FxNet Review 2022 – Is It A Forex Trading Scam?

FxNet Company DetailsMetaTrader 4 Trading PlatformMarketsSpreads & CommissionsLeverageMobile AppsPayment MethodsDemo AccountDeals & BonusesRegulatory StatusAdditional FeaturesAccount TypesBenefitsDrawbacksTrading HoursCustomer SupportSecurityFxNet VerdictAccepted CountriesAlternatives to FxNetFAQ

FxNet offers trading via MT4 in multiple financial instruments, including forex. This review explores platform downloads, minimum deposits, how to withdraw money, spreads, and more. Find out whether to login and start trading at FxNet today.

FxNet Company Details

FxNet Ltd is based in Dubai and owned by BelFx Ltd. The company provides financial trading services to countries outside of the European Economic Area. FxNet holds a license with the International Financial Services Commission (IFSC).

MetaTrader 4 Trading Platform

FxNet uses the well-regarded MetaTrader 4 (MT4), which is available as a downloadable platform and via a web browser. MT4 was designed specifically for forex trading and provides a data-rich environment with good market depth and trading histories. It also offers 30 analysis tools, 50 customisable indicators and nine timeline choices.

FxNet MT4 platform

MT4 WebTrader has slightly reduced capabilities, but can be accessed easily from the broker’s website.

Markets

FxNet has a good range of tradeable instruments. Clients can trade on 51 forex pairs, 81 company shares, and 16 global stock indices. The broker also offers trading in 5 metals, 9 commodities, including energies and agricultural products, plus three CFDs on US and German bonds.

Spreads & Commissions

Forex spreads vary depending on the account held. Standard accounts get a minimum spread of 2.2 pips on the EUR/GBP, 1.8 pips on the EUR/USD, and 2.1 pips on the GBP/USD. With the Platinum account, spreads start at 0.2 pips on the EUR/GBP and 0 pips on both the EUR/USD and GBP/USD. There is also a 1.2 pip commission on all trades.

Overnight positions incur a charge. These swaps are variable and details can be found on the website.

Leverage

Leverage rates at FxNet are competitive, reaching up to 1:500 for forex trading with all account types. Other instruments have lower maximum rates; metals, indices and commodities can be leveraged up to 1:100 and shares can be leveraged up to 1:50.

Mobile Apps

The MetaTrader 4 platform provided by FxNet is available for trading on the go. Any device with Android 4.0, iOS 5.1.1 or above can download the mobile platform for free. The app has one touch trading, three chart types and over 30 technical indicators integrated into a sleek, intuitive interface.

FxNet mobile app

Payment Methods

Deposits can be made to FxNet accounts using Visa and Mastercard payment cards, Neteller, Skrill and bank transfers. All options support Euro and the US dollar, except Skrill, which only accepts US Dollar. Bank transfers can take up to five business days to be credited while other methods are almost instant.

To withdraw money from an FxNet account, the same method must be used as for the initial deposit. However, to fully empty an account, all profits must be withdrawn using bank transfers, which can take three to five business days. All other methods take up to 48 hours to be processed.

There are commissions placed on deposits and withdrawals, with varying rates based on the payment method. Bank transfers are only charged any bank fees, but other methods are charged different rates, the details of which can be found on the website.

Demo Account

The free demo account at FxNet allows traders to familiarise themselves with the platform and broker, as well as try out trading strategies and chart types. You can sign up for a demo account from the broker’s homepage.

Deals & Bonuses

There are no bonuses or promotions at the time of writing. Many brokers providing services outside of the EEA offer welcome deals or deposit bonuses, so it’s a shame to see FxNet isn’t currently running any promotions. Check the broker’s website when you register for an account in case this has changed.

Regulatory Status

Though now regulated by the International Financial Services Commission (IFSC), FxNet Ltd was once based in Limassol, Cyprus and regulated by the Cyprus Securities and Exchange Commission (CySEC), allowing it to provide services within the European Economic Area. However, an audit revealed a breach of CySEC regulations, resulting in a fine of $60,000 and the removal of its license. The penalty was mainly due to insufficient risk warnings on the website as well as insufficient records being kept.

Still, given that the broker has made the news for failing to meet regulatory conditions, we would recommend caution before opening an account. Other brokers that hold licenses with the FCA, ASIC, or CySEC, for example, may be more trustworthy.

Additional Features

There isn’t a decent breadth of additional features at FxNet, however, there is a detailed economic calendar. The calendar provides market predictions based on major events around the world.

