Modmount Ltd is a CFD broker that strives for innovation and promises clients a choice of four types of trading accounts, over 160 assets to trade, a modern trading platform with extensive price chart analysis capabilities, quality support, and complete transaction security. To appreciate the offer fully, our brief reviews available online can be helpful. On whether this broker is reliable or a scam, we will find out shortly.
- Modmount Ltd General Information
- Registration and Client Portal Review
- Modmount Ltd Trading Conditions
- Account Types Review
- Trading Platform
- Modmount Ltd — Deposit and Withdrawal of Funds
- Additional Options
- Is Modmount Ltd a Scam?
- Legal Information and License
- Modmountltd.com Domain Info
- Contacts Review
- Pros and Cons
- Frequently Asked Questions (FAQ)
Modmount Ltd General Information
|Address||Room B11, First Floor, Providence Complex, Mahe, Seychelles|
|Leverage||Up to 1:400|
Registration and Client Portal Review
On the official website of Modmount, at first glance, everything seems quite decent. A concise homepage, several sections with important information, clear and fast navigation leave a pleasant impression. However, it is quickly marred by the unappealing (especially in color choices) design and some inconsistencies in the content. For instance, in the main menu section “Start Trading,” there’s an item called “Futures Expires,” which discusses… the execution time of CFDs. Given that futures and contracts for difference are distinct trading instruments, with the latter not being a futures contract, it seems that the site’s creators may not have a full grasp of financial markets.
Registration on the platform occurs in several stages. As the broker is licensed, you will be required to complete a rather extensive form with current details. Further, let’s describe the specifics of this form.
- The registration process involves providing essential personal information, including:
- Personal details. Full name, date of birth, and contact information.
- Address. Your current residential address.
- Contact Information. Email address and phone number.
- Details about your income, source of funds, and trading experience.
- Create a secure password and select security questions.
In the Modmount Ltd Client Portal, there are virtually no surprises. Here, you can create and fund trading accounts, submit withdrawal requests, view transaction history, input and edit profile information, and submit documents for verification. However, there are a few unexpected elements:
- Mandatory FATCA Confirmation: Users are required to confirm compliance with FATCA regulations, asserting that they are not U.S. tax residents. This requirement is puzzling, as Modmount does not accept registrations from U.S. citizens, residents, or tax residents.
- Offering Multiple “Useful Tools” in the Form of TradingView Widgets: The usefulness of these widgets is debatable since they need to be integrated into your own web page. Moreover, it raises the question of why not use similar tools from MetaQuotes, especially if MetaTrader 4 is the chosen trading platform.
- Absence of Promised Educational Materials, Analytics, and Trading Signals: It’s possible that these features can be obtained from a personal Modmount Ltd manager through direct contact. However, this option may not be suitable for every user.
Modmount Ltd Trading Conditions
Now, let’s delve into what this broker can specifically offer and whether it’s a viable choice for collaboration.
Account Types Review
Modmount Ltd offers users the opportunity to trade CFD contracts. They provide various trading instruments, including currency pairs, stocks, commodities, indices, and cryptocurrencies. Users can choose from several trading accounts, each varying in the size of spreads. Other conditions, such as stop-out levels, margin calls, and minimum lot sizes, remain identical across accounts. The highest-tier account comes with the added benefit of comprehensive account reviews and trading signals delivered via SMS.
It’s worth noting that Modmount Ltd offers very high leverage, reaching up to 1:400. However, such high leverage levels can be risky for traders, especially beginners, as they amplify both potential profits and losses. It’s important to highlight that reputable financial regulators typically restrict brokers from providing such high leverage ratios due to the increased risk it poses to traders.
Modmount Ltd operates using the Webtrader web terminal from MT4. This terminal runs directly in your web browser, so downloading it to your desktop computer is not an option. The platform is utilized by the administration for simulating trades. On the official website, there are claims of certain advantages, but some of these do not align with reality. It’s unclear why the broker specifically employs the web trader. After all, MetaQuotes offers a complete set, including desktop and mobile versions. So, why not provide traders with these? It would certainly be more convenient.
Modmount Ltd — Deposit and Withdrawal of Funds
The descriptions provided on the Modmount Ltd platform are notably lacking in key details. Specifics about the minimum deposit requirements for each account type remain conspicuously absent.
When it comes to funding your account, the broker offers a variety of options including VISA and Mastercard payments, traditional bank transfers, as well as the expedient APM (fast payment system). The deposit amounts, however, exhibit a range, with varying limits from 250 to 40,000 dollars or euros.
Certainly, as a licensed broker, Modmount Ltd necessitates client verification. Here’s a description of the verification process:
- The next step is submitting your identification documents, which generally include a copy of your passport or government-issued ID. This is to confirm your identity and nationality.
- To verify your place of residence, you will be required to submit documents such as a utility bill or bank statement, typically not older than three months.
- Some brokers, including Modmount Ltd, may also request a declaration of the source of your funds, ensuring that they are not acquired through illegal means.
- Once these documents are submitted, the Modmount Ltd team will review them to ensure they meet the verification requirements.
- Upon successful verification, your account will be approved, and you can proceed with your trading activities.
Modmount Ltd provides a partnership program that allows traders to become partners by referring new clients to the platform. However, it’s worth noting that the broker does not disclose detailed information regarding the specific terms, conditions, or benefits of their partnership program. If you are interested in becoming a partner, it is advisable to contact support directly for more information and a comprehensive explanation of the program’s details.
Is Modmount Ltd a Scam?
It’s time to examine the legitimacy of the broker, which is also a crucial factor to consider before starting any collaboration with this company.
Legal Information and License
Modmount Ltd asserts its registration on the Seychelles islands. In terms of licensing, the broker claims to have acquired it from the local regulator, the FSA. However, it’s imperative to understand that this offshore registration and the licenses associated with it are met with skepticism. They do not offer the same level of regulatory oversight and security as the ones provided by genuinely authoritative regulatory bodies. One significant area of concern is the exceptionally high leverage offered by Modmount Ltd, which, though seemingly beneficial for traders, actually introduces substantial risk into the trading environment. This level of leverage far exceeds what reputable regulatory authorities typically permit.
Modmountltd.com Domain Info
Another concerning factor lies in the broker’s relatively short presence in the financial markets. For instance, a domain check reveals that the Modmount Ltd website was created as recently as February 16, 2022, and last updated in March 2023. This limited track record raises questions about Modmount Ltd reliability and reputation. Such a brief history makes it challenging to draw solid conclusions about a broker’s trustworthiness and long-term commitment to its clients.
The broker provides contact options via both phone and email. However, potential issues may arise with the provided address, as the one listed in Seychelles is likely nominal, and Modmount Ltd lacks a physical terrestrial address.
Pros and Cons
- Variety of account types.
- Multiple payment methods.
- Wide range of tradable assets.
- Lack of comprehensive information.
- Offshore registration.
- High leverage, leading to increased risks.
- Short operational history.
- Unclear partner program terms.
Frequently Asked Questions (FAQ)
Modmount Ltd offers various trading accounts, giving traders the flexibility to choose one that suits their budget. The broker provides access to a wide range of assets, including currency pairs, stocks, commodities, indices, and cryptocurrencies. Additionally, traders can benefit from trading signals, 24/7 expert analytics, and modern chart analysis tools.
The minimum deposit required for trading with Modmount Ltd is $250, as stated in their trading conditions. However, the decision regarding the amount to invest should depend on individual financial circumstances, risk tolerance, and trading goals.
The safety of trading with Modmount Ltd is a subject of debate. While the broker is not a scam, its offshore registration raises questions about regulatory oversight and investor protection. Potential clients should weigh the risks associated with offshore registration against the benefits offered by the broker before deciding to engage in any trading activities.