Read our full Fondex review below.
WHAT IS FONDEX?
Found in 2010, Fondex is a respectable forex and CFD brokerage firm with its headquarters located in Memphis, Tennessee, United States. This online broker is regulated by the Cyprus Securities and Exchange Commission (CySEC)
At Fondex, clients can trade a range of trading instruments, such as Forex, CFDs, ETFs, indices, shares, energies, metals, and cryptocurrencies.
The broker also offers a variety of trading platforms to its traders, including the Fondex cTrader.
Fondex is a European online trading company that has branches in different parts of the world. The company has its headquarters in Cyprus. It was previously known as Kwase Exchange.
The company has many governing concepts drawn from Japan and it is based on the flexibility of business, simplicity as well as trust and determination.
Through that, the company was able to dominate the market since they offer a high-performance market, and this works well with the greatest trading technology.
As a subsidiary of TopFX, his company is a global financial asset company that focuses on various aspects of the market such as liquidity.
The broker is well regulated and that is why you would get satisfied when you do business with them. TopFX started business in the year 2010 and five years into its existence it has started to offer retail clients.
It is one of the largest providers today because at any point this company can boast of more than one thousand markets which it offers to its clients from all parts of the world.
Moreover, the company offers access to prices ranging from tier-one grade banks to global exchanges. When it comes to performance the company the best services.
The customer service is the most outstanding and helpful. If you need help from the company, it will surely come.
Irrespective of your language, this company will offer support in different languages of the world. Moreover, they provide different methods of contacting them such as live chat.
PROS & CONS
- It is CySEC regulated
- Client account separated from the broker’ account
- Negative account balance always protected
- Compensation fund provided
- More than one thousand market instruments
- Multi-language support
- Provide leverage of up to 1:500
- Does not require any minimum deposit
- Low commission and tight spreads
- No choice of trading platform
- Does not provide educational tools
The company provides over one thousand trading instruments for its clients to choose from. These are spread across the seven assets they are offering. The spread is as follows.
In the foreign trade exchange, the company well over 80 instruments and these include the major, minor as well as exotic pairs.
When it comes to shares:
There are more than 900 shares that the company makes available for its clients from all parts of the world to invest in and profit from.
They are also not left out in the provision of energy investment. Major instruments they provide here are natural gas and crude oil.
Fondex provides 15 major indices for its investors.
Most importantly, they invest in precious metals, and those they make available include gold, silver, palladium, and others.
Fondex provides access to 24 iShares and 19 PowerShares.
Most importantly, they provide opportunities for its investors to invest their money in digital currencies such as ripple, Ethereum as well as bitcoin, and many others.
This broker differs from others when it comes to the provision of trading platforms. They do not offer options for traders to choose from.
The broker provides the cTrader which is designed by them to offer their investors the fastest and the most reliable trading software.
Which you have an account with this broker, you would have access to this platform and the three trading methods it makes available for investors on its platform.
Here are the three trading methods they provide, and they include the following:
This method is highly reliable and transparent. Moreover, it is intelligent and intuitive. The method is very fast, and it is safe.
The other method is the ability to copy. With this platform, it is easy to copy over four hundred strategies and this covers all the one thousand instruments it makes available, and this covers the seven assets they provide.
Top performers and new learners can have instant access to this feature. The other thing is that it is easy to combine copying with other methods.
Automation means automatic and this means that traders can choose robots to trade for them. This method is not only reliable but is fast as well. It makes for trading accuracy and objectivity in trading.
cTrader remains the instrument this broker makes available to its investors. It is easy and profitable to use because it comes with tools that help traders to profit from the market since it makes chart creation and market analysis possible.
It comes with tools that make it possible to maximize profit and minimize losses.
Furthermore, it is mobile compatible. This means that the platform can work with mobile devices such as your smartphones. With your laptop, PC, and desktops, you can use this software.
The broker does not provide a choice as to account types. They make for one account and this has different options that cater to the interest of all categories of clients.
Here are some of the features you can enjoy with that one account option available to you and they include the following:
- It makes it possible to trade on more than one thousand market instruments available on the platform.
- Trade execution on that platform is very fast and it is highly reliable
- Furthermore, they make for spreads which commence from 0.0 pips
- Besides, it comes with flexible position sizing
- Furthermore, they provide commissions based on the $2.5 on the side and $100 on traded volume. There is also $1 on the side as well as 100 shares and ETFs.
- Most importantly they do not charge commission on cryptocurrencies and indices.
- They provide for micro lot trading
- A stop out level of 5 percent
- One-click trading as well as chart trading, hedging, and so on.
- They provide swap-free or Islamic traders to choose from.
HOW TO OPEN AN ACCOUNT
It is not difficult to open an account with this platform. Just get to the Open account link and click on the button.
It will take you to the account opening section where you would be required to input relevant information about yourself which includes your email address as well as your telephone number and passwords. If you choose to create the account using your Google or Facebook account.
When you provide the basic information required of you, the broker will send a mail to that email address that you provided and asked that you verify the mail.
When you click the link on the mail you would be taken to another page where you will continue with the account opening process. You would log into the cTrader platform where you would now login with the id.
When you log on you continue with the account activation process and you clock the activate account button. It takes you further to another page where you would be required to provide additional information you had not provided before.
The next step is to complete the questionnaire process and add more information like your employment status, educational qualification as well as your net worth.
To conclude the process, you have to submit means of identification which has to be for proof of yourself as well as your residence.
