Pros & cons of TopFX

TopFX Fact sheet

Putting security first is crucial when choosing a Forex broker. Inexperienced newcomers are especially susceptible to money traps, so the degree to which the broker is regulated is the best sign of whether the broker is reliable. 

As already mentioned, TopFX is a group of brokers registered and licensed in Seychelles and Cyprus. Below you can see the registration numbers.

TopFX Global Ltd is a company registered under the laws of Seychelles with registration number 8424819-1 and under the Securities Act 2007 of Seychelles with Securities Dealer License No: SD037. The broker is authorized and regulated by the Seychelles Financial Services Authority (FSA).

TopFX Ltd is also registered as a Cyprus investment firm (CIF) and licensed by the Cyprus Securities and Exchange Commission (CySEC) under license number 138/11 in accordance with the Markets in Financial Instruments Directive (MiFID II). Their registered office is located on the 3rd Floor, Stratigou Gianni Timagia 19, Limassol 3107, Cyprus.

TopFX is a regulated broker and therefore can be trusted, however, it should be noted that the regulators are not very strict.

Policies that TopFX follows

The broker increases the safety and security of traders’ funds by providing negative balance protection. The policy's objective is to stop traders from suffering losses that are greater than the balance of their accounts. Due to the high level of leverage involved, abrupt increases in volatility might cause your balance to fall below zero. To prevent accounts from going negative the broker implements a 35% Stop Out level. Once the balance-free margin reaches that level trades get automatically closed out. 

In addition, deposits made by clients of TopFX are kept in segregated accounts. Some brokers combine client deposits with the company's account, making money available to them at any time. As such, traders of TopFX are safe even if the broker goes out of business, their funds will be available for withdrawals.

CFDs (Contracts for Difference) make up the majority of the portfolio on offer, and inexperienced traders shouldn’t be confused by this. Short and medium-term traders are often referred to as speculators and prefer to trade CFDs rather than real stocks. Trading CFDs has a lot of benefits. For instance, you don’t have to be concerned about crypto wallets or how to cash out your profits when trading cryptocurrencies. Spreads are tighter and buying and selling are simpler with CFDs since they are more liquid than their underlying assets. In addition, with CFDs, traders can benefit from both bullish and bearish price fluctuations by shorting or going long. When investing in physical precious metals or real stocks, traders only profit by buying at low prices and selling when prices are high. It’s easy to see that CFDs are superior for speculating, however, for long-term investing, most traders pick real assets.

Forex trading on TopFX

There are 44 available Forex pairs for trading on the MetaTrader 4 platform and 59 on cTrader. Maximum available leverage is 500:1 on most pairs. However, on certain currency pairs the maximum leverage is 100:1.

Trading fees are low, and spreads for EUR/USD start from 0.5 pips on the commission-free account. On spread markup-free accounts there’s a 2.75 USD commission per lot per round, which is much lower compared to what competitors are offering.

Stock CFD trading on TopFX

TopFX offers access to global CFDs on many stocks and there are 599 share CFDs available for trading. The broker offers 223 companies such as Tesla, Apple, Google, Meta, etc. for trading U.S. shares (NYSE and NASDAQ exchanges). In addition, there are 240 European stocks available. There are also 80 company stocks from China and Japan and 56 instruments from Sweden and the UK. 

Both MetaTrader 4 and cTrader can be used when trading with TopFX. It should be noted that there is no commission for trading shares with cTrader. When using MetaTrader 4, traders are charged a 0.30% (per share value) commission per transaction. It should be noted that the maximum available leverage for trading shares is 20:1.

Crypto CFD trading on TopFX

There are 13 crypto derivatives available for trading with TopFX. Trading fees start from 0.01 pips. Maximum available leverage is 10:1. The broker offers access to the most popular cryptocurrencies, such as:

• BTC/EUR Bitcoin vs Euro
• BTC/USD Bitcoin vs US Dollar
• DSH/BTC Dash vs Bitcoin
• ETH/USD Ethereum vs US Dollar, etc. 

Traders that are interested in trading crypto derivatives should pick cTrader over MetaTrader 4 when opening live accounts. cTrader offers 13 crypto derivatives whereas only BTC/USD and BTC/EUR are available on MetaTrader 4. 

Commodity CFD trading on TopFX

Commodities are raw materials that can be grown or mined. There are 9 available commodities with this broker. Maximum available leverage on metals is 200:1 and 100:1 on energies. 

