FXFlat is a securities trading bank which, according to its own statement, was awarded as the best CFD broker 2020. On FXFlat one can trade among others with contracts for difference (CFDs) on foreign exchange (Forex Trading), Bitcoins, shares or commodities. The English website of the provider can be found at https://www.fxflat.com/en/.
According to an information in the footer of the FXFlat website, over 78% of the small investor accounts lose money when trading CFDs through this provider.
Have you invested money with FXFlat and want to talk about your experiences? Or do you want to get more detailed information about this provider or online trading in general? Then you can look for a conversation with a lawyer.
The law firm Herfurtner Rechtsanwälte advises investors from Europe on investor protection. Additional areas of expertise of the law firm, which is based in Munich and Hamburg, include business law, company law or capital markets law.
Anyone dealing with the subject of online trading will notice that there are a large number of providers who address investors with their products. To assess their quality, it is helpful to draw on the experience of investors who have already invested there.
There are a number of forums or blogs on the net where opinions on trading platforms like FXFlat are shared. If you search for “FXFlat Experiences” or “FXFlat Reviews”, you will find numerous contributions, mostly in German language. The opinion about FXFlat is neutral to benevolent.
However, with such texts, one should always consider the intention of the author. If affiliate partners are paid for bringing new customers to an advertiser, it can be expected that the reporting will be positive. Similarly, online marketing measures could be used to create negative publicity, which would burden unwelcome competitors.
Registered office and regulatory status
It is true that the company’s own website is also used to convey a fundamentally positive impression to interested parties. Nevertheless, useful information on the company’s registered office and its regulatory status can be found here for the interested investor.
On the website of FXFlat there is an imprint, from which background information about the company can be derived. The company operates as FXFlat Wertpapierhandelsbank GmbH and has its registered office in Ratingen, Germany. The company is registered in the commercial register of Düsseldorf, the responsible supervisory authority is the Federal Financial Supervisory Authority (BaFin).
FXFlat is licensed by the BaFin and has the necessary authorizations. In the contact area of the website FXFlat offers several possibilities for the user. For written requests one can use a form or an e-mail address. Furthermore, one can contact FXFlat by phone by dialing one of the given phone numbers or by requesting a callback.
Above that, it is possible to enter into a direct dialogue with an employee of the company via a live chat option. Also, one can meet FXFlat personally at trade fairs or stock exchange days.
On the homepage of its internet presence, FXFlat emphasizes an award as best CFD Broker 2020. Furthermore, the company has been awarded several times as CFD-, Forex– and Futures-Broker. To illustrate this, the website shows different trust seals.
FXFlat describes its own offer by means of flexible trading possibilities, modern technology and a helpful customer service. In addition, they focus on training possibilities for clients and offer various measures from webinars to events. FXFlat emphasizes the following trading instruments on its website:
- Contracts for Difference (CFDs) – among others DAX and Dow Jones
- Metals and raw materials
- Futures – Real time courses and small margins
- Spot Forex (Foreign exchange trading) – Margin of 0,5 %
- Forex CFDs
- Forex Futures
For private brokerage, FXFlat offers the advantage to trade different trading instruments in one single trading account. In addition, it is possible to open up capital markets that were only available to institutional traders or banks some time ago.
Registration and different account models
Whoever wants to take part in the offer of FXFlat and trade on the online trading platform has to register first. As soon as the customer account is created, one has to open a live trading account.
With the standard account, one would have to be at least 18 years old and make a minimum deposit of 200 Euros. The opening of a live account follows a four-step process:
- Specification of personal contact details
- Payment via service providers such as Paypal, by bank transfer or credit card
- Completion of personal information
- Identity verification via PostIdent or online
An FXFlat demo account is also a possibility to test the trading platforms within a period of 30 days. This is possible free of charge. The FXFlat costs are listed on a separate page with an overview of the trading conditions.
According to FXFlat, deposits could be made by different methods. For example, a bank transfer, a credit card transfer or a transaction via skrill could be chosen. An FXFlat payout is basically made to a deposited reference account or to the account of the origin.
For their trading activities, investors need access to trading software. Online brokers usually provide these programs to their investors free of charge. The programs are either proprietary developments or software developed by third parties. FXFlat enables its clients to access different technologies:
- Metatrader 4: With the MT4 you can trade foreign exchange (Forex) and CFDs, and trading strategies for automatic trading can be integrated.
- Metatrader 5: Suitable for trading CFDs and Forex, free use of features like analysis and copy trading.
- Agenatrader: Agenatrader Mercury supports traders with discretionary trading; free for FXFlat clients.
- FXFlat Stereotrader: The StereoTrader is a professional trading interface, which increases the efficiency of manual trading for MT4/5.
There are also mobile trading possibilities for access via tablets or smartphones (FXFlat App).
Training and further education at FXFlat
FXFlat has set up a separate area for further education within the scope of its own web presence under the name “Training”. This area is divided into four main topics:
- Videos: You can access all recorded FXFlat webinars, watch training videos and recordings of conferences and fairs.
- Dates: An overview of upcoming events where you can meet FXFlat; seminars, fairs, webinars.
- Partnerships: A list of partners with whom one cooperates and where customers of FXFlat benefit from advantages.
- Book recommendation: At this point we would like to point out a book which will deepen the contents of the webinars.
Online investments: Clarify risks
Even after the exchange at the head of the European Central Bank, experts predict that there will be no significant change in monetary policy in the foreseeable future. Investors who not so long ago were satisfied with an investment in overnight money are therefore turning to higher-yielding options.
Thanks to the liberalisation of world trade and digitalisation, it is now possible to offer services all over the world and from anywhere. Accordingly, many online trading platforms are increasingly turning to European customers.
In the search for high-margin alternatives, one increasingly encounters offers from different trading platforms, which often have their headquarters abroad. This can result in challenges, if there are problems when applying for payouts. Apart from the conceivable language barrier, there is often no dedicated confidant available.
This usually involves complex products such as Crypto Currencys, CFDs (Contracts for Difference) or Forex Trading. These are characterised by a pronounced volatility and high risks, which makes them by no means suitable for every type of investor.
With online trading platforms, however, the advice is not always given in the same way as one is used to from a financial institution or investment advisor. Often there is no fixed contact person available and the own risk preference is ignored when selecting the offered products.
As a result, investors may come to false conclusions when they want to examine the risks. Therefore there is a growing danger that a bad investment will be made and that the capital invested will have to be written off.
Potential losses in online trading
Have you lost capital on an online trading platform? Then you should first of all refrain from further deposits, even if they are requested by the online broker. In addition, the reason for the loss and the prospects of recovering the lost capital should be determined.
The law firm Herfurtner Rechtsanwälte will review the process and determine which claims, if any, can be asserted against the online trading platform. The legal advisors represent your interests and contact the company directly, regardless of whether the company is based in Germany or abroad.
In order to find out how to behave in case of losses in online trading, you can claim investor protection and seek a conversation with a lawyer at any time. To arrange an appointment, please choose from one of the possibilities we offer in our contact area.
Date of text creation: 4 March 2020