Banex Capital Review – Incognito Scam To Stay Clear Of

Banex Capital is a broker with an elegant and somewhat professional looking website. Unfortunately, that’s all there is to it. The rest makes up for a story about a bunch of criminals hiding behind a shiny surface and lying to traders for the purpose of stealing investments. 

How exactly this dastardly scheme works and how to properly protect yourself is thoroughly explained in the Banex Capital review ahead.

No License To Speak Of

Banex Capital makes an effort to appear popular, acclaimed and respectable to their potential customers. Sadly, the visuals aren’t everything and it takes a lot for a company to earn your respect. License is the main way to do it. Speaking of it, Banex Capital doesn’t own any. 

Going through the FCA and DFSA registers provided no results, although the firm claims to be legally registered or physically located there. Another broker with a similar background is INVcenter.

The only register where Banex Capital Ltd appears is the Companies House, UK. Firm apparently is legally registered, but unlicensed by the jurisdictional regulator. Or any other entity, for that matter, which we made sure of by combing through the registers of CNMV, BaFin, CONSOB and CySEC.

The trading conditions themselves are an obvious demonstration of the regulatory breach. Leverage of up to 1:300 is absolutely unallowed in the UK and EEA. Furthermore, negative balance insurance and compensation funds are mandatory, along with enhanced transparency and AML precautions. Banex Capital employs none. 

Victims’ Locations Vary

Banex Capital hasn’t been overly popular or present on the market for a long time. The domain was created in the first half of 2022. However, they’re still very much active. The statistics show the following countries to be reporting the most victims of this scam:

• United Kingdom
• United States
• South Africa
• India
• Nigeria 

The company employs a team of agents religiously calling, emailing and messaging potential customers and selling their services. While their every offer may seem attractive and lucrative, it’s a mind game you should not fall for. However, if you do, and your funds get stolen, you can always refer to us for legal help.

Insane Trading Parameters And Costs

The leverage for each account type at Banex Capital goes up to 1:300. We’ve already discussed the risks it brings and how illegal it is in the UK and EU. But the biggest absurdity has to be the spreads that start from 40 pips for the starting account. 

Compare that to the spreads that regulated brokers offer, which are as low as 0.3 pips, it is obvious how absolutely unlucrative and worthless this offer is.

Trading Tools 

The only notable element of the entire Banex Capital offer is the fact that they enable MT5. How unfortunate that the broker is unregulated. 

Nowhere on the site are there clearly defined trading assets available except a few popular ones mentioned. Lastly, the account types are of undefined prices and they have nothing of value to offer.

Trading Platforms Available

To our surprise, the Banex Capital platform provided seems to be none other than the prestigious MT5. Known for its speed, reliability, advanced add-ons and tools, this platform is currently the most preferred by every Forex trader. It is highly unfortunate that the broker providing it is not licensed for such services.

Limited Trading Assets

What the website advertises and what we could read directly from the platform differs. We’re listing all of the mentioned subgroups of products here:

• CFDs on Forex (EUR/USD, USD/JPY, CAD/USD, AUD/NZD, EUR/CHF)
• Metals (Silver and Gold)
• Futures (Dow Jones, Nasdaq, S&P, Gold)
• Commodities (Oil, Sugar, Coffee, Natural Gas)
• Stocks (Netflix, Tesla, Meta, Google)

Incomplete Account Offer

Packages offered at the website suggest a shallow, uninformative offer of Banex Capital accounts. None of the accounts bring anything of value and we have no information on the features. 

What’s more, until you contact the customer support, you won’t even know how much any of them cost. Even then, we were only told the minimum deposit is $100. Here’s how the packages are named:

Demo Account

When joining Banex Capital you can make a choice between a Demo and Live accounts. We first opened Demo, downloaded the platform and the broker did provide legit login credentials. Virtual margin available for trial trading on MT5 is $100 000.

How To Withdraw 

Nothing sounds simpler than Banex Capital withdrawal. All you’re expected to do is choose the sum and the wallet and the sum is instantaneously there. Too bad we’re all well aware that isn’t how it works in practice. 

The broker hasn’t published a single piece of info pertaining to transfers. There’s also no legal docs that address these issues. You can expect any kind of problem to appear when it’s about payouts. The same is with PrimoTrade.

Contacting Support

The Banex Capital live chat is the channel we used to get in touch with a support agent to find out more about account funding. However, their responses were painfully slow, although straightforward. Other contact information given on the site is email, several phones and a Whatsapp number.

Conclusion

We sincerely hope Banex Capital will soon acquire a license, given that the firm is legally registered in the UK but unregulated. In the meantime, please consider investing with a well-regulated brokerage brand. For any question, legal support and advice, our legal experts team is at your service.

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