The hard old times when only the biggest financial companies like banks were able to participate in the Forex market are long gone. Today, more than ever before, people from all over the world have access to this very popular market. However, many people around the world started using this opportunity for the wrong reasons, which is creating a lot of problems for people.
Forex trading is considered to be one of the riskiest markets around the world, and if one is not doing everything to stay safe, it could end up being a very dangerous market. There are many scam companies around the world, and they are working very hard to steal the hard-earned money of investors. They are doing so by creating very realistic brokers, and some of them even get licenses.
Today, we are going to review VT Markets, a Forex broker that seems to be a little suspicious. Over the reviewing process, we found many things that raised a lot of questions. So, if you want to learn more about this Forex broker and the things that we were able to find out, follow this very detailed review.
VT Markets – a quick background
According to the information provided by the Forex broker, the company is registered in Australia and is working very hard to get international exposure. The company was established in 2016, and it is a fairly new broker. There are several hundred available trading assets at this platform, with the help of the MetaTrader 4 trading platform, and web-based version of it, WebTrader.
These trading platforms were developed by a Russian company called MetaQuotes, and are among some of the best-known platforms. This broker does not offer a newer version of MT4, MetaTrader 5. While reviewing this company, we found that it does not have that many problems when it comes to trading platforms, however, with everything else, we found some very disturbing things.
The website of the broker
As a result of a detailed review of FX broker VT Markets, we found that the website of this company is simply useless. At first, it was nothing that bad, but when we started looking for the information that we needed, everything has changed. We were not able to find anything useful on the website, because the information on the pages does not respond to the name of the pages.
There is no logic in the way the information is distributed on the website. It seems like the only reason why this company has a website is to make people think that they are legit. It is full of unnecessary and general information about Forex trading which is not that important at all. When it comes to the services of the broker, it is very hard to find anything trustworthy.
Services of the VT Markets
According to VT Markets, there are several available trading instruments for investors. They include:
- Currency pairs
- Soft commodities
The thing that was very shocking for us is that the broker claims that they have no fees or commissions, and the spreads are almost none existent as well. Although this is something that many people would consider to be a plus, we think that it is a way to attract inexperienced traders.
The thing about Forex trading is that the only way a company can get funding is through commissions and fees. If the broker claims that they do not charge any fees, they are simply lying. Money is very important for Forex brokers, first of all, there are dozens of people who work very hard to create a safe and secure platform for investors, and they need to be paid. If the broker claims that they do not charge any fees, it means that they are using some other ways to get the money.
In most cases, scammers are using this tactic to attract as many clients on their platforms as possible. While reviewing VT Markets, we tried to contact as many users of this broker as possible. By doing so, we wanted to learn their views about the services that the broker offers.
We found out that most of the people who traded with this company in the past have had very disturbing stories to tell. They told us that after making deposits, they could not access their funds anymore. One former user of this platform told us that after trading, he was not able to withdraw his hard-earned money. After this, he tried to contact the company but no one replied.
Leverage is too high
Our review of the VT Markets broker shows that the company offers only one regular trading account. First of all, in today’s Forex market, this is something that does not happen a lot. Mostly, brokers have several different account types for every type of investor.
The leverage for everyone who trades Forex is as high as 1:500. This is a very high number, when it comes to Forex trading with high leverage, there is a huge chance for investors to lose all of the money that they have, and maybe even more than they have, because of high leverage. You should avoid trading with high leverage at all costs, especially if you do not have enough experience with trading.
What type of educational material does this broker offer?
According to some of the regulatory guidelines of the top-tier regulatory bodies around the world, Forex brokers are required to offer a lot of educational materials to the investors. However, this is not true for VT Markets at all. This broker only offers one type of educational material, Daily Market Analytics.
Although this can be helpful for investors, it simply is not enough. The Forex trading market is changing every day, and it is very important for brokers to make sure that they offer every type of information to their investors. The more you know about Forex trading, the safer you can be.
Regulatory framework & everything about it
The broker is registered in Australia and claims to have a license of the Cayman Islands Monetary Authority, called CIMA. This regulatory body is not that well-known around the world, the main reason for it being the fact that it simply does not offer enough safety measures.
Many brokers decide to register with regulatory bodies like this to avoid following strict regulatory frameworks, but it is creating a lot of problems for investors. While reviewing the VT Markets broker, we found that this company does not offer negative balance protection, there was no information about it provided by the broker.
This fact and the huge leverage is a perfect recipe for disaster. If you trade Forex with high leverage with a broker that does not offer negative balance protection, you have a huge chance of losing more money than you have deposited on your account, and your balance will become negative, which means that you will have to deposit even more money.
Most of the regulatory bodies around the world required brokers to adopt this policy, to make sure that every investor stays safe, but it seems like this broker is not trying to make their services safe at all.
How to contact the Customer Support Team?
When it comes to Forex trading, there are many complications that might happen. For this purpose, top Forex brokers around the world offer a very helpful and professional customer support team that is available 24/7. In the case of VT Markets, the broker claims that their customer support team is very professional, which is something that we can not agree with.
While working on the review of VT Markets, we decided to try out the Forex broker’s customer support on our own, and we were very shocked by the results. There are several ways traders can contact the customer support team, by live chat, phone number, or email. It was very hard for us to decide which of these three options are worse.
First, we used the live chat. To be honest, they were pretty fast to reply. In only took a few minutes, however, the answer was not helpful at all. They gave us a very general answer and told us that the rest was already written on the website, which is not true. Then, we tried to call the phone number. It took a very long time to connect with them, and they just hung up after just a few minutes of talking. For the third option, the email that we sent never got answered.
Final verdict – Is VT Markets scam?
After working on this review for a very long time, we found that this Forex broker is a scam company. There are many things that are very wrong about this broker, and we believe that you should avoid trading with them at all costs. At first, we thought that this broker had just a few challenges that they had to work on, but as we looked for more information, we were very disappointed.
The Forex trading market is a very risky field, we believe that you should only trade with a reputable and safe Forex broker so that you will lose huge amounts of money for nothing.