ASX Markets’ website offers a bonus on sign-up. Bonuses are something that only shady forex brokers give to their clients because some regulatory bodies don’t let their brokers give bonuses. This aids in the belief that they are running a scam under our noses.
In this review of ASX Markets, you’ll know why you shouldn’t trade with this shady broker:
License and Rules for ASX Markets
When you check out a broker, the first thing to look for is its license. In its terms and conditions, ASX Markets says that it is based in St. Vincent and the Grenadines.
St. Vincent and the Grenadines are a group of islands in the Caribbean. Their local financial watchdog, the SVGFSA, can’t control the forex dealers based there. St. Vincent and the Grenadines have become a haven for forex scams because there are no regulatory bodies there. There, almost all of the brokers are not controlled and do not have licenses.
So it’s clear that ASX Markets is a broker that doesn’t have a license and isn’t controlled. They wouldn’t keep your money and data safe.
You shouldn’t deal with brokers who don’t have licenses or rules. There are a lot of scams in the fx market, so there are financial regulators in places like the US and Europe. These officials put strict rules and laws on forex brokers and other service providers like them to make sure the broker doesn’t act against the client’s best interests.
But a that isn’t controlled and doesn’t have a license wouldn’t have to follow these rules. They can do something bad for you, like steal your info, and get away with it.
On top of that, regulators like the FCA provide insurance in case the broker steals their customers’ money. For example, if an FCA-regulated broker steals your money, FCA can give you up to £85,000. You don’t get these kinds of services from brokers who are not licensed. This is a big reason why I don’t think you should trade with a Forex broker that isn’t controlled.
Trading Conditions on the ASX Markets
Before I talk about the different trade rules of ASX Markets, I need to point out a clause I found in their terms and conditions:
This is a very risky condition because it makes you owe the broker money if your account balance goes into the red. Keep in mind that all of the regulatory agencies in Europe have rules that say forex brokers can’t do this. If you trade with a broker who is controlled and your account balance goes into the red, the broker must bring it back to zero at no extra cost.
But ASX Markets has kept this rule, which means that if your account balance goes below zero, they can charge you money and interest. This is a very big warning sign, and it’s enough to show that ASX Markets isn’t a good choice.
ASX Markets has a trading tool on the Internet and the MetaTrader 4. But with this company, you don’t get MetaTrader 5.
MetaTrader 4 and 5 are used by almost all well-known forex companies because they have so many features. MT4 has a lot of great features, such as the ability to use automated bots, a code base with custom scripts, and many trade signals.
But a lot of shady traders try to use the good name of MetaTrader platforms to look trustworthy. ASX Markets seems to be using the same strategy here.
The fact that this broker doesn’t have a minimum payment requirement is a good thing. This came up as a shock.
Many Forex scams ask for a large starting deposit, which lets them take a lot of money right away. Such dealers know that their services aren’t very good, so they don’t give you a chance to try them out first. Instead, they make you pay a lot of money upfront. If you decide to stop using their services, they will take the large deposit you had put down.
Use of Credit and Spreads
With this company, the most leverage you can get is 1:400, which is too much. With such a high borrowing ratio, you can quickly lose all of your money and even go into debt. When you think about the negative balance rule mentioned earlier, you can see why they offer such huge leverage. This company wants to get you into debt so that it can get money back from you as a lender.
Most of the time, high leverage is a sign of a scam. Because of this, financial officials limit how much leverage brokers can give their clients. For example, the FCA, which is based in the UK, doesn’t let its brokers give a leverage ratio of more than 1:30.
Especially if you are a beginner, they are very dangerous.
Payment Methods and Fees for ASX Markets
Methods of Transaction
You can add money to your trading account with ASX Markets using wire payments, credit cards, or debit cards. Note that you should only add money to your trading account with a credit or debit card because you can make a chargeback up to 540 days after the transaction. On the other hand, wire payments can’t be returned, and don’t have this option.
The fact that this company only gives you a few ways to pay is pretty disappointing.
ASX Markets doesn’t charge any fees for being inactive or taking money out. If your account hasn’t been used in six years, they can close it and keep all the money in it. This is another sign that they are a scam because no honest dealer would have a rule like this in their terms and conditions.
This company also does not have a minimum withdrawal amount.
ASX Markets gives its clients a lot of extra benefits. It will match your first deposit by 100% and your second deposit by 50%. But it doesn’t say what the other rules and requirements are for these prizes.
You should never trust a forex company that gives bonuses, because this is against the rules set by regulatory bodies.
Untrustworthy forex traders will often give you a lot of bonuses as a way to trick you. Bonuses in the forex market are notorious because they let the broker make it hard for the user to get their money back. When you get a bonus, the money you get belongs to the broker, not to you.
Is ASX Markets a Fraud? Yes!
There are many different kinds of scams in the foreign exchange market. Some con artists will call you out of the blue and tell you that you are qualified for a random bonus. Others would put up ads on the internet that said they could give good deposit prizes or make money quickly.
It’s very easy to make a website and put lies on it. And they also try to trick buyers who don’t know what they’re doing. Most of the time, these agents work from places outside of the United States, like St. Vincent or the Commonwealth of Dominica. They run their businesses from these places because they don’t have banking regulators like the US or UK. So they don’t have to follow any strict rules, and they can easily steal their users’ money without getting in trouble with the law.
Before you trade with a broker, you should always check their rules and terms and conditions.
ASX Markets Conclusion
ASX Markets is a broker that doesn’t have a license and isn’t controlled. Their terms and conditions are also very unfair. This broker is aimed at new users because it gives bonuses and doesn’t charge fees. However, its terms and conditions will keep you trapped for a long time. I don’t think you should trade with them.
In the forex market, there are a lot of scams like ASX Markets. They keep getting bigger. The best way to stop these scams is to let people know the truth about them, so their plans fail before they even begin.