INFINOX Review 2023

Trust

This section will cover how the different entities of INFINOX are regulated and how this impacts you as a trader. We rate regulators on a scale of 1 to 3, with 1 reflecting the highest level of trust.

• INFINOX Capital Limited is authorized and regulated by the UK Financial Conduct Authority (FCA) under registration number 501057. We rate the FCA as a Tier 1 regulator.
• INFINOX Capital Ltd SA is regulated by the South Africa Financial Services Conduct Authority (FSCA) under FSP No 50506. We rate the FSCA as a Tier 2 regulator.
• INFINOX Limited is authorized and regulated as an Investment Dealer by the Financial Services Commission (FSC) of Mauritius under license Number GB20025832. We rate the FSC as a Tier 3 regulator.
• INFINOX Capital is a registered trading name of IX Capital Group Limited, authorized and regulated by the Securities Commission of The Bahamas (SCB) under registration number SIA F-188. We rate the SCB as a Tier 3 regulator.

Why is it important to know where your broker subsidiary (entity) is regulated?

Different regulators provide different levels of protection. For example, INFINOX clients in the United Kingdom benefit from the oversight of the FCA. The FCA requires that clients have negative balance protection, which means they cannot lose more than their deposit.

In addition, when trading with a broker authorized by the FCA, client funds are protected by the Financial Services Compensation Scheme (FSCS). The FSCS protects investments of up to £85,000 if a firm becomes insolvent.  Meanwhile, a trader working with a broker entity regulated offshore would not necessarily have these benefits.

The table below lists the protections and benefits by the entity, regulator, and region.

*The maximum standard leverage is 1:30. A maximum of 1:400 leverage is available for traders designated as professionals.

Note: while there is no compensation scheme from some regulators, INFINOX has purchased account insurance from Lloyd’s of London to cover client accounts for up to $500,000 per claimant in the event of insolvency.

Regulatory requirements are subject to change. We gathered the data listed above in October 2022.

Stability and Transparency

In our tests for the Trust category, we also cover factors relating to stability and transparency. Here, we focus on how long the broker has been in business, how big the company is, and how transparent it is.

INFINOX Capital was founded in 2009, reflecting an extensive operating history. According to its LinkedIn page, the company is headquartered in London and has 51-200 employees.

In our research, INFINOX showed good transparency in its regulatory status, listing all regulators in the website’s footer.

The website breaks down costs and account conditions on the Account Types page. Traders can find the Client Agreement on the Legal Documents page.

INFINOX covers essential facts about the company’s background on the About Us page. Overall, we rated INFINOX as having an adequate level of transparency.

Fees

Trading Fees

We tested the spreads at INFINOX across different asset classes using the MetaTrader 4 platform. We performed our tests at 8 AM GMT and 4 PM GMT on 14 October, 2022. 8 AM GMT is the London open when there is high liquidity in the forex market and tighter spreads in currency pairs. 4 PM GMT is during the New York trading session.

Swap Fees

Swap fees (the cost of holding a position overnight) were average at INFINOX.

In the table below, you can see the Swap Long (the cost/credit of holding a buy position overnight) and the Swap Short (the cost/credit of maintaining a sell position overnight) for one full-sized contract. A full-sized contract is 100,000 units of the base currency (the first currency quoted in the pair). We recorded the data on 14 October, 2022.

Non-Trading Fees

INFINOX does not charge an inactivity fee or any other account maintenance fees.

Are Fees at INFINOX Competitive?

Spreads at INFINOX are tight, and the company does not charge inactivity or account maintenance fees. We judged that costs at INFINOX are better than average for the industry.

Platforms and Tools

MetaTrader 4 Desktop

INFINOX offers MetaTrader 4 and MetaTrader 5 for desktop, which includes advanced functions such as copy trading and automated trading.

MetaTrader 4 is available in 39 languages, from Arabic to Vietnamese. The platform provides popular features such as:

• This feature allows traders to be updated when an instrument reaches a specific price level. The platform can deliver alerts via audio, email, or push notification to a mobile device.
• Traders can create a list of their favorite instruments and follow live quotes in a market watch panel.
• One-Click Trading. This feature allows traders to execute orders with a single click and no secondary confirmation. This feature enables traders to operate faster and is especially useful for short-term traders.
• Trading from the Chart. MT4 also allows users the convenience of trading directly from the chart.

MetaTrader also delivers when it comes to the range of available order types. The platform offers the following order types:

• Market Order. Traders use market orders to buy or sell an instrument at the best current price.
• Limit Order. Traders use limit orders to buy or sell an instrument at a specified price or better.
• Stop Loss Order. Traders use stop-loss orders to buy or sell an instrument when its price reaches a specified level.
• Trailing Stop Order. Traders use trailing stop-loss orders as a stop-loss order at a defined percentage or dollar amount away from an instrument’s current market price. Trailing stop orders allows traders to secure profits when they are in a winning trade while not having to exit the position.

