Financika Company

　　

Financika Company: A Comprehensive Overview

　　

Company Overview

　　

Founding Date and Background

　　Financika is an online trading service provider that was established in 2007. The company offers a range of investment solutions primarily in the forex and CFD markets. It caters to both novice and experienced traders, aiming to provide a robust trading environment.

　　

Parent Company/Ownership Structure

　　Financika operates under the brand name of Sharp Trading Ltd., which is responsible for the company's operations and services. This structure allows for a focused approach to online trading, although it raises questions regarding regulatory oversight.

　　

Headquarters Location

　　The headquarters of Financika is located in Port Vila, Vanuatu. This location is significant as it is known for its offshore regulatory environment, which can impact the level of trust and security perceived by potential clients.

　　

Global Business Scope

　　Financika serves a global clientele, offering its services to traders from various regions, including Europe, Latin America, and parts of Asia. However, it is important to note that it is not available in certain jurisdictions such as Singapore.

　　

Main Regulatory Bodies

　　Financika is registered with the Vanuatu Financial Services Commission (VFSC). However, the VFSC is often viewed as a less stringent regulatory body compared to others, such as the UK's Financial Conduct Authority (FCA) or Australia's Australian Securities and Investments Commission (ASIC).

　　Back to top

　　

Company History and Development

　　

Key Milestones

　　Since its founding, Financika has undergone several changes and developments. The company has expanded its trading offerings and improved its trading platform capabilities to attract a broader range of clients.

　　

Business Expansion Journey

　　Financika has focused on expanding its services to include various financial instruments beyond forex and CFDs. This expansion includes the introduction of stock trading options and commodities, aiming to diversify its portfolio and attract different types of traders.

　　

Customer Base Growth

　　Over the years, Financika has experienced fluctuations in its customer base. While it initially attracted a significant number of traders, various regulatory concerns and customer complaints have affected its reputation, leading to a decline in trust among potential clients.

　　

Platform Development History

　　Financika offers its proprietary trading platform, Web Profit, which is designed for ease of use and accessibility. The platform has undergone updates to improve user experience and functionality, although it has not gained the same level of popularity as industry-standard platforms like MetaTrader.

　　

Important Awards or Recognitions Received

　　As of now, Financika has not received any notable industry awards or recognitions that would enhance its credibility in the competitive trading environment.

　　Back to top

　　

Trading Services Offered

　　

Forex Trading Options

　　Financika provides access to over 40 currency pairs, including major, minor, and exotic pairs. This variety allows traders to engage in diverse trading strategies depending on market conditions.

　　

Stock Trading Options

　　The company offers stock trading through Contracts for Difference (CFDs), allowing traders to speculate on price movements without owning the underlying assets. However, the selection of stocks is limited compared to more established brokers.

　　

CFD Trading Products

　　Financika specializes in CFD trading, providing a range of products across various asset classes, including forex, commodities, and indices. This allows traders to leverage their positions and potentially increase their returns.

　　

Other Financial Instruments

　　In addition to forex and CFDs, Financika offers trading in commodities like gold and oil, as well as indices. However, it does not currently provide cryptocurrency trading options, which are becoming increasingly popular among traders.

　　

Special Services or Unique Advantages

　　Financika claims to offer personalized customer support and educational resources for traders. However, the lack of a demo account is a significant drawback, as it limits the ability for potential clients to test the platform before committing real funds.

　　Back to top

　　

Regulatory and Legal Background

　　

Detailed Regulatory Information

　　Financika is primarily regulated by the Vanuatu Financial Services Commission (VFSC). However, it lacks regulation from more respected bodies such as the FCA or ASIC, which raises concerns about its legitimacy and trustworthiness.

　　

Legal Entity Structure by Region

　　Financika operates under Sharp Trading Ltd. in Vanuatu, with claims of having a customer support office in Bulgaria and payment administration services managed by Cubbon Services Ltd. in Cyprus. This multi-entity structure can complicate the regulatory landscape.

　　

Client Fund Protection Measures

　　Due to its offshore status, client funds are not protected to the same extent as they would be with brokers regulated by more stringent authorities. This lack of protection is a significant risk factor for potential clients.

　　

Countries/Regions Served

　　Financika serves clients globally, with a focus on markets in Europe and Latin America. However, it is important to note that it is not available in certain jurisdictions, including Singapore, which may limit its appeal to some traders.

　　

Compliance History

　　Financika has faced scrutiny regarding its compliance practices, including being blacklisted by the French regulator Autorité des Marchés Financiers (AMF) for operating without proper authorization in France. This history raises red flags for potential clients considering their options.

　　Back to top

　　

Competitive Landscape

　　

3-5 Main Competitors

　　Financika competes with several brokers in the online trading space, including:

• RoboForex: Known for its low minimum deposit and diverse trading instruments.
• Exness: Offers a user-friendly platform with a wide range of account types.
• Tickmill: Recognized for its low spreads and strong regulatory framework.

　　

Positioning in the Industry

　　Financika's positioning is challenged by its low trust score and regulatory concerns. With a TU overall score of 1.85 out of 10, it ranks poorly among its competitors, making it less attractive to potential clients.

　　

Market Differentiation Factors

　　While Financika offers a proprietary trading platform and a range of trading instruments, its lack of regulatory credibility, customer complaints, and absence of a demo account hinder its ability to differentiate itself effectively in the competitive landscape.

　　Back to top

　　In summary, Financika presents itself as an online trading service provider with a range of offerings in forex and CFD trading. However, potential clients should exercise caution due to its regulatory status, history of customer complaints, and low trust score. For those considering trading with Financika, it is advisable to conduct thorough research and consider alternative brokers with stronger regulatory oversight and better customer reviews.

　　For more detailed insights and updates, learn more.