There’s an abundance of Forex brokerages in the modern trading environment, that’s why it’s so difficult to find the right one. There are so many details in the process and each and every one of them should be well-thought-out before making a decision.
Grandefex brokerage is yet another trading company that needs closer inspection to determine, whether one can trust them or not. By being relatively new to the field, there are many suspicions that the Grandefex scam is the real deal. The only way to find that out is through.
So, let’s dive into it.
General impressions
As always, let’s just take an overall look at what the broker offers in terms of trading conditions, website, regulation, and platforms, and then discuss each of them independently.
A quick browse through their website reveals some of the key points of this company. First, the minimum deposit requirement of Grandefex is as low as $250, which we’ll discuss more thoroughly a bit later.
Another impressive offer is the maximum leverage. It goes up to 1:500, which creates a wonderful opportunity for decent revenue. As for the spreads, the difference between the most popular currency pair EUR/USD varies between 0.5 to 1.0 pips. Again, more about these numbers down below.
As for the website itself, the interface looks simplistic and is rather lacking in the information necessary for a successful trading experience. It does, however, feature some of the most up-to-date trading platforms that are popular among traders these days.
Regulation is another key characteristic that can boost the credibility of the Grandefex Forex broker.
Alright, now let’s discuss these points more closely.
What does the grandefex.com review tell us?
As we mentioned, Grandefex’s website looks simple and isn’t overly complicated with unnecessary data and visual effects.
The first page contains different sections of the website that is designed to provide structured information to the customer and manages to accomplish this to a degree. In the accounts section, you can see that the Grandefex broker offers a rather underwhelming amount of possibilities to the wide array of traders.
There are 3 account types:
- Beginner Account;
- Experienced Account;
- Veteran Account.
All of these accounts contain a bit of educational material that’ll help newcomers get the basic idea of Forex trading.
The website features some of the newest trading platforms that are popular in the field right now. MetaTrader 4, MetaTrader 5, WebTrader, and even iOS/Android applications ensure that the customers are always able to safely execute their trading goals.
As for the money withdrawal, users are able to take full advantage of not only conventional financial accounts such as Visa/Mastercard or wired transfers, but also are able to use PayPal and Bitcoin as well. One would think that this further proves the point that the Grandefex fraud is not real.
License is the key
We already know that the Grandefex company was registered in Cyprus by its main financial body, Securities and Exchange Commission. Not only that, the company is regulated by the same top-level financial bodies of the UK (FCA) and Germany (BaFIN).
If the only regulator was Cyprus, there might have been reasonable suspicions that there’s something wrong with this company. Usually, these distant islands are used for hiding earnings and illegal activities.
But when countries like the UK and Germany come into play, it becomes less likely to believe that Grandefex is somehow lying and as far as regulations are concerned, we’ll give them the benefit of the doubt.
The numbers are real
While everything we discussed above is important, we all came here for one particular reason: to see if the trading conditions are the real deal or not.
Let’s start with maximum leverage. It goes as high as 1:500, which is impressive knowing just how recently this company was established. This gives us the reason to believe that there are some serious red flags regarding the broker and more than enough reason to stay alert.
Now about the spreads, which varies from 0.5 to 1.0 pips and depends on the account type that you choose. Such a low rate further reinforces the earlier concerns that came from their high margin.
And as for the minimum deposit requirement, it also shifts from one type of account to another and starts at $250 for the beginner account; ‘veterans’ are required to make $2,500 of deposit which means the broker expects them to take greater risks.
Our Grandefex rating?
With an incredibly high margin and low spreads, one would think that this is a great broker. However, it is important to take their age on the market into consideration. Many times unreliable brokers showcase these attributes to lure unsuspecting traders into a trap. It is a safer option to avoid them for the time being and see if they turn out to be a legit company through time and effort. For the time being, better alternatives already exist and it would be the wiser choice to trade with them instead.
