- Regulated: IFSC
- Head Country: Marshall Islands
- Min $100 Deposit
- Operating Since: 2013
- Type: Exchange
- Spread: N/A
- Commission: From 0.7%
- Platforms: Unodax Trading Platform Desktop, Web, Mobile
- Funding: Wire Transfer, Cryptocurrency
- Spread: N/A
UFX is an online forex and CFD trading broker that offers over 500 assets on its proprietary platform and MetaTrader 5 (MT5). They provide clients with daily market analysis, signals and a selection of other trading tools. However, they dont have the tightest spreads and their fees are very high when compared to other online brokerages.
In this detailed UFX review, our online broker research team have covered some of the most important aspects for you to consider when choosing the best broker for your online trading needs.
UFX is an online broker that offers forex and CFD assets for trading online. The broker was founded in 2007 and has since improved its technology, growing in size and trading products offering. The head office is located in Cyprus while it has representative offices in Germany, Czech Republic, UK, UAE, France, Russia, Turkey, Bahrain, Singapore, Spain and Italy. The website is translated into 24 languages.
The UFX brand offers over 500 trading instruments for trading on cutting edge platforms. All spreads are fixed and no commissions are charged. Multiple account types are provided to cater for the differing budget, skills and types of trader. UFX states that it is a straight through processing (STP) broker that routes all clients’ orders direct to the market. They claim to only profit from the spread and not to interfere with clients’ orders. This usually means spreads will be higher than other brokers who also charge a small commission fee.
UFX has won over 25 brokerage awards in different areas of operations such as trading tools, trading platform, customer service and overall services. The company’s managing director has also been recognised as the ‘FX Director of the year’.
UFX Global Ltd is a worldwide brand that is registered in the Republic of Vanuatu and regulated by the Vanuatu Financial Services Commission (VFSC) with the license number 14581.
The UFX European arm is operated by “Reliantco Investments Limited”, a Cyprus Investment Firm authorised and regulated by the Cyprus Securities Exchange Commission (CySEC) with license number 127/10.
Clients’ deposits are kept in tier 1 banks. The funds are segregated and should therefore not be used by UFX for its own daily operations. This is in compliance to the regulatory provisions so that even if the broker becomes insolvent, client’s deposits should remain in the segregated bank accounts.
Security is of utmost importance to UFX. So, it has protected the digital environment with VeriSign Secured Socket Layer (SSL) technology. This helps to ensure that all user data are encrypted before transmission to the servers. The reason for doing this is to ward off hackers and cyber criminals. The broker has also implemented some of the best security practices and layered backup systems in separate data centre locations.
UFX is committed to the ‘Anti Money Laundering’ (AML) policy. Every client is subjected to a compulsory ‘Know Your Customer’ (KYC) verification. It requires a ‘proof of address’ and a ‘proof of identity’. If you wish to make a deposit with a credit card, the front and back copy of the card is also needed.
Clients from USA are not allowed to register for UFX accounts. Some UFX features and products mentioned within this UFX review may not be available to traders from specific countries due to legal restrictions.
ParagonEx Web Trader
This trading platform is accessible from the UFX website and requires no downloads or installations as it runs directly in most modern web browsers. It is UFX’s award winning proprietary trading platform. Here are some of the key features of the web trader platform:
- Available in 24 languages.
- Integrates the proprietary MassInsights™ technology.
- Market analysis and trading signals from ‘Trading Central’.
- Economic calendar to track latest news releases.
- Fully customisable with price alerts.
- 6 chart styles: Bar, Candle, Colored bar, Hollow candle, Line and Mountain.
- Charts can be displayed on 10 timeframes from 1 minute to 1 month.
- 114 technical indicators and over 20 drawing tools for conducting detailed chart analysis.
MetaTrader 5 (MT5)
This is a trading platform developed by Russian company ‘MetaQuotes Software Corporation’. It is a robust, flexible and free to use trading platform. The MT5 platform is fast, user friendly and comes with essential tools for trading and conducting thorough chart analysis. The platforms features can also be expanded by developing plugin apps with the MQL5 language using the built in editor. There are also numerous custom indicators, scripts and trading robots for MT5 available online. UFX MT5 can be downloaded on Windows desktop computers. It also has an Android and iOS mobile app which is downloadable from the respective app stores which can be useful for those who need to access their trading account and manage trades whilst on the go.
