FXGlobe Review – Is It Safe To Trade With A CySEC Regulated Forex Broker?
FXGlobe is one of the many Forex brokers that are situated in Cyprus under the regulatory framework of the Cyprus Securities and Exchange Commission. Cyprus continues to attract a large number of Forex trading companies due to the relatively open business environment and a low-cost tax structure, along with its presence in the European Union. Cyprus became an officially recognized member of the European Union during the early 2000s, which brought about a string of changes to the CySEC to ensure that the country conforms to the strict regulatory guidelines imposed by the EU on financial companies operating in the region. The CySEC has mandated a minimum capital requirement of at least €1 million, which may be increased according to an increase in client deposits. The CySEC performs routine audit of FXGlobe and other Forex trading companies to enhance financial transparency, which in turn help in reducing any instances of financial scams or broker malpractices. The CySEC, in its modern iteration, is seen as one of the leading regulatory organizations in the entire world, which adopts all rules and policies that are enforced by the European Markets in Financial Instruments Derivatives (MiFID) as per the ECB guidelines. FXGlobe enjoys a special status in the EU under the CySEC regulation, which grants it the ability to cater to the entire European Forex market through the European Economic Area (EEA) Agreement. The EEA binds together all European member nations that facilitate cross-border sharing of services without any need for additional licenses. We also take a closer look at the FXGlobe spreads, leverage, and account options through this carefully crafted FXGlobe broker review.
Recommended Forex Brokers
- Website: www.fxglobe.com
- Support: Tel: 357-25870060
- FXGlobe 7
- Omirou Street
- 2nd Floor
- Limassol 3095
What Is The Minimum FXGlobe Account Deposit Option?
FXGlobe only offers two different types of trading accounts, both of which operate on the no-dealing desk platform. For an initial deposit of $250, FXGlobe offers access to their Standard account, which is a regular STP account that offers a commission-free trading environment. Raw FXGlobe spreads for the Standard account is a bit higher than regular STP accounts, which can cost traders anywhere from 1.7 to 4 pips on the major currency pairs such as the EUR/USD and the USD/JPY. The company advertises a minimum spread of 1.7 pips, but we rarely found the spread to dip below the 2 pips mark during a majority of market sessions. The Standard Account enables traders to trade with micro lots with position sizes starting from 0.01 lots, which is subject to a maximum leverage of 1:400. FXGlobe has indeed covered the market for a high enough leverage, but $250 is a bit expensive when compared to $5 accounts that are offered by other leading Forex brokerages. The Standard account users can also indulge in a wide range of trading strategies without any limitations, with traders being able to use EAs, scalp, hedge, and trade the news without any major issues. If you are looking for a real ECN account, then you should be disappointed to learn that FXGlobe only offers the ECN Pro account for a minimum deposit of $25,000. The ECN Pro does offer a 0 pip spread guarantee with real-time spreads being consistent around 0.2 to 0.6 pips range, but the commissions are also higher with the company quoting at least $8 per lot round turn. Traders may be able to choose a regular ECN account for account deposits as little as $100, along with commissions starting from $4 per lot for round turn trading. The ECN Pro account also has a minimum contract size of 0.5 standard lots, which is once again higher than the minimum market average of 0.1 or even 0.01 standard lot sizes.
How Do I Make A Deposit & Are My Funds Safe Until Withdrawal?
The broker only accepts deposits and processes withdrawals for fully verified accounts. Clients can make a deposit through 15 different payment options, including major credit/debit cards, wire transfers, Skrill, Neteller, Payoneer, and other accepted payment portals as mentioned in the official FXGlobe website. Once you make a deposit, FXGlobe is required to deposit these funds in segregated accounts at top-tier banks in Europe, which are to be kept away from the company’s personal or corporate accounts that are designed to meet the broker’s operational expenses. CySEC has also made it compulsory for CySEC regulated Forex brokers to protect its traders through the Investor Compensation Fund (ICF), which is an insurance policy designed to compensate traders up to €20,000 if the Broker shuts down due to bankruptcy or other insolvency procedures. Such an insurance policy does prevent the need for worrying about the safety of funds, and when the time comes for withdrawing your profits or your entire trading capital, FXGlobe should honor your withdrawal request without fail. Of course, failure to follow the CySEC guidelines will indeed attract a range of penalties and regulatory sanctions, while traders are also free to contact the Financial Ombudsman or the CySEC directly for any complaints.
The Choice Of FXGlobe Platforms & Mobile Apps
Traders that are familiar with the MT4 trading platform will find it easy to transition into their trading accounts at FXGlobe, as the broker grants access its trading accounts through the tried and tested MT4 trading terminal. MT4 is available in different versions, with traders being able to trade the markets using the dedicated desktop trading platform, the WebTrader, and the FXGlobe mobile apps for the iOS and Android operating systems. Unfortunately, the broker does not offer access to any other third-party or proprietary trading platforms, which may be considered as a minor setback for a company that has a dependable set of trading accounts and a stable trading environment.
What Are The FXGlobe Promotions & Would We Recommend The Broker?
FXGlobe does not offer any bonuses on deposits, but they do provide access to free trading signals. The broker also offers rebates on its trading, which seems just about the maximum when it comes to free money. We usually don’t endorse the use of bonuses due to the extensive trading conditions, but some brokers may offer a free bonus without imposing any severe restrictions on trading. FXGlobe has a comparatively higher minimum capital requirement for its accounts, which are associated with high commissions and spreads. However, the broker does offer a genuine and reliable Forex trading account that is protected by the excellent CySEC regulation. Therefore, make sure that you compare different trading accounts and choose FXGlobe only if you are comfortable with the pricing and the overall trading conditions.