Overall Rating
(4/5)
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LonghornFX is a relatively new and multi-asset online trading platform. It started in 2020 and is headquartered in Kingstone, St. Vincent and Grenadines.
Though relatively new, LonghornFX gives its users access to 180+ tradable instruments drawn from 5 asset classes.
It has also leveraged technology and the innovativeness of the MetaTrader platform, a move that has given its customers access to the most advanced trading and analysis tools.
But is LonghornFX a legit forex and CFD broker? Is it regulated and what are its key features? We answer these and explore everything else you need to know about LonghornFX in this review.
Quick Broker Summary
- Headquarters St. Vincent
- Regulation Non
- Platforms MT4 Web, MT4 Windows, MT4 Web
- Instruments Forex, Crypto, commodities, Indices, Stocks
- Demo Account Yes
- Minimum Deposit $10
- EUR/USD Spreads 0.7
Pros and Cons of using LonghornFX
The pros:
- Supports a wide range of tradable instruments
- Give traders access to high leverage
- Ultra-fast deposit and withdrawal processing
- Low spreads and competitive trading fees
- Committed to guaranteeing the safety of client deposits
What I don’t like:
- LonghornFX does not offer ETFs and bonds
- The broker does not welcome US clients
- LonghornFX is not a regulated broker
Features of LonghornFX broker
Hybrid brokerage: LonghornFX is referred to as a hybrid brokerage because it embraces both STP and ECN order execution models. Put it simply, LonghornFX does not operate a dealing desk. This means that there is no conflict of interest when trading with their account. Orders here are forwarded directly to the market. And to facilitate the smooth flow of orders, LonghornFX has collaborated with numerous investment banks and dark pool liquidity providers.
User education: Though relatively new, LonghornFX has made significant strides in making its platform as easy to use as possible. They have introduced the education section that appeals to both novice and veteran traders. Tucked under the “Articles” tab of the LonghornFX website is a series of highly educative write-ups dedicated to both beginner and pro traders. These touch on virtually any aspect of trade; from how to open a trader account, how to use leverage, to introducing new trading strategies and revolutionary market analysis techniques.
LonghornFX affiliate: There are two primary ways of making money on LonghornFX brokerage. The most popular one being active trading. Recently, the broker introduced a passive income-generating activity for the platform’s registered users – LonghornFX Affiliates. It involves registering with the LonghornFX brokerage affiliate program and helping the brand grow by encouraging friends and acquaintances to join the brokerage. Every time you successfully refer an individual who proceeds to create an account and starts trading, you share their trading commission with LonghornFX.
Account types offered
- Demo account:
LonghornFX presents each of its platform users with a free practice account. This account is loaded with virtual cash. It is hosted on the all-popular and highly innovative MT4 trading platform – giving the user access to all the tools and indicators provided on the platform. It also uses real-time market data from the LonghornFX broker servers. LonghornFX seeks to help new users familiarize themselves with the brokerage, and assist the rest in perfecting their trading strategies. There is no limit to the number of demo accounts you can open.
- Real account:
LonghornFX provides users with one type of live account. It is hosted on the all-poplar MetaTrader 4 trading platform, making it appeal to both beginner and expert crypto traders. There are no special tiers for expert or beginner traders. The upside to this is that, unlike most brokerages that require you to make significant deposits before you can enjoy premium features, every LonghornFX trader can access all the features and premium tools provided by the broker.
Trading platforms offered
By using the MT4, LonghornFX gives you access to all the trading and market analysis tools provided by the trading platform. These include in-chart trading capabilities, multiple chart layouts, customizable trading windows, and multiple types of pending orders. They also benefit from MT4’s convenience and security.
Importantly, LonghornFX customers are allowed to integrate third-party EAs onto the platform. One may also use the free auto traders provided on the platform or customize their own algorithms using the tools provided by MT4. Note, however, the MT4 desktop is only available to Windows and Linux OS computers.
