Beware! Hexinfx 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.
Although Hexinfx has made some effort to make its website look professional and attractive to potential traders, it is clear at first glance that some vital information is missing. We dig deep to answer the question of how safe it is to trade with this broker.
Hexinfx Regulation and safety of funds
From the website of Hexinfx, we find out that the address of the company Hengxin International Corp Trading Ltd that operates the website is in Barangaroo, Sydney, Australia. We searched the register of the Australian Securities and Investments Commission (ASIC), the official body that regulates the forex brokers in Australia in order to verify the registration of the company. We found out that a company with a similar name is indeed registered (image below) but there are differences in the name and the address. The address of the registered company is in Lakemba, not Barangaroo. We have doubts that Hengxin International Corp Trading Ltd is a clone of Hongxin International PTY LTD. We do not advise potential trader to engage with any trading activities with this broker as we suspect it is a scammer.
Australian forex brokers are strictly regulated by ASIC and they have to invest the impressive amount of 1 million AUD, keep their clients’ funds segregated and report their transactions on a regular basis in order to obtain their license. The downside of trading with Australian brokers is that there are no compensation funds or schemes and their clients need to rely on their brokers being well-capitalised to protect them in case of unfavourable events. Another fact that bears a potential risk in trading with Australian brokers is that there is no limit on leverage which is a potential threat to clients’ funds if they engage in reckless transactions. However, changes in the forex trade regulations are coming soon in Australia and in March 2021 there will be a cap on leverage imposed to mirror the one in the EU and the UK.
Hexinfx Trading software
Hexinfx is a forex broker trading in forex, indices, energy and metals. The trading software offered by Hexinfx consists of the MetaTrader 4 platform. MetaTrader 4 is still considered one of the best trading platforms in forex trade despite the fact that it was launched 15 years ago which for software is really old age. Its popularity among forex brokers is largely due to one of its key features – its charting options. The trader is spoiled for choice of different charts, time frames and colours, and even the option of creating customised templates that facilitate executing transactions. Among the other features of the platform, we must mention the excellent package of trading tools and instruments, such as the auto trading option, code base with customs scripts, trading signals, an app market, VPS, etc. Also worth mentioning is the array of technical analysis indicators, such as Fibonacci retracement, Bollinger Bands, moving averages, etc., that help traders predict the future direction of exchange rates and thus make a profit.
However, a platform is as good as its broker is reliable. We are alarmed to see on Hexinfx website that the leverage can go up to 1:500. Some newbies in forex trade may think that this is good as the high leverage amplifies the potential for making a big profit. However, given the fact that 70% of traders suffer loss in transactions, the reality is that the high leverage will multiply the exposure of risk for traders’ funds. We do not recommend trading by using high leverage for the sake of your hard-earned money.
Hexinfx Deposit/Withdrawal methods and fees
On the website of Hexinfx, there is no information about what trading accounts are offered to the clients.
The only information we could find is that the minimum deposit is $100 and there are no deposit fees.
What the payment methods are for making a deposit or withdrawal is unknown. We do not know if there are any fees for withdrawals or dormant accounts.
Needless to say, a self-respecting and legit broker will have all this essential information visible and readily accessible on its website. The fact that it is missing on Hexinfx does not inspire confidence in trading with this broker and we advise you to stay well away from it.
How does scam work?
If scammers make a movie, it will probably be called “Dream on”. They make everything sound credible and build their scam on your dreams of getting an easy and quick profit. People get duped if they decide to deposit money into one of the scammers’ schemes. What you probably do not know is that your hard-earned money goes as commission to the scammers. Next, you get inundated by daily calls. First, the scammers congratulate you for joining their business, next they try to persuade you to invest even more money. After all, the more money you send, the bigger money fall you can expect. This of course is not how things work. By the time you realise that no money is coming your way, it might be too late. All you want now is to get your money back and get out of there but the scammers have other plans for you and they won’t late get away so easily. Now they try to delay you so that you miss the deadline for a chargeback.
What to do if scammed?
If you get scammed, our advice is to act immediately and if you have paid your deposit via credit/debit card you may still have a chance. Visa and MasterCard allow you 540 days time limit to file for chargeback which gives you a fighting chance to recover your money.
However, if you have used bitcoin or bank wire for your payment, the chances of you recovering your money are really slim.
Cancelling your credit/debit card in case you have given the scammers your CVV code may be another good idea. Also, make sure to remove from your PC any software that my give scammers access to your private data stored on your computer.
Whatever you do to recover your funds, beware of the so-called recovery agents. Please make sure that you are dealing with a genuine one by checking their credentials and company’s information transparency. Otherwise, you may fall victim to another form of scam.