100% upon first deposit
|Headquarters||Suite 305, Griffith Corporate Centre, Beachmont, P.O. 1510, Kingstown, Saint Vincent and the Grenadines|
|Support Number||+44 2035192105|
|Support Types||Phone, live chat, email:|
|Trading Platform||[email protected]|
|Minimum 1st Deposit||$50|
|Minimum Account Size||None|
|Minimum Trade Amount||None|
|Maximum Trade Amount||None|
|Bonus||100% upon first deposit|
|Payout||Within 2 working days|
|Leverage||1:1 up to 1:1000|
|Spread||from just 0.2 pips on EUR/USD|
|Free Demo Account||Open Demo|
|Regulation||So far LMFX is not regulated yet|
|Fee Info||spread based|
|Account Types||Premium Account, Fixed Account, Zero Account, Demo Account|
|Deposit Methods||wire transfer, credit/debit card, Skrill, Neteller, FasaPay, VLoad|
|Withdrawal Methods||wire transfer, credit/debit card, Skrill, Neteller, FasaPay, VLoad|
|Trading Methods||Hedging, scalping, EAs, AutoTrade, Social Trading|
|Number of Assets||165+|
|Types of Assets||forex, indices, precious metals, oil, shares|
|Trading Currency||All major, minor, cross and exotic pairs|
|Account Currency||USD, EUR|
|US Traders Allowed|
LMFX Review, User Experiences, Bonus, Demo and more 2020
In this LMFX review updated for 2020 we are going to take a look at all the pros and cons of trading forex, CFDs and shares at this online broker.
LMFX Company Information
LMFX is an online broker founded in 2008 that offers forex trading, CFD trading, Spread Betting, Social Trading and Share Dealing. LMFX is based in Macedonia and is considered an off-shore broker. LMFX is very popular under American traders as they are one of the few off-shore brokers taking U.S. residents as clients. An alternative would be FXChoice, operating from the Bahamas doing kind of the same.
LMFX has a ticker symbol. This means LMFX is publicly listed and you can actually buy shares in LMFX on one of the worlds global market exchanges. To keep this LMFX review from being to hard we use very simple, down-to-earth language so that anyone considering to trade at LMFX can understand.
In this LMFX review we are just going to break down the pros and cons, discuss what LMFX has to offer its traders and would-be-traders, what countries they operate in and their regulatory status.
Please note that using a reliable and trustworthy broker is of upmost importance whilst online trading. Make sure you’re not dealing with a scam broker as you might risk losing your investment in that case, even if you make a profit with your trading.
Let’s start off with the basics of LMFX. LMFX offers five ways of trading: forex trading, CFD trading, Spread Betting, Social trading and share dealing. To trade with real money, LMFX’s minimum deposit is $50. If you want to get familiar with the LMFX trading platform before depositing real money or opening a live account, you can sign up for a free demo account first. LMFX is both suitable for beginner and experienced traders.
Is my money safe at LMFX?
When choosing a broker like LMFX the administrative body and regulatory status of a broker is of upmost importance. Brokers who conduct trades without supervision or regulatory body do so at their own discretion. Any capital you invest is at risk.
Like we outlined before, LMFX is an offshore broker based in Macedonia so it’s unregulated. This means a more liberal approach and can be suitable for U.S. traders that are actually looking to trade off-shore in the first place. So, just to be clear, one more time: LMFX is ideally for US based traders looking to trade off-shore at a more liberal broker, operating outside of USA regulatory mainframe.
Of course we cannot 100% guarantee nothing will go wrong at LMFX, but so far, ever since their establishment in 2008, they have been surviving. For the last 12 years they have done exceptionally well for an unregulated broker and per our guess, they want to keep it that way.
LMFX segregates their client’s money in segregated bank accounts, which is something normally only regulated brokers do but LMFX does it by themselves, plus points for LMFX here!
LMFX even uses top tier-1 banks for this. When we say tier-1 bank we mean this as an official measure of banks with great financial health and strength.
At LMFX you can basically open two accounts, which we highly recommend doing so. One is the real account, which requires a minimum deposit of real money of $50 or more and the other is the demo account. You can of course use the demo account as your experimental account.
LMFX Commissions, Spreads and Fees
LMFX doesn’t charge inactivity fees nor deposit fees but does fees on CFD’s. The average spread on EUR/USD is just 0.2 pips and they offer up to 1:1000 leverage.
LMFX Tradeable assets- What can you trade with LMFX?
LMFX offers a total of 161 financial assets and instruments across forex, precious metals, energy and agricultural markets and UK shares.
LMFX Trading Platforms
LMFX has it’s own user-friendly trading platform. This platform is available both browser bases as WebTrader or as downloadable program.
LMFX also as has a trading app available, both for iOS and Android devices, which are downloadable in their respective app stores.
LMFX Trading Features
LMFX is quite decent in a way that it allows scalping, offers STP/ECN processing and requires just $50 as minimum deposit to open a live trading account.
LMFX Trading Accounts
LMFX offers 4 different trading accounts being a Demo Account, Standard Account, ECN Account and an STP Account.
Because LMFX offers a demo account, you can try the broker out before depositing any of your hard earned real money. Open a demo practice account at LMFX
LMFX Deposit and Withdrawal Methods
LMFX offers quite a range of payment methods. Apart from a traditional wire transfer or using your credit or debit card, you can use Skrill or Neteller to fund your account as well. Withdrawals can be made using the same payment method as chosen to deposit money.
How to start trading with LMFX?
To open a trading account with LMFX you can sign up here. Once you verified your email, you will receive your login details to their trading platform by email as well. Be sure to submit your identification documents to fully verify your account so you’re able to withdraw funds as soon as you make a profit. The next step is to download one of LMFX’s trading platforms. You can find a full detail on how to do that here.
Placing orders and trades with LMFX
Performing trades with LMFX is very easy. Just click your desired asset or financial instrument followed by the ‘buy’ or ‘sell’ button. As LMFX offers ECN and STP execution, you can expect very tight spreads and price transparency compared to other brokers.
As is the case with most brokers, margin requirements vary depending on the type of trading account opened, asset traded and general market volatility.
LMFX Leverage and CFD Trading
LMFX offers CFDs as leveraged products (derivatives) on several UK shares, precious metals, energy markets and commodities.
As for this simple example we are going to make use of ten times leverage.
Let’s imagine we open a ten thousand dollar position but we only tie up a thousand dollars, or a tenth of this in value on our LMFX margin account. We are now in a situation where a small sum of money is controlling a much bigger financial position. This is called leverage or margin trading.
To determine what this leverage effect has on our profits or losses we’ll put it simply: it magnifies them in both directions.
So, let’s say we have $10,000 in Tesla shares and they rise 10% in value. This is a hundred percent increase on the funds initially committed on our leveraged CFD trade.
Our initial investment of ten thousand dollars for the trade has made a thousand dollars in profit because the price is up by ten percent and get’s magnified by ten.
If Tesla would drop 10%, to $9000, we’d wipe our account as leverage works both ways.
In general CFD trading is mostly used on short and medium term trades, also called intraday trading.
To learn more about Margin Trading and how leverage works, read our complete guide here:
LMFX Educational Material
To trade the markets efficiently, it’s important to educate yourself and know how online trading works in general. Luckily LMFX has a good selection of educational resources, some of them only available for live account holders. They supply technical analysis and monthly webinars. LMFX recently also added some calculators to their website.
If you’re new to online trading, you might want to opt-in for our beginner day trading course, which we offer for only $39. In this 12-lesson course you will learn all the basics about day trading in general, what to do and what to avoid. The $39 is based on the fact that we created the course once and many people already downloaded it. This way you don’t have to spend thousands of dollars on course material. For a one-time fee of $39 you get lifetime access, as we update the course from time to time.
LMFX Customer Support
The LMFX customer support is available per email, live chat and phone in a lot of languages including English, Spanish, Czech, Chinese, German, French, Italian, Polish, Portuguese, Romanian, Slovenian, Hindi, Hebrew, Arabic and Russian.
We tested the LMFX live chat and it works well. We sent messages to LMFX live chat through their app and website and received a response within 2 minutes. Sometimes there was no response. We tested communicating with LMFX support in multiple languages in multiple countries. LMFX where able to resolve our customer issues, which is a good sign.
We have sent at least 5 emails to LMFX and they all were answered very fast, even one on Friday just before market closing, to test them. We can conclude LMFX is on-point with their customer service.
We had one phone call with LMFX but this was more because of Introducing Broker nature than as a client. They replied quite professional and answered all our questions. We assume they do the same with client inquiries.
What do you need to open an account at LMFX
Although LMFX is unregulated, it does follow normal KYC and AML requirements. This means you must have the following documents at hand before you will be able to create a live account:
– A scanned copy in color of your passport, driving license or National ID card. (You can also just make a picture of this with your smartphone)
– A recent utility bill or bank statement not older than 3 months showing your address
You will also need to answer a few basic questions regarding your trading experience. In total you can count on about 10 minutes for this entire procedure.
You can of course explore the entire LMFX platform straight away, although you won’t be able to make any trades just yet. It takes between 2 hours and 2 days to become fully verified.
To start the process of opening a live account at LMFX you can visit their website by clicking this link.
LMFX Bonuses and Promotions
LMFX has several bonuses available at all times. One of them is the 100% credit bonus. Simply open a real money account and receive 100% bonus in credit upon your first deposit. The second bonus is the 15% Phoenix recovery bonus. This bonus is for people who wiped their brokerage account at different brokers and want to try online trading again. They will receive a 15% bonus on top of their first deposit if they can show they traded with a different broker before.
Last but not least there is the Learn & Earn bonus, where you get free real money for practicing online trading with a demo account. With nothing to lose we can highly recommend new traders to enroll in this sort-of freeroll trading tournament.
Reasons to join LMFX
CFDs are leveraged products and can result in a loss of capital. All trading involves risk. Only risk capital you’re prepared to lose. Past performance does not guarantee future results.
This extensive LMFX review is posted on 3/2/2020 and will be updated accordingly when any significant changes take place.
- Trade with higher leverage up to 1:1000
- 100% Credit Bonus and 15% Recovery bonus
- Stay up-to-date with LMFX’s Economic Calendar
- Learn from our Chief Market Analyst’s Daily Market Analysis
- Plan effectively with our useful Trading Calculators
- Easy online account management portal
- Industry-leading MT4 mobile and desktop platforms
- One click trading that is ideal for scalpers
- Protect your automated strategies with VPS hosting
- Join exciting trading competitions
There is no review.