Introduction
Hello reader and welcome to Elite Copy Trading. For today’s review, we will be talking about Hotforex. Many consider Hotforex to be one of the best commodities and forex brokers out there in the market. It has gained recognition by some magazines and has won multiple awards.
For this review we will be talking a lot about what Hotforex is, how many customers it has, how reliable it is, it’s pros and cons and much more.
So, without further ado, let’s talk about Hotforex.
What is Hotforex?
Before we go deeper into this review, we need to know one thing first: What is Hotforex?
Hotforex is a forex and Commodities broker that provides trading services to different clients. Those clients can range from both retail customers and institutions. Hotforex offers its services through CFDs trading services, through 7 different account types and platforms, that utilizes tight spreads that have been averaged at a certain amount, usually at EUR 0.1 or USD 0.1. Hotforex prides itself on its policy, which provides access to unrestricted liquidity. Through this, it can provide quality service to both its clients and traders.
Hotforex is also an award-winning forex and commodities broker.
History of Hotforex
Hotforex was established in 2010, with its headquarters located in Cyprus. Since then, they have expanded to several different locations like Dubai and South Africa, with offshore firms located in St. Vincent and the Grenadines, which is a country located in the Caribbeans.
Hotforex has also shown great interest and has managed to influence the markets in Asia and the MENA Regions, which are the Middle East and North African Regions.
Hotforex has also won over 35+ awards in the course of 10 years, including Best Client Funds and Security Global, Best Forex Customer Service Provider in Latin America, and Best Forex Broker in Asia in 2019. It is also recognized as one of the Top 100 Companies by World Finance Magazine.
As of Today, there are over 200+ employees working at Hotforex, with over 2 Million live accounts created.
Licenses
Because of the firm expanding to different locations, Hotforex has had different licenses and regulations put in place to operate in that area. Their Hotforex Markets (SV) ltd. is registered in St. Vincent and the Grenadines as an International Business Company, which follows the International Business Companies (Amendment and Consolidation) Act, Chapter 149 of the Revised Laws of Saint Vincent and the Grenadines, 2019.
Their License Registration Number can be found here.
Regulations
Other than License to operate in St. Vincent and the Grenadines, their markets group are also regulated by numerous Financial Service Authorities in different countries. Without these, it would be difficult to operate their firms in these countries. Here are all of Hotforex’s regulators:
Financial Conduct Authority (United Kingdoms)
The Financial Conduct Authority or FCA, is an independent public body based in the United Kingdoms and governed by the Financial Services and Markets Act of 2000. They work with the UK Treasury to provide support to financial firms, so that they can have equal consumer benefits from honest and fair markets that are both trustworthy and transparent. HF Markets (UK) Ltd. are regulated by the FCA in the United Kingdom.
Dubai Financial Service Authority
The Dubai Financial Services or DFSA is an independent finance service regulator based in Dubai, with the goal of providing world-class regulations of financial services within the Middle East. HF Market Groups (DIFC) Ltd. is regulated by the DFSA.
Financial Conduct Service Authority
The Financial Conduct Service Authority or FCSA is an independent financial regulator overseen by the South African non-banking service industries. The FCSA also regulates the Johannesburg Stock Exchange or JSE, which is the largest exchange in South Africa. HF Markets SA Ltd. is registered as a Financial Service Provider by the FCSA.
Financial Services Authority
The Financial Service Authority or FSA is a non-bank financial service regulator based in Seychelles. They are responsible for providing licenses, supervision, and development to non-bank financial services in Seychelles. HF Markets (Seychelles) Ltd. is incorporated under the laws of the Republic of Seychelles and regulated by the FSA.
All of their Registration numbers can be found on their website.
Account Types
One of Hotforex’s main allure is its trading. As mentioned before, this is done through CFDs trading service and through 7 different types of accounts. So here, we will talk about what those 7 types of accounts are and what they are capable of.
Hotforex has 7 different accounts that anyone can choose from, each with their own unique way of trading. These are: Micro, Premium, Zero Spread, Auto, PAMM (Premium), HFCopy, and Islamic Account.
Micro
Micro is the most basic account there is in Hotforex. It’s designed for traders who are new to the forex market and to those who want to trade only in smaller values. Its key feature allows investors to trade small and open an account with a lower initial deposit. It uses the MetaTrader 4, MetaTrader 5 platforms. More information and account details can be found here.
