Eurotrader – Little Transparency From This Offshore Broker

The online broker Eurotrader offers investors both forex and CFDs. Their base of operations is in the Marshall Islands, and they have a registration with the financial regulator there. Unfortunately, this jurisdiction is often used to avoid the stricter rules set by regulators like the FCA and CySEC. This isn’t necessarily a problem, but there are signs that something isn’t right. The broker’s parent company, Eurotrade Global Ltd, also operates the broker ET Global Investments Ltd in the UK, without the required FCA authorization.

Eurotrader Contradictory Account Types

Another major red flag concerning this broker is a lack of consistency on their own website. In the account types section, they list four different accounts, Bronze, Premium, Platinum, and Exclusive. They say that the higher accounts offer better spreads, higher leverage, and a higher maximum number of positions. However, in the trading accounts and conditions, they list their accounts as Micro, Gold, and VIP. These accounts show similar benefits but with different values from the previously mentioned accounts. It’s not clear which is right or how a broker could make such an oversight.

Eurotrader Minimum Deposit and Demo Accounts

It takes a minimum deposit of $250 to open an account with Eurotrader, while most brokers require only $100. The broker says that they offer a demo account for traders to familiarize themselves with their offerings. Traders can register, but the demo account is nonfunctional and doesn’t actually allow users to make virtual demo investments. The lack of transparency and clarity of communication shown by this broker should give any potential clients a reason to question them.

Lackluster Spreads

The demo account doesn’t let traders check out the broker’s spreads, but even the spreads that the broker lists on their website aren’t very attractive. Their EUR/USD spread is 1.4, while most investors would be looking for closer to 1.0. This pair is typically a good indicator of a broker’s spreads in general, and it’s indicating that Eurotrader doesn’t have much to offer.

We Help Victims Stand Up To Offshore Brokers

Dealing with offshore brokers can be very difficult for traders who don’t know how to handle them. These brokers offer their services to residents of countries with strong financial regulators that instill trust in financial service providers. Unfortunately, these offshore brokers don’t have any of the trader protections that their clients expect. If you’ve lost money trading with an offshore broker, contact us today for a free consultation on how we can help recover your funds.