Alt Markets Review
Alt Markets is forex broker, which does a very bad job at presenting its trading services. That being said, the company may be very new and their website still in development. We will update this review, if any future developments occur.
Alt Markets Advantages
1:100 in leverage – One of the few trading conditions actually mentioned by Alt Markets is the fact they offer a maximum leverage ratio of 1:100. While some of you may view it as a rather low level, we must reiterate the fact this is actually pretty decent. More “gearing” only gives you the chance to risk more, which may not be suitable for all investors. In case you want to try aggressive trading, FXTM currently offers 1:1000 in leverage.
MetaTrader4 available – the choice of platform may be the only thing about Alt Markets which most people will appreciate. In case you are not that experienced with currency trading, this is the leading piece of training software at the moment. It offers supreme charting, a plethora of custom-made technical indicators and automated trading systems, as well as web-based and mobile versions. Sadly, we can’t provide any screenshots of the platform provided by this broke, for reasons which we will cover below.
Alt Markets Disadvantages
Not regulated – Alt Markets claims to have offices in Dubai and Hong Kong, but more crucially does not mention association with any regulatory agency. For most people this will be enough to avoid dealing with this company (and rightfully so).
Offers managed accounts – this is only a negative, since the company provides the service directly, hence creating the potential for conflict of interest. In case Alt Markets is an ECN broker, they will have the incentive to manage client funds, with systems involving very frequent trading (in order to generate commission). On the other hand if they are a Market Maker they will obviously loose your money … to themselves.
Other services, like Zulutrade or eToro, the world’s largest social trading network have third parties who manage your funds. This is a huge difference, as the traders listed there only have the incentive to perform well, in order to attract more followers.
No info on trading conditions – other than the maximum leverage ratio, which was buried in the FAQ section, Alt Markets does not specify anything. Potential clients are advised to contact them for details, which is unacceptable in the current day and age.
Platform not freely downloadable – The trading platform allegedly offered by Alt Markets is not accessible from the company’s website. When registering an account, we didn’t receive any e-mail in the next few hours. This leads us to believe the system is either not automated or simply not working.
Alt Markets is allegedly a Dubai-based forex broker, which doesn’t provide much information about the essence of its service. While this may be a temporary situation, especially if the company’s website is very new. The one thing which is much less acceptable, is the fact this company is not regulated.
To those of you who aren’t trading veterans, this may seem like a minor issue, but in reality it’s probably the most important aspect of a broker’s credibility. Nowadays internet is flooded with dishonest people who only claim to offer a trading service, while in reality only stealing one’s money. The way in which most countries deal with this problem is by creating regulatory agencies, who monitor the activities of brokers.
One such watchdog, which is highly reputable is the United Kingdom’s Financial Conduct Authority (FCA). We will briefly present you with the most notable rules, imposed by them, which guarantee the security of your investment.
Clients’ deposits are to be kept in the so called segregated accounts. Such a banking account can’t simply be drained by the company. Furthermore all FCA-registered brokers are a part of the Financial Services Compensation Scheme (FSCS). This is a mechanism, which functions similarly to an insurance policy – all members pay a relatively small “premium” to a fund, which is then used as a guarantee, if one of them becomes insolvent. The scheme offers clients protection, limited to £50,000.
Trading with Alt Markets will not yield you such benefits. Here are the strong and weak sides of this broker at the moment.
Alt Markets Review Conclusion
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