Kawase Exchange Fondex Review 2024
Website: www.fondex.com
Min. Deposit: US$ 0
Leverage: 1:30
Trading Platforms: cTrