Minimum Deposit: $100
Maximum Leverage: 1:500
My Score: 5
Klimex Capital Markets is an Australian broker established in 2015 and providing online forex and CFD trading services. They achieved moderate growth in the 3-year period. Not too good, but I can’t say it’s bad.
The first thing that caught my eye on this broker was the website. The official website of the Klimex CM has a very amateur design.
It has over 20 thousand visitors a month. Half of these visitors are from Poland and a significant part of them are from Italy. In other words, it is possible to say that Klimex strives to attract visitors in the international arena. Already the official website can be available in 10 languages. However, it is an unfortunate situation that the website has an amateur design while there is so much effort in the international dimension.
In addition to all this, the website is not informative enough. You may not find much information. For this, you need to ask the customer representative via live chat. Luckily customer support works fast.
After all this information I want to move on to the most critical issues. The main issues that concern investors…
Klimex CM scam, or is it one of the brokers you can trust? What are the account types offered by Klimex and the trading conditions for these accounts? What are the essential conditions for investors like spread, leverage, minimum deposit limit? What are the deposit and withdrawal methods?
A detailed answer to all these questions can be found in this Klimex review. In addition, if you experience problems with this broker, you can write in the comments section below this review.
Come on, let’s review it in more depth.
Regulation and Licence Problem of Klimex CM
If you have read the previous reviews, you have seen how much I care about regulation. One of the most important criteria for measuring the credibility of a broker is regulation. Therefore, I would never recommend opening an account with unlicensed brokers. Fortunately, Klimex CM is a regulated broker.
Klimex CM is owned and operated by Klimex Capital Markets Pty Ltd. This company is registered in Australia, but it has no license from ASIC.
Detailed information about the regulation of the Klimex CM is given on the footer in the broker’s website.
According to this information, Klimex Capital Markets Pty Ltd is not the issuer of the products or platforms described on this site. There is an Australia Company Number (ACN) for being a registered company. However, this does not mean that the company is authorized for trading by ASIC. Despite all this, according to the broker’s claim; it is an Authorized Representative no: 1008712 of Vantage Global Prime Pty which has ASIC license with no: 428901.
Therefore, when you have a problem with the broker, it is not clear what conditions you will claim.
The ASIC regulation is quite rigid. It is a very difficult process for newly established brokers to obtain this license. In the meantime, brokers also prefer less reputable regulators. Despite this problem, Klimex CM may have followed this path.
ASIC-licensed brokers must maintain minimum net capital of $ 1,000,000 in their bank account. In addition, this account should be segregated from client funds and the company’s operational accounts. The broker cannot spend this money for operational needs. Hence, ASIC licensed brokers already have certain financial power.
When I look at the legal documents on the website, we see that there are documents such as terms and conditions that belong to Vantage Capital. There are also documents belonging to the Klimex CM with the same name. Therefore, I think you should be in compliance with the conditions of both companies during the trading process because of the relationship between Klimex CM and Vantage Capital. Are the legal documents of these companies entirely in harmony? There is a significant problem here. I recommend you to be careful about this.
Account Types and Trading Conditions
There are 2 different account types offered by Klimex CM: Standard and Raw ECN. You can see the features of these account types in the following table.
|Account Types||Minimum Deposit||Maximum Leverage||Minimum Trade Size||Spreads|
|ECN||$100||1:500||0.01||0.6 pips + $6 commission per lot / round turn|
Let us now review the advantages and disadvantages of these account types in more detail.
The standard account type is similar to the standard account type of other brokers. The spread of 1.8 pips on EURUSD offered in this account type. In both types of accounts, the minimum deposit limit is $100 and the sector average is already at this level. Maximum leverage is 1:500.
The standard account type is similar to the standard account type of other brokers. 1.8 pips spread is offered in this account type. The industry average is 1.6 pips. In the ASIC licensed Pepperstone, the spread for EURUSD in the standard account is 1.2 pips while 1.3 pips in FXTM. So while such reputable brokers are available, I can say that the spreads offered by Climex CM are not advantageous. You can review the major forex pair’s spreads from the below image.
Spreads in the Raw account type are slightly more advantageous. For example The spread for EURUSD is 0.6 pips. Note, however, 6 dollars per lot commission charged. Therefore, the cost is $12 for 1 lot of EURUSD trading.
The standard account type is not advantageous compared to other brokers. However, I would say that the ECN account type is somewhat advantageous. A significant plus is that the minimum deposit limit in this account type is as low as $ 100. The minimum deposit limit for ECN account type on brokers like FXTM or Pepperstone is $ 200.
Trading Products Offered by Klimex CM
46 forex pairs and 7 indices available for trading. You can trade gold, silver, platinum, palladium and oil as commodities. Therefore, I should say that the product portfolio is not sufficient. The maximum leverage for Indices is 1: 100 and 1: 500 for commodities.
As a significant deficiency, I must say that cryptos are not offered. Cryptocurrency trading is offered by almost every broker. It is surprising that cryptos, in such a trend period, are not offered by a broker.
MetaTrader 4 is offered by Klimex CM as a trading platform. This is an important feature. Because a very important part of forex traders are used to using MT4. The MT4 has both a mobile and a PC version, so it’s handy for investors. It’s also easy to use forex robots called Expert Advisor with MT4.
In addition, a copy trading service, MyFXBook AutoTrade, is also available. There are more than 90,000 registered users in this service. After logging in with your Klemix account with MyFXBook, you can copy the trading of other investors.
Deposit and Withdrawal Methods
Deposit and withdrawal methods are not limited, but they are not numerous. If you want to make the fastest funding, you can use a credit card. In general, the quickest method is to fund credit cards. China Union Pay is also available.
Wire transfer is also possible. However, consider that the transfer process may take a long time due to the swift procedure of banks.
Of the popular e-wallet systems, Neteller and Skrill are among the accepted options. These methods will be faster than wire transfer, but extra fees can be applied by the broker. Therefore, it may not be advantageous compared to credit card.
One of the negative aspects of Klimex is that it is not informative and transparent. For example; you only see these methods when you want to get information about payment methods. Information on transfer processes and fees has not been shared. So this part is open to surprise for the investor.
You can get a 10% bonus for deposits of $ 1,000 or more. However, the terms of the bonus campaign are not clearly specified, and unfortunately, this situation is unpredictable.
In this Klimex CM review, I have written and commented on all the information you are looking for about the broker. I mentioned the advantages and disadvantages. After all, my comment for Klimex is that it is an intermediate broker. They claim to have served with an ASIC license, but this situation is somewhat complicated. So I suggest you be a little cautious.
The account types they offer are not very advantageous. Spreads and bonuses are not competitive. So if you’re looking for a better broker, I suggest you look at my favorite broker list. I am sure you will find a suitable broker for yourself and your investment style.