NovusCM Company Overview

　　

Founding Date and Background

　　NovusCM, a forex and CFD broker, was founded in August 2017. The company aimed to provide a trading platform for retail investors, focusing on various financial instruments, including forex, stocks, and commodities. It quickly entered the market with a promise of competitive trading conditions and a user-friendly interface.

　　

Parent Company/Owership Structure

　　NovusCM operates under the ownership of Velmon Enterprise Ltd., a company registered in the Marshall Islands. This ownership structure is common among many online brokers, often allowing them to operate with fewer regulatory constraints.

　　

Headquarters Location

　　The company is headquartered in Majuro, Marshall Islands. This location is often chosen for its favorable regulatory environment for offshore companies, which can attract international clients looking for trading services.

　　

Global Business Scope

　　NovusCM primarily targets retail traders globally, offering access to various financial markets. However, it has faced scrutiny and criticism regarding its operational practices and regulatory compliance, limiting its reputation in some regions.

　　

Main Regulatory Bodies

　　NovusCM operates without a valid license from major regulatory bodies such as the Financial Conduct Authority (FCA) in the UK or the Australian Securities and Investments Commission (ASIC). This lack of regulation raises concerns about investor protection and the safety of client funds.

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Company History and Development

　　

Key Milestones

　　Since its inception, NovusCM has gone through several phases, including rapid growth in its client base and the introduction of various trading products. However, it has also faced significant challenges, including regulatory scrutiny and customer complaints.

　　

Business Expansion Journey

　　The company aimed to expand its offerings by introducing new trading instruments and enhancing its trading platform. Despite its ambitions, NovusCM has struggled to maintain a positive reputation due to allegations of being a scam and not fulfilling withdrawal requests.

　　

Customer Base Growth

　　Initially, NovusCM attracted a growing number of traders, drawn by its promises of competitive spreads and cashback offers. However, its reputation has been marred by numerous complaints from clients who reported difficulties in withdrawing their funds.

　　

Platform Development History

　　NovusCM utilized the Tradersoft platform for its trading services, which allowed for a variety of trading functionalities. However, it lacked popular trading tools like MetaTrader 4 or 5, which are standard among many competitors.

　　

Important Awards or Recognitions Received

　　As of now, NovusCM has not received any notable awards or recognitions, primarily due to its controversial standing in the industry and lack of regulatory backing.

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Trading Services Offered

　　

Forex Trading Options

　　NovusCM offers trading in a limited number of currency pairs, primarily focusing on major and minor pairs. However, the exact number of pairs is not clearly specified, and traders should verify the current offerings on the platform.

　　

Stock Trading Options

　　The company claims to provide access to various stocks; however, specific details regarding the number of available stocks and the exchanges they are listed on are not well-documented.

　　

CFD Trading Products

　　NovusCM allows trading in Contracts for Difference (CFDs), covering various asset classes, including indices and commodities. This feature appeals to traders looking to leverage their positions without owning the underlying assets.

　　

Other Financial Instruments

　　While NovusCM promotes itself as offering a range of financial instruments, including cryptocurrencies, the specifics of these offerings are often unclear. Reports suggest that the availability of these instruments may be limited or not as robust as competitors.

　　

Special Services or Unique Advantages

　　One of the notable features of NovusCM is its cashback program, which promises rebates on trades. However, the effectiveness and reliability of this program have been questioned by users, especially in light of withdrawal issues.

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Regulatory and Legal Background

　　

Detailed Regulatory Information

　　NovusCM operates without any valid regulatory licenses, which poses significant risks for traders. Regulatory bodies like the FCA and ASIC are essential for ensuring that brokers adhere to strict operational standards, which NovusCM lacks.

　　

Legal Entity Structure by Region

　　The company is registered in the Marshall Islands under Velmon Enterprise Ltd. This structure is often utilized by offshore brokers, allowing them to circumvent stringent regulatory requirements present in other jurisdictions.

　　

Client Fund Protection Measures

　　Due to the lack of regulation, NovusCM does not offer adequate client fund protection measures typically found in regulated brokers, such as segregated accounts or compensation schemes.

　　

Countries/Regions Served

　　NovusCM targets a global audience, but its reputation issues may limit its appeal in certain regions, particularly those with strict regulatory requirements.

　　

Compliance History

　　The compliance history of NovusCM is fraught with complaints and allegations of fraud. Many users have reported difficulties in withdrawing funds, raising serious concerns about the company's operational integrity.

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Competitive Landscape

　　

3-5 Main Competitors

• IG Group: A well-established broker offering a wide range of financial products with strong regulatory oversight.
• OANDA: Known for its robust trading platform and excellent customer service, OANDA is a trusted name in forex trading.
• eToro: A social trading platform that attracts a large number of retail investors with its unique copy trading feature.

　　

Positioning in the Industry

　　NovusCM positions itself as a competitive broker with cashback offers and a variety of trading instruments. However, its lack of regulation and numerous complaints have hindered its ability to compete effectively with more reputable firms.

　　

Market Differentiation Factors

　　While NovusCM attempts to differentiate itself through cashback programs and a diverse range of trading instruments, its failure to provide a secure trading environment and reliable customer service significantly undermines its market position.

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　　In conclusion, NovusCM presents itself as a forex and CFD broker with various trading options. However, its lack of regulation, negative customer feedback, and operational challenges raise significant concerns for potential traders. It is crucial for individuals considering trading with NovusCM to conduct thorough research and consider the risks involved. For those seeking regulated and reputable trading environments, exploring other well-established brokers may be advisable.

　　For more information on forex trading and broker options, learn more.