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the55thFx Review - is it scam or safe?

The55thFx Review - is the55thfx com scam or good binary options broker?

RATING: 1 / 0 REVIEWS the55thFx
the55thFx is not regulated. We cannot guarantee your money is safe.

Basic Information & Investment plans

 

 

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The55thFx claims to offer trading in forex, binary options, as well as Bitcoin investments via the above Package pricing accounts, but its offer is very unclear. What is worse, we have serious concerns about this broker. Read on to understand why.

 

 

The55thFx Advantages

 

Not any significant.

 

 

The55thFx Disadvantages

 

False regulation claims

Although the55thFx provides an address in the US, it claims to be owned by the55thFx Limited, a company licensed and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 278/07. Yet, our search in the CySEC register returned no results. So, the55thFx’ claims of regulation are false, which inclines us to suspect that potential clients of this broker are open to substantial risk.

 

 

First of all, because the broker is not subject to regulatory oversight, and second, because making false regulation claims suggests that the55thFx might be a scam.

 

Trading conditions not disclosed, high initial deposit

Another worrisome sign regarding the55thFx is that the broker has not clarified any of its trading conditions on the website – no typical spreads for forex trades, nor payout percentages for binary options.

 

The only thing that becomes clear is that one has to deposit at least $500 in order to use the services of this broker, which is a high initial investment. Most forex and binary options brokers require $100 - $250 as a start.

 

Managed accounts only, no functional platform

As the55thFx does not offer free demo accounts, we opened a live one, without depositing any funds. As a result, we got access to some unproven web interface for trading in binary options. It feels like a cardboard cut-out with charting powered by TradingView, and obviously does not allow you to trade. Here is a preview:

 

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anaged account trading by definition requires a very strict regulatory regime, as it creates great potential for conflict of interest.

 

If  you are inexperienced and would rather follow someone else’s trading choices, you may take a look at the offering of some social trading platforms like ZuluTrade or eToro. They are quite popular among investors, and, more importantly, the companies operating them are well-regulated.

 

 

Conclusion

 

The55thFx claims to offer various investment plans for trading in wide range of assets. It also claims to be licensed by the CySEC. Yet, our investigation on the matter revealed that it is not regulated and that it only offers managed accounts for trading in binary options via some unproven web-interface. Overall, the whole website and platform incline us to suspect that this broker runs an investment scam.

 

Unfortunately, there are many con-artists in the trading world. That is why it is extremely important that traders are well-informed and invest solely in reputable and licensed brokerages. Prestigious financial regulators such as the UK’s FCA or Cyprus’ CySEC require compliance with a number of strict rules that give significant assurance for the safety of clients’ funds. For example, licensed brokers must maintain a certain capital adequacy, to keep clients’ money in segregated accounts, to report transactions, to provide negative balance protection, and to participate in a compensation scheme. The latter means that client’s losses will be covered in the unlikely case the broker goes bankrupt or attempts to scam traders.

 


>> Looking for a broker regulated in Cyprus? <<

 

 

To sum up our impression of the55thFx:

 

Pros Cons
Not any significant advantages Not regulated, despite the claims
  Trading conditions not disclosed
  No functional platform
  Managed accounts only

 

Latest news about the55thFx
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Traders` reviews for the55thFx

Spread

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Price feed

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Deposit/Withdraw

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