Minimum Deposit: £100
Maximum Leverage: 1:200
My Score: 1.0
Red Forex or (Red Star Forex) is a relatively new broker that founded in 2018 and they are based in Bangkok, Thailand. Red Star Forex operated by Red Forex Limited that is registered in Hong Kong.
However, they are not regulated by any watchdogs like Hong Kong Securities and Futures Commission (SFC). Also, in their web-site, they are saying “Vanuatu FSA Certificate Coming Soon…”. I can say Red Forex is an unregulated broker right now without a doubt.
What are Red Forex account types? Is Red Forex scam or reliable broker? What kind of deposit/withdrawal methods they offer? You will find all the answers in my Red Forex review. If you are wondering Red Forex spreads, maximum leverage ratio, minimum deposit limit, promotions, etc., let’s begin.
Regulation and Investor Protection
As I said, Red Forex is another unregulated broker. And this is their biggest disadvantage I think. They are incorporated in Hong Kong and Vanuatu, but I couldn’t see any address information in their web-site. They don’t have SFC (Hong Kong Securities and Futures Commission) from Hong Kong and VFSC licenses (Vanuatu Financial Services Commission) from Vanuatu Island.
One of the most important reliability criteria of a forex broker for Forex traders is regulated. So when you work with unlicensed forex brokers, remember that you may encounter problems. In order not to encounter such problems, we recommend that you open an account with reputable forex brokers.
Red Star Forex Account Types, Spreads and Leverage
There are 4 different account types at Red Star Forex: Standart Account, Premier Account, Elite Account and Professional Account. Minimum deposit amount is $100 for Standart account and maximum leverage ratio they are offering is 1:100 according to their websites.
|Account Type||Minimum Deposit||Maximum Leverage||Spreads|
|Standard||£100||1:200||From 1.6 pips|
|Premier||£1000||1:200||From 1.2 pips|
|Elite||£1000||1:200||From 0.4 pips+ £5.50/lot|
|Professional||£10000||1:200||From 0.4 pips+ £5/lot|
On standard account, spreads are starting from 1.6 pips. On premier account spreads are starting from 1.2 and on elite & pro account spreads are starting from 0.4 pips. I can say premier and elite account spreads are not bad but standard account spreads are kinda higher than other brokers.
Their stop/out level is %50 and this is another big disadvantage of Red Star Forex. Because many brokers offer at least %20 or %25 stop out level. Currencies, indices, shares, metals, energies, futures and cryptocurrencies are available on their platform.
In addition to these, minimum lot size on standard & premier account is 0.01. For other account types, minimum lot size is 0.10. And they offer MetaTrader 5 trading platform.
Deposit/Withdrawal Methods of Red Forex
Red Star Forex offers various deposit/withdrawal options like Bitcoin, Skrill, BitcoinCash, Ethereum, Credit Card and Neteller. Unfortunately, they don’t have wire transfer option.
|Methods||Fees on Deposit||Processsing Time on Deposit||Fees on Withdrawal||Processsing Time on Withdrawal|
|Bitcoin||No Fees||Instant||No Fees||Instant|
|Skrill||No Fees||Instant||No Fees||Instant|
|BitcoinCash||No Fees||Instant||No Fees||Instant|
|Ethereum||No Fees||Instant||No Fees||Instant|
|VISA||No Fees||Instant||No Fees||Instant|
|MasterCard||No Fees||Instant||No Fees||Instant|
|NETELLER||No Fees||Instant||No Fees||Instant|
Red Forex or (Red Star Forex) has many advantages but also there are important problems. $100 minimum deposit limit is good. They offer MetaTrader 5 trading platform and different account types & different financial instruments like cryptocurrencies.
However, I couldn’t see any promotion or campaigns on their web-site. Also, they are not regulated by any watchdog. They are saying their Vanuatu FSA Certificate is coming soon. But when? I am not sure. They don’t look like a reliable broker to me and I don’t recommend you to work with them.