Financikatrade Review: Scam Broker?

Financika
0.5

Summary

Financika is a scam broker feigning legitimacy through a weak financial regulator called VFSC. If you seriously want a good broker, find them in this list and if you don’t know how to trade, equip yourself with these resources.

Pros: At least regulated and minimum deposit reasonable.
Cons: A well-known scam associated with 70 Trades and Bforex brokers. Financika is weakly regulated and reports indicate they are repeat scammers. They don't have an MT4 platform and there is zero trust about this company and its operative

In fact, there are several complaints against Financika brokerage and I don’t think that all these people can be wrong about this broker’s conduct considering that the broker has never come out of their hiding place to defend their names publicly.

The reason I’d trade with a broker who is registered with, lets say CYSEC is because this financial watchdog has put a high minimum requirement that brokers must fulfill.

CYSEC has set that minimum to be € 730,000, which means that those who will approach CYSEC for regulations will most likely have serious intentions of running a business and benefiting the needs of their clients.

Apart from this, if a broker like Financika was registered with the CYSEC, it would ensure that they are keeping our funds into a segregated account and also not draining our money through a simulated trading experience where the broker trades against the client.

In addition to this, bodies like the ICF have made it mandatory for brokers to deposit a portion of their profit there so that when clients need compensation in case of bankruptcy, they can get it up to the tune of 20,000 Euros.

Financika review – features of this broker

The industry average minimum deposit falls within the $100-$200 range. So this broker is on the right side of things as far as minimum deposit is concerned.

The kind of spreads which they offer on a pair like EURUSD is also not reasonable. Many professional Forex brokers will charge anywhere between 0.8-1.5 spreads. It is therefore unacceptable for a broker to rob you of 3.0 spreads for the most liquid pair like EURUSD.

This prompted me to test their platform on demo to see what it was like trading with Financika. To my surprise, it was not possible even to access a demo, which could only mean that this Forex brokerage is a potential scam.

Trading platform offered by Financika

Instead of giving us popular options like the MT4 or even cTrader, the broker is running another web and mobile trading platform known as PROfit.

I was not successful in testing this platform. However, I have heard from traders that PROfit has some nice features and a fairly good charting solution but overall, traders say it feels counter-intuitive at times.

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