Premium
Premium is for those experienced traders. One of the premium accounts key features is its flexibility in position sizing, with a limit of 60 lots. There is also a minimum trade size of 0.01 and it still remains flexible. Like the Micro, it also uses MetaTrader 4, MetaTrader 5 platforms. It also uses WebTrader and Mobile Trading Platforms. More information can be found here.
ZeroSpread
ZeroSpread is a low-cost trading solution that is available for all traders. It’s main key features are RAW spreads with 0 markup, low commissions that start at USD 0.03, and super tight spreads. The minimum deposit is USD 200. It uses MetaTrader 4, WebTrading, and Mobile Trading platforms. More Information can be found here.
Auto
Auto is more like an Autotrader. It copies signals from signal providers like MQL5. Its key feature is its auto trading capabilities. Auto accounts have a built in MT4 trading Terminal. Paid accounts need to be subjected to a one-month performance verification period. It also uses MetaTrader 4, WebTrader, and Mobile Trading platforms. Auto accounts users can subscribe to Signals via the MetaTrader 4 Platforms. More information can be found here.
PAMM
PAMM accounts have two options to choose from: PAMM Premium and PAMM PLUS. You can look at the comparisons of each account here, so that you can decide whether one of the PAMM account type fits your style of trading. A PAMM account basically allows the copying of another trader within your own account. Whatever trades are opened (and closed) by the master trader will therefore be copied in your own account automatically.
HFCopy
HFCopy is mainly used by Strategy Providers and Followers. SPs can open HFCopy accounts with the aim of building inventory of followers and trade in exchange for a performance fee. Performance fees can go as high as 50%. Followers who have an HFcopy account can start depositing some money and start following SPs and copy their trades. Its concept is similar to that of eToro. It uses the MetaTrader 4, Web Trader, and Mobile Trading platforms. More information can be found here.
Islamic Account
Islamic Accounts are available as Micro, Premium, Auto, and ZeroSpread. They replicate one of the trading account types, but they do not incur swap or rollover charges for holding positions overnight.
If you are unsure which account is better than the other, you can click here. This will lead you to the account comparison page so you can see the strengths and weaknesses of all the accounts.
Availability
Hotforex is available in over 180+ countries worldwide and with educational seminars located in Africa, Asia, Europe, and Latin America. Unfortunately, Hotforex does not provide its services in America, Canada, Sudan, Syria, and North Korea. For the full list of countries available, click here.
Reviews and Reception
Due to its immense popularity and acclaim, some review sites have given their take on Hotforex.
55Brokers, a financial service review site, said that “Overall, the HotForex review presents a global brokerage company with a well-established customer oriented operation that provides a secure, as well regulated trading environment suitable for almost every demand.” They also state in their review that their products have been tailored to accommodate consumers to their own strategy, whether it be a newcomer who wants to trade small, or an experienced trader who wants to trade big with low commissions on trade, or just someone who wants to copy trade, Hotforex is good for all.
Forex Peace Army, one of the best financial service review sites out there, has given Hotforex a 3.7 out of 5 rating, with some of its users satisfied with their experience with Hotforex. There are only a few comments (that I have seen) that claim that they feel cheated by Hotforex.
Another review site, TraderNova, has given their own take on the Hotforex. With their review mostly focused on the Trading service’s key features, pros and cons, accessibility, and the costs of each account type.
Here are the links of the reviews so that you can also get a better understanding on their take on Hotforex
55broker’s Review:https://55brokers.com/hotforex-review/#HotForex-Leverage
ForexPeaceArmy:https://www.forexpeacearmy.com/forex-reviews/6884/hotforex-forex-brokers#fpa-main-menu
TraderNova’sReview:https://tradernova.com/en/hotforex-review-opening-account/
Is Hotforex A Scam?
To put it simply, no, it is not a scam. There are too many factors in place to consider it a scam. There are regulators that keep the trading service in check, it has won multiple awards, it has a lot of active users. Although, there are claims from users saying that they are cheated by the service.
Conclusion
Overall, Hotforex is a solid trading service with a variety of accounts to choose from that fits your trading style. It is also more lenient to beginners to the forex trading market and more accommodating to those big time traders with very large accounts. It also has a copy trading account for those who want to sit back and let others do the trading for them.
So that’s it for my Hotforex review. I hope you found it worthwhile. Please post any questions you might have below.