Forex Brokers to Avoid
If you trade forex, you need to make sure that your brokers are legitimate and above board – and that you can trust them to help you out. While most forex brokers are decent and honest, not all are. It pays to be able to defend yourself against less scrupulous brokers. Avoiding broker fraud ought to be a priority for people who trade foreign exchange pairs, then – and that’s where we can help. Below is a list of brokers who we have deemed to not be trustworthy for a variety of reasons. And if you are concerned about a particular broker, contact us with details to alert us with the potential broker fraud going on. From there, we can go ahead and research and review the broker in question and help prevent other users from falling victim to any dodgy practices. And we’ll use this information to keep the list as updated as possible – so check back here for all the latest updates when you can.
Table of Contents
The sad reality of the foreign exchange trading world is that there are people who are out to make a fraudulent buck from innocent traders trying to build their portfolios. Whether it’s insider trading or some other manipulation of the international markets, trading fraud can take many guises – and it can even have links to the wider stock markets as well. As a result, it’s wise to keep yourself fully informed about what the brokers you are considering are up to – and make decisions to avoid those who don’t offer the level of safety and security you require.
Below is an up to date list of the brokers which we strongly advise traders to choose to avoid. There are plenty of other brokers out there who are trustworthy – and with these traders below exhibiting behaviours like copying websites of others, receiving warnings from regulators and more, it’s well worth avoiding them as you choose your own preferred provider.
Various global institutions have criticised the range of brokers included on this list. Whether it’s the Australian Securities and Investments Commission or the regulators of nations such as Cyprus, there are organisations on here which have faced the wrath of some of the world’s leading oversight bodies. But, we’ve gone even further and responded to intelligence from our users in order to bring you an up to date list of brokers which, in our opinion, ought to be avoided. (See the full list at the bottom of this page).
Latest added forex brokers to avoid
- OT Capital. They have gotten a warning from ASIC.
- EU Capital. They ask you to deposit over and over again. They even try to get you to log in to your bank account over a shared screen.
- MultiplyMarket is a clone of Trading Technologies.
- BlueTrading has an FCA warning for claiming to be FCA regulated when they, in fact, are not.
- Facebook Group Investment/Profits, FBO Trading Signals & Bitcoin investments – They don’t allow withdrawals and block you as soon as you ask for a withdrawal.
- ECN Capital. They claim to be CySEC regulated but are not.
- GBCFX – Unregulated broker having issues handling withdrawals.
- Forex365Options – they make you pay fees that aren’t even in any terms and conditions. Website hardly works either.
- Toptrades.co – Not regulated so should be avoided.
- fx-premium. They are copying the website of JFD Brokers so should be avoided!
Most Trusted Forex Brokers
But despite the fact that there are clearly some untrustworthy web brokers out there in the forex world, it’s also the case that some brokers are more worthy of your trust. Many legitimate forex brokers have taken steps to gain the trust of their users, whether that’s by implementing rules against money laundering or simply by segregating client funds away from the operational funds of the broker’s business.
It’s not always possible to identify the legitimate foreign exchange brokers from first glance – but that’s where we can help. The list below is based on reviews which assess everything from the apps offered by particular forex brokers to the reputations they have among users for fairness.
To see a full list of our trusted foreign exchange brokers, why not check out this table?
|Broker||Info||Best In||Customer Satisfaction Score|
|#1||Your capital is at risk Founded: 2012||Global CFD and FX broker||
Best FOREX BROKER Visit broker
|#2||Your capital is at risk Founded: 2012||Global Forex Broker||
Best Trading App Visit broker
|#3||Your capital is at risk Founded: 2010||Global Forex Broker||
Low minimum deposit Visit broker
|#4||Your capital is at risk Founded: 2006||Globally regulated broker||
BEST CUSTOMER SUPPORT Visit broker
|#5||Your capital is at risk Founded: 2014||Global Forex Broker||
BEST SPREADS Visit broker
Most Trusted Crypto Brokers
And the same goes for cryptocurrency trading, too. To some, the decentralised and entirely electronic world crypto trading is seen as something of a “Wild West” – with many fraudulent Bitcoin brokers exploiting innocent victims in the name of financial gain. But the reality is that there are plenty of ways to trade Bitcoin on a legitimate basis without running the risk of being scammed. This section will offer some tips on some key Bitcoin brokers who are, in our opinion, above board and worthy of consideration if you’re looking for a scam-free Bitcoin or other crypto trading experience. See our list of trusted crypto brokers below.
