Does FBS Provide A Reliable Service As The Company Claims? Find Out In This FBS Broker Review
FBS is a Forex broker that has managed to acquire close to 3 million clients from 120 different countries across the world through its global network of 11 local branch establishments and 130,000 trading partners. FBS has a strong presence in Asia, Africa, and the Middle East, but seems to have missed out on setting up any representative brokerages in Europe or the Americas. Countries such as the US, Australia, the UK, and other European member nations have several regulatory guidelines that prevent any unlicensed broker from operating in these regions. The EU and the USA have created an extensive framework of rules that has basically outlawed any of their citizens from investing their money with overseas brokers.
FBS regulation is something that we are worried about, especially since the broker is regulated by the IFSC of Belize. Belize is popularly known as a tax haven that attracts investors and financial companies to set up their base of operations in a country with less regulatory oversight and a low tax structure. The IFSC of Belize tries to come across as a reputed regulatory organization; however, we do believe that the IFSC cannot match other regulatory agencies such as the FCA, the NFA, the ASIC, or even the CySEC when it comes to protecting customers against financial scams.
Regardless, FBS has been a prominent figure in the retail FX industry since 2009 and has managed to stay afloat in this highly competitive industry with relative ease. Numerous awards from the Middle Eastern and Asian organizations have also helped the broker to solidify its presence among some of the highly populated areas of the world. While the US and European markets may offer access to high-net-worth trading individuals, the high concentration traders from Asia and Africa do tend to help in improving the broker’s bottom line. FBS’s Middle Eastern presence has also helped the company to cater to the ultra-rich investors from these regions.
- Website: www.fbs.com
- Support: Live chat
- Leverage: 1:3000
- Min. Deposit: 1 USD
- Spreads: from 1 pip
- 100% deposit bonus for trading
- Free deposit insurance
- Easy interface
- SWAP-Free Accounts
- No PAMM
- No VPS Service
- No US Traders
Do I Need A Large Trading Capital For Opening An FBS Trading Account?
FBS has formulated five different types of trading accounts that are suitable for a diverse range trading requirements. FBS offers both market maker accounts and ECN accounts for their clients at a significantly reduced cost, which is one of the biggest advantages of trading with the broker. FBS offers their most basic account for $1, which is known as the Cent account. The Cent account is essentially a standard market maker account that has the lowest trade sizes starting from 0.01 cent lots at a maximum leverage of 1:1000. The lower trading capital and higher leverage can be precarious if you are not careful with position sizing and money management. It is easy to receive a margin call with just a small movement in the markets, which requires you to be extremely careful while using the maximum leverage. To compensate for the high leverage, FBS spreads for the Cent account starts from 1 pip, which is extremely competitive among the most popular market maker brokers.
Interestingly, the second category of trading account, known as the Micro account, offers an even higher FBS leverage of 1:3000, which makes it staggeringly impossible to trade with the amount of volatility in the Forex market. The Micro account requires a minimum deposit of $5, but the Micro spread starts from 3 pips. Order volumes also start from 0.01 lots, which makes the Micro account the riskiest account offering from the broker.
A higher deposit of $100 can get you a Standard account that has the same leverage of 1:3000, and the FBS spreads are in the range of 1 pip on major currencies. All other conditions are similar to the Micro account, but then again the higher deposit does allow traders to control their risk in the market. On the other hand, traders are also bound to lose money if they use the complete leverage available to them.
There are also two higher categories of accounts available for a minimum deposit of $500. The first category among these is the Zero Spread Account, which offers ECN market conditions at 0 spreads and $20 commission per million traded round turn. The Zero Spread account is excellent for professional traders looking for direct market access, but the only obvious drawback is the higher leverage of 1:3000. If you are looking for more stable trading conditions and lower trading costs, the Unlimited Account may be your best option. The Unlimited Account offers floating spreads starting from 0.2 pips without any commission per trade, which offers huge savings when compared to the other types of accounts provided by the broker. The leverage is also reduced to a maximum of 1:500, which is quite manageable in our opinion.
Traders can also choose from a wide variety of FBS bonus options such as the no deposit $123 bonus, 100% deposit bonus, event tickets, cash back offers, iPhones, and a grand prize of BMW X3. FBS bonuses are highly attractive, and their no-deposit bonus is one of the best bonuses in the industry. Every trader gets a bonus according to his or her personal tastes, but all bonuses come with some form of trading terms and conditions. Perhaps one of the most controversial FBS promotions is the Deposit Insurance, which offers insurance to traders against their losses, provided they meet several conditions such as higher spreads and minimum lots traded. Deposit Insurance is not as straight-forward as one might anticipate, but it may offer certain benefits to some investors. High-frequency traders and traders that transact a large number of lots can also qualify for a free VPS server, which can be used to enjoy high-speed, low latency trading.
FBS Forex Mobile App & Desktop Trading Platforms
FBS has partnered up with MetaQuotes to offer their MT4 and MT5 terminals as the standard trading FBS platforms for their clients. The Zero Spread Account and Ultimate Account users can access the global pool of liquidity providers through dedicated ECN bridges that guarantee level II market depth, instant execution, and the best pricing levels in the market.
All accounts can be accessed by the MT4 and MT5 terminals, which are available as FBS mobile apps and desktop trading interfaces for Windows, Mac, iOS, and Android operating systems. Mobile traders also have the option of accessing their accounts through a dedicated MT4 and MT5 WebTrader, which might offer fewer features and functionalities than a traditional desktop trading platform. Nevertheless, mobile traders will find the WebTrader to be handy for logging into their accounts from remote devices without having to install the desktop platform.
FBS can improve in a few areas such as regulation and establishing offices in the US and the EU. They do have all the qualities and makings of a reliable broker, which does make it easy for them to conform to the strict regulatory guidelines issued by the top regulators in the world. FBS has an affinity towards serving small retail traders, in particular with the lower capital requirements and accounts that offer ECN access with a small deposit. Open an FBS demo account today to experience their services, which should give you a precise idea of the company’s reliability before trading with real money.