Alliance Trader Review – Should You Trust Your Money Here?
Alliance Trader broker is on the market since 2004. However, they were operating under Alliance Investment Management Limited. Which is their owner nowadays. The broker is operating from Jamaica and provides a wide range of stocks.
But to find out if this broker is reliable or not, read carefully our Alliance Trader review.
|Alliance Investment Management Limited
|DAS Trader Pro
|Types of Assets:
|Free Demo Account:
|Accepts US clients:
Alliance Trader Is a Regulated Broker?
Alliance Trader trading company operates under the jurisdiction of Jamaica. Indeed, once we check the Financial Securities Authority of Jamaica we can find this broker. Yet, this is an offshore regulator. They don’t have strict regulations like FCA, BaFin or ASIC. Since this broker is on the market for so long we expect them to have at least one Tier 1 regulation.
On the contrary, upon checking some Tier 1 registers we couldn’t find any records of Alliance Trader. The main benefit of such regulation is client protection. For instance, they don’t practice Pattern Day Trading limitations. Which are designed to protect your day trading account. Therefore, you can expect potential issues here.
The broker has only domestic regulation. They are an offshore entity without any user reviews. Yet, they are in business for 20 years. Lastly, broker doesn’t provide Pattern Day Trader restrictions or negative balance protection.
Differentiating Alliance Trader Platforms – A Software Comparison
Another key point is the available trading software. Many traders choose not to trade with some brokers because of bad software choices. On the contrary, Alliance Trader provides access to a widely used DAS Trader Pro. It allows traders to have fast executions and a very user-friendly platform. The most important aspect is real-time data from the biggest stock exchanges.
In general, it has everything that you need for successful trading. It’s even available for any Android or iOS device. And making money was never easier. But withdrawing it might be the issue.
We tried looking for Alliance Trader reviews and surprisingly we couldn’t find any. For a business that lasts for 20 years, that is suspicious at best. Instead, better look for a Tier 1 regulated broker wherever you are.
Alliance Trader’s Trading Assets and Instruments
Many trading companies tend to provide as many assets as possible. The reason for that is more opportunities on the market. Yet, Alliance Trader only provides access to the stock markets worldwide.
Stocks listed on their platform are from the biggest exchanges in the world like:
Important to realize is that traders don’t have Pattern Day Trading restrictions. The problem with that is that traders can open as many margin trades as they like. Therefore, a trader can wipe their account balance overnight. Or even worse get into debt since they don’t have negative balance protection. For example, FCA regulated brokers.
Which Types Of Accounts Does Alliance Trader Offer?
Alliance Trader offers only 2 different account types. Traders can choose from:
- Cash account $1.000
- Margin account $2.000
The main difference comes with the leverage that the Margin account has. It is 1:4 for intraday trading, but 1:2 for regular trading. If this broker had any better regulation this would be a good choice. This way, can’t rely much on their license.
Most US stock exchanges require at least $25.000 to sign up. That’s why this offer might seem attractive. Yet, for a business that is alive for 20 years without any reviews, there could be something shady.
Can a Trader Use a Demo Account?
Since Alliance Trader requires a higher minimum deposit than usual, it’s good that you can try their services with a demo first. On the negative side, a demo account is only available for two weeks. That is not enough time for beginners to learn anything. So, the idea of this broker is obviously to put slight pressure on clients to deposit money.
Since they provide attractive trading software, this can result in early deposits. But don’t rush with it. Why limit yourself for 2 weeks and then jump into the unknown. Especially when you have Tier 1 licensed brokers that don’t limit you to a demo account. Moreover, they have available micro accounts starting at $10. Everything is designed for traders’ comfort.
Terms of Service for Alliance Trader
Besides zero annual fees broker doesn’t have to offer anything competitive. They have a very high commission and very demanding KYC Policy. This is a potential problem since the company is loosely regulated.
The company claims not to provide its services to US clients. Yet, they have a phone number for the support center from the US. There are only two reasons for that. One is that they are using VOIP and have internet call services. This one is the more probable one. On the other hand, they could have an office in the US. But then there is no reason not to provide services to US citizens.
Either way, it’s not something that would attract traders to trust their money to this broker.
Leverage, Spreads and Fees
On a Cash account, traders don’t have leverage while on a Margin account, there is maximum leverage of 1:4. Since this is trading on the stock market this broker doesn’t have standard spreads. But they havea commission for trading. Which is quite unattractive.
There are 3 pricing options:
- Starter – $4.95
- Max – $8.95
- Ultra – $9.95
Besides, there are software usage fees and many other charges. Some of those are stop payment for $25, $30 for wire incoming, a Margin/Equity call fee of $25 and many more. Too many costs for almost no benefits.
What Should I Do If I Have Alliance Trader Problem?
Firstly, you can contact their regulator and seek for problem solution. Many traders opt for this mostly because of withdrawal issues. If you can’t get your money back you can always get in touch with our fund recovery experts. Don’t wait until it’s too late. Start your chargeback process already today.
Get back to us and book your free consultation.
What Is Alliance Trader?
Alliance Trader is a Jamaican company offering stock trading services worldwide since 2004.
Is Alliance Trader a Legitimate Broker?
Broker doesn’t provide strong security and has some flaws where clients can expect potential issues.
Is Alliance Trader Available in the United States or the UK?
Alliance Trader company claims not to provide services to US clients. For UK clients yes.
Does Alliance Trader Offer a Demo Account?
Yes. But traders can only use a demo account for 2 weeks period.