Here are some of the key features of the MT5 platform:
- It is available in over 50 languages.
- It has a customisable ‘market watch’ window which displays the live quotes of all the assets.
- Level 2 depth of market (DOM) pricing.
- It can display up to 100 charts at the same time.
- Each chart is displayable on 21 timeframes from 1 minute to 1 month.
- It comes preloaded with 38 technical indicators and 44 analytical objects.
- It supports the use of expert advisors (EAs) for automated trading.
- Multi-currency strategy tester for back testing EAs over historical data.
- Price alert notifications via SMS, email or platform pop-ups.
Mobile Trading Platform
UFX has developed a mobile trading platform for its award winning ParagonEx. The platform is available as Android and iOS apps that can be downloaded from the relevant app stores.
Here are some of the key features of the UFX mobile trading app:
- Integrates the MassInsights™ technology.
- Can be used for account deposits and withdrawals.
- Supports charting of all the assets.
- Can be used to trade the markets.
- Access to full support.
- Customisable for alerts and push notifications.
- Supports demo mode which gives the trader a virtual amount of $10,000 for practice purposes.
UFX Trading Tools
Daily Market Review
There is a market review of selected instruments provided by the broker most days. This review gives technical analysis of various instruments using annotated charts with technical indicators. The analysis comes courtesy of the award-winning analysis software ‘Trading Central’ and can be used to help inspire potential trade ideas.
This is UFX’s technology where important market sentiments are streamed to the trader in real time. MassInsights aggregates the trading pattern of traders. It consists of the following tools:
- Trending: shows the percentage of assets bought or sold over a given time.
- Turnaround: shows when a specified asset suddenly goes in the opposite direction.
- Volatility Spotted: This detects when an asset suddenly becomes volatile.
- Increase in Openings: shows when there is an unusual rise in opening positions of an asset in a small time period.
- Going Up: shows the uptrend on an asset.
- Going Down: show the downtrend on an asset.
MassInsights™ also give notifications of the economic calendar events. It also notifies the trader of important market news as and when it breaks.
This is a calendar that shows the dates and times of important news events that can affect certain tradable assets and markets. It also shows the forecasted analysts’ consensus, the history and actual values after the event. Traders can customise this calendar to show only their favourite countries, assets or dates. The economic calendar is available on the UFX website and is often used by online traders as part of the fundamental analysis of their trading strategies.
This is a reputable firm known for incisive analysis on the financial markets. Trading Central analysis covers a wide variety of trading instruments and is updated several times a day. UFX provides this service to only clients that deposit a minimum of $1,000 into their trading accounts. Many traders will find Trading Central very beneficial when it comes to analysing charts as it can save vast amounts of time and find potential trading opportunities.
There are no educational materials on the UFX broker website or platforms. This is disappointing especially when compared to most other online brokers who will usually provide some form of educational resources to help traders improve their trading skills and knowledge.
The following instruments are available for trading on the UFX broker platforms:
- 49 FX Currency pairs including minor, major & exotic crosses
- 4 Commodities
- 7 Indices
- 409 Stock CFDs
- 41 ETFs
UFX Accounts & Fees
Multiple account types are available depending on the client’s trading capital. All spreads are fixed and no commissions are charged. This means that this broker has spreads much higher than other brokers and therfore does not offer the best trading conditions in our opinion. An inactivity fee of $50 is charged for accounts that have remained dormant for up to 3 months. The account types are as follows:
- Micro/Mini account: The minimum deposit required in $100 and the EURUSD spread is 4 pips.
- Mini account: The spread for the benchmark EURUSD pair is 4 pips while the minimum deposit is $500
- Standard account: $1,000 is required to open this account. The spread for the EURUSD is 3 pips
- Gold account: Minimum deposit required is $5,000 and EURUSD spread is 2 pips.
