Beware! PlutoTrades 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.
PlutoTrades offers a very simple and limited website, that feels like it was crafted in days. It barely passes the test, and as such is definitely up there with other scammers. It’s always important to judge the website for what it is, because many times, as is the case now, it is a precedent of what’s to follow. And what’s to follow has been detailed in the review, so make sure to read it before investing! By the end of it you won’t feel the need to do so!
We tried to open an account with this broker, but we failed because the broker never verified our account application. This happens at times, and it means that the firm does not not approve us because it does not find us a lucrative target.
So we will have to rely on the website, and here rests the question: can we trust it? No, you cannot, so consider the following without accepting it in full. The promoted assets are forex currency pairs, stocks, options, and cryptocurrencies. And that’s about it, leading to the question what’s there not to trust? There are no spread or leverage values revealed anywhere, while the available assets are pretty much the most common ones.
PLUTOTRADES REGULATION AND SAFETY OF FUNDS
The firm gives away a US address, not the least in the city of New York. It makes no sense where one is; any and every FX broker must pass by the CFTC and NFA to be deemed worthy or not. Considering that there are only a handful of brokers legally operating in the US, all of which are huge companies, we can safely say that PlutoTrades is not one of them. In other words, the US address is a misleading and fake piece of information.
Other than that, we read in the legal documents that the user should make sure his jurisdiction allows the broker to operate. What the firm is telling its users is that they should check with the local licensors if PlutoTrades is regulated or not. Not only is this clause hard to find, but many clients will think that its inclusion is authoritative enough to mean that the broker is legit. Whereas, the reality is that when a firm is ambiguous about its legal question it means one thing only: that it is unregulated.
And so, PlutoTrades is completely unlicensed and a risk to all! Do not invest here!
If you are investing in an unregulated broker better not invest at all; at least in the latter occasion you will not be ensnared in an investment scam that will not only take your money but will greatly waste your time and energy. Better yet, if you have the will to invest, and either are skilled at it or want to expand your knowledge, there is no better way to go than any of the European, UK, US, or Australian brokers we have compiled for you. These are all regulated, and so are up to industry standards, but are also limited in the amount of freedom they can have by some of the top regulators!
PLUTOTRADES TRADING SOFTWARE
What we have here is a common thing that unlicensed brokers do. PlutoTrades advertises two things, a copy trader and some sort of a trading software.
But there is no proof of their existence, if you do not count empty statements as promises. There are no download links, no access links, nothing! And without a registration we cannot make sure a software exists!
Usually, registered users stumble on two things. Either an inadequate web trader, or a bunch of third party charts!
PLUTOTRADES DEPOSIT/WITHDRAW METHODS AND FEES
The following info is taken from the site, so there is no real reason to believe it. But we have included it in order to provide the user with the information necessary to finalize the review.
The minimum deposit is said to be $1000, which, as you might feel, is four times the average, and in this day and age is unacceptable. Here PlutoTrades is telling us that it is after the high roller. The legal documents mention in passing the availability of credit cards, debit cards, and wire transfer as the available payment gateways.
In much the same vague way the firm mentions payment charges, we assume, connected to withdrawals and deposits, but we have no way to make sure. Actually, the only way to do that is to invest, and doing so is out of question!
That is all the payment information we have for you today. The broker is completely unregulated and a risk to all of you! Stay away from this one!
HOW DOES THE SCAM WORK
Scams have surprisingly little evolved over the past decades since their inception. It’s basically the same principle being rendered through different sites and by a plethora of different agents.
The core remains the same. The broker tries to grab the client’s attention either by advertising false profit gains, or by directly contacting the user, who is the vastness of the internet let his guard down at some point and either provided an email or a phone number to some now forgotten source.
Should the user get contacted (or fall for the ads) he or she will be shown to the website of the investment fraud and promptly be pushed to invest, either by sweet talking representatives of the scam, or by the account manager which is also the one that keeps the whole thing in check.
The ultimate goal is to compel the user to invest once, and after that the trap is fully shut. The client already lost money, and any further investments are a bonus to the broker. All withdrawals will not be available, and even if the broker seems to be keeping a straight face, it’s all part of the scheme.
Sometimes the users will get a small teasing taste of profit, just so they are motivated to invest more. But after that one time is when most clients realize that something is wrong.
WHAT TO DO IF SCAMMED
The best thing to do is to file for a charge back with your credit or debit card provider, provided that you had previously invested via them. MasterCard and VISA have a chargeback period of 540 days, so its relatively easy to get reimbursed, and that’s why fewer and fewer scammer brokers are offering card payments.
An easier way to lose money is through wire investments. The only advise we can give you is to contact the bank as soon as the money has been lost (or when you realize you have been played). That and to change your bank account password and user name!
We come to the favorite investment methods of unlicensed brokers – crypto wallets. These are untraceable, and thus once a payment goes through it’s finished! There is no real way of getting one’s money back.
Also do not trust recovery agent or agencies promising to get your money back. These will fee you a hefty sum in return for their services, but as soon as you pay them they will disappear!