Brokers101investing review

A fact of life is that no money comes easy. Any promise of making cash fast, with little effort and no experience is cheap talk.

Forex trading, in particular, requires analyzing trading patterns and market conditions. You have to understand how the industry works and learn how to distinguish between fraudsters and genuine online brokers.

101investing is new in the market. And its customers are yet to share their experience trading with the broker. It’s easy to mistake this for a sign of trustworthiness. But in this 101investing review, we will turn every stone and check if it is straight-up.

If you have already invested money with the trader and lost it, you can still recover it. Schedule a free consultation with us, and we will handle the issue.

101investing Review: An Overview

101 investing is a Cyprus-based broker launched in 2020. It operates under FX-BFI Broker Financial Invest Limited. It is registered under the number 351508 and regulated by CySEC under license number 315/16.

101investing registrationIt deals in CFDs, such as commodities, cryptocurrency, indices, stocks, and forex. It provides traders with a MetaTrader 4 trading platform, with a web-based and mobile version.

101investing provides a demo account and three main account types – silver, gold, and platinum. The three accounts vary in the minimum deposit required, fees, and services offered.

By the looks of it, 101investing is well- regulated, and nothing about the broker instantly stands out.

But does it mean you should blindly work with it? Like we promised, this detailed 101investing review will help you read between the lines.

A Major Red Flag – 101investing Targets Beginners

Launched in a tough year when the COVID-19 pandemic and its economic effect has made most people desperate to make money, 101Investing is keen on taking advantage of inexperienced traders.

Its motto is ‘You don’t need to be an ace trader to start trading; 101Investing is there to help you out!’

But this statement is misleading.

Forex trading is a risky investment. The chances of an inexperienced beginner making any significant profit are low. And this can only mean that 101investing has one goal in mind – take advantage of unsuspecting traders.

Scam brokers use financial advisors to deceive new traders into making large deposits, only to have them lose it through wrong advice and manipulation of the trading conditions.

101investing Affiliation to ITRADER

Hoch Capital Limited, the brand behind ITRADER, was recently in the headlines for all the wrong reasons.

The Financial Conduct Authority, the UK’S watchdog, blacklisted the trader alongside Magnum FX, Rodeler Limited, and F1Markets for serious misconduct.

According to FCA, ITRADER had:

  • Used false celebrity endorsements on its social media pages
  • Failed to provide sufficient information to traders regarding the high risk involved in investing in CFDs
  • Pressured traders to invest large amounts in highly leveraged CFDs
  • Failed to pay investors’ money

The scam forex broker is currently banned from operating in the UK.

ITRADER is also in trouble in Europe. CySEC, the official regulator of Cyprus, suspended the broker on 1st June 2020.

Cyprus is an EU member state.

According to CySEC, ITRADER had failed to act honestly, fairly, and professionally when dealing with its clients. It had also failed to be transparent in its communications with investors.

ITRADER is not allowed to take in new clients throughout the broader EU. And it is restricted from advertising or carrying out any investment services.

ITRADER can't take in new EU clientsDespite the strong reasons for investors to avoid dealing with ITRADER, the broker is still using unethical methods to get hold of traders’ money. It is having all its clients send their money to 101investing.

And this makes the new kid on the block dirty.

This crooked deal is a conclusive reason to wrap up this 101investing review, but there are more reasons to stay away from the broker.

101investing Exorbitant Inactivity Fees

Despite claiming to be ‘beginner-friendly,’ 101investing charges high fees. New traders may assume this is normal.

It charges €80 in inactivity fees for an account that has been dormant for over 61 days. Accounts that are dormant for over 91 days get a charge of €120 while those that go past the 181st day are charged €200. If your account remains inactive for over 271 days, the fee is €500.

Having no money in your account also counts as a dormant or inactive account.

Inactive account feeAn inactivity fee is a characteristic that is common among illegitimate brokers. It is an indirect way to pressure investors to keep trading, even when they continuously make losses or need a break.

Even Crazier Fees…

In addition, 101investing charges a withdrawal fee of €50 if there is no or insignificant account activity before making a withdrawal request.

And additional charges could apply for withdrawals that are less than €100.

Unreasonable withdrawal feesFrom these hefty deductions, it’s clear that once you invest your money, there is no getting it back.

You will:

  • Lose it while trading as an inexperienced trader
  • Lose it in greedy deductions

Insufficient Information

There is one more reason to be careful when dealing with 101 investing. It claims to have no commission fees.

Insufficient informationBut the risk disclosure page indicates that there are commissions.

Charges and taxesFailure to provide appropriate information to clients in good time is one of the reasons ITRADER, under Hoch Capital Limited, is in trouble with CySEC. And seeing a repeat of the same in 101investing should give you more reason to avoid investing with the broker.

Hoch capital suspension by CySEC101investing Review Verdict: What Now?

There is no doubt about it:

101investing is the newest fraud in the forex trading industry.

We see a repeat of the ITRADER scam. It’s the same script, different casts. And this time, new traders have not been spared.

You should keep in mind that, despite being regulated, 101investing carries the attributes of a scam broker. It is luring in inexperienced investors with the promise of making money and using the threat of unreasonable fees to keep them trading.

If you have already lost your investment to the broker, schedule a free consultation. We can help you recover it.