Beware! Damas Group Markets 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.
Damas Group Markets is one of the most laughable attempts at scam we have reviewed in some time. While at a first glance their website does not look half-bad (especially considering how little time and money scammers are usually willing to spend on a decent website), it literally took seconds to find out that half of the buttons were not working because the website is clearly unfinished. Such vital resources as the Terms and Conditions and FAQ were not accessible. Our browser also warned us that the connection is not secure which is never a good sign. There were however far bigger problems with Damas Group Markets than the shady website. Read the review to find out what we discovered.
Damas Group Markets REGULATION AND SAFETY OF FUNDS
Damas Group Markets is quick to claim that it has been regulated by various regulatory bodies – the FCA (the UK), ASIC (Australia) and DFSA (United Arab Emirates). We have no idea why they would state that as it is very easy to check the registers of all of those regulators and establish that this broker is in fact not regulated anywhere.
Companies with similar names did appear but none of them was the broker in question.
As for contact info, Damas Group Markets have provided an address and a phone number in Canada. Of course, we could not get a confirmation that they are registered there either. So in conclusion – this broker is not regulated by any regulatory body but claims to be which is a big enough offense on its own and enough to prove you definitely should not be investing your money with them.
Working with a registered broker comes with many perks. Brokers in all of the countries Damas Group Markets claims to hold a license in, have to maintain some sort of minimum capital to prove they won`t just be crushed under the weight of the market and can survive in case of unforeseen events. That minimum capital is €730 000 for the UK, $1 million for Canada and A$1 million for Australia. Licensed brokers also have to participate in compensation schemes – in case one of them goes bankrupt, their client could receive compensation of £85 000 in the UK and $1 million for Canada. So choosing a regulated broker is simply the smarter, safer decision.
Damas Group Markets TRADING SOFTWARE
Damas Group Markets claims to use not one but three different trading platforms – the established MetaTrader 4 and MetaTrader 5 and a web-based platform called cTrader. That was mentioned at one spot on the website but Damas Group Markets only makes sure to heavily advertize MT5 everywhere else. What software the broker actually uses, we could not discover, as the promises of a demo account were foul – the website would not allow us to set up any sort of account.
Mentioning MT4 and MT5 is probably just a market trick directed at inexperienced traders who only know that those platforms are highly functional and well-respected. They both do offer a lot of great tools for trading – from Expert Advisors to the possibility to buy a VPS that keeps those EAs operating even when your computer is turned off. But there are, of course, far better brokers out there offering those platforms and you should check them out instead.
Damas Group Markets TRADING CONDITIONS
Damas Group Markets offers the choice between three different account types but the situation there was a bit weird. The VIP account was the one with the lowest leverage – 1:100 – while the standard one had the leverage of 1:400. Both of these are actually too high – the standard in the UK and the EU is 1:30 while Canada still has not imposed any restrictions. But most brokers, even scammers, usually offer higher leverage for their more pricy VIP accounts and stick to lower values for standard accounts. High leverage is dangerous – it increases the chance to win a lot of money very fast because it increases your trading potential. With that comes the risk of losing equally big, equally fast. So you should be extra careful if a broker claims to be regulated by a respected financial authority while at the same time offering leverage as high as 1:400.
The information about spreads on all three account types was the same and equally unclear – the spreads were only advertised as “Fixed Spread/Variable”. Maybe if Damas Group Markets have bothered to finish the website or have allowed us to open a demo account, we would have been able to say more but that is currently impossible.
Damas Group Markets DEPOSIT/WITHDRAWAL METHODS AND FEES
As for the minimum deposit, the website itself did not give any information but that was revealed while we were trying to open an account. The deposits for Damas Group Markets start from $3000 which is an incredibly big amount of money considering that most brokers would not go over the sum of $250 for a basic account. But, of course, there are also ones that would open an account for as little as $10.
As for deposit and withdrawal methods, we were offered to use a variety of such – Visa, MasterCard, Skrill, Neteller, FasaPay, Bitcoin, UnionPay and ecoPayz. But we hope it has become quite clear by now that you should definitely not trust these scammers with any sort of money.
We could not access the Terms and Conditions of Damas Group Markets to give more thorough information about fees and withdrawals. It is enough to know though that this broker offers bonuses – a “100% deposit bonus” and a “30% trading bonus”. Again, they did not bother to elaborate how we could qualify for those bonuses but the very mention of such would be inconceivable for a legit broker – bonuses are strictly prohibited in the UK, the EU, Australia and Canada.
HOW DOES THE SCAM WORK?
Such scams work in a simple but effective way. You see a banner or an ad on the Internet and get redirected to the scammer’s website where you get all sorts of promises for earning money the fast and easy way. You get led on by fake license numbers, satisfied customer testimonials and grand words. So you provide your contact details – an email and a phone number.
The moment this happens, the first wave of scammers comes into play. You get bombarded with phone calls and emails asking you for a deposit. So you send that deposit and with time, you might start to see that you are turning a profit and wonder if you should invest bigger sums. This is in fact a deliberate trick because the scammers are trying to milk you as much as possible before you figure out something is not quite right.
The problem emerges when you try to get access to your money. The scammers might come up with different reasons why that cannot happen like making up more and more additional taxes. They might claim you cannot draw money because of some clause in their Terms and Conditions which is why you should always read those carefully and know what you are agreeing to. Finally, they might ask you to verify your account by sending them your picture next to a personal document or proof of address – something legitimate brokers also do as soon as you open an account with them. But in case you are dealing with fraud, this is done just so they can prove that you are indeed their client. In this way, they can claim that you have invested all your money voluntarily and make it impossible for you to demand a chargeback later on.
WHAT TO DO IF SCAMMED?
You should contact your bank or credit/debit card provider right away and ask for assistance. If you have used a credit/debit card to deposit, you could file for chargeback within 540 days. In case you were using a cryptocurrency, there is virtually no way to get your money back. If you have given scammers access to your computer or your banking details, you should make sure to change any passwords right away. You can also contact authorities and try to inform as many people as possible about the scheme you fell victim to.
Finally, you should never trust any companies that promise you a quick way to get your money back. Such “recovery agents” might ask you for a fee to retrieve your investment and run off as soon as they have received that fee. Often enough, they are the same people that scammed you in the first place.