VowFX Review 2020 – Is Your Money Safe?
Website URL: https://www.vowfx.com
Languages: English, Chinese (Mandarin and Cantonese)
Deposit Methods: Bank Wire, Debit/Credit Card
Minimum Deposit: N/A
Free Demo Account: Yes
Number of Assets: N/A
Types of Assets: CFDs on Indices, Commodities, Stocks, Metals and Currency Pairs.
Trading Accounts and Conditions
VowFX is an anonymous website and offers clients the opportunity to trade on the latest MT5 (MetaTrader 5) platform. When you open a demo account, you also get a wide range of trading options, which is quite surprising.
However, VowFX offers just one account type as far as we can make out. It is called the standard account. Unfortunately, that is all the information we were able to garner about the trading accounts.
There is a complete lack of information with regard to trading conditions on VowFX. Even after opening a demo account, we were not able to get any information about the trading conditions, or even whether there are different types of trading accounts at all.
VowFX – Advantages
On the surface of things, VowFX seems to offer some great trading advantages:
You can create your personal demo account on VowFX, which means that you can practice a few trades before you actually put some real money on the table.
A majority of legitimate traders offer demo accounts so that clients can test the spread, the leverage and the general market conditions before they invest their hard-earned money with them.
Thus, when prospective clients see the presence of a demo account on this broker’s site, they feel safer investing their money with this broker.
MT5 Trading Platform
VowFX offers its clients the MT5 trading platform. This is a huge positive, as the MetaTrader platforms (MT4 and MT5) are considered among the best in the world.
The MT5 platform, just like the MT4 platform, is easy to use and offers great charting options as well as Expert Advisor trading bots for automated trading. Added to that, it has even more features than its predecessor, allowing users to trade in ETFs as well as derivatives from a single account, thereby making trading easier.
Range of Trading Options
The broker offers a surprisingly wide range of trading options – over 30 currency pairs, cryptocurrencies and even CFDs in precious metals, commodities as well as indices. However, there do not seem to be any CFDs related to stocks on this trading platform.
VowFX – Disadvantages
When you look at the advantages, VowFX as a broker seems very attractive. But on closer inspection, the disadvantages far outweigh the advantages. In fact, they are glaring red flags that indicate that this broker could be a scam.
The first major red flag is that VowFX is an anonymous broker. There is no corporate information whatsoever – no name, no address and no contact details. This is clear signal to stay as far away from this broker as possible!
When a broker provides no information about itself, it is a serious cause for concern and an indicator that it could be a scam. Corporate information is essential when a broker is regulated and legitimate.
Plus500 is a FTSE 250 listed brokerage providing online trading services in CFDs, across 2,000+ securities and multiple asset classes.
The company was created as a combined effort of financial professionals and experts in web-commerce with the goal of perfecting the online experience for retail traders.
The website of VowFX states that it is regulated by the Australian Financial Services (AFS) and the New Zealand Financial Service Provider. However, when we investigated this claim, neither of the financial watchdogs had any listings of a broker by this name.
This indicates that VowFX is not regulated at all.
And this is another warning sign that things are not right with this broker. When a broker does not have any regulatory oversight, your money is in danger. A common way that unregulated brokers can scam traders is by getting them to join their platform and then making it almost impossible for them to withdraw their money.
No Trading Conditions
Despite the fact that this broker has a demo account, there are no trading conditions announced anywhere on its website. VowFX has not even displayed the minimum deposit required to start trading. Leverage levels are unknown, as are transfer fees, trading fees and commissions and other pertinent information.
What this basically means is that you would be going in blind when you begin trading on this broker’s platform. This is another warning signal that tells you to steer clear of this broker.
While no trading conditions are outlined by VowFX, we have noticed a spread of just 0.1 pips. This is extremely low by market standards, which means that any broker with this kind of a spread will never make any kind of a profit.
The broker also showed in the demo account that there was no commission fee for trading.
This is a common tactic used by scammers who want to attract more traders to their portal.
Poor Online Reviews
On search the internet, we found that numerous traders have already complained about VowFX and have warned other traders to stay away from this broker.
To Sum Up Our Impression of VowFX
After a deep-dive into VowFX’s site, here are the list of pros and cons we have compiled:
The focus of this broker seems to be on Asian clients and the conclusion we have reached after researching VowFX is that it is a trading or investment scam. There are just too many anomalies that we have found with this broker to make it a safe bet.
So, if you are really interested in trading, it would be advisable to completely avoid VoxFX and look for FOREX brokers that are regulated by reputed financial watchdogs such as the Australian Securities and Exchange Commission (to name just one).
Such agencies enforce regulations that ensure client safety in relation to risk management, audits as well as accounting practices. Added to that such regulators ensure that traders’ money is kept separate from brokers’ finances as an added layer of protection.
- MT5 Trading Platform
- Solid Range of Assets to Choose From
- Availability of Demo Account
- Anonymity – No Information About the Broker
- Not Regulated
- Zero Trading Conditions
- Extremely Low Spread
- Very Poor Reviews
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