LonghornFX brokerage also makes it possible for their clients to trade and monitor their accounts while on the move by allowing for mobile trading. This is available to both Android and iOS device users and is powered by the MT4 mobile app. It features all the important tools and analytics provided by MT4 for windows.
macOS powered device users and anyone who doesn’t want to download the MT4 desktop app can use their WebTrader. The web browser-based trading platform features all the basic aspects of the desktop mobile trading app.
You may prefer the web trader to the downloadable desktop app if you are constantly on the move during which time you need to place orders and monitor your account from multiple devices. This effectively makes accessibility its greatest strength as it allows you to log in to the brokerage account from any corner of the world.
Regulation and Reputation
LonghornFX is not a regulated financial services provider. Though they have a registered office in Kingston, St. Vincent and Grenadines, it is not registered or regulated by any financial regulatory agency in the world.
Nonetheless, the brokerage abides by the standard practices used by all the regulated brokerages. It, for instance, subjects all its clients to KYC and AML procedures by demanding that they verify their identities, provide proof of address, and reveal the source of their investment capital.
There is very little information about the brokerage online. On the Trust Pilot review site, for instance, LonghornFX is rated 4.2/5 after 11 reviews while Forex Peace Army gives it a 4.6 rating after 3 reviews. All of these reviews are largely positive as they praise the fast withdrawal processing, ability to trade small lots, and access to high leverages on the LonghornFX brokerage. Here are a few feedback from their current user base.
A second user had this about the broker.
Customer support
LonghornFX maintains a highly responsive customer support team. Their live chat feature on the broker’s website especially comes in handy in responding to client queries and addressing concerns promptly.
And you can reach them through:
- Email: help@longhornfx.com
- Facebook: https://www.facebook.com/longhornfx/
- Instagram: https://www.instagram.com/longhornfx/
Minimum deposit and withdrawal and supported payment methods
Here is a list of all the payment methods supported by LonghornFX brokers and their minimum/maximum deposit and withdrawal limits:
- Bitcoins: Minimum deposit and withdrawal is $10 and unlimited maximum deposit/withdrawal
- Credit/debit cards: Minimum deposit and withdrawal limit is $50. Minimum and maximum withdrawal dependent on your card limit.
- Bank wire transfer: Minimum deposit and withdrawal limit is $10. No maximum deposit or withdrawal limit.
Trading fees
LonghornFX brokerage is not transparent when it comes to trading fees, especially commission and overnight fees. You will know of either when you place a trade. The spreads are highly variable and vary from one instrument to the other. At the time of writing this, the USD/JPY has the lowest spread of 0.7 pips while the BTC/USD pair has the highest – at 122.0 pips.
Here is a table showing the indicative spreads:
Leverage and margin
LonghornFX brokerage gives its customers access to extended leverages of up to 1:500. The high leverage is, however, not a standard feature and how much you can access is largely determined by your preferred trading instrument and country of origin.
LonghornFX abides with local regulations and will, therefore, set leverage limits depending on your local finance laws and regulations. For instance, retail traders in Europe using LonghornFX can only access maximum leverage of 1:5 for cryptos and 1:30 for stocks.
Trading instruments
Here are all the trading instruments that you can interact with when using LonghornFX brokerage:
- Cryptocurrencies: 35 crypto pairs (both crypto and fiat crosses)
- Forex: 55 FX Majors, FX Crosses and FX Exotics
- Commodities: 4 metals and 2 energies
- Stocks: 64 stocks
- Indices: 11 international indices
Is LonghornFX legit?
Well, the Kingston-based forex, cryptos, and CFDs brokerage has made tremendous steps in proving its legitimacy. Though unregistered and unregulated, the brokerage abides by most of the industry standards of practice. It calls for identity verification and enforces higher than average security measures aimed at keeping customer funds safe – like storing deposits in segregated bank accounts.
LonhornFX is an offshore brokerage. It then has its headquarters in an island nation that is best known for its lackluster approach towards the regulation of the finance industry. We must also mention that the trading service provider is not transparent when it comes to trading fees. And all these cast a huge shadow of doubt on the legitimacy of LonghornFX brokerage.
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