Global FX Review

Introduction to Global FX

Global FX is an international forex broker which offers its clients to trade forex as well as CFDs on cryptocurrencies, stocks, precious metals and oil products. The broker offers cTrader and MetaTrader 5 platforms. Perhaps not offering MT4 is a sign of a modern forex broker. We look into the companies history, who is behind the brand, what they offer to their clients and how to proceed if you are considering opening a trading account with this broker. Ultimately, we want to know if Global FX is a scam, if they are a reliable financial services company and whether you should consider trading with them.

About Global FX

Global FX is headquartered in Ontario Canada. But where the company is really based is quite confusing. According to the website the company has representation in the USA, China, Singapore, Hong Kong, Cyprus and Russia. The website itself is operated by companies in Saint Vincent and the Grenadines and Lisbon. 

With all of those locations in mind, where is the company actually operating from? When it comes to providing support to clients, it’s their Hong Kong address which is emphasized on the website. Global FX recently announced a relocation of their Toronto office. However, the new address seems to be a condo in an apartment complex.  

Global FX Office
Global FX Office Address

According to the website, the company was founded in 2009, yet according to public records, the company Global FX was registered in Ontario Canada on the 31st of October 2017. After apparently launching in 2009 they immediately joined the Global Group Holdings. Unfortunately, this has little context because it seems like Global Group has only one business, which is just Global FX. 

Global FX is apparently a trademark of  Global FX International LP. No such trademark is registered anywhere in the world. On top of all of this, Global FX is not a regulated forex broker. If anything went wrong, it would be almost impossible to resolve the situation. 

We do not recommend trading with Global FX. Consider trying these brokers:

Global FX Technology

This broker claims that it is an ECN broker and reiterates this constantly. It also repeats that the company uses STP (straight-through processing) methodology to process clients orders. This means that all customers orders go directly to an external venue. Unfortunately, there are a few concerns with those statements. 

Among the instruments they offer are currencies, equities, indices, cryptocurrencies, energy and metal contracts. Global FX claims to cooperate with “advanced liquidity providers” such as;

  • Integral – which is not a liquidity provider, 
  • Quotix – which was not a liquidity provider and also no longer exists. 
  • Fixi – which is a dissolved company that no longer operates. 
  • Interactive Brokers – To acquire the necessary market data for the range of products offered by Global FX would cost more than 100 USD per client. 

It seems like there are some inconsistencies in what the company advertises in regards to its’s products. One thing they did get correct is the fact that they do offer cTrader and MetaTrader 5. Besides that, it looks like this broker is probably a market maker. 

Safety of Funds with Global FX

This broker accepts payments from just bank cards and Tether. While deposits are instant, withdrawals can take up to 7 days to be processed and extra time is required for the transaction to take effect. Moreover, Global FX charges commissions on withdrawals. For Visa and Mastercard, there is a flat fee of 7 USD charged, plus 3% of the amount you withdraw. To charge such a high fee on withdrawals is not a common practice. Other brokers charge much less, if anything at all. 

Clients funds are apparently held at the Česká spořitelna bank in the Czech Republic. This is probably partially true. While Global FX is not likely to have bank accounts at Česká spořitelna, their payment provider Orange Pay likely does. Since Orange Pay is regulated by the National Bank of the Czech Republic, they probably do use this bank. However, it has very little to do with protecting clients funds from misappropriation or embezzlement. 

Trading Conditions

One curious thing about this broker is that they offer very low leverage on their trading accounts. Regulators have recently been wreaking havoc on the industry because of brokers offering excessive leverage. However, Global FX is not regulated. There is no reason for them to offer such low leverage. According to its website, the maximum leverage they offer is 1:30. 

We are by no means suggesting high leverage is good for everyone. You should always pay special attention when configuring leverage on your trading account. In any case, remember that you can always use a demo account if you are not sure about something or want to explore how the market works before investing real money. Using leverage is definitely risky, but as individuals, we should be able to choose what risks we want to take. 

This broker advertises 24-hour assistance from Monday to Friday. The website has other tools such as macroeconomic analysis, interest rates, live quotes, economic calendar.

Opening an account looks very easy. You just have to complete the form online and upload your passport and proof of residence in order to verify the account.

We do not recommend trading with Global FX. Consider trying these brokers:

Conclusion of Global FX

This broker is not properly regulated. This on its own is not a bad sign, but considering the structure of this company is scarily complicated and the information on the website is questionable and none of their awards come from industry experts. If you decide to proceed, we advise doing so with caution, as you should in all circumstances, but take extra caution in this case. 

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