Charting features are robust. MetaTrader 4 offers:

• 30 Technical Indicators. These include classic trend indicators, volume indicators, and oscillators.
• 23 Analytical Objects. These include lines, channels, Gann, and Fibonacci tools.
• 9 Time Frames. Traders can choose from nine time frames, from one minute to one month.
• 3 Chart Types. Traders can use Bar Charts, Japanese Candlestick Charts, and Line Charts.

MetaTrader is also popular due to its copy trading and automated trading features.

• Trading Signals. Signals in MetaTrader 4 allow users to copy other traders’ activity in real time.
• Automated Trading. MetaTrader 4 allows users to develop, test, and apply Expert Advisors (EAs). EAs are programs that monitor and trade markets using algorithms.

The MetaTrader 4 desktop platform is one of the most feature-rich and popular trading platforms. It does not have the most beautiful interface and requires some time and effort to learn, but that is typical of advanced platforms.

MetaTrader 4 Web

The MetaTrader Web Platform (Web Trader) is a slightly stripped-down version of the desktop platform. It allows you to trade without any additional software, only an internet connection is required. The Web Platform allows users to trade directly from any browser and operating system.

Popular features include:

• One-click trading.
• Trading from the chart.
• Watchlists with real-time quotes.
• Trade History.
• Advanced charting with 30 indicators for technical analysis.

Copy trading and automated trading are also only available on the MT4 desktop platform.

MetaTrader 4 Mobile App

The MetaTrader 4 mobile app is available for Android and offers popular features such as alerts, one-click trading, and trading from the chart.

The MetaTrader 4 mobile app also provides a broad range of order types including pending and stop-orders. However, trailing stop-loss orders are only available from the desktop. In order to change the language of the MT4 app, you must change the language for your entire phone. As with desktop and web, the interface is not the most intuitive but the MT4 app offers an above-average range of features.

IX Exchange Platform

IX Exchange allows INFINOX clients to go beyond the world of CFDs by providing access to 20,000 instruments across more than 50 global exchanges in a single multi-currency account. The platform is available via desktop, web, and mobile app and enables trading in futures and options, equities, bonds, funds, and cryptocurrencies.

Order Execution

In the case of CFD trading, INFINOX is the counterparty to all transactions executed. In providing clients with financial products and services, INFINOX acts as a principal only and represents the sole execution venue. Orders are executed on an ‘over the counter’ (OTC) basis rather than on an exchange or other regulated market.

Tradable Instruments

CFDs (Contract for Differences) are financial derivative products that allow traders to speculate in various markets without owning the underlying assets. Tradable forex and CFD instruments at INFINOX include the following assets:

• 49 Currency Pairs. A currency pair combines two different currencies, with the value of one currency quoted against the other. For example, EUR/USD, which reflects the value of the euro measured in dollars.
• 19 CFDs on Commodities. Commodities are raw products, such as gold and oil.
• 741 CFDs on Stocks. A stock is a security that represents partial ownership of a corporation. Keep in mind that when trading stock CFDs, you are speculating on the price of a stock without actually taking ownership of the underlying asset.
• 17 CFDs on Indices. An index is a basket of trading instruments used to gauge a market sector, stocks within an exchange, or the economy of a country.
• 43 Cryptocurrencies. Cryptocurrencies, such as Bitcoin, are digital currencies that are secured by cryptography.

In the tables below, you can see a selection highlighting the variety of instruments available at INFINOX:

*CFDs on cryptocurrencies are only available to UK traders that have been designated as professionals.

Customer Support

We tested customer support with a wide variety of queries, ranging from inactivity fees to platform-related questions. Chat support responded within seconds, and operators were thorough and clarified the issues at hand.

Emails were typically responded on the same day or within one business day. Via phone, we also received good support from industry-savvy agents. The only drawback with support at INFINOX Capital Limited is that the main channels (live chat and phone) are only available during office hours.

Via live chat, INFINOX agents can communicate through virtually any language as it has a translation function.

Deposits & Withdrawals

In the tables below, we break down the fees and processing times for each deposit and withdrawal method.

Deposits

INFINOX will not charge any internal fees for deposits.

Withdrawals

The payments team at INFINOX aims to process withdrawals within 24 hours from when they are received. Usually, if it is requested before 2 PM it will be processed on the same day.

Although processed within 24 hours, withdrawals are subject to clearance from the payment processor or bank clearing times. INFINOX covers all fees for one withdrawal per month per client.

