CoreMarketOptions – What Kind of a Broker are you Dealing with?

CoreMarketOptions

Engaging in the financial markets can prove to be a very profitable venture, as long as you do things right. Sure, there can be losses made during the course of trading, but you do not want to lose your money to scammers and fraudsters. This has become more common than you may believe, as there are countless fake online brokers that are operating in the market. Therefore, when you are signing up with one to start online trading, your first question should be about the kind of broker you are dealing with, as this CoreMarketOptions review aims to do.

This means you have to figure out whether you are dealing with a genuine, or a fraudulent company and then decide how to proceed. An important thing to note is that it is not that straightforward to figure out the true nature of the broker. These days, both scam and legitimate companies appear to be very similar and this makes it a challenge for people to figure out if the platform they are considering is the right one or not.

The good news is that despite designing professional and impressive websites, scammers typically have holes in their stories that reveal their true nature. Thus, in order to find out the truth, you just need to know what to look for and this can help you make a smart decision. The problem is that most people are unable to figure out what to consider. The key is to focus on the important and vital offerings of an online broker and see if they are up to the mark.

You should do this when you come across CoreMarketOptions that claims to be a forex broker offering you solid services. But, a look at its essential offerings shows you otherwise. What are they? You can read on to find out.

License and regulation

The first aspect of an online broker that you should take into account is their license and regulation. A company with proper oversight can be held accountable and will not just disappear on you, or have any exploitative policies. Those that do not have a license and are unregulated do not follow any rules; they can make their own and vanish without warning. Therefore, it is recommended that you opt for a properly licensed and regulated company and this is where CoreMarketOptions does not fit.

A look at its website shows that it is based in the United Kingdom, which means that CoreMarketOptions needs to have a license from the Financial Conduct Authority (FCA). However, if you check the online register of the authority, you will not find the company listed anywhere. The FCA is one of the strictest regulatory authorities in the world and a license from them is immensely valuable.

However, CoreMarketOptions is not licensed by the FCA and is actually breaking its regulatory framework with its leverage ratios. Thus, it is either not based in the UK at all, or is operating from the jurisdiction illegally. Both these scenarios indicate that you are not dealing with an authentic and reliable company.

Trading software

In order to determine the quality of the broker, you need to assess their trading software because this is the tool that you use for doing the actual trading. How will you execute your trades in the market? It is the trading software that you use for this purpose, which means that it needs to be of top-notch quality. It should have the right technology and tools that enable you to make profitable trades quickly. A good broker will strive to provide you with a reliable and professional trading software, but CoreMarketOptions does no such thing.

You will find a very basic and over-simplified trading platform available that does not have anything special to offer to the users. There are no such extensive tools that professional solutions like the MT5 and cTrader tend to offer. Moreover, the platform that CoreMarketOptions offers is common amongst scam and shady brokers, so it does not really come as a surprise.

Trading conditions

Opting for an online broker without knowing what kind of trading conditions they offer is a disaster waiting to happen. You should bear in mind that these conditions have a direct impact on your bottom line, which means they determine your profits and costs. Thus, it is wise for you to check the trading conditions to ensure that you are able to achieve your financial goals.

This also applies in the case of CoreMarketOptions and once you do so, you will discover yet again that you are dealing with a fraudulent and unreliable broker. This is because their spreads start at 3.3 pips for the EUR/USD pair alone, which is not competitive at all. Most professional brokers have spreads starting from 1 pip and this is just three times that.

In addition, the leverage ratios are as high as 1:5000, which may seem lucrative, but is downright deadly for retail traders. Furthermore, it is also against the rules of the FCA in the UK, where CoreMarketOptions claims to be based. This is further proof that it is not possible for the broker to be based in the United Kingdom because it is going against the FCA’s regulatory framework.

Minimum deposit

It is understood that in order to open an account with a broker, you will be required to make a minimum deposit and this is no different for CoreMarketOptions. But, you should take note that the amount of the deposit can vary, so it is best for you to check.

You will find that CoreMarketOptions is asking for a minimum deposit of $500, which is considered high. These days, most brokerages are allowing their clients to open micro accounts for as low as $10. Even if the standard minimum deposit applies, the broker should not ask for more than $200 to $250.

Final Words

Once you are done looking at CoreMarketOptions and its offerings, you can see that you are not dealing with a good and quality broker and it is best to find a different option.