Why Umarkets Doesn’t Suck
Umarkets is trying to operate with at least a veneer of respectability, registered in St Vincent and the Grenadines and supervised by IFMRRC. They provide trading on CFDs through a web-based platform and MT4 with assets in all categories.
Why Does Umarkets Suck
Umarkets get a lot of complaints about money and trading accounts. If you take them at face value it seems like this broker takes advantage of traders with their bonus and account activity policies. Not the kind of thing we like our readers to get involved with.
Is Umarkets A Scam?
Umarkets may not be a scam but there are some warning signs. The first is the complex nature of ownership: Market Solutions Ltd is registered in St Vincent and the Grenadines there are 2 other companies involved. The Terms and Conditions document doesn’t mention who the actual owners are and this leaves us with guesswork, which is never a good thing when it comes to money.
Along with this comes a bonus policy that leaves me with chills. They allow you to withdraw your deposit but no profits of any types until the rollover is met. The rollover is $10,000,000 (yes that’s right, $10 million) for every $1,000 received as a bonus. That’s insane and it goes even higher if you receive bonuses above certain amounts. Plus, they may close your account if you choose to withdraw your deposit before completing the bonus requirements.
Should I Open An Account With Umarkets
Umarkets is an online broker owned and operated by Market Solutions Ltd, a company located in St Vincent and the Grenadines, which is subject to the supervision of the IFMRRC – Certificate 0395 AA V0128. According to the footer of their homepage, Umarkets is owned/operated by TS Software Ltd. and they also show the info “2020 Prometheus Ltd.”. The relationship between the three companies is unclear, thus it’s unclear who really owns this broker.
Umarkets is a full-service CFD broker offering services through a web-based platform (Xcritical) and MT4 interface. They list assets in all categories including cryptocurrency, forex, stocks, indices, and commodities. The platform is clean and easy to use, complete with a fully featured chart and over 170 trading tools. They also offer Autochartist, early closure features and leverage up to 1:200 on most assets.
Metatrader users will like the platform. It is easy to connect to and allows the use of EA’s and other tools only available to MT4. There is also a mobile platform for tablets and phones so you can trade anywhere, anytime. One thing I don’t like is that it is designed to be a day trading service. Positions that are left overnight are charged an overnight commission.
The account structure really sucks: the lowest account (Mini) requires a deposit of $500, the next account (Standard) sets you back $5,000, followed by Gold at $10,000 and Platinum at $35,000. These are huge monetary requirements and you should be aware that fully regulated brokers, with good reputation, usually ask for half of that (and sometime even less) in order to open an account.
The asset list is pretty good. The commodities include gold versus the dollar and euro, silver the same way, Brent crude, WTI crude, and natural gas. Forex pairs include all the majors and about 3 dozen minor pairs. Cryptocurrencies are traded as CFDs but include 16 of the top traded tokens on the market. Indices include all the world’s major North American, European and Asian markets as well as about 100 individual stocks.
Market Solutions Ltd lists the address Suite 305 Griffith Corporate Centre P.O. Box 1510 Beachmont, Kingstown, St Vincent and the Grenadines. Prometheus Ltd. lists the address Beachmont Business Center, suite 40, Kingstown, St Vincent and the Grenadines. The broker can be contacted at phone +442037697631 and email [email protected].
Umarkets gets a lot of complaints dating back to the companies found in 2014. The complaints are all centred around money and how bonus ties up profits, account balances disappear and access to accounts are denied. To their credit, Umarkets tries to address the complaints but there are no signs of resolution in the forums I visited.
Umarkets Regulatory Warnings
Umarkets was warned by Spain’s CNMV 10.26.2018. At the time of the warning the broker was apparently owned by Maxi Services LTD.
Australia’s ASIC warns Umarkets could be involved in scams. ASIC warns against Umarkets.
Trading Bitcoin With Umarkets
You can trade Bitcoin with Umarkets using CFD’s. They list 16 top-ranked cryptocurrencies that can be accessed through the web-based platform or MT4 interface. They also offer leverage up to 1:200, much higher than EU regulated brokers.
User Friendliness 18/20
The platform is actually pretty decent and comes with a lot of tools. They also offer the MT4 platform, which is a good thing. The website is translated in 5 languages but it’s not particularly user-friendly. Demo accounts are available; US and UK traders are not accepted. What I don’t like is the pushy sales team.
Range Of Markets, Spreads And Leverage 18/20
They have a wide range of assets, and cryptocurrency, so they score points here. The spreads are very high (2.5 pips for EUR/USD on the lowest account) and the leverage is relatively high, going up to 1:200.
Fees And Support 12/20
Commissions are the name of the game with this broker. They use a spread from which they make money and then they charge you a 5% fee monthly after 90 days of inactivity. You will also be charged 5% of the withdrawal amount if you don’t make at least 5 trades before asking for a withdrawal. Support is there to help you deposit and returns are what you make them.
Deposits And Withdrawals 12/20
Deposit is easy and can be done by wire, credit card or eWallet. Payments are safe but the time it takes for funds to appear on your account is not specified (deposits and withdrawals included). The minimum deposit is $500 and the minimum withdrawal is $50. There is a bonus but maybe it’s better you don’t take it. It will not tie up your deposit but it will tie up all your profit and open your account to risk.
Website Extra’s 10/20
There are not a lot of extra features on this platform, but we can mention Autochartist. However, you will be able to use this tool only if you deposit at least $5,000 (Standard account). It really is too bad their reputation is less than stellar.