Also, keep in mind the following:

• GBP deposits and withdrawals are free of charge.
• For USD and EUR, the first withdrawal of the month is free. Additional monthly withdrawals to overseas banking institutions will attract a bank transfer fee independent of INFINOX: ($15, €7, or ¥1,500).
• Additional withdrawals per month to Skrill (Moneybookers) and Neteller accounts will incur a fee of $15 or €7.
• For debit/credit cards, INFINOX covers fees for deposits or withdrawals. However, a charge may be incurred by the card provider.
• INFINOX sends all client funds back to the source (the same account from which the initial deposit came).

Overall we rate the speed of processing and the fees involved with deposits/withdrawals as better than average for the industry.

Account Types and Terms

Account Application

To open an individual account at INFINOX Capital Limited, prospective clients must answer the following questions:

• Platform (MetaTrader 4, MetaTrader 5, or IX Exchange).
• Country of residence.
• Phone number.
• Base currency (EUR, GBP, or USD).
• Whether you are a US Citizen or Resident for tax purposes.
• Date of birth.
• Employment Status.
• Occupation Industry.
• Job title.
• Source of trading funds.
• Value of savings and liquid assets.
• Annual income.
• Expected deposit amount.
• Number of years of trading experience.
• Trading objectives. (Capital preservation, hedging, or speculating).
• Experience over the past 3 years trading CFDs, spread bets, forex, shares, bonds, or other leveraged products.
• Average funds per trade over the past 12 months.

INFINOX Limited has two main account types: STP and ECN.

STP is an acronym for straight-through processing, where client orders are routed directly from a broker to liquidity providers without any dealing desk intervention.

ECN stands for electronic communications network, and under this execution, method orders are also routed directly to third parties. ECN accounts at CFD brokers typically have tighter spreads but also charge a commission.

The table below breaks down the various features of each account type.

*1:400 leverage is available with a professional account, standard leverage at INFINOX Capital Limited is 1:30.

Demo Accounts

INFINOX offers demo accounts for MetaTrader 4 and MetaTrader 5. Demo accounts are especially important for beginners as they allow to practice their strategies and get comfortable with the trading platform without risking real money.

The demo account features live quotes and simulates live market conditions in assets such as forex and CFDs on commodities, indices, and stocks. Once users have gotten up to speed on a demo account, they can easily switch over to a live version.

Professional Accounts

Professional accounts are available at INFINOX Capital Limited. Professional Traders can benefit from additional services and account features that are restricted under the ESMA directives, which include higher leverage of up to 1:400. Professional clients do not benefit from negative balance protection, and losses can exceed deposits.

Islamic Accounts

INFINOX Capital Limited offers a swap-free Islamic account that adheres to the principles of Sharia law.

Leverage

One of the reasons that traders are attracted to the forex and CFD markets is the high degree of available leverage. Leverage is using borrowed funds to increase the size of your trading positions beyond what would be possible using only the cash in your account.

For example, INFINOX Capital Limited offers leverage of up to 1:30 for standard accounts. With 1:30 leverage, you can control up to $30,000 in market positions with just $1,000. Leverage is often described as a ‘double-edged sword’ as it can hurt you as much as it helps you. Traders must remember that it can amplify both their profits and their losses.

Supported Countries

INFINOX Capital Limited accepts clients from the majority of countries globally. However, residents of the United States, Canada, France, Spain, Italy, Japan, Iran, and North Korea are not eligible to open an account.

Research

The ‘Espresso Morning Call’ is a daily report that provides a valuable summary of the day’s financial news and outlook. It covers market movers, economic releases, and critical support and resistance levels. All the major asset classes are discussed in the report. The ‘Week Ahead’ report zooms out, providing a broader picture. Coverage includes different global regions, including emerging markets.

The 3 Charts in 1 video series presented by Richard Perry is focused on technical analysis, covering three charts and providing insightful trading ideas. The video segments are about six minutes long and are published twice or so a week.

Education

INFINOX educational articles address the needs of newbie traders, covering material such as an introduction to MetaTrader 4 and how to trade using candlestick patterns. The quality of the content is good, but the articles are relatively short and limited in number. Courses, live webinars, and broader material would help improve the educational offering.

The Bottom Line

Clients of INFINOX Capital Limited have the double reassurance of being with a broker regulated by the top-tier UK FCA and having account insurance of up to 500k from Lloyd’s of London. Spreads and account-related fees at this broker are competitive. Traders have room to grow into money managers with the availability of MAM/PAMM accounts. The IX Exchange platform allows clients to trade a wide variety of asset classes. Customer service was good, but the hours of availability were limited. High-quality research created by in-house analysts adds to the appeal of this broker.

FAQ