.

What to do if scammed?

Our advice is to immediately file for a chargeback if you have been lucky enough to make your deposit via credit card. VISA and MasterCard allow for 540 days chargeback period, so you still have a chance to get your money back.
Things don’t look so good if your currency of choice has been Bitcoin or bank wire. In that case, you may have to wave your money goodbye.
There are some other things that you can do in case of being scammed – cancel your credit card if you have given your CVV code to the scammers. Also, erase any software from your computer that gives scammers access to your private data.
Be warned, as well, that some so-called ‘recovery agents’ may approach you promising to recover your funds for a fee. It could be another form of scam where scammers prey on your misfortune. Should you choose to use one, you must make sure that you are dealing with a genuine and legitimate agency by checking their credential and company’s information and transparency.

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