Last Updated on: 20th July 2023, 04:23 am
When we enter the financial market, what do we expect? Safe and secure trade with a trustworthy broker. Right? However, many brokers drape their wrongdoing in silks of excellent features to rob traders of their hard-earned money. One such broker is Alpari. The broker claims that you can double your bonuses from 2020 if you trade with it. We advise traders and investors to not fall for such claims and do their own research. In this review, we will discuss different factors that will infer why trading with Alpari can be detrimental. Also, it is 2021. The website is not updated.
Manipulative and suspicious claims
The broker’s various claims, which outright depict that the broker is trying to manipulate the trader into investing money with it. One such claim made by Alpari is that once a trader on their website achieved an ROI of USD 183,000. However, there is no data to back up such an unrealistic claim. You cannot trust any broker that claims that this trader earned this much profit without any data. Another such claim says that Alpari assures traders that they can double their bonuses from 2020 with the trader. How can one even think that such claims are achievable in reality? Most of the fraudulent websites and brokers speak a similar language.
Alpari: Convoluted website
The website of Alpari is quite chaotic and all over the place. The broker does not care about the website’s update, and there are ads from the year 2020 on the website. The broker is more attentive in minting money and faking promises than doing some quality work. The website seems complicated to pan out and go through. There are various tabs on the home page without any structure or system.
We need evidence
The broker claims that 2 million active traders are trading with Alpari at current times. Where is the data to back up such boastful and unrealistic claims? Anyone can write such things on a slider bar but what about the evidence to back up such things. This is an outright red flag on the part of the broker.
About transactions, it says 412,586 transactions have happened so far and has paid USD 14,421,392 to its clients. But no one tells what the procedure was and how they managed to reach there. A true broker would document every step and present it in front of traders to win their confidence.
We cannot help but question the broker’s authenticity and credibility as it unabashedly makes such inorganic claims.
Trading instruments
The broker trades in just forex currencies. There are no other core instruments like stocks, commodities, or indices available with the broker. This can extremely restrict the trading opportunities for traders and investors. Also, there is no way to diversify a trading portfolio with just one kind of trading product.
Moreover, the foreign exchange currency market witnesses stern volatility. The whole risk of the trade can only be mitigated when other instruments are included in the portfolio.
Why not go with other more reputable brokers like HFTrading, T1 Markets, TradeATF which offer a wide range of trading assets and products.
Irrelevant account types:
The broker asks for a hefty amount in terms of minimum balance. For example, a trader for Nigeria would need to have ₦ 20,000 as a minimum balance even to begin with trading. That is a lot of money for a novice and trades aim at making that money in a year.
The broker feels nothing bad before asking for that money a conditional amount. The leverage offered in one of the accounts is as high as 1:1000. Exponentially higher than what limits the EU has already set. So, it is clearly lying to you. Don’t trust it.
The scam broker.
There is a specific account called the ECN accounts. ECN brokers have different liquidity providers associated with them; later on, they control the traders’ money, not the broker.
On the ECN accounts, the commissions that the broker asks touches the sky. Commission based trades are of no use today traders in particular. Since most of their profits are based on the volume of trading and not the individual profits, commissioned trades restricts the traders to make better profits.
The margin call on one of the accounts is 120%. Meaning that the broker will let a trader exhaust his account to the fullest, and an additional twenty per cent more and then it will make the margin call. What other proof can a broker provide of it being a scam? Scam brokers like this are a threat to the society since they will, for sure, run away with the traders hard-earned money.
Regulation:
The broker claims of itself being a stand-alone broker but again mentions a third party as the parent company. Such unclear claims are always made by a scam broker and not a legitimate one.
The broker also mentions that it is regulated by one single authority of regulation and at the same time, conducts business overseas. This makes the broker bound to possess an offshore regulation, which it doesn’t. Such scam brokers should not be entertained at all since they pose heavy risks to the novice traders.
Education and research material:
The broker claims to provide the user with webinars that are supposed to help make money. Alpari claims to provide the users with important reading material, but it is just a layer of a sea of information. By putting out the information that can make money for the broker, Alpari makes sure that the traders remain uninformed, making wrongful moves.
Even the recommended trading strategies for forex are the dangerous ones like day trading, scalping and swing trading. Forex in itself is a big-money game, and recommending such dangerous trading strategies to its users is the clear sign of a scam broker.
The liquidity game:
The broker has a specific ECN account. These accounts suggest a third party involvement of a liquidity provider and such brokers after a point of time, starting acting as the broker to the liquidity provider and not the broker.
Final call:
The broker Alpari is a complete scam, the design of the website looks cheap, and the outer confusions it has are enough to tell a smart trader that it is a scam. The broker is not advised for the traders, and we strongly recommend our traders change their broker immediately.
Brokers like Global Trade ATF, PrimeFin, HFTrading, to name a few have been in the market for a very long time and are completely safe and legitimate brokers.