|76% of CFD traders lose Founded: 2006||
– Social Trading Platform
|CySEC, FCA||eToro Platform||
Sign Up 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
|80.5% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Founded: 2008||
– FCA, ASIC, CySEC Regulated.
|FCA, CySEC, ASIC||Plus500||
Sign Up 80.5% of retail...
|Your capital is at risk Founded: 2006||
– 40% New Member Bonus
|ASIC, MiFID, FSA, FSCA||ACT and MT4, Mirror trader, Zulutrade, Currensee||
Sign Up Europe* CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
|Your capital is at risk Founded: 2012||
– CySEC regulated.
-Many supported payment methods for easy deposit and withdrawal
– LegacyFX Academy hosts over 80 trading videos, webinars and educational materials for all levels
– Meta Trader 5 Trading platform
– Access to exclusive professional trading tools and market insights
– Dedicated support staff during all trading hours
|CySEC, BaFin, FCA, VFSC, NBRB||MetaTrader 5|
|Your capital is at risk Founded: 2019||
-Easy to use for all types of users
-Traditional and instant exchanges available
-Secure and simple buying process
-Web-trader, desktop and mobile app
|Your capital is at risk Founded: 2019||
|Your capital is at risk Founded: 2013||
– $10 usd minimum deposit
|Your capital is at risk Founded: 1977||
– Regulatory compliance is under the auspices of the FCA in the UK, the SFC in Hong Kong, the DFSA in Dubai, and by way of the MiFID for the European Union.
|FCA, CySEC, MiFID||MetaTrader 4|
Regulating Trade Authorities
When it comes to determining whether or not a foreign exchange or cryptocurrency broker is trustworthy, the role of the authorities is worth considering. We share the determination of regulators across the globe when it comes to weeding out fraudulent brokers. That’s why we’re happy to recommend the websites of the NFA (National Futures Association) and also the CFTC (Commodity Futures Trading Commission) if you’re interested in learning more about potential scams in this sector.
Other Regulating Authorities:
More brokers to avoid in alphabetical order
- BFP Markets (bfpmarkets.com) Non-regulated and delays withdrawals up and above 90 days.
- Crown Forex
- CWM FX
- Cyber Market group
- Ferdinald Hill is NOT regulated by IFSC. The IFSC has issued a warning confirming that the license for Ferdinald Hill is a forgery.
- FIXED STAR INVESTMENT INC. IFSC has issued a warning against this broker. Contrary to what they state on their website, Fixed Star is NOT regulated in Belize.
- Forex Macro
- FXGTrade – Un-regulated and blames bank problems when trying to do a withdrawal but sometimes let you withdraw to bitcoin.
- Joe Lewis Trading (JLTrading.com): Although there have been no recent charges levied against Joe Lewis Trading. (also known as joelewis-trading.com, JLTrading.com and Lon-ist investment managers) we at ForexFraud.com feel that there are enough warning signs and therefore may not be a secure and trustworthy broker. As such, we strongly caution against investing with Joe Lewis Trading at this time.
- OptionRally: As of May 3rd 2017 OptionRally is no longer regulated and ForexFraud does not recommend you to trade with them.
- Peregrine Financial Group
- Realmarketslive.com – Belize financial regulator IFSC has issued a Warning Notice against Real Markets Ltd, they are not licensed by IFSC.
- Sigma Forex
- Trade24 – updated Feb 27 2018.
- Zurich Prime – aggressive sales people.