Overview of MangoTrade
MangoTrade, established in 2021 and based in Saint Vincent and the Grenadines, offers several trading instruments including stocks from leading companies, major currencies, commodities, and cryptocurrencies. With no strict regulatory compliance, it allows minimal initial deposits of $10 and trade openings at just $1. They also offer a risk-free demo account stocked with virtual funds, offering a chance for new traders to gain experience without financial risk.
Pros and Cons
MangoTrade supports trading in cryptocurrencies and commodities, as well as stocks from well-known companies such as Apple and Microsoft. The low minimum deposit requirement could be attractive for novice traders or those not looking to invest large sums initially. Moreover, the provision of a demo account could be ideal for those wanting to practice their trading strategies without financial risk.
On the flip side, MangoTrade is not regulated, and the lack of account type transparency could lead to confusion or misaligned expectations for traders. The broker's fee structure is also a potential drawback, with conversion fees on currency transactions and a 2% withdrawal fee applicable from the second withdrawal each month. Finally, the swap fees structure is considered unreasonable by some, potentially impacting the profitability of long-term and overnight positions.
Is MangoTrade legit or a scam？
MangoTrade does not hold a regulatory status with any known financial authority. This status means that there is no established body to monitor the brokers operations or to guarantee the safety of client investments.
Market Instruments
At MangoTrade, traders can access major and minor currency pairs like EUR/USD and USD/JPY, as well as stocks from globally recognized companies such as Apple and Tesla. MangoTrade also offers opportunities to trade in various commodities like oil, alongside other financial instruments including cryptocurrencies, ETFs, and Indices.
Account Details
MangoTrade allows trades from as low as $1 and can be opened with a minimum deposit of just $10, making it accessible for those new to the trading scene and looking to start with minimal financial outlay.
The broker also provides a demo account, which comes equipped with $10,000 in virtual money, ideal for newcomers to practice their trading strategies safely.
How to Open an Account with MangoTrade
Web Registration: Initially, provide your true identity and contact details on the MangoTrade website and agree to their terms to submit your application.
Identity Verification: Supply a valid Passport or ID card photo and personal details, possibly along with other documents like bank statements or utility bills for further verification.
Submit Required Documents: Make sure all documents are submitted as per MangoTrade's requirements to move forward with the verification process.
Complete Verification: MangoTrade will take up to 10 business days (potentially extended to 30) to verify your documents and confirm your identity.
Activate Account: Once verified, your account will be activated, and you can begin trading by making your first deposit through the available payment methods.
Spreads & Commissions
MangoTrade offers different spreads for some assets. For example, for typical forex pairs like EUR/USD, the spread is approximately 2 pips. Besides, assets with higher volatility, such as Bitcoin, can have spreads reaching up to 1024 pips. Moreover, for stocks, an example spread on Apple/USD is about 2.8 pips. Furthermore, for commodities like gold (XAU/USD), the spread can be as narrow as 1.147 pips.
Other Fees
Swap Fees: The broker charges a base swap fee of 0.01% to 0.5% for overnight positions, which can increase to 1.7% under extreme conditions. Notably, this fee triples over the weekend, impacting those who hold positions open during this time.
Dormant Account Fees: A monthly fee of €10 is applied to accounts with no activity for 90 days to cover the costs associated with maintaining such accounts, assuming sufficient funds are available.
Underage Account Closure Fee: A $20 fee is assessed for closing accounts owned by underage individuals.
Inactivity Fee: An inactivity fee of €10 is charged monthly after 90 days without trading activity.
Deposit & Withdrawal
MangoTrade offers multiple payment methods for deposits and withdrawals, including Visa, Mastercard, Venmo, and Paytm.
Withdrawal processes are handled by MangoTrades financial department and are typically completed within 3 business days, although the broker notes that this time may be extended under certain conditions. Notably, MangoTrade applies a conversion fee of 1% for transactions involving currency conversion. Additionally, a fixed 2% withdrawal fee is charged for the second and subsequent withdrawals each month.
Customer Support
Phone: +44 20-3656-5402
Email:support@mangotrade.com
Address: First Floor, First St. Vincent Bank Ltd Building, James Street, P.O. Box 1574, Kingstown VC0100, St. Vincent and the Grenadines
Conclusion
MangoTrade, located in Saint Vincent and the Grenadines, appeals to new traders by offering a broad array of trading options including cryptocurrencies, stocks, and commodities. With a minimal initial deposit of $10 and the availability of demo accounts, it attends well to novices looking to venture into trading with minimal risk. However, its unregulated status indicates possible challenges regarding the security of client funds and the broker's overall dependability. Other concerns include opaque account types, high fees for currency conversion, and excessive swap fees.
FAQs
Q: What trading assets are available at MangoTrade？
A: MangoTrade allows trading in forex, stocks, commodities, cryptocurrencies, ETFs, and indices.
Q: What is the required minimum deposit to start trading with MangoTrade？
A: The minimum deposit necessary to begin trading with MangoTrade is $10.
Q: Does MangoTrade provide a demo account for beginners？
A: Yes, MangoTrade offers a demo account with $10,000 of virtual funds.
Q: What are the trading fees at MangoTrade？
A: Trading at MangoTrade incurs a 1% conversion fee on currency exchanges, a 2% fee on second and subsequent monthly withdrawals, and other fees like swap fees and inactivity fees.
Q: How does one deposit or withdraw money from MangoTrade？
A: Deposits and withdrawals at MangoTrade can be made via Visa, Mastercard, Venmo, and Paytm, with withdrawals usually processed within three business days.
Q: Is MangoTrade a regulated entity？
A: No, MangoTrade operates without regulatory oversight, lacking formal supervision for client fund security.
Q: How can I contact MangoTrade support？
A: MangoTrade is reachable for support through their phone line, email address, and a web contact form.
Risk Warning
Online trading poses substantial risks, with the potential for complete loss of invested capital, rendering it unsuitable for all traders. It is imperative to comprehend the inherent risks and acknowledge that the information provided in this review is subject to change due to continuous updates in the company's services and policies.
Additionally, the review's generation date is a critical consideration, as information may have evolved since then. We strongly advise readers to verify updated details directly with the company before making any decisions, as the readers must be aware of and willing to accept the inherent risks involved in utilizing this information.
2023-03-07 10:07
