Is fxqmarket.com scam or good forex broker?

FXQMarket (FXQM) presents itself as a MT4 forex brokerage delivering premium trading services. They offer three account types, but havent fully disclosed the trading conditions.

Apart from their account type and trading conditions, we have serious concerns about this broker and the details will be highlighted below in this review, along with a few possible advantages. Read on before depositing with FXQM.

FXQM Advantages

Seemingly attractive trading conditions

Although FXQM hasn‘t made disclosed the trading conditions clearly, through a demo account we saw that they’re actually quite attractive.

The spread is floating around 0.2 pips on EUR/USD, and a commission of $10 applies, so the trading costs per lot are around 1.4 pips for this pair per standard lot.

Besides, the initial deposit required is symbolically low ($10), and traders can use leverage as high as 1:1000. Leverage ratios that high will suit even the most aggressive traders, yet bear in mind that margin trading has its downside – when using leverage levels that high, the underlying asset is largely financed with borrowed money.

MT4 available

Also, we should stress another possible advantage here – the availability of the most widely used forex trading platform, the MetaTrader 4 (MT4). This trading terminal is a clear favorite of several generations of traders due to its reliability, ease of use, and great functionalities. The MT4 is praised for its top-notch charting with many technical analysis indicators. Support for automated trading via Expert Advisors (EAs), customization options and more.

FXQM Disadvantages

No regulatory oversight

FXQM says to be a trading name of QM Group Ltd., a company registered in the Seychelles. Furthermore, the brokerage claims to be licensed by the local Financial Services Authority. We don‘t think highly of the licensing regime in the Seychelles in general, as little focus is placed on compliance checking and the rules applicable to forex businesses aren’t as strict as those in the UK or Australia, for example.

However, when we checked the online register of the FSA, we found no trace of FXQM, so we can safely conclude that the broker isnt subjected to any regulatory oversight whatsoever. This brings along a number of risks to potential clients of the brokerage – there may be commingling of funds, client intervention,

Trading conditions not fully disclosed

As was mentioned above, this broker has not announced some essential trading conditions, such as the reference spreads, and the leverage levels provided. Such lack of transparency always raises concerns.

No binding documents

The Terms and Conditions or the Client Agreement is a key legal document that defines the relations between a broker and a trader. We couldn‘t find any such document on FXQM’s website, which basically means that if you open a trading account with them, you will have to agree with something you have not read.

Without regulatory oversight and binding documents between the broker and the client, the company is pretty much free to conduct business as it sees fit.

Conclusion

Although we listed a couple of possible benefits of FXQMarket (FXQM), we generally don‘t recommend investing in this Malaysian MT4 forex brokerage. The main reason for our negative attitude is the lack of credible financial regulation, which brings together with it uncertainty regarding the most crucial aspect of a brokerage – the safety of clients’ funds.

When dealing with an offshore unregulated broker like FXQMarket (FXQM) traders as clients are not protected if something goes wrong. Furthermore, in many cases such brokers simply stop answering your calls, e-mails, and disappear with your heard-earned money.

So, we will repeat our usual advice to only deal with brokers regulated by trustworthy authorities such as UK‘s FCA, or Australia’s ASIC, where regulation and supervision is strict and your funds will be safe.

Lets sum up the above: