STP brokers are becoming more and more popular in the foreign exchange market, and the reason for this increase in popularity comes from the range of benefits that are associated with Straight Through Processing. Some of those advantages are immediate execution, no dealing desk, no conflict of interest, and so on, but not all of those brokers are equally professional in their operations and activities. That is why our LQDFX review will give you the necessary knowledge about this particular broker, and this will allow you to make an informed decision when thinking about joining this trading provider.
LQDFX – General Overview
Since LQDFX was formed in late 2015, we can conclude that this broker does not have a lot of experience in the trading world and that prospective investors could be exposed to certain risks if they sign up with LQDFX. Furthermore, this broker is not regulated by a reputable governing body, which significantly boosts the chances of LQDFX scams being present. The owner of this trading brand, “LQD Limited” operates from the Marshall Islands, which means that this corporation acts as an offshore business. Additionally, LQDFX is a member of The Financial Commission, but this organization does not hold much integrity in the modern trading world.
LQDFX Safety and Security explained
LQDFX is not regulated, meaning it does not hold a license from any reputable authority. This is a red flag as regulations are one of the most important factors when evaluating the broker’s safety and trustworthiness. Without proper regulations, the clients are at the broker’s discretion they will treat them fairly and allow withdrawals and profits. Even though the broker offers negative balance protection and claims to have a segregated bank account, we could not confirm these policies as there are no authorities who can force the broker to behave ethically.
LQDFX Fees and Spreads
According to the LQDFX website, the spreads are dynamic and depend on the trading account. The range of spreads is from 0.1 pips to 1 pip. The 1 pip for the Micro account with the initial deposit of just 20 USD is very attractive. The industry average spread is accepted to be around 1 pip and the broker offers in some cases even lower spreads. Trading commissions are also within the industry average and come at 3.5 USD per side per lot for the ECN account, and 2.5 USD per side per lot for the VIP account. All other accounts come commission-free and the broker also has a swap-free account for Islamic traders. After checking the broker’s website extensively we found the mention of typical spreads of 1.2 pips on EURUSD. We assume this is the lowest spread you can get on the Gold accounts. While higher than promised 0.7 and 1 pip, this spread is still within the industry average and should be sufficient for swing and day trading strategies. Scalpers will need to use ECN and other low-spread accounts.
All in all, LQDFX offers very attractive spreads and commissions. If there was a regulator, this would be one of our top picks for Forex trading.
Accounts, Deposits, and Withdrawals of LQDFX
Dealing with unregulated brokers is not something we would recommend. However, if you insist on going through with your intentions, this broker will give you an array of account types. There are four main account types called Micro, Gold, ECN, and VIP. The fifth account is an Islamic account or swap-free trading account. The main difference lies in spreads, minimum deposit requirements, and leverage. The minimum amount you need to deposit to open the Micro account is $20, and the highest leverage you can get is set to 1:1000. Of course, a demo account is also available.
Banking options
Low entry fees are one of the oldest tricks in the book, and these juicy carrots will tantalize those investors who are gullible enough to walk right into a trap. If you happen to be one of those, you will be able to deposit the money at the LQDFX account via bank wire transfer, credit cards (MasterCard, VISA, etc.), and e-wallets (Neteller, Skrill, etc.). Just note that the minimum amount you have to deposit by wire transfer is $500.
Trading Assets and Features of LQDFX
The broker has several trading asset types available including Forex pairs, indices, commodities, and cryptos. From a total of 16 indices and commodities, traders will find gold, silver, copper, S&P 500, and many other popular instruments. LQDFX offers around 13 cryptos, which is more than enough to trade on the CFDs of digital currencies lightning fast.
The number of stock CFDs is moderate at 37 which is a relatively moderate number.
Trading platform
Without a good piece of software, trading in the extremely uncertain foreign exchange market would be nearly impossible. That is why the LQDFX broker tried to offer a top-notch solution to their clients. Their MetaTrader 4 platform supports only 47 currency pairs, and there is also an xStation option available. The portal is compatible with various devices and operating systems, which means that you can access it on Windows, iOS, or Android.
Bonuses and promotions
Our LQDFX opinion is not based exclusively on the performances of their site or the selection of assets that they offer, and we always like to dig deeper and explore all elements that are connected with the broker in question. LQDFX has a deposit bonus program offering traders bonus capital of up to 20 000 USD. Besides this bonus program, there is also a free VPS service. VPS service allows traders to run their trading robots on the cloud 24/7 enabling them greater flexibility.
LQDFX Customer support
The quality of customer support service plays a significant role in the success of any company, not just in the foreign exchange market. That is why LQDFXForex broker should have invested more into this segment of their activities, and clients will not be left disappointed with the lack of options to reach the staff. The live chat that was recently added to the website offers a superior ability to contact the broker within seconds. Even though their customer support is multilingual, you can only reach them 24/5 via e-mail and call-back feature.
Is LQDFX Education legit?
LQDFX may have a huge red flag on the regulations department, but the broker’s offered educational resources are excellent. The broker encompasses all critical topics of trading starting from beginner courses to advanced strategies building and trading books. This should allow any newbie to get a basic idea of what FX trading is all about. We would advise beginners to learn from these materials.
Should you consider LQDFX?
Unfortunately, our LQDFXFX broker review had to turn a negative tone simply because this broker still has a long way to go before we can give them our thumbs up. While the broker offers superb learning materials and industry-average competitive services, the lack of regulations is still a big concern for us. This is why we can not recommend this broker to our readers.
Is LQDFX regulated?
What are the fees and spreads?
What account types and deposit options are available?
