Forex trading has made a place for itself in the financial trading business and people have been hooked into it for a long period. There is this particular website that goes by the name of Sword Capital and it claims to be one of the best ones for trading Forex accounts. Even though the site is quite popular, there are a good number of people that think that this site is a terrible broker for most forex traders out there. The site offers several different account options to Forex traders. In present times, people can fall into the trap of some of the biggest financial frauds. It has been seen that in the forex trading market, the investors and traders become quite anxious and such fraudulent websites take this opportunity to get a hold of these trader’s funds and commit a massive scam.
I have taken some time to review Sword Capital to help you understand why this broker is a major scam, and why you should stay away from it. The people at Sword Capital make money from the losses their customers face.
Reasons Why You Should Stay Away from Them:
It has a standard deposit of $800 which is a major disadvantage. The amount is too high for most new investors and people will not be bringing in so much to a new company that is offering no other benefits, instead it is filled with disadvantages.
Following is a list of disadvantages that will assist you in determining how bad this trading account is:
- Little Information Regarding Spreads –
Spreads are some of the most important facts that determine the performance of a forex trading website. When there are low spreads, people usually gain interest in trading and investment. Again, when there is a lucrative environment going on in the market, as there can be a high amount of gains. However, with Sword Capital, you will not be able to understand anything as all information has been kept hidden by this company.
There is no information on spreads that you will find here, which is not professional at all for a trading website and that too when it operates in the Forex market. In the Forex trading market, there is a high importance of details regarding spreads.
All brokerages out there offer proper information regarding spreads, so people will move onto a different trading website quite easily. The standard spread of pips is 1.0-1.5 in a standard forex trading environment and this is for the EUR/USD pair which is the most popular one so far. The spreads go lower as well, down to 0.6 pips. It uses the old school Sirix platform which does not support the recent trend of Forex trading even.
The broker promises a better spread to most people and that is one of the reasons why people are attracted to this website. Based on the bidding and asking price, the contemporary brokers agree to spread somewhere around 4 pips. So, based on the spread that this broker is offering, there is no way one should be thinking about doing their Forex trading business using this site. Due to the hypothetical figure that this website agrees to offer and what it offers, Sword Capital cannot be trusted as a trustworthy website.
- No Demo Accounts Whatsoever – It is a lot easier to trade if someone has prior information regarding a demo account. People will be habituated with the trading conditions on a certain website and will be able to take trading decisions accordingly.
A lot of people do not understand the importance but a demo account is quite important and specifically for traders who are just getting started. The people that have been working for other websites will not understand the importance of a demo account but it assists in getting to know the trading process, getting the idea about the bids, etc and many more.
The Forex trading market can be a complicated and dangerous place for new traders so it is rather advised to traders that they come prepared and that is when a demo account comes in handy. The demo account is also important when you’re operating in a market with tight spreads. When the platform was tested with a demo account, only 20 or a little more currency pairs were available and a few of them were CFDs. There was nothing anywhere near crypto coins. This is a complete case of financial fraud, if a broker is promising you something and then delivering something else, then this is not acceptable. Furthermore, the website has been considered to be advantageous towards making the market as well. a market maker can always create a conflict in the ways of trading because when needed, a market maker can trade against the client. They often provide the traders with the worst prices and this means playing with the data and keeping you in the shadows. It is quite unprofessional when the company that you’re working with is operating against your own interest.
- Methods of Payments are Missing – There is no proper information regarding any payment method on this website and when there is such low information regarding trading, it is quite hard to operate. You will not be able to continue trading activities if there are no methods for deposit or withdrawing funds.
- Customer Reviews – Customer reviews for this website have not been good in the past as well. A UK based trader in the past has raised a complaint to the trading organization of the country and has asked the financial regulators to put an end to this website as there were a good number of instances where that person had lost a good amount of money. Sword Capital has been considered to be a market maker, which means that to stabilize the conditions in the market, it will trade against the traders.
My Sword Capital review cannot be complete without a conclusion. Forex trading business is lucrative and you will see so many fraudulent companies over a certain period. Choosing the right broker for yourself is quite important for everyone out there. Financial regulation is something that differentiates the wrong ones from the right ones. With time, traders will find lesser solutions and smaller options to get a good return of the disrupting currencies. Brokers will be prone to risks if they are trading on this website. Forex trading requires 100% accurate bids and if this is not displayed then traders will move on to other platforms. Even though it offers two trading platforms for forex and CFDs, it cannot be considered as the best trading site out there. It is advised that the newcomers in the future do not make the same mistake and do not fall into the traps of this faulty trading website. There are so many financial regulators for the different countries and being licensed and accepted by them is mandatory.