ETX Capital Review
Worth The Hassle?
ETX Capital is an online Forex & securities trading platform, designed to help provide people with access to binary options opportunities, as well as a number of other offerings...
The system was launched in 2002 and is fully regulated in the UK (by the FCA). This means that not only do they have to provide truthful statements regarding their service, but they also need to adhere to the KYC (Know Your Customer) directives, too.
Many people who use ETX actually came from the now-defund Alpari UK capital group - which sold its client base to ETX in 2015. This sale was of particular significance because it allowed ETX to grow massively in a very short space of time. To this end, they had to open a dedicated phone line for customers of Alpari, who may have been confused by the merger.
In all, the platform offers forex, stocks/shares, derivatives and binary options on a range of different markets. With it being a regulated business in the UK, it is not able to accept clients from the US or Canada, but is able to serve people from the EU and a range of other countries.
Another important factor to consider is that ETX was never a "retail" broker; it only really offered institutional / professional level services. It was only recently that it made the switch to retail, meaning that if you are looking at using this and are not a seasoned trader with significant levels of experience, it may take some adjustment to get used to.
This is actually relatively vital - as most of the poor quality reviews we have read pertained to the way in which various people had not received adequate support for their investments. This lack of support amounted to them not having access to their funds, or some other problem with verification etc.
Ultimately, it meant they felt that the company didn't provide support for them, but in reality they were likely just not used to the way in which the professional finance world works - and how it can be relatively impersonal at times.
This review is going to look at how effective ETX Capital is as a trading platform, and how it's going to provide you with the means to trade a number of markets effectively.
What is ETX Capital?
UK Regulated Business
The business is regulated by the UK Financial Conduct Authority (FCA). This means they cannot give out customer information, need to verify their clients' identities and are actually unable to accept US-based clients.
Publicly Traded Holding Company
The company behind ETX (Monecor (London) Limited) is publicly traded in the FTSE (London Stock Exchange). This gives them more credibility & obligation.
Offers Platform & Brokerage
Offers a platform through which people are able to trade on a number of financial markets (including the likes of Forex etc), which allow the users to get the most out of the system.
The support level of the service is very high, with a large number of people able to contact them directly at any weekday, and have rapid responses at a weekend too.
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Despite having a corporate history dating back to 1965, and their online service being released in 2002, ETX Capital has not enjoyed a strong presence in the "retail" / "global" trading community, primarily due to the way in which it catered to high net-worth individuals and institutions.
As mentioned, due to the fact that it's not only a regulated company, but also publicly traded, they have to ensure they do everything within the guidelines set down by the FCA.
This means that whilst most people likely have not heard of the group, the underlying way in which it has been operating is focused almost entirely on the way in which the system is able to function correctly.
The company offers a range of financial packages including forex, shares, commodities, derivatives and binary options. They provide up to 1:400 leverage and are able to open accounts (after verification) with as little as $100.
The quality of the platform is strong, with a large number of other users gaining invaluable knowledge from being able to manage the various assets in their portfolio, as well as being able to determine which systems they're able to use in the most effective way.
Ultimately, ETX is great for the fast-paced, high volume trader who wants to get the most out of the platform without having too much in terms of the way the system is able to run.
The most important thing to consider with the service is that ETX actually offer a number of other solutions to traders who may wish to provide users with addition (specific) benefits.
ETX Trader Pro
The core platform technology, designed to provide users with the ability to manage their portfolio & enter into new trades. The system is built on top of proprietary software, allowing it to run much more effectively.
The ETX Capital MetaTrader4 offering - allowing traders to take advantage of their brokerage with the MT4 system.
Binary Options platform gives users the ability to determine which services they're able to use to gain profit from binary options.
The ETX service and offer is strong, with millions of people having benefitted from it over its 16 year history.
Unfortunately, the way in which it was - and still is to a degree - a "professional" service provider means that a large number of retail traders will typically feel quite asinine in terms of how they are able to work with the system.
Integrating newer features - such as "crypto" trading - has allowed the service to become more affable to a wider market - but a similar structure in the backend means that the system is pretty-much focused on the provision of higher-level services.
The system itself is effective, and the company behind the scenes is definitely legitimate - the only problem people have seems to be with the support provided (or lack of it).
The majority of complaints we read about the system came from people who had not received adequate support from their account manager; leading them to become disillusioned with it as a platform. The answer for this is that since the company is predominantly focused on high net-worth clients, it's able to give people the chance to work in this level of the market.
In all, we award the service 4 / 5. If you're an institutional investor, trade high volumes, or have a lot of experience with other services, ETX may be a good fit for your current portfolio.
If you're a beginner, or even a lower mid-tier trader, you'll want to look at the likes of eToro or perhaps Markets.com in order to get the most out of the system. This will not only provide you with the most effective way to learn, but their systems are actually much simpler than using ETX.