LegacyFX is a fully regulated brand that aims its services on Europe, this is apparent through their Cysec regulation, they are a solid brand with a good reputation and work in a transparent manner towards their clients
Legacy FX Review
Legacy FX is the brand name of a Vanuatu registered company by the name of AN ALL-NEW INVESTMENTS (VA) LTD. This broker has been active since 2017, though the website copyright mentions 2015, which leads us to believe that the brokerage operated for several years without regulation. LegacyFX offers an excellent selection of assets, is regulated and is part of a rare breed of brokers who only offers the MT5 trading platform.
This broker claims that transparency is one of its main objectives, together with the protection of its clients. LegacyFX also touts education as a pillar of its offerings. It is reading the “Why Trade With Us” section shows a marketing effort geared towards new traders, though little is available for those who are already familiar with the markets.
Regulation and Security
AN ALL-NEW INVESTMENTS (VA) LTD, the owner and operator of LeagcyFX, is authorised and regulated by the Vanuatu Financial Services Commission under the license number 14579 since April 13, 2017. According to the broker’s website, client funds remain segregated from company funds. LegacyFX does not participate in an investor compensation fund as far as we could tell from this LegacyFX review. It does comply with the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth) (AML/CTF Act) which is a positive. Overall, LegacyFX appears to be a trustworthy broker, though it would be hard for us to conclude that they go above and beyond the reliability of other brokers as they seem to claim.
Trading Platforms
Perhaps the biggest surprise we encountered in our LegacyFX review is the fact that this brokerage offers only the MetaTrader 5 platform. They only offer the MT5 trading platform, which will make this broker a problematic choice for established traders, as this platform is missing several key features. While it is the successor of the popular MT4 trading platform, MT5 does not allow hedging. It is currently incompatible with MT4’s EAs, which will make it difficult for traders who have used that popular platform until now. On the other hand, new traders who have no allegiance to MT4 or any other platforms will have no trouble beginning their trading careers with MT5, which many brokers perceive to be the wave of the future.
LegacyFX doesn’t offer the usual marketing materials associated with the MT5 trading platform and limits this section to a simple page on their website with download links to either desktop or mobile versions. A web terminal is also available.
LegacyFX
Fees
LegacyFX earns its income primarily from spreads and commissions on stocks. It also appears to be a market maker which means that clients’ losses result in profits for the brokerage. This broker does offer swap-free accounts to all its traders which means that swap rates are not passed on to traders. This is rather odd as those charges exist on all trades held overnight. If they are not applied to trader’s accounts, it either means that the broker is covering them, which would be an excellent service offered, or that no real trading occurs, which would indicate questionable practices. No details are provided in regards to fees charged for deposits or withdrawals. LegacyFX will charge an account closure fee of $/€/£50, which seems unnecessary and is not the industry standard.
The LegacyFX website states that the company reserves the right to apply swap rates if they suspect traders abuse their offer of 0 swap rates. No other information is provided as to what constitutes abuse.
What Can I Trade
Legacy FX is the brand name of a Vanuatu registered company by the name of AN ALL-NEW INVESTMENTS (VA) LTD. This broker has been active since 2017, though the website copyright mentions 2015, which leads us to believe that the brokerage operated for several years without regulation. LegacyFX offers an excellent selection of assets, is regulated and is part of a rare breed of brokers who only offers the MT5 trading platform.
This broker claims that transparency is one of its main objectives, together with the protection of its clients. LegacyFX also touts education as a pillar of its offerings. It is reading the “Why Trade With Us” section shows a marketing effort geared towards new traders, though little is available for those who are already familiar with the markets.
Account Types
LegacyFX offers three different account types: Silver, Gold and Platinum. The Silver account is available from a minimum deposit of $500 and spreads start as low as 1.6 pips. The Gold account starts from a minimum deposit of $5,000 and traders get spreads from as little as 1.0 pips. The Platinum account begins from a minimum deposit of $25,000 and in return, spreads are lowered to 0.6 pips. Maximum leverage on all accounts is 1:200 and account features are the same. The main difference being access to a direct line for Gold and Platinum accounts which is something most traders don’t require. Islamic Accounts are available.
When it comes to spreads, the minimum spread listed on the spreads page is 0.6 pips. Unfortunately, this spread is available to Platinum account traders only. Offering a 0.6 pip but demanding a $25,000 minimum deposit is rather extreme, and traders are undoubtedly able to find more competitive conditions with other brokers. Since this broker is geared towards new retail traders, the Silver account applies which means spreads start at 1.6 pips which is on the high-end of the spectrum, though certainly on par with some other retail brokers.
