As soon as you open the website, you can see Wealth Markets CFD claiming to be the “Forex leader in online currency trading”. It’s allegedly registered in Italy but at the same time offers excessive leverage levels long ago prohibited by the country’s regulator CONSOB. Due to this vivid inconsistency only, we put Wealth Markets CFD on the list of suspected scams, and we were right to do so. Find out why in the full Wealth Markets CFD review.
Wealth Markets CFD REGULATION AND SAFETY OF FUNDS
Wealth Markets CFD presents itself as an Italian business, but that’s a brazen lie. In fact, a company named WealthMarketsCFD doesn’t even legally exist in Italy, so it was pointless to search for a license thereon because that’s a scam. However, the U.S. Securities and Exchange Commission already exposed Wealth Markets CFD as fraudulent by putting in its PAUSE list with unauthorised entities. For more info, see the screenshot at the bottom of this section. Taking this information into account, we conclude that your funds will be in danger if you deposit because that’s a proven scam.
Avoid this scam, and better see the high-rated EU brokers and British brokers on both lists. The European companies are adequately regulated, but most importantly, participating in deposit insurance funds created to protect investors’ money if things go wrong. For example, CySEC brokers’ clients can claim up to 20 000 EUR in case of bankruptcy, while the British guarantees are up to 85 000 GBP. The deposit funds guarantee extra customer protection, and if you can open accounts with European companies, you’d be safe.
Wealth Markets CFD TRADING SOFTWARE
Wealth Markets CFD offers fraudulent web-based software delivering Binary Options trading only. That’s a scam. We say so because these so-called instruments were long ago confirmed to be prone to fraud and price manipulation, and a few years ago, the Binary Options scams were flourishing, but not anymore. That’s because the majority of financial authorities stopped licensing Binary Options providers and entirely prohibited this type of trading. In fact, the USA still registers and regulates Binaries, but the companies need to act as exchanges and not like brokers. The bottom line is that the Wealth Markets CFD’s trading software is fraudulent.
That being said, we’d like to offer the high-rated MetaTrader4 brokers and MetaTrader5 brokers on both lists, which deliver the best Forex platforms. The MTs are packed with advanced features such as Expert advisors, many indicators, and excellent charting tools. The software also includes a marketplace with more than 10 000 apps and third-party developed solutions, which happens to be an unrivalled advantage. In fact, MT5 lately surpassed MT4 in the number of companies offering it but still lacks in volumes. Both platforms dominate the market, and you’d be much better off with adequately regulated MetaTrader brokers.
As we accessed the so-called trading software, we ended up with Put/Call buttons with no spreads, so we can’t discuss Buy/Sell differences. Regarding leverage, the maximum allowed is 1:1000, an excessively risky ratio that can cause instant-quick losses, especially if trading with fraudulent entities like Wealth Markets CFD. Moreover, the Italian regulator CONSOB no longer allow its licensees to provide such a ratio for their clients, which once again proves that Wealth Markets CFD is illegal.
Actually, leverage is so dangerous that it’s now a part of the regulatory framework in many jurisdictions. Namely, due to regulations, licensed EU, British and Australian brokers have to limit retail clients to 1:30 for FX majors, while Canadian brokers and US brokers to 1:50. Swiss brokers are reliable but not leverage restrained, so risk-tolerant traders eligible to open an account in Switzerland can safely go for it. Leverage is risky, and you’d better use it wisely.
Wealth Markets CFD DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit is $5000, or 50 times more than the regulated brokers’ demands on average- around $100 to let traders begin with real money. Also, nowadays, too many legit companies offer services for as little as $5, which is a good reason alone to stop wasting your time with the otherwise fraudulent Wealth Markets CFD.
The funding methods are said to be Bitcoin, Litecoin, Ethereum, Western Union, Money Gram, PerfectMoney, Neteller, Bank Transfers and Credit/Debit cards. Out of those, the latter is considered the safest option as it allows clients to chargeback for up to 540 days after the transaction. Still, we can’t verify that all the methods enlisted on the Wealth Markets CFD’s website are actually available. As it’s a dirty scam, we didn’t test their deposit system, and you shouldn’t deposit even a dime with these fraudsters.
Speaking of deposits, see our lists with Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers if you have a preferred e-wallet or a trusted payment system. The high-rated companies are well-regulated, and you won’t face scammers, so you can safely open accounts.
As for withdrawals, there is no minimum requirement, but the single withdrawal method is Wire Transfer, and every transaction will be charged $50. So, you can’t actually take out less than $50. However, that’s not the end of the story because if clients want to evade an additional 20% charge, they have to execute a 100% funds turnover. That’s a scam!
Also, Wealth Markets CFD collects commissions– up to 5% for each position opened. Well, Wealth Markets CFD is overly costly, which is an argument enough to avoid this sham. In contrast, no legit broker can plunder clients accounts so ruthlessly- usually, the regulated companies take a handful of dollars per million units traded, but only for ECN accounts. The standard accounts are not subject to commissions.
Overall, Wealth Markets CFD is an exposed scam, so you should avoid it.
HOW DOES THE SCAM WORK
Fraudulent brokers and fishy websites come forth every single day. Nevertheless, most new scam projects represent a modification of common fraud that’s similar from country to country.
Nowadays, scammers are stalking victims mainly on the Internet and social media. Their offers look legit and present exciting opportunities to put your money in the Forex market. To get enticed, people will be reassured the broker can secure high returns and risk-free trading guaranteed by seasoned financial professionals. The scammers intentionally make people believe Forex is harmless, but precisely the opposite is true- you can lose everything if not careful enough.
In the usual scenario, scammers just pocket victims’ deposits and won’t send a dollar back. Sometime after the deposit, clients would ask for a withdrawal or a refund, but the con artists would delay or downright refuse to pay back. Make no mistake, scammers would find excuses to deny withdrawals and would even shamelessly ask for more money to let clients get their money. In the end, when fraud becomes evident, the scammers would simply cut the communication, leaving the victims defrauded. Then, sooner or later, the fraudulent brokers’ website will be abandoned, and another one will appear in its place. Scammers are professionals and will carry on forging crooked schemes, so you need to stay alert and always double-check.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to scams. If you get scammed, the first thing you need to do is to consider the secondary risks. Deactivate your bank card immediately and contact your bank and ask for advice.
Then, report what happened to you, file a complaint, contact the authorities, call the police if you feel necessary. Seek help actively!
Remember, it’s crucial not to rush blindly to recover funds because fraudulent chargeback agencies and individuals are stalking, trying to double scam the victims. They ask for upfront payment, take the money but won’t do anything to help you!
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