Trade12 Review (2023)

Is Trade12 a scam or a legit broker?

Exo Capital Markets Limited has been suspected as a scam broker. It operates under the brand name Trade12 is a brokerage firm that provides online currencies and CFDs trading services. The company is registered in the Marshall Islands, an offshore zone, and does not hold any authorization or license to perform financial services. Even though it is mentioned about many jurisdictions that are restricted to open a trading account with Trade12.

What is Trade12?

Trade12 states to facilitate a fair and secure world-class trading environment for retail and institutional clients in high-risk settings and dedication to excellence commitment. The trading offering includes access to deep liquidity sources, high leverage up to 1:400 (See High Leverage Brokers), a range of account types (Also read about MEXC Global’s account types) and risk management tools. 

However, the promised conditions are not regulated by any authority or do not comply with the operational guidelines, thus it is a very adventurous decision to trade with Trade12. Currently, a market is full of attractive offerings and it may incur additional complexions to choose the best suitable one, thus at any stage of trading experience, the company reliability secures positions of overall trading experience.  The safety of the trader and his capital are always first, therefore we recommend to engage in trading only with the companies which perform both competitive trading conditions and reliability of services along with all necessary legislation.

Licenses & Regulation

The Marshall Islands is notorious for its practically absent requirements and regulations. Due to the setup cost is low and it does not regulate forex trading. Therefore, it became an offshore zone for shady forex brokers such as CobraCFD, GoldenSkyCapital and more. As we already know, offshore registration usually doesn’t guarantee the safety of funds and clients’ protection, especially in the Marshall Islands, where the local authority doesn’t regulate forex businesses. 

In fact, Marshall Islands is an offshore zone attracting various firms that for the reason or another escape from the serious regulation or compliance to international service providing. However, in the case of financial investment or trading firms, the company should be a very respected entity, as the statistics show that the majority of non-authorized firms never recovered the sums of investors’ investments. Therefore, we always advise avoiding offshore or companies with no license as there are too many frauds around.

Is Trade12 a scam?

Moreover, the regulatory watchdogs constantly monitor the situation and alert traders while the firm offers financial services unauthorized. That happened to Trade12 too, while for instance, ASIC (Australia) issued a warning to local traders of Trade12, as well as the CONSOB (Italy). The brokerage was also mentioned previously at the Brazilian Securities Commission, New Zealand’s authority FMA and blacklisted by Russian KROUFR for its services that claim to be registered within the EU and registration address in Estonia and UK in addition to other investigations that Trade12 faced through the last years. 

“ASIC advises this company could be involved in a scam. Do not deal with this business as it is unlicensed in Australia.”

ASIC, September 2017

“Considering that the provision of investment activities and services is reserved by Trade12 a non-authorized party to provide investment services to the Italian public and end the violation of Article 18 of the place through the website www.trade12.com.”

CONSOB, May 2018

The pages and official sources of the international regulators’ list alert shared with the authority directly or by other countries’ supervisory bodies or transmitted centrally. Those tools and general purpose of the regulatory bodies operate in order to enable stability of the market offerings, protect clients from potential and numerous frauds, enable reliability rules to financial service entities and more. As Trade12 got no license to operate within regulated jurisdictions, the broker was blacklisted and alerted by numerous authorities.

Trade12 in India

Trade12 accepts traders from India. However, Trade12 has no mention of complying with any Indian regulators on its website. It is also worth mentioning that Forex trading is actually prohibited in India. The broker is not regulated by any regulatory body in India, that’s why money safety may be the issue here.

Trade12 in the USA

Trade12 nor its agents or partners are not registered and do not provide any services on the USA territory. As per the U.S law, brokers regulated by CFTC are the only brokers allowed for the USA traders. So, except for Videforex, you are only permitted to trade with the U.S regulated platforms. 

Deposits & Withdrawals

The minimum deposit is $250. Trade12 does not charge additional transaction fees. Trade12 offers a broad variety of payment methods for funding your trading account:  Visa, Mastercard and major credit/debit cards, Wire Transfer, Skrill/Moneybookers, CashU, China Union Pay, Moneta, Yandex Money, Paysafe Card, Ali Pay, WebMoney.

Demo Account

Trade12 does not offer a demo account. 

Conclusion

We strongly advise opening a trading account only with the brokers that are regulated by the respected world authorities that comply with the required set of rules and a good reputation through the delivered timeframe of operations. Traders should trade with well-regulated brokers such as UK brokers or brokers in Australia and reliable brokers such as FP Markets and Eightcap.

You can also share your trading experience with Trade12 by commenting on this review.