Capital Market broker review
Capital Market, also known as Capital Market Latam, is a forex broker that operates in the global financial market. Established in 2016, the company is headquartered at 30 Wall Street, 8th Floor, New York, USA, and maintains additional offices in Hong Kong and other regions. The broker is owned by Varalen Capital Markets LLC, which is a private entity and not publicly traded.
The primary market served by Capital Market includes retail forex trading, catering to individual traders and investors seeking to participate in the foreign exchange market. The broker's client base predominantly consists of traders from the CIS countries, Europe, and North America. Over the years, Capital Market has aimed to expand its services to a broader audience, providing various account types and trading options.
Capital Market has made significant strides since its inception, focusing on enhancing its trading platform and expanding its product offerings. The broker's business model revolves around providing retail forex services, offering clients access to a range of trading instruments, including currencies, commodities, and contracts for difference (CFDs).
The company has positioned itself as a reliable partner for traders looking to navigate the forex market, although it faces scrutiny regarding its regulatory status and transparency. Overall, Capital Market aims to offer a comprehensive trading experience for its clients, making it a notable player in the forex brokerage landscape.
Capital Market operates without clear regulatory oversight, which raises concerns about its legitimacy and safety for traders. The broker does not prominently feature any regulatory licenses on its website, leading to questions about its compliance with financial regulations.
Key regulatory bodies in the financial industry include:
However, it appears that Capital Market does not hold licenses from these reputable bodies, which is a significant red flag for potential investors. The absence of a regulatory number or license validity period further complicates the broker's standing in the market.
Capital Market claims to implement a Know Your Customer (KYC) and Anti-Money Laundering (AML) policy, which is essential for maintaining compliance in the financial sector. However, the lack of detailed information regarding customer fund protection, such as whether client funds are segregated, raises concerns about the safety of deposits.
Moreover, the broker does not participate in any investor compensation scheme, which typically provides a safety net for clients in case of broker insolvency. Given these factors, potential investors are advised to exercise caution and conduct thorough research before engaging with Capital Market.
Capital Market offers a diverse range of trading products designed to meet the needs of various traders. The broker provides access to 77 currency pairs, including major pairs like EUR/USD, GBP/USD, and USD/JPY, as well as several exotic currencies.
In addition to forex, Capital Market offers CFDs on various asset classes, including:
The broker frequently updates its product offerings to keep pace with market demands, although specific information on new additions is not readily available. Capital Market primarily targets retail traders, providing them with the tools and resources needed to trade effectively.
For institutional clients, the broker offers tailored services, including potential white label solutions to assist businesses in establishing their own trading platforms. Additionally, asset management services may be available for high-net-worth individuals or institutions looking for professional management of their investment portfolios.
Capital Market primarily utilizes the MetaTrader 5 (MT5) platform, which is renowned for its advanced trading features and user-friendly interface. The MT5 platform supports both desktop and mobile trading, allowing clients to access their accounts from various devices, including Windows, Mac, iOS, and Android.
In addition to MT5, the broker offers a web-based trading platform that provides essential trading functionalities without the need for software installation. This flexibility enables traders to engage in the markets from anywhere with internet access.
The broker operates on an ECN (Electronic Communication Network) model, which facilitates direct market access and ensures competitive pricing. The execution of trades is typically fast, benefiting from the broker's partnerships with liquidity providers.
Capital Market also supports API access, allowing traders to integrate third-party applications and automate their trading strategies. This capability is particularly appealing to algorithmic traders who seek to leverage technology for enhanced trading performance.
The broker's infrastructure includes robust server locations to ensure minimal latency and reliable trade execution. However, specific details regarding server locations and technological enhancements are not extensively documented.
Capital Market offers several account types to accommodate different trading preferences and capital levels. The primary accounts include:
Standard Account:
Minimum deposit: $300
Spread: Starts from 0.2 pips
Commission: $7.50 per lot
VIP Accounts:
Minimum deposit:
Gold: $50,000
Platinum: $100,000
Black: $300,000
Spread: Starts from 0.2 pips
Commission discounts based on account type.
Special accounts, such as Islamic accounts, may also be available, catering to traders who require compliance with Sharia law.
The broker provides a demo account option for new traders, allowing them to practice trading strategies without risking real funds. Leverage ratios offered by Capital Market can reach up to 1:500, which is significantly higher than many competitors, but traders should be aware of the associated risks.
Overnight fees are applicable, and specific details regarding the fee structure are provided upon account registration.
Capital Market supports a variety of deposit methods, including:
The minimum deposit requirement varies by account type, with the standard account requiring $300 and VIP accounts starting at $50,000.
Deposit processing times are generally quick, although specific timeframes are not explicitly mentioned. Importantly, the broker does not charge any deposit fees, making it cost-effective for traders to fund their accounts.
Withdrawal methods mirror the deposit options, but there may be withdrawal fees associated with credit card transactions. The processing time for withdrawals can range from 1 to 3 days, depending on the method used.
Transparency regarding withdrawal fees and processing times is limited, so clients should clarify these details before initiating withdrawals.
Capital Market provides customer support through various channels, including:
The broker's support services are typically available during standard business hours, although the exact time zone coverage is not specified.
Multilingual support is offered, catering to a diverse client base. Educational resources include webinars, tutorials, and articles designed to help traders improve their skills and market understanding.
Market analysis services are also provided, including daily updates, news articles, and research reports that keep traders informed about market trends and potential opportunities.
Trading tools available on the Capital Market platform include calculators, economic calendars, and signal services to assist traders in making informed decisions.
Capital Market primarily serves clients in various regions, including:
The broker has established a presence in major financial hubs, with offices in New York and Hong Kong. However, specific details regarding additional regional offices are limited.
Certain countries may be restricted from opening accounts with Capital Market, although the exact list of prohibited regions is not provided. Traders should verify their eligibility before attempting to register.
Overall, while Capital Market presents itself as a viable option for forex trading, potential clients should conduct thorough due diligence to understand the risks and limitations associated with engaging with an unregulated broker.