We would like to see the broker increase its range of learning tools for newer traders.

Account Types

There are three FxNet accounts offered to both individual and corporate clients. As you move up the account tiers, the minimum deposit rises while spreads tighten and customer support improves.

Standard Account

Spreads from 2.3 pips
Minimum deposit $50
Leverage up to 1:500
All instruments
Limited support
No commission

VIP Account

Spreads from 1.9 pips
Minimum deposit $10,000
Leverage up to 1:500
All instruments
Full support
No commission

Platinum Account

Spreads from 0 pips
Minimum deposit $25,000
Leverage up to 1:500
All instruments
Excellent support
1.2 pips commission

Benefits

FxNet scores highly in the following areas:

MT4 access
Economic calendar
Range of instruments
Low minimum deposit
Multiple account options

Drawbacks

The broker could improve in certain areas too:

Some poor customer reviews
No cryptocurrency trading
European license revoked
Withdrawal commissions
No education centre
No live chat support

Trading Hours

Trading services are available when the markets are open and the platform is still accessible for account management outside of standard market operating hours. Forex is typically tradeable 24 hours a day, Monday through Friday, however other instruments vary depending on their respective markets.

Full details of trading hours can be found on the FxNet website under Trading Tools – Market Hours.

Customer Support

FxNet provide customer support to clients five days a week. All messages and queries are responded to within 24 hours, with the team working Monday to Friday, 07:00 to 16:00 GMT. There is a message tool at the lower right corner of the website where queries will be responded to via email.

Additionally, FxNet can be contacted directly using email, telephone or post:

Email – cs@fxnet.com
Phone – +971 42 482 303
Address – Business Centre, Building C, 3rd Floor Logistic City, Dubai, U.A.E

Security

All transmissions between FxNet servers and web browsers are encrypted using 256-bit Secure Sockets Layer (SSL) encryptions. Funds are also segregated with top banking institutions, as per regulations.

FxNet Verdict

FxNet offers a no-frills trading service. There is a low minimum deposit, making it a viable option for beginners. However, its European license was revoked for breaching regulations, which brings into question whether or not FxNet is a legitimate broker. As a result, there are other brokers to consider first that offer a more complete trading service and don’t have a track record of breaching regulations.

Accepted Countries

FxNet accepts traders from Australia, Thailand, United Kingdom, South Africa, Singapore, Hong Kong, India, United Arab Emirates, Saudi Arabia, Kuwait, Qatar and most other countries.

Traders can not use FxNet from United States, Belize, Japan, Canada, Russian Federation, Azerbaijan, Belgium, Bulgaria, Czech Republic, Denmark, Germany, Estonia, Ireland, Greece, Spain, France, Croatia, Italy, Cyprus, Latvia, Lithuania, Luxembourg, Hungary, Malta, Netherlands, Austria, Poland, Portugal, Romania, Slovenia, Slovakia, Finland, Sweden, Iceland, Norway, Liechtenstein.

Alternatives to FxNet

If you are looking for alternatives to FxNet we have compiled a list of the top 5 brokers that are similar to FxNet below. This list of brokers like FxNet is in order of similarity and only includes companies that accept traders from your location.

Infinox – Infinox is a UK-based broker offering MT4 trading with tight spreads.

SimpleFX – SimpleFX is a CFD broker offering its own SFX WebTrader platform & low fees.

LMFX – LMFX offers online forex and stock trading with low fees and high leverage.

IronFX – IronFX offers online trading in forex, stocks, futures and commodities

Fortrade – Fortrade is a multi-asset broker offering a simple live account with advanced tools.

FAQ

Is FxNet a scam?

FxNet has a track record of breaching CySEC regulations, who eventually revoked their license. The broker is now regulated by the International Financial Services Commission (IFSC). While we’re comfortable the broker is legitimate and not a scam, we would recommend other more reputable providers first.

What platform can I download with FxNet?

MetaTrader 4 is available to all FxNet clients. It can be downloaded or run on a browser via the broker’s website.

What is FxNet’s minimum deposit?

The smallest deposit needed to open a Standard FxNet account is $50. VIP and Platinum accounts, however, require deposits of $10,000 and $25,000, respectively.

How do I fund my FxNet account?

In order to deposit money into the account, you just need to sign in using your FxNet login details, head to my accounts and click the deposit button.

Can I trade with FxNet in the USA?

FxNet does not provide services to any citizens of the USA, EU or EEA, including Iceland, Norway and Lichtenstein.

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