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Lux Trading Firm
Unregulated
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Lux Trading Firm

United Kingdom
2021-01-27
2
1.59
Rating Index
Software
5.72
Licensed
0
Risk Control
1.2
Experience
5.23
Institution
0
Industry Classification
D
Unqualified
Trading Platforms
MT4, MT5, cTrader, The Lux Trader, TradingView

Basic Information

  • Registered Region
    United Kingdom
  • Operation Status
    Abnormal
  • Operating Period
    2021-01-27
  • Deposit Methods
    Bank Transfer, Credit Card, E-wallet, Cryptocurrency
  • Website
  • Market Type
    Foreign exchange
  • Support Languges
    English
  • Main Business
    Forex, Indices, Commodities, Equity CFDs, Cryptocurrencies
  • Business Type
    Financial services provider
  • Social Media
  • Contact Details
  • Type of Accounts
    $25,000, $50,000, $100,000, $200,000
  • Trading Platforms
    MT4, MT5, cTrader, The Lux Trader, TradingView
  • Withdraw Methods
    Credit Card, Bank Transfer
  • Auto Trading
    EA supported

Pros and Cons

Pros: Diverse market instruments; Multiple advanced trading platforms; Flexible leverage options; Significant profit share (75% to traders); Strong customer support; Educational resources available. Cons: Unregulated status raises legitimacy concerns; High minimum deposit requirements; Potential risks associated with leveraged trading; Monthly withdrawal limitations; Unclear company background.

Company Background

Lux Trading Firm was established in the UK on January 27, 2021, and operates without a valid regulatory license. It provides a range of trading services through various platforms such as MT4, MT5, cTrader, and its proprietary platform, The Lux Trader. The firm targets both novice and experienced traders with a focus on Forex, indices, commodities, equity CFDs, and cryptocurrencies, providing them with significant educational resources and customer support. However, the lack of regulation raises questions about its operational integrity and safety for traders.

Fund Security

Lux Trading Firm does not provide regulatory protection due to its unregulated status, which compromises the safety of client funds. The firm does not offer investor compensation schemes typical of regulated brokers, increasing potential risks for traders. Without regulatory oversight, fund security measures such as segregated accounts and insurance coverage are also unclear, leaving traders vulnerable.

Account Opening

Account options at Lux Trading Firm are categorized into four distinct types based on initial deposit amounts: $25,000, $50,000, $100,000, and $200,000, with specific investment targets for each. The account opening process involves visiting the firm’s website, selecting an account type, completing a registration form, and agreeing to the terms and conditions. Verification processes are generally standard, but the significant minimum deposits may deter some potential clients.

Trading Fees

The fee structure at Lux Trading Firm involves a profit-target system linked to the evaluation and performance at different account stages. Profit-sharing is set at 75% for the trader and 25% for the firm. However, specific details on spreads and additional fees such as inactivity or withdrawal fees are not disclosed, leading to some uncertainty regarding total trading costs.

Trading Instruments

Lux Trading Firm offers a comprehensive range of trading instruments, including major and minor currency pairs, various commodities, indices, equity CFDs, and a selection of cryptocurrencies. Each account type requires traders to adhere to specific profit targets and leverage ratios tailored to different asset classes, catering to a broad array of trading strategies.

Trading Technology

The firm employs multiple trading platforms, offering robust features that support various trading styles and preferences. Tools such as advanced charting, fast order execution, and mobile access are available. However, the overall technical reliability remains a concern due to the unregulated status of the firm, which impacts trust in their execution technologies.

Research and Education

Educational provisions include access to the Elite Trader's Club, which offers a daily live trading room, one-on-one mentorship, and an extensive library of on-demand videos. Furthermore, the firm conducts exclusive mentorship workshops, designed to enhance traders' knowledge and strategies effectively, particularly appealing to new traders looking to understand market dynamics.

Customer Support

Lux Trading Firm provides various customer support channels, including phone, email, and live chat. Their hotline is operational, allowing clients to receive immediate assistance. Additionally, the firm engages with clients through social media platforms, enhancing accessibility and interaction. Overall service quality is reportedly high based on user feedback, contributing positively to the client experience.
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Rating Instructions
Rating Index
Lux Trading Firm
Lux Trading Firm
Unregulated
Legal Environment
5.72
License Value
0
Risk Management
1.2
Investor Protection
5.23
Regulatory Policy
0
  • Software

    Evaluates the regulator's legal foundation, organizational structure, leadership experience, and enforcement capacity. Focuses on whether it enforces strict regulations, maintains transparency and fairness, and engages in international cooperation and technological supervision.

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  • Licensed

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  • Risk Control

    Evaluates the regulator's financial stability and risk management capacity, including budgeting, reserves, revenues, expenditures, and ability to respond to market or financial shocks.

  • Investor Protection

    Examines the regulator's complaint-handling and investor protection systems, assessing fairness, responsiveness, and enforcement effectiveness in safeguarding investor rights.

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