A Shady Business That You Should Stay Away From
Trade Principal is into forex trading and is believed to be owned by the firm Trade Principal Ltd SVG. The address of the company is believed to be at Suite 305, Griffith Corporate Centre, Beachmont, Kingstown, Saint Vincent, and the Grenadines. The Second address is of the company Zenith Management Limited, which is based out of the UK. The company has mentioned Trade Principal Ltd SVG in the disclaimer and Zenith Management Limited in terms and conditions.
My Trade Principal review thus concludes that the exact location of ths company cannot be established due to duplicate ownership identities. One owner claims to be UK based while the second owner claims to be based out of Saint Vincent and the Grenadines. Trade Principal is thus an offshore broker about which there is no confirmation of the location of the company.
No Registration with SVGFSA
The company has given one registration number citing it to be 24658. It is not registered with the regional financial regulating authority, the Financial Service Authority of Saint Vincent and the Grenadines. The same can be verified at this link. https://svgfsa.com/?s=Trade+Principal
The registration number is nothing more than a few digits written just to gain the confidence of the traders. It is one of the worst strategies adopted by fake companies. If the company is registered, then why is there the chaos over the ownership? The name of the owners is missing. There are 2 different locations supposed to be associated with one company. The company has not uploaded any documents supporting its registration claims.
Fake Terms and Conditions
The first line of the terms and conditions of the company states the trade name as Billions Trade. But the trade name of the company is Trade Principal.
Billions Trade is a separate entity that is a Scotland based company. The company is randomly using the name of a differently located company. It is the case of copy-paste which is done without any good knowledge of the Billions Trade Limited. It is an illegal process as any company cannot copy the name of any other company in its terms and conditions.
Second is the jurisdiction of the SVG Laws. It is a shaky claim done to impress the traders. It is already found that the company is not registered with the SVG FSA. The three names flout at various points in the company details. And once again, Trade Principal disappoints us with the fewer details with no actual registration of the company at any of the regulating organizations.
Third red flag is the absence of the team and the owners of the company. There is no mention of the names of the persons who are behind the venture. Their absence is the symptom of their unwillingness to disclose the details. The warnings are declared against the company, there are false claims of the registration of the company with an anonymous registration number. The owners are trying hard to keep themselves hidden undercover to avoid the clutches of the laws.
Warning by CONSOB
The Commissione Nazionale per le Societa e la Borsa or the Italian Companies and Exchange Commission (CONSOB) has raised a red flag against the fraud activities of Trade Principal. The company is not authorized to operate in Italy and to provide its services to the traders from the region. Being a reputed firm, the warning by CONSOB is a major setback to the company. It can be verified at the link https://www.consob.it/web/consob-and-its-activities/warnings?viewId=ultime_com_tutela
Warning by DFSA
The Danish Financial Supervisory Authority (DFSA) is the financial regulatory body of Denmark. The main responsibility of the DFSA is to supervise and to issue licenses to the financial markets of the region. An alarm by the reputed Danish Financial Supervisory Authority is a reversal of the fortune of the company. It is not allowed to extend any services to the customers from Denmark. It can be cross-checked at https://www.dfsa.dk/News/Advarsler-fra-andre-tilsynsmyndigheder/2019
Warning by CNMV
The Comision Nacional del Mercado de Valores (CNMV) or the National Securities Market Commission is the Spanish regulation authority working under the government. It is responsible to regulate the financial markets and to protect the interests of the customers from Spain. The CNMV has issued a warning against the Trade Principal for its illegal services in Spain. The screenshot of the same is attached here below.
Trade Principal is an offshore unregulated broker. The multifarious regulating authorities have already released cautioning against the operations of the company. The CNMV, the DFSA, and the CONSOB have raised concerns over the illegal services provided by the company. The watchdogs have already warned the traders dealing with the company about the unregulated and unethical operations of the company. The highlight of this warning is that the company is not registered with any of the top reputed authorities and thus no compensation to the traders in case the company went bankrupt.
High Investment Trading Accounts with No Details of the Platform
Trade Principal is into forex trading and CFDs. There is an outline for the demo account. To the surprise of the traders, the demo account of the company offers seemingly very good trades, which are not possible in actual trading conditions. The profit percentage of the demo account of the company goes up to 90% which is hard to believe. Thus, it is a net with highly optimized conditions to catch the traders into a business.
There are 4 types of live trading accounts with the company.
- Bronze Account: The minimum initial investment required to open a bronze account in the company stand as colossal as $1,000. The leverage is committed to being 1:400. The spread for any of the lots is not specified.
- Silver Account: The silver account requires a gigantic amount of $5,000. The leverage remains the same as that of a bronze account. There are no specialized services as that of a bronze account of the company.
- Gold Account: It requires a gigantic amount of $10,000 which cannot be termed as a minimum initial investment at all. It offers a free educational course whether traders are interested or not interested in the same. The point of thought is that only professional traders can try their luck with such a huge amount but they do not need any course.
- Crypt Account: It requires a minimum investment of $1,000 and is for trading cryptocurrencies only.
There is no provision of the triviality of the trading conditions, the pips for major currencies pairs, and leverage also does not go beyond the leverage. The high investment requiring trading accounts with feeble facilities are not trader-favorable.
There are no details about the trading platform. The company has not mentioned about the availability of online trading platforms or about the popular Meta Trader platform. The traders gripe over the weak facilities of the company and about the lack of transparency in the operations of the company.
No Mention of Deposit and Withdrawal Methods
Trade Principal has failed to explain the possible methods accepted for transferring funds. It is supposed to accept the funds through credit/debit cards. There are no details about the deposit conditions and the withdrawal fee. Lack of transparency in operations is an indicator of the hidden fee which can be charged at any time by the company.
The absence of the popular e-wallet like Neteller and Skrill hints at the scaffold activities going on in the company. Payments giants like Skrill have managed to keep the offshore brokers away with their anti-scam policies.
Website Analysis and Social Media Inquiry
The website of the Trade Principal is https://tradeprincipal.com/. The domain is registered in the year 2017.
The no show of the company at Facebook and Twitter indicates the weak approach of the company. There is a swarm of the negative responses of the traders which will get accumulated over the accounts of the broker. The company is keeping a blind eye at the much-needed attention areas. This indicates the level of professionalism adopted by the company.
Pathetic Customer Support
Trade Principal has failed to provide reliable and skillful technical support to its customers. The absence of contact numbers and the email-id shows the weak interest of the company to emerge as a trader friendly company. There is no provision of live chat and Skype numbers as well.
Trade Principal has scored 0.5 on 5 point rating scale. Starting from the high deposit requiring trading accounts to the undisclosed trading conditions, the company disappoints the traders at every step. There is no clarity over the fund’s transfer and no transparency in operations. The ban imposed by the leading regulators establishes Trade Principal as an unregulated, unreliable offshore broker. I don’t advise trading with the company.
Trade Principal cannot be trusted with your money. It is best to stay away from such an obvious scammer.
- No Registration with SVGFSA
- Fake Terms and Conditions
- Warning by CONSOB
- Warning by DFSA
- Warning by CNMV
- High Investment Trading Accounts with No Details of the Platform
- Pathetic Customer Support
- Shady Deposit and Withdrawal Methods