Jacob Morgan Investment House Review by professional Forex trading experts the “ForexSQ” FX trading team, Finding out everything you need to know about the broker is in this Jacob Morgan Investment Review.
Jacob Morgan Investment House Review
Jacob Morgan IH (Investment House) is allegedly a forex broker. While the company offers multiple account types, based on the initial deposit, it does not reveal any specific trading conditions. The benefits for the different levels are a bigger bonus and the usual “features”, provided by shady companies, such as “personal account manager”, “extra analysis” and so on.
The Company. Security of Funds
Company Country Regulation
OB Capital Limited Marshall Islands N/A
Jacob Morgan IH is owned and operated by OB Capital Limited. The company is registered on the Marshal Islands, while their payments provider is Bulgaria-based MT Full Services EOOD. Both of these entities are not overseen by any financial regulator, although they do also operate BBB Markets.
As we reiterate in all of our reviews, financial regulation should be one of the most important thing to look for, when choosing a forex broker. Most countries have government agencies, which enforce rules on companies in the financial services sector. Their aim is to ensure a competitive market and provide clients with some form of protection.
One of the most reputable such watchdogs is the UK’s Financial Conduct Authority (FCA). It requires minimum capital holdings of €730,000, as a sign of good will, from brokers, attempting to register with it.
On top of that, your trading funds must be kept in the so-called seggregated accounts. These are special bank accounts, which your broker can’t freely access (in order to “borrow” from your balance). The FCA also forces companies to participate in the Financial Services Compensation Scheme (FSCS), which is an insurance-like guarantee mechanism. As a result of this, if your FCA-regulated broker goes bankrupt, your account will be protected, up to £50,000.
Before we move forward, we would like to briefly mention the obvious, while Jacob Morgan Investment House sounds very familiar to a famous Wall Street investment bank, they have absolutely no connection. This may even be considered as another negative for the company – using a slightly misleading name to trick unsophisticated investors. That being said, everybody has the right to name their company however they like.
Minimum Initial Deposit
Jacob Morgan IH requires a minimum investment of €250. This is quite high for the current environment, as most brokerages demand something in the $100 range. As an example, you can open an account with Fx Choice, after depositing exactly $100.
Average spreads & Commissions
There is no information on the costs of trading at Jacob Morgan IH. This is typically not the case, as most brokers gladly list a minimum (or estimated average) of the spreads which they provide, especially if they are competitive. When testing the Jacob Morgan IH, we had some issues, which we’ll get to below, but we coudn’t see any spreads. For a detailed comparison of the conditions offered by some of the top-rated forex brokerages, go to this page.
Jacob Morgan IH also does not provide any information on the leverage provided to traders. As you may know, some brokers offer extremely high leverage, like 1:500, or the ever-so-catchy 1:888 provided by XM.
You may already know this, but the higher your ration, the more risk you can take. There is a reason why US regulators have ruled, that a maximum of 1:50 can be offered to the retail clients.
Jacob Morgan IH offers a web-based platform. It has a slightly familiar layout to the ones provided by other brokers, with one distinct distinction – it isn’t working properly (currently).
This gives us hope, that there is a temporary issue with the platform provided by Jacob Morgan IH. We will update this review in the future, especially if conditions change.
Methods of Payment
The payment options include Credit/Debit Cards and Skrill. Despite being only one, at least the e-wallet option is very popular among forex traders.
Jacob Morgan Investment House is an unregulated off-shore company, which allegedly offers forex trading. They have not specified a lot about their trading conditions (other than the fact, one has to deposit a lot of funds in order to get a better trading account). Additionally the trading platform was not working properly at the time of writing of this review.
Jacob Morgan Investment House Review Conclusion
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