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

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CMC Trust wants us to believe that it represents a credible forex broker, but does not provide us with a convincing argument for doing so. Fact checking shows that CMC Trust is not a licensed financial services provider and it would be a mistake to trust it with your money. In this review, we’ll show you why it’s in your best interest to stay away from this website and direct you to more trustworthy investment intermediaries.

CMC Trust Regulation and safety of funds

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

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.

CMC Trust claims to be based in Switzerland, one of the jurisdictions with the highest regulatory requirements for brokers. But the home page of the website does not list a company name and does not provide details of a regulatory licence. The same applies to the text of the Terms and Conditions. Only the Bonus Policy mentions the name CMC Trust LLC. But the mere existence of such a document indicates that CMC Trust cannot be a licensed broker in Switzerland because, like other highly regulated jurisdictions, brokers are not permitted to offer bonuses there.

There is no broker with this name in the Swiss Financial Market Supervisory Authority (FINMA) database. In fact, we found no evidence that this legal entity actually exists.

If you intend to invest in financial instruments, you should beware of the many fake brokers lurking online. Always check carefully whether the broker you choose really has the necessary licences. There are numerous benefits to working with a company that is truly authorised and supervised by a regulatory institution such as the UK’s Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), Commodity Futures Trading Commission (CFTC) in US or Australian Securities and Investments Commission (ASIC). 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. These guarantees amount to up to 20 000 EUR in the EU and 85 000 GBP in the UK. However, the likelihood of such a bankruptcy is low because regulators also have significant net capital requirements that companies must maintain – EUR 730 000 in UK and Cyprus, AUD 1000 000 in Australia and at least 20 million USD in the United States.

CMC Trust Trading software

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

CMC Trust uses web-based trading software. While this platform has the basic functionality to place orders, it cannot compare to the capabilities provided by MetaTrader 4 (MT4) and MetaTrader 5 (MT5).

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.

CMC Trust Trading instruments

CurrencyStocksIndicesCryptoCommodities
CMC Trust
XMYesYesYesNoYes
FP MarketsYesYesYesYesYes
Octaxxxxx

Multiple instruments from all major asset classes – forex, equities, commodities, indices, cryptocurrencies – are included in the CMC Trust trading software. But as stated, there is no guarantee that this trading is real. If you want to trade financial instruments it is important to do so only through licensed and established brokers.

CMC Trust Spreads and cost of trading

CMC TrustXMFP MarketsOcta
Spread EURUSD20.61.20.9
Spread GBPUSD21.31.5x
Spread USDJPY21.31.5x

CMC Trust does not provide clear information on the pricing and order execution model, spreads and commissions. In the trading platform we see a spread of 2 pips, which is higher than the industry average.

CMC Trust Maximum leverage

ForexStocksCryptoGoldIndices
CMC Trust600:1100:110:1100:1100:1
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

CMC Trust offers leverage between 1:100 and 1:600 for different types of trading accounts.

This is not a level that you see with regulated brokers. Trading with high leverage allows higher profits, but also increases the risk of sudden and excessive losses proportionally. All leading regulators limit leverage for retail traders. In the EU, UK and Australia the maximum permitted level is 1:30 and in the US it is 1:50. This maximum level only applies to trading major currency pairs, with even more limited leverage for more volatile assets.

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.

CMC Trust Deposit and withdrawal methods

Deposit timeWithdrawal timePrice
Credit cardInstant24 hoursFree

CMC Trust only allows funds to be deposited via credit/debit cards through the obscure payment processor flutterwave.com.

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.

CMC Trust Minimum deposit

CMC TrustXMFP MarketsOcta
Minimum deposit$250$5$100$100

The descriptions of the account types specify a very high minimum deposit of 10,000 USD. In the deposit menu itself, a minimum of 250 USD is set, which is closer to the industry standard.

The leading brands in the industry offer beginner traders starter accounts with a very low minimum deposit. You have no good reason to take chances with shady brokers like CMC Trust.

CMC Trust Withdrawal requirements

Trading volumeFee/Tax on withdrawalMinimum withdrawal
CMC TrustLots=Bonus/3Not specifiedNot specified
UK regulated brokersNoNoNo
EU regulated brokersNoNoNo
AU regulated brokersNoNoNo
US regulated brokersNoNoNo

The bonuses offered by CMC Trust  are linked to very high minimum traded volume requirements – a number of lots equal to the deposit amount divided by three. Beyond this, CMC Trust does not provide information on fees and withdrawal conditions.

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