When everything is okay and the account is approved, you would be required to fund the live trading account to start the process.
A demo account is the best training platform for traders before they begin to trade with their live trading account. Most brokers must provide it to their clients.
They also provide simulated or virtual money which these learners can use to trade the account until they become perfect to start using real money.
This is common with most brokers and I would not be surprised if this broker also makes this tool available for its clients to start experimenting with the system.
SOCIAL TRADING AND COPY TRADING
The most recent innovations in the forex trading market are the introduction of social trading and copy trading.
This method is new, and it enables traders to copy from other seasoned traders and earn money when they earn. In the same way, they would lose money when such traders lose.
You must understand the quality of traders you want to copy from to know whether you can learn from them or whether you will not learn from them.
COMMISSIONS & FEES
This broker does not charge customers for withdrawal and deposits. The pricing system is very transparent.
Their commissions are calculated on the volume traded. When the trade increases, commission reduces and vice versa.
In general, the volume is a charge on different markets such as forex, precious metals, energies for every $100 that it trades is just $2.5. For 100 shares, the system sets aside the sum of $1.
For such other investments like trading indices and cryptocurrency, the company does not charge commissions.
When you hold a trading position overnight, you must be aware of commissions that are charged on such positions.
The position and the charge also depend on the direction which the trade takes. This is calculated as the differentials between the bids.
Furthermore, they do provide swap-free or Islamic accounts, and this is meant for Muslim customers who do not want to pay for such overnight held trading positions.
The issue of leverage is what brokers and traders’ approach with caution. Regulators demanded that brokers do not offer more than 1:30 leverage for forex traders that want to invest in the major currencies.
For minor currencies, regulators demand leverage of 1:20. In the same way, the leverage they make available for commodities is 1:10. The leverage a trade enjoys here is determined by the location of the trader.
Professionals can always demand higher leverage and they can get 1:500 leverage which is the maximum that most brokers can offers.
The issue of leverage is critical, and it must be approached with caution.
It is not recommended that learners choose higher leverage because it could wipe their trading account when the trade goes against them and it can also make them plenty of money when the market goes in their favor.
WITHDRAWALS AND DEPOSITS
This company does not usually charge fees when their customer’s deposit and withdrawals from the system. However, they offer just two methods of withdrawals and deposit.
This is deficient compared with what you get from other brokers that offer many methods.
The two methods they offer include bank wire transfer and the bitcoin wallet.
Whether you want to make a deposit or you want to withdraw from the system, you can process it using the cTrader.
It is simple and easy to process it using this platform. When you want to process through bank wire, it could take between 1 to 5 business days for the money to reach the destination.
In the same way, the minimum that you can deposit through that system is just 25 euros. This is the least that you can withdraw from the system.
If there are fees, they may be coming from a payment processor provider, you should check between these two before you can choose the deposit and withdrawal method.
The company also does offer multilingual support. This means that you can approach them through different languages.
To dialogue with them, they also provide different means of contact which you can get from the contact us page.
Two methods are available here and they include contacting them through the chat system. This is a live chat method and the second one is to contact them through the email option.
Furthermore, they make available online request forms that you can complete and then submit to the platform.
The company does not offer any telephone number traders can contact them. Furthermore, there are no frequently asked questions sections that traders can read and discover more things about their system.
SAFETY AND SECURITY
The broker is strictly regulated, and they are under the authority of CySEC. This is because it is based in Cyprus.
Moreover, since it is based in Europe, it is regulated by the same strict laws from European nations that guide that kind of operation.
This means that the company must comply with the laws and guidelines issued by the controlling authorities. These include CySEC as well as the MiFID since it is in the eurozone.
They submit reports of their operations to these brokers from time to time.
Furthermore, the company is always audited to ensure that the operations do not go beyond the guidelines given to them.
Most importantly, clients’ account with the system is one hundred percent protected. This is because the law provides that the client’s money should be segregated from that of the company. This means that even if the company goes under, investors’ money would remain intact.
This company is safe to invest, and they belong to the ICF which can settle issues between the broker and clients. Where there is a need for its clients can be compensated.
There is no cashback on the platform. The company may be offering them from time to time. If they have any it would have been available on the website.
For traders to do well on this kind of platform, there must be internal resources that can help them to research the market and make a profitable trade investment. These tools are provided by other reputable brokers.
Unfortunately, Fondex does not make any research material available on the website. There is no charts, blogs, calendar, and economic notices that can help traders decide.
However, they do provide useful information on the trading platform. This is not accessible to everybody. You can only get access to this platform when you create a live trading account.
This company does not provide educational resources that can help traders to master the system very well.
It does not offer any specific or helpful tool that can help traders with trading. The only useful resource they provide is the demo trading account.
The company is globally recognized as you can see from the website that they have won some awards in the past.
There is no information about the type of awards they have won in the past and how one can get access to the details of such awards.
This company also does not offer promotions for its clients. If they do there is no information about that on the website of the company.
There is also no information about contests and there is no indication that they organize such for their traders.
Most brokers especially those within the eurozone do not do that because of a regulatory policy banning that.
SAFE OR SCAM?
Fondex is not a scam. They safe to do business with. You have just seen that they are highly regulated. Any money you deposited on this platform is safe.
The founders of the site are known, and you can contact and chat with them through the platforms they provided. Your account is segregated from the company account.
It is one hundred percent legit to do business with.
Fondex is another reputable broker you can invest with it. This broker is based in Cyprus and they are highly regulated.
They provide different kinds of trading instruments which investors can choose from.