|Broker Name:||Forex Capital Trading Pty Ltd.|
|Operating since year:||2006|
|Address:||Level 8 499 St. Kilda Road, Melbourne, VIC 3004, Australia|
|Trading Platforms:||WebPROfit and MetaTrader 4|
|Web based trading:||Yes|
|Other trading instruments:||currency pairs and CFDs|
|Minimum deposit ($)||$100|
|Maximal leverage (1:?)||1:400|
ForexCT Review 2020
NOTICE: Broker seems not to be active right now.
- Introduction to ForexCR Review;
- Trading accounts at ForexCT;
- Trading Elements;
- Recent news about ForexCT;
- Additional Information;
- ForexCT Review Conclusion.
Intoduction: Shady Activity in the Recent Past
ForexCT is an Australian Forex broker established in 2006 in Melbourne. They were created by a group of experienced traders to give the best experience to their clients. Due to their experience of over 10 years in the industry, they managed to create a solid reputation for themselves until recently.
This ForexCT review will discuss all you need to know about the broker before you sign up with them. Please make sure to read the full review to see why they might not be worth your time.
Trading Accounts at ForexCT
Unfortunately, ForexCT offers only two types of accounts to their users: demo and live. The demo account would not actually count as a trading account either since there is no real activity going on there. So technically if you wish to trade you will only have one option at ForexCT.
The minimum deposit for the live account is $500 AUD, with a minimum trade size of 0.1 and maximum leverage of 1:400. The deposit is quite high and there are no other options on the platform. Traders have to invest a solid amount upon registration. The broker offers fixed spreads and one spread is equal to 2 pips. The platforms are MT4 and PROfit.
The live account does not offer any special conditions for the trading tools. The minimum trade size is average for the industry. The maximum leverage is not too outstanding as well. The spread is quite high which is not a very positive sign, though we have come across even higher pips with other brokers.
The platforms are basic and do not have anything special to offer. MT4 does not have a NexGen option, so there are no real advantages for the trading accounts on ForexCT.
Trading Elements at ForexCT
ForexCT only offers two kinds of financial instruments to the traders: Forex and CFDs. This is a very limiting list. Though, they have a good selection of currency pairs. If you are looking for a broad range of trading elements, this is not the broker for you. You will not gain access to stocks or indices, and only to a handful of CFDs as well.
As briefly discussed above, the trading conditions at ForexCT are not very special. The minimum deposit is high, the spread is quite large but at least they change no extra commission for the trade.
The leverage of 1:400 is quite high, though also average for the industry. Higher leverage means a higher amount of risk in investments.
The platforms provided are MT4 and PROfit. The MT4 is a basic platform in the field. Though it has a lot of good tools to work with, such as EA and back-testing, it is still not very impressive. This platform is also not available on mobile or desktop for download at ForexCT.
Traders can download the PROfit platform on mobile and desktop and use it on the web as well. PROfit is an in-house platform of ForexCT, which might seem impressive.
The reality is that the platform is very simple, though equipped with the necessary tools and features. Navigating on the platform is a little confusing as it takes a while to find charts, news, updates, calendars, and more.
Security of Funds, Regulations, and Licenses
ForexCT makes it easy for clients to find their regulations and safeguard information. In the “About Us” page you can read their promise of safety and security.
They guarantee the safeguarding of personal funds, expert one-on-one guidance, and account managers. ForexCT has segregated accounts so they can keep the company money separate from the traders’. This is definitely a positive point.
However, ForexCT mentions nothing about having SSL-encrypted servers. That makes us wonder if hackers can easily get in and steal personal or financial information from traders.
ForexCT is regulated by ASIC, the Australian Securities, and Investments Commission and holds its license. They linked their license number and link to their page, so that helps build confidence in the broker. According to their website, client money is not used for hedging as it is against the ASIC laws.
Deposit and Withdraw
Several depositing options are available at ForexCT:
- Credit & Debit Cards;
- Domestic Bank Transfer / EFT;
- International Telegraphic Transfer.
Recent News About ForexCT
It is unfortunate that a broker of this stature managed to get in trouble with the law. According to the recent news from March of 2019, the ASIC and Australian Federal Police raided the ForexCT office.
