Beware! Goldsteininvest 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.
Goldsteininvest gives a promise to potential traders that it will help them get the most out of trading. How much of this is true, though. And would trading with this broker be really beneficial for you. We look for the facts.
Goldsteininvest Regulation and safety of funds
Goldsteininvest is a curious mixture of geographical locations and regulations. First of all, the address of the broker is to be found in the Marshall Islands which is an offshore zone for forex trade. What we know about this jurisdiction is that there is no official regulator for forex brokers and practically anyone can register a company over the Internet. Maybe that explains the fact that the governing laws in case of a dispute between the company and the client are those of Estonia. In addition to that, Goldsteininvest claims to be regulated by the Financial Conduct Authority (FCA), the official regulator for UK brokers and the Cyprus Securities and Exchange Commission (CySec). We checked the registers of both regulators and the name of the company did not appear in either of them. All of the above is sufficient proof that Goldsteininvest is a non-registered and non-licensed broker and most probably a scammer. Needless to say, entrusting your precious money to this broker will expose them to the risk of losing them.
If you are interested in trading with brokers from the EU and the UK, we can provide you with some background information that will hopefully help you make your choice. First of all, you must know that FCA and CySec are strict regulators and forex brokers must meet some stringent requirements to get their license. They must invest no less than 730,000 EUR initial capital which is a good way to keep scammers out. Also, forex brokers must keep their clients’ funds segregated from their own with tier-1 bank establishments, provide negative balance protection, keep leverage that is not higher than 1:30 for forex currencies, report transactions on regular basis, conduct regular internal and external audits, etc. The difference between EU and UK brokers exists in the way how the compensation funds or schemes are set up. UK brokers are required to participate and deduct funds towards the local Financial Services Compensation Scheme from which clients can be repaid up to 85,000 GBP per client in case of bankruptcy, whereas EU brokers participate in a local investor compensation fund that provides up to 20,000 EUR per client if the broker goes bankrupt.
As you can see, these are excellent conditions for trade with brokers from the above-mentioned jurisdictions.
Goldsteininvest Trading software
Goldsteininvest trades in indices, commodities, stocks and oil. The broker has set up a Sirix web trader and MetaTrader 4 trading platforms. Below is the image of the MT4 platform which shows the trading products and navigator on the left-hand side of the screen and the display of charts of selected trading products. In this case, you can see displayed 4 charts of 4 forex currency pairs shown with the fluctuation in price in a given time frame. We must say that MT4 is an excellent choice of a trading platform that offers a fine package of trading tools and instruments, such as an auto trading option, VPS, code base with customs scripts, trading signals, an app market, etc. A key feature of this platform that keeps it still popular with many brokers despite being launched 15 years ago is the charting options which offer a variety of charts, time frames, colours and even the option of creating customised templates. Combined with the array of technical analysis indicators, they help the traders predict the future direction of exchange rates and make a profit.
Taking a closer look at the top-left chart, we see that this is the EUR/USD currency pair and from its bid/ask price we calculate that the spread is 1.2 pips which is below the industry average and it means that the cost of transactions won’t be too high and traders will be able to achieve a sustainable profit. Looking at the parameters for the leverage which are shown in the image with the trading accounts information, we see that it is given as 1:50. For your information, in the EU and the UK, there are limitations on leverage and it cannot exceed 1:30 for forex currencies. This is another proof that this broker claiming to be regulated by FCA and CySec is non-legit.
Goldsteininvest Deposit/Withdrawal methods and fees
The image below shows us that there are 4 trading accounts available to Goldsteininvest clients – Mini, Standard, Gold and Platinum. The minimum initial deposit for the Mini account is $500. The other accounts start at $5,001, $50,000+ and $150,000+ respectively.
From the information available on the Goldsteininvest website, we understand the payment methods include credit card, Union Pay and WebMoney.
Unfortunately, there is no information on the company’s website explaining what the minimum withdrawal amount is or if there are any deposit/withdrawal fees.
How does scam work?
Scam works in different ways. It could be either that you receive an unsolicited telephone call or you see one of these flashy ads on the Internet or the social media promising you a quick and easy profit. Scammers will promise you the sky and the earth until you give way to temptation and deposit money. Once you give them money you get caught in the scammers’ mousetrap and the cheese in the shape of a big fat money fall is gone! It may take some time before you realise that you are being scammed. Scammers are smooth talkers and they are masters of deception. They will give you some excuses as to why the big profit hasn’t come yet and will try to lure you to make even a bigger investment because according to them, the more you invest, the more you profit. After you have been waiting for a while and you finally come to your senses, you realise that you are being scammed. All you want now is to get your money back and get out of there. However, the scammers won’t make it easy for you! They will try to delay you so that you miss the deadline for applying for a chargeback.
What to do if scammed?
There are a few things that you must do immediately – file for a chargeback if you have paid using a VISA or MasterCard. Those two payment providers allow you 540 days time frame within which you may file for a chargeback.
However, the chances are grim if you have used bank transfer or Bitcoin as a payment method. There is no chance you’ll be able to recover your money.
In such a desperate situation, some so-called ‘recovery agents’ may approach you with offers to recover your money for a fee. Be cautious as you may be dealing with another type of scammers. Always check the information about the recovery agency – make sure it is legitimate and transparent in the public eye. Also, some scammers publish personal comments after our review about how they have been scammed and how they found a recovery agent who helped them get their money back. Do not trust such comments and do not use the published contact info in them as it will lead you to another scammer!
And lastly, a reminder to cancel your credit card if you have given your CVV code to the scammers and erase any software from you PC that gives the scammer access to your personal data.