Beware! Forextron is an offshore broker! Your investment may be at risk.

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If we believe the claims on the Forextron website, this is an award-winning forex broker with over 10 years of experience. But Forextron does not provide us with any arguments to believe this. In fact, even a basic fact check shows the exact opposite – that this website is nothing more than yet another online scam. In this review, we’ll lay out the evidence that you shouldn’t trust Forextron with your money and offer more trustworthy alternatives.

Forextron Regulation and safety of funds

Guaranteed FundsSegregated AccountsNegative balance protection
Forextron
UK regulated brokers£85 000YesYes
EU regulated brokers€20 000YesYes
AU regulated brokersNoYesYes
US regulted brokersYesYesNo

When you visit the website of a legitimate broker you can expect to find clear and detailed information about the company that owns and operates it, where it is based and what regulatory regimes it is subject to. Licensed financial services providers are also required to provide a comprehensive set of legal documentation.

The links to the alleged Forextron Terms and Conditions are empty. According to the information on the homepage, the Forextron Ltd. company is based in the United Kingdom.

To operate as a forex broker in this jurisdiction, a company must hold the appropriate licenses from the Financial Conduct Authority (FCA). However, in the regulator’s database we do not find a license, but a warning to investors that Forextron is not authorized.

Before investing your money in financial instruments, it is imperative to make sure you do so through a licensed intermediary and not one of the many scammers lurking online.

If you want to trade on financial markets without being scammed, you can turn to some of the legitimate brokers that actually operate from established financial hubs like the UK. These brokers have to meet stringent requirements for financial stability and transparency of operations imposed by the Financial Conduct Authority (FCA). They must provide clients with negative balance protection and to participate in a guarantee fund that covers up to GBP 85,000 of a client’s investment should the broker go into insolvency. These brokers are also required to keep their clients’ money segregated from their own operating funds in separate bank accounts.

Forextron Trading software

Analytical toolsAuto tradingCustom indicatorsMobile apps
Forextron platform
MT430+ indicatorsAndroid and iOS
MT550+ indicatorsAndroid and iOS
cTrader40+ indicatorsAndroid and iOS

Forextron  promises the industry’s most popular trading platform, Metatrader 5 (MT5). But at the time of writing this review, there are no active download links for the software on the website, and registering a new account was impossible. We were therefore unable to ascertain whether Forextron  had any trading software available.

It should be noted that the presence of some kind of trading software is no guarantee that this is a genuine broker. Financial scammers often use rigged trading platforms to fool their victims that their money is actually being invested. However, this trading is entirely fictitious and the money goes directly into the scammers’ pockets.

It is advisable to contact one of the many legitimate brokers that offer MT5 or the still very popular MT4. These platforms have established themselves as leaders because they offer a wide range of features, including a wide variety of options for customization, multiple account usage, designing and implementing custom scripts for automated trading and backtesting trade strategies.

Forextron Trading instruments

CurrencyStocksIndicesCryptoCommodities
Forextron
XMYesYesYesNoYes
FBSYesYesYesYesYes
FXTMYesYesYesYesYes

Forextron claims to offer a vast number of tradable instruments across all asset classes, including cryptocurrencies. This is further evidence that Forextron could not really be a licensed broker based in the UK – the FCA prohibits the trading of crypto derivatives.

Forextron Spreads and cost of trading

ForextronXMFBSFXTM
Spread EURUSD0.611.1
Spread GBPUSD1.31.21.4
Spread USDJPY1.31.21.4

Legitimate forex brokers offer a variety of trading account types tailored to the needs of clients with different capital and investment intentions. These brokers also provide clear and detailed information on trading parameters – leverage, spread, commissions, order execution method, etc.

On the Forextron website we see a list of account types, but the three descriptions lack information on the basic parameters, including the trading price. Instead, we see promises of secure profits.

A genuine broker will not and cannot promise you guaranteed profits. In fact, licensed companies are obliged by regulators to warn their clients about the high risk of losses when trading financial instruments.

Forextron Maximum leverage

ForexStocksCryptoGoldIndices
Forextron
UK regulated brokers30:15:110:110:1
EU regulated brokers30:15:12:110:110:1
AU regulated brokers30:15:12:110:110:1
US regulated brokers50:1

High leverage creates the opportunity for more significant profit, but correspondingly increases the risk of sudden and excessive losses. All leading regulators therefore restrict leverage for retail traders. The FCA, like EU regulators, limits leverage to 1:30 for trading in major currency pairs and even lower levels for more volatile assets.

Regulated brokers offer higher leverage only to professional clients who must meet very high standards for capital and experience and forgo the guarantees enjoyed by retail traders.

If you don’t qualify as a professional trader but are willing to take the risk of high-leverage trading, the most viable option is to use the services of an offshore affiliate of an established brand.

Forextron Deposit and withdrawal methods

Due to our inability to register an account, we were unable to ascertain what payment methods Forextron uses. Experience has shown that fraudsters direct their potential victims to cryptocurrency transactions that do not allow refunds to be requested.

Legitimate brokers typically offer clients a wide choice of transparent payment methods, including bank transfer, credit/debit cards and established e-wallets such as PayPal, Skrill or Neteller.

Forextron Minimum deposit

ForextronXMFBSFXTM
Minimum deposit£500$5$10$5

Forextron  advertises a low minimum deposit, but the descriptions of the account types specify an amount of 500 GBP. This is by no means a low minimum deposit. Many of the industry’s leading brands offer starter accounts requiring ten or even a hundred times lower initial investment.

Forextron Withdrawal requirements

Trading volumeFee/Tax on withdrawalMinimum withdrawal
ForextronNot specifiedNot specifiedNot specified
UK regulated brokersNoNoNo
EU regulated brokersNoNoNo
AU regulated brokersNoNoNo
US regulated brokersNoNoNo

The lack of a publicly available Terms and Conditions or Client Agreement means that scammers may have set many traps such as hidden fees and impossible-to-meet  withdrawal terms.

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