ETFinance Review and Investigation

ETFinance Review and Investigation

Written by: trader

ETFinance Review

A new broker’s in town… this time it’s ETFinance.

Having searched online we decided to share our findings. All the information is in public domain so please feel free to double check, if you wish.

So Who Are ETFinance?

ETFinance is a trading name of MAGNUM FX (CYPRUS) LTD registration number HE 360548 authorized and regulated by the Cyprus Securities and Exchange Commission (the “”CySEC””) under license number 359/18. As we can see from The Open Database Of The Corporate World, MAGNUM FX (CYPRUS) LTD was incorporated on 28 September 2016 and domain ETFinance.eu was registered on 29 July 2018 with GoDaddy.

Some ETFinance Reviews from Internet

New broker, so we decided to spend a bit of time and see what we could find. In no particular order:

1. According to forexbrokerz.com it’s “ETFinance is a reliable broker” – not sure a broker can become so reliable so quickly.

Conclusion about ETFinance from forexbrokerz

2. According to forexbonuslab.com it’s “They provide high-quality service and they are licensed by multiple highly respected regulatory bodies.” – not entirely true, as ETFinance is regulated only by CySEC.

ETFinance from forexbonuslab3. leaprate.com state “ETFinance.eu is a leading financial services company.” – it took just over a year to become a leading financial services company?leaprate review4. A good review from fxempire.com, “The services and features offered by ETFinance are designed more for beginner traders.”ETFinance review from fxempireThese are just some of the ETFinance reviews found on the internet, there are plenty more.Let’s go to the sad part:1. On TrustPilot, ETFinance has 9 reviews, 1 average and 8 bad, definitely, worth checking the reviews there.

2. You might want to read a few threads from ForexPeaceArmy forum:

https://www.forexpeacearmy.com/community/threads/etfinance.62365/

https://www.forexpeacearmy.com/community/threads/etfinance-stole-my-money.62163/

What is Forex

The FX market exceeds the combined volume of both the U.S. equity and treasury markets. Unlike other financial markets, the FX market has no physical location thus allowing it to literally function around the globe 24 hours per day, 5 days a week. Forex market is truly an interbank market comprised largely of a network of banks, corporations and individual speculators each trading one currency for another.

How Does It Work

It’s very simple. Currencies are traded in pairs. FX Trading is the simultaneous buying of one currency and selling of another. A long position means going long the first currency, and short the second one at the same time. A short position means going short the first currency, and long the second one at the same time. The MAJORS are the 6 most commonly traded pairs and comprise over 85% of FX trading. Cross rates involve currency pairs that do not trade against the US Dollar, and really should be left to professional traders. The Majors offer plenty of trading opportunities all by themselves.
Forex market is the most traded market in the world. Foreign exchange rates play a big role in our daily lives as most of the commodities are denominated in the US dollars, thus if the USD grows in value against the other currencies, the very basic commodities as wheat and oil become more expensive for the rest of us. Probably, the main currency pairs are eur/usd and gpb/usd as those currencies represent the biggest trading blocks.

As forex involves so many parties, it drew a lot of speculators; those speculators can influence the exchange rate and cause a chaos on the financial markets.

As more and more people around the world are eager to speculate or “trade”, it invites more brokers to enter the frame. When there’s a demand, there’s always going to be a supply; thus ETFinance is the latest forex broker to enter the market.

Competition is very good for the end users but you have to make sure you do your own research and trade with a reputable and reliable forex broker. It is no surprise that ET Finance entered the market and surely there will be more brokers entering.

What to look for when comparing FX accounts:

1. Regulations.

2. Reputation.

3. A range of markets.

4. Spreads (the deference between buy and sell prices).

5. Trading platforms.

A list of regulated and reputable forex brokers.

Conclusion and facts about ETFinance

1. Major deposit/withdrawal methods are supported.

2. CySEC regulated.

3. Platforms: WebTrader, MT4, Mobile App.

4. Limited range of markets for professional traders.

5. Clean and intuitive web design.

6. A newcomer, so only time will tell.