Anyone who uses the internet is aware that scams happen online, yet you will find that there are thousands of people who still end up getting ripped off regularly. Millions of people around the world have suffered from online scams, including that of fraudulent and shady brokerages. The question is how do people fall for it when they know scams exist? The answer is that these scammers are aware of just how to draw people in and even the smartest and most cautious people don’t realize the truth until it is too late. This Swinexmarkets review can give insight into one such brokerage.
It is understood that you need to open an account with an online broker to trade in the financial markets. But, you have to bear in mind that not just any company will do. You have to look at their offerings and services to make the right choice. The challenge is to identify when scammers are just trying to draw you in by deliberately offering you features that you will find hard to resist. You need to be able to resist the temptation of signing up without thoroughly verifying every claim a broker makes. This is of the utmost importance in the case of Swinexmarkets as well, which is one of the options you will find at your disposal.
A globally recognized and award-winning brokerage, Swinexmarkets is considered a true industry leader, reputable, trusted and fair and offers traders access to thousands of instruments, leverage as high as 1:888 and access to several professional trading platforms, including the MetaTrader4 and the MetaTrader5. Furthermore, the brokerage also claims to be regulated in several jurisdictions, including the European Union, Australia and the United Arab Emirates. All of this would have been great if it were true.
The reality is that Swinexmarkets is nothing but a clone of one of the top brokers in the forex industry known as XM. This kind of scam is highly dangerous because it involves using the license and corporate credentials of regulated and legitimate brokers for winning the trust of their victims. There are some features of Swinexmarkets that can fool people into believing it is a trustworthy option. What are they? Let’s take a look at them first:
Low minimum deposit
First things first, the fact that you only need to make a minimum deposit of as low as $5 at Swinexmarkets often prompts people to consider signing up right away. There are four account types available here, which are Micro, Standard, Ultra Low and Shares. The minimum deposit starts at $5 and goes as high as $10,000.
Availability of MT4 and MT5
The most prominent offering of Swinexmarkets that can make it hard for people to resist signing up with the broker is the availability of both the MT4 and the MT5 trading platforms. These are known as the top trading platforms in the market that offer people top-notch technology, along with a wide array of tools and features, such as Expert Advisors, SQL scripts and analysis tools that can be immensely useful. This makes it a very appealing broker for traders because they can have access to the best trading solutions.
Variety of payment methods
Another appealing feature that people find hard to resist at Swinexmarkets is the variety of payment methods they will find. The brokerage is ready to accept a number of e-wallets as well as debit and credit cards. However, you should bear in mind that there is no way to verify this and there is a possibility that these options may not be available to you.
While these perks may definitely attract your attention, you need to realize that there are some prominent issues with Swinexmarkets that doesn’t make it a good option at all. What are they? You can go through them below:
No licensing and regulation
As mentioned above, the first problem that you will come across at Swinexmarkets is that it is a clone website, which means parts of its website have been copied from the XM website. Moreover, the brokerage tries to convince people that it is somehow connected to Trading Point of Financial Instruments Limited, which is an authentic company that owns and operates the XM brand.
The brokerage claims to be licensed in several jurisdictions, as stated earlier, but you need to verify this. When you comb through the online registers of the Australian Securities and Investment Commission (ASIC), the Cyprus Securities and Exchange Commission (CySEC) and the Financial Conduct Authority (FCA), you will not find Swinexmarkets listed anywhere. This shows that the company is clearly lying about being regulated, which is a major red flag.
No Terms and Conditions
Another problem that you will discover about Swinexmarkets is that they do not have any Terms and Conditions mentioned on their website. You will not find any Client Agreement or any other legal document that specifies the policies the broker complies with, the fees they will charge and other terms and conditions that might be relevant. Hence, they can charge you pretty much anything and you will not be able to do anything about it. Furthermore, you will have no idea what rules and policies you will have to comply with.
The fact that you can get leverage ratios as high as 1:888 at Swinexmarkets might be appealing to some, but it is essential to remember that high leverage also means higher risks. Therefore, a number of regulated jurisdictions do not permit brokerages to offer such high leverage to traders, considering the volatility of the financial markets. This includes the UK, Australia and the European Union, all jurisdictions where Swinexmarkets claims to be regulated. Since it is violating their policies, it is all the confirmation you need that it is not an authentic brokerage.
When you have gone through the massive flaws in the presentation of Swinexmarkets, you can conclude that it is not a good broker at all and you should not fall for their claims because they are not based on facts.