Beware! AeronFX 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.
AeronFX is one of the brands of an obscure offshore broker that we have encountered before. In this review, we will take a detailed look at why it is advisable to invest through a more established brokerage.
AeronFX Regulation and safety of funds
|Guaranteed Funds||Segregated Accounts||Negative balance protection|
|UK regulated brokers||£85 000||Yes||Yes|
|EU regulated brokers||€20 000||Yes||Yes|
|AU regulated brokers||No||Yes||Yes|
|US regulted brokers||Yes||Yes||No|
The most important information about a financial services provider is its regulatory status. Licensed brokers provide detailed information about which company runs them, where it is based, which jurisdictions it is authorised in and which regulatory bodies oversee its activities.
The website lists two companies based offshore – Aeron Marketing Llc, incorporated in Saint Vincent and the Grenadines (SVG), and Aeron Limited, incorporated in Mauritius.
You can read a review on the second company here.
AeronFX’s client agreement states that we are dealing with the broker based in SVG.
While this country has a financial regulator, unlike other offshore areas, it does not regulate the activities of forex and CFD brokers. Тhe local Financial Services Authority has repeatedly issued warnings on this issue.
Due to the large number of scammers taking advantage of this lack of regulatory oversight, starting in 2023, the financial authorities in the SVG began requiring international brokerage firms registered in the country to provide proof that they hold the necessary licences in the jurisdictions in which they provide financial services.
If you have decided to invest in financial instruments, and especially if you are a novice trader, you should use the services of a licensed broker based in a jurisdiction with strong regulations.
Depending on your location, it is advisable to choose a company that is regulated by an institution such as Commodity Futures Trading Commission (CFTC) in the US, Australian Securities and Exchanges Commission (ASIC), UK’s Financial Conduct Authority (FCA) or some EU regulator like Cyprus Securities and Exchange Commission (CySEC).
Clients of these brokers receive protections such as negative balance protection and segregation of the client’s funds from the broker’s funds. In the EU and the UK, brokers must also participate in guarantee schemes that cover a certain amount of the trader’s investment if the broker becomes insolvent.
AeronFX Trading software
|Analytical tools||Auto trading||Custom indicators||Mobile apps|
|AeronFX MT5||50+ indicators||✅||✅||Android and iOS|
|MT4||30+ indicators||✅||✅||Android and iOS|
|MT5||50+ indicators||✅||✅||Android and iOS|
|cTrader||40+ indicators||✅||✅||Android and iOS|
AeronFX offers traders the industry’s most popular platform, MetaTrader 5 (MT5).
You could always use the services of a regulated broker, the vast majority of which offer clients MT5 or the still very popular MT4.
AeronFX Trading instruments
AeronFX offers a respectable number of tradable instruments including forex, indices, commodities, equities and cryptocurrencies. But we don’t find a detailed description of trading parameters like you’ll find on the websites of more established brokers.
AeronFX Spreads and cost of trading
AeronFX offers two types of accounts. With one, the trader only pays a spread of about 1-1.2 pips, and with the other, the spread is raw, but there is a commission of 6 USD per lot. These are relatively competitive levels, but not enough to prefer AeronFX over the industry leading brands.
AeronFX Maximum leverage
|UK regulated brokers||30:1||5:1||❌||10:1||10:1|
|EU regulated brokers||30:1||5:1||2:1||10:1||10:1|
|AU regulated brokers||30:1||5:1||2:1||10:1||10:1|
|US regulated brokers||50:1||❌||❌||❌||❌|
AeronFX offers leverage up to 1:500 for forex and 1:100 for other financial instruments.
Regulated brokers do not offer such levels to retail traders as trading with high leverage carries risks of sudden and excessive losses.
If you are willing to take the risk of trading with high leverage and benefit from bonuses and promotions, the best option is to invest through an offshore division of an established brand.
AeronFX Deposit and withdrawal methods
|Deposit time||Withdrawal time||Price|
|Crypto||24 hours||24 hours||Fee depends on crypto|
One of the most questionable things about AeronFX is that it only allows deposits with cryptocurrencies.
While there are some leading brokers that accept digital currencies like Bitcoin, they do so alongside other transparent payment methods such as credit/debit card, bank transfer or popular e-wallets like PayPal, Neteller or Skrill.
AeronFX Minimum deposit
AeronFX requires a minimum deposit of 10 USD. For an equivalent low amount you could open a Micro or Cent account with some of the industry’s leading banks.
AeronFX Withdrawal requirements
|Trading volume||Fee/Tax on withdrawal||Minimum withdrawal|
|UK regulated brokers||No||No||No|
|EU regulated brokers||No||No||No|
|AU regulated brokers||No||No||No|
|US regulated brokers||No||No||No|
The minimum withdrawal amount is 100 USD. If the account has used a bonus, it can withdraw profits only after they have reached the amount of 100 USD.