- Platinum: $10,000 is the minimum deposit and the EURUSD spread is 2 pips.
- Islamic account: The minimum deposit is $10,000 and the EURUSD spread is 2 pips.
The maximum leverage is 1:400. Gold and Platinum account holders have access to trade on the MT5 platform. All account holders have access to daily market reviews, 24 hour support and daily recommendations.
Demo accounts are free and unlimited. They enable users to test the different platforms and practice their trading strategies with virtual funds.
As broker fees can vary and change, there may be additional fees that are not listed in this UFX review. It is imperative to ensure that you check and understand all of the latest information before you open a UFX account for online trading.
UFX broker lists about 12 phone numbers of customer support representatives in different countries. This is good for support in the client’s local language. A ‘contact us’ form is available on the website which can be used to reach the support team. Instant web chat is also another fast way of getting help from the support desk. The FAQ page contains a lot of questions and answers on the various areas of operations such as account opening, trading, withdrawals, etc.
UFX brokerage firm is also on social media; Facebook, Twitter and YouTube. The support team can be reached 24/5 in over 10 languages.
UFX Deposit & Withdrawal
- Credit/debit cards: The cards accepted are Visa, MasterCard, China UnionPay, Visa Electron, Maestro and Diners Club cards. Using cards to fund trading accounts is very fast and easy. The transactions are processed instantly.
- Local bank transfers: UFX have several representative offices in many locations. So, the broker supports local bank transfers between banks in the same local currency. Local transfers are usually processed within 1-3 days.
- Electronic Wallets: These are digital wallets used to hold currencies. Clients can deposit from their wallets to UFX wallet within the same provider. The accepted options are Skrill, Neteller, CashU, QIWI and WebMoney. They can be used for deposits and withdrawals.
- Online Banking: These are payment gateways that process payments from the clients’ bank accounts to UFX accounts. The accepted options are SOFORT, ELV, GiroPay, iDeal and POLi. The payments are usually processed instantly.
- Prepaid Cards: These are prepaid vouchers or cards that are used to make deposits into UFX trading accounts. The accepted options are Neosurf and paysafecard.
UFX does not charge deposit or withdrawal commissions. The minimum withdrawal is $25 and it generally takes 3 days or more to process a withdrawal. Please note that third party payment processors may charge fees of their own which you should be aware of.
UFX Account Opening
If you choose to open a brokerage account to trade with UFX, you can visit the website and click on the ‘sign up’ button. The form below displays.
Fill the form and click ‘continue’. Immediately, you are logged on to the Web Trader where you can fund your account and commence trading when you are ready to do so. You will need to provide some form of identification for KYC purposes which is a normal part of the process when opening an online brokerage account.
UFX has years of experience, providing traders worldwide with robust online trading platforms and brokerage services. They have won multiple awards and are a regulated brand (although limited), that is committed to the AML policy, client satisfaction and security.
Over 500 trading instruments are offered to clients giving them a wide range of options. The two platforms available are intuitive, powerful and accessible to traders of all experience levels. The MT5 platform is a popular choice for both beginner and professional traders who use EAs, customised apps and complicated trading systems. However, they do not provide the even more popular MT4 platform which would be a requirement for many online traders.
Multiple payment options are available thereby accommodating many traders from across the world. The availability of several account types is also good so that a trader can choose an account type based on his capital and experience.
However, when compared to other brokers, UFX trading fees are very high. The fixed spread on the EURUSD is 2 pips on the flagship ‘Platinum account’ while for other brokers, the spread is around 0.2 pips and can even start from 0 pips.
Furthermore, it is difficult for STP brokers to offer fixed spreads since they only act as agents that are not in control of market volatility. But, UFX asserts that it is an STP broker that offers only fixed spreads and no commissions. We believe this is not always a sustainable model as the actual spreads from the liquidity providers (LPs) may be higher than those which the broker offers, thus causing them a potential loss.
To summarise, there are other online brokers with more competitive fees, trading conditions and offering educational materials to help traders improve their trading skills and knowledge.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71% of retail investor accounts lose money when trading CFDs with UFX. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.