Beware! Raffles Market is an offshore broker! Your investment may be at risk.
RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
In this review, we are going to scrutinise a misleading offshore broker that’s knowingly lying to the public. They offer MetaTrader4, but the deal is also truly deceitful and designed to trick traders and investors. We believe this is a scam scheme, and you can see why we do so in the full Raffles Market review.
Raffles Market REGULATION AND SAFETY OF FUNDS
Raffles Market originates in St. Vincent and the Grenadines, which is a big problem itself. The island is infamous for the lack of adequate financial regulation, and the local authority SVGFSA doesn’t even care to license the brokers operating there. Those companies work without supervision and can easily get involved in fraudulent or other criminal activities without bearing the consequences for their actions. There are way too many scammers legally operating from SVG precisely because of the regulation deficit.
To make things worse, Raffles Market claims to be SVG regulated, which is nonsense, as you’ve probably already guessed. But that’s not the end of the story because it turned out that the company is actually registered by NFA in the US. However, it’s not an NFA member, so this registration doesn’t mean that they have the authorisation to sell financial products and services. To do so, they need to provide 20 million USD in paid-up capital, and they obviously haven’t. At the same time, the broker is presented as NFA registered, once again trying to mislead customers and make them believe Raffles Market is a legit business. Well, it’s not, and your funds wouldn’t be safe if you deposit with them because the broker is unregulated and now a suspected scam, given the deceitful information they present.
You’d better avoid this suspicious entity and consider the high-rated EU brokers and British brokers on both lists instead. The European markets offer high-grade security, and the member states are compelled to operate deposit insurance funds that guarantee clients’ money in case of insolvency or fraud. Hence, CySEC brokers’ traders can claim up to 20 000 EUR, while the British protection is up to 85 000 GBP. If you are eligible to open an account with a European broker, you can safely do so; it’s a no-brainer.
Raffles Market TRADING SOFTWARE
Raffles Market delivers MetaTrader4, which is leading trading software, but the broker’s distribution is not suitable for trading. The platform we accessed was not active, and that’s probably because the broker wants to foist their managed accounts. On the Dashboard, there are links to two separate websites created entirely for their managed accounts and copy-trading services. Beware, that’s a highly suspicious offer because the broker is offshore registered and virtually anonymous, so traders won’t know anything about the people managing the funds.
That said, the high-rated MetaTrader4 brokers and MetaTrader5 brokers on both lists are safe and deliver upper-class software. The MT distributions are packed with advanced trading features such as Expert Advisors, many complex indicators, and sophisticated charting tools. There is also a marketplace where clients can benefit from more than 10 000 apps and third-party trading solutions. MetaTrader is the best option on the market, and you’d better consider this fact when choosing a broker.
The maximum possible leverage is 1:1000, a ratio that no one should ever use because that’s pure gambling. Worse though, the minimum possible leverage is 1:100, which is a level that’s also not safe enough, and it turns out that Raffles Market intentionally pushes traders into a high-risk environment. Beware, that’s a scam sign notwithstanding there were only managed accounts available at the time!
In fact, leverage is so dangerous that many financial authorities restricted its usage by implementing regulations in their pursuit to reduce leverage-inflicted losses. As a result, EU, British and Australian brokers have to limit their clients to 1:30, while Canadian brokers and US brokers are not allowed to provide more than 1:50. Most of the high-leverage brokers are poorly regulated offshore businesses, so be cautious.
Raffles Market DEPOSIT/WITHDRAW METHODS AND FEES
The minimum deposit is $100, and there are three account types. The starter is for deposits of up to $2000, the intermediate for $2000+ and the top-tier one for sums exceeding $20 000. The funding methods are quite unusual- USDT, Help2Pay, AwePay and PayTrust. Well, most of those are Asian services, which shows that Raffles Market is focused primarily on the Asian markets. In fact, the default languages in the Client Area are Chinese and Vietnamese, and it makes us wonder why the broker is trying to present itself as a US company.
While discussing deposit methods, see the Skrill brokers, Neteller brokers, FasaPay brokers, Sofort brokers, and Bitcoin brokers if you have a preferred payment system. The high-rated companies on both lists are stringently regulated, and you won’t face scammers among them. Still, the safest deposit method is Credit/Debit cards because it allows getting a refund within an extended period of time- up to 540 days, depending on the case.
The minimum withdrawal requirements and fees are not specified, and it’s said that the broker process withdrawal requests free of charge. The inactivity fees are seemingly fair. According to the clauses, after 6 months of inactivity, an account becomes dormant and will be charged $25 annually, which is pretty much in line with the industry standards.
Raffles Market indicates there are trading incentives possible but doesn’t provide any provisions and doesn’t specify anything about the bonus campaigns.
Overall, Raffles Market is an unregulated broker and currently a suspected scam, so you’d better stay away from this business and find reputable companies instead.
HOW DOES THE SCAM WORK
The Forex scam is a popular type of fraud that’s rather distinctive because it’s effectively a process. In the usual scenario, the victim clicked on an ad, then received a phone call, and at some point got convinced to deposit money. To make people accept their fraudulent offers, scammers would present deals that sound too good to be true, bonuses, get-rich-quick schemes, and so on. Their imagination is very rich, and they would invent as many stories as possible to get the deposits wanted.
But the money transfer is not an end; that’s the beginning of the actual Forex scam. Gradually, scammers would manipulate the victims and would urge them to invest more. For example, the con artists would not allow people to trade but would pretend to manage the account instead of the traders. They’d then falsify the trading results to show victims massive profits and ask for more money, promising to generate a fortune in no time.
However, if the victim asks for a withdrawal, that won’t happen. Scammers would come up with a story that the unfortunate trader needs to deposit again if they’re going to pull money out. Those criminals won’t stop asking for more, whatever the situation.
In the worst case, the victim would believe in the scammers’ falsehood and deposit repeatedly. Sooner or later, though, the scam would become evident, and that would be a signal for the fraudsters to cut the communication and disappear. They would abandon the website and would create a new one, carrying on with their criminal activities.
WHAT TO DO WHEN SCAMMED
Unfortunately, no one is immune to scam. If this unfortunately happens, the first thing to do is to protect yourself from further risk. Contact your bank and explain what happened to you so that they can give you instructions and help you, if possible, recover your money.
Report what happened to you, file a complaint, contact the financial regulator, contact other government institutions related to trading and investing, call the police if you feel necessary. Seek help actively!
Remember, it’s crucial not to rush blindly trying to recover your funds because many scam chargeback agencies and individuals are trying to double scam the victims. They ask for upfront payment, take the money, but won’t do anything to help you!
Share online your experience; it’s important to protect others, as well. Be responsible!
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