They were accused of harassing and pressuring their clients into losing hundreds of thousands of Australian dollars. As we are all aware, that is against the regulations.
Also, early in June 2020, ASIC found that the company’s business model disregarded key obligations of an AFS licensee. So, it had to cancel brokers AFS license. But, before incline will be canceled on 31st of July 2020, ForexCT may address dispute resolution scheme.
Also their website indicates that they are not accepting new customers now.
Additional Information About ForexCT
The website design is basic. We noticed some very low-quality images uploaded to the website, which were not very pleasing to the eye. However, there you can find quite a large amount of information about the company. Also, it is easy to navigate.
The website does not seem to be available in any other language but English, which is very limiting to the worldwide clientele. Moreover, they offer educational content for beginners.
ForexCT is available on social media on platforms such as Facebook, Twitter, and Youtube. Though most of their activity ended in early 2018.
Though no broker is required to be active on social media when you create a platform it is important to stay dedicated. Neglecting these accounts only created more speculation regarding their sense of responsibility.
The customer service at ForexCT is a viable 24/5. They provide English and Chinese support. On their “Contact Us” page you will find several numbers and emails for the customer service. Though, there is no live chat available on the website. In this day and age, it is important for users to have access to instant replies for any of their concerns.
Since ForexCT did not think that easy solutions have to be a part of their services, we can’t say that their customer support is great. It is below average for the industry.
ForexCT provides a handy amount of payment options. They have a whole page dedicated to explaining what they do and do not accept. For their credit card options, you can use Visa, MasterCard or JCB. Though keep in mind that there are some deposit limitations, such as:
- Deposits are accepted in base currency or USD
- Other currency deposits will be converted at the spot exchange rate
- Third party transfers are not accepted
- Depositing limit is $10,000 tops
For their domestic bank transfers, they only accept USD and require you to provide full account information. The funds take 2-3 business days to appear on the account, which is quite slow. BPay is available for Australian customers.
They also accept international transfers, but they convert them to AUD or USD at the spot exchange rate. It also takes 2-3 business days for the funds to show, and they require all account information possible.
Deposits and Withdrawals
Depositing and withdrawing options are very important criteria for broker selection. In this ForexCT review, we will provide information about problems originated when withdrawing funds with this broker.
Withdrawal methods are similar to deposits, but they take longer up to 5 business days if needed. This is a very slow transaction and is another disadvantage of ForexCT.
One of the victims of ForexCT came out to tell his story. A 73-year old man lost $120,000 overnight due to harassment from ForexCT. Their representatives kept calling the man on a daily basis, several times a day, urging him to deposit more money into his account. In total, he invested $270,000 and only managed to withdraw some before he lost everything he had.
According to the ASIC regulations, no broker is not allowed to harass and force a client to deposit and trade. This is one of the first things the regulation teaches, so without a doubt ForexCT was aware of what they were doing.
The Australian government froze ForexCT’s bank accounts and forbid the director, Shlomi Yoshai from leaving the country. There have been no official updates regarding the raid since then. This piece of news definitely puts a huge X over the company for us.
We urge our readers to research as much as possible about a broker before they get involved. That is why we started compiling broker reviews. We want you to avoid being scammed or forced into trading. We will still continue to discuss the broker in this ForexCT review, but be aware of their recent activity.
ForexCT Review Conclusion — Risky Business and Shady Activities
We do not recommend you to sign up with this broker. They have had some shady activity in the near past. That only makes you wonder what else they have done that we do not know. There is not much to ForexCT that makes them stand out among their competitors. The disadvantages are quite large.
Though they are supposed to be regulated they have no issue with breaking the law. They took advantage of an old man in Australia without remorse, and have not even commented on their activities since.
Overall, ForexCT is not a good broker. They are not trustworthy or special in any way. If you still decide to sign up with them, we wish you the best of luck. For the users who have had experience with ForexCT, we ask you to share it with us and the rest of the visitors.
We suggest you to read this ForexCT Review twice, beforme making any decision. So, if you want to stop losing money and stop losses do not register on that website. Of course, there is no guaranteed stop loss.