Indices trading on TopFX

There are 14 global indices available for trading with TopFX. Indices or share indexes serve a double purpose, they can be traded as CFDs, and they are also used as an indicator of the health and well/being of certain economies. The maximum available leverage for trading indices is 200:1 and spreads start from as low as 0.7 pips. 

In order to meet the needs of various traders TopFX offers spread-free and commission-free account types. Spread-free accounts are best suited for active trading. Whereas commission-free trading is best for swing trading. 

Pros & cons of TopFX account types

TopFX RAW Account

As the name suggests, the RAW account offers raw spreads with zero markups. On the other hand, there is a 2.75 USD commission per traded lot per side. Which is very low. Maximum available leverage is 500:1. Automated trading is allowed and both cTrader and MetaTrader 4 are accessible. 

TopFX Zero Account

Spreads on Zero account start from 0.5 pips. On the upside there are no commissions. The fee policy is the main difference between the RAW and Zero account types. The rest of the features are the same. Both account types have a 35% Stop Out level, no dealing desk execution, and offer swap free account versions. 

Getting started on TopFX – Main steps

Traders need to take a couple of steps to open live accounts. The process is fully digital, and the webpage is user-friendly. 

Step 1: Open an account

The first step is to go to the broker’s main page and press “Open a Live Account” in green. You will be transferred to the registration page. It’s important to note that the information should be filled in using English characters, including your first and last name. For registration and account opening you can simply follow the process and fill in your personal details. 

Step 2: Time to verify your account

After you finish the registration process, the next step is verification. You can upload a scanned version or a digital photo of your Passport, ID card, or driving license for proof of your identity. In addition, you should also upload a proof of your residence. You can use your utility bill, bank statement or similar documents for proof of residence. A verified account will enable you to freely withdraw funds from your account.

Step 3: Make your deposit and start trading

The final step is to make a deposit to your MetaTrader 4 or cTrader account. The broker enables traders to use multiple funding options. The list includes: Visa, Mastercard, bank transfer, Neteller, Skrill, Google Pay, Apple Pay, PayRedeem, crypto, Perfect Money, Union Pay, PayTrust88, THAI QR PAYMENT, Dragonpay, PlusDebit, and M-Pesa. 

It should be noted that the minimum deposit amount varies from deposit option to deposit method. The minimum deposit for most methods, including credit cards, is 50 of the account currency. 

Trading fees with TopFX are low compared to other brokers. There are no fees on deposits and withdrawals. On the downside, there are inactivity fees of 5 USD after 90 days of inactivity. 

Comparing TopFX fees with other brokers

The broker offers both spread-free and commission-free accounts. In order to better understand the fees, let’s compare them with other financial services providers. For the comparison, we picked commission-free account type fees. 

TopFX fees compared to Interactive Brokers fees

*Inactivity fee was eliminated by IB in 2021, it used to be $20/m

TopFX fees compared to CM Trading fees

TopFX fees compared to plus500 fees

TopFX fees compared to XM fees

TopFX fees compared to AvaTrade fees

TopFX fees compared to Capital.com fees

TopFX offers cTrader and MetaTrader 4 (MT4) as desktop platforms. There are also mobile apps and web terminals available. MT4 is highly reliable and can be run on even outdated or low-budget computers. MT4 is best for trading FX pairs. cTrader offers better design and more trading instruments are available on that platform. In addition, cTrader has more chart timeframes and indicators. Both platforms support automated trading.

TopFX offers the following tools and educational material to its clients:

• Latest news updates
• Trading Central
• Autochartist
• Market calendar
• Daily Market Digest
• Weekly Outlook
• Market Analysis

The educational material is average. In addition, there is no availability of live seminars and webinars. There is also no traders’ academy for beginner, intermediate, and advanced traders. 

The broker offers great customer service to its customers. Customer service is available via live chat from the broker’s main web page, over the phone, or via email. Agents of customer service are available 24 hours a day, 7 days a week.

To sum everything up, TopFX is a regulated broker, but the regulators are not very strict. The broker offers a wide range of instruments through MT4 and cTrader. Traders that are interested in mainly trading FX pairs, should pick MT4. For multi-asset traders, cTrader is a better option, as the platform offers more tradable instruments. The minimum deposit depends on the funding method and starts from 50 USD. Maximum available leverage is 500:1. Trading fees are low with this broker and account types are aimed at both, high-frequency and low-frequency traders. The educational material offered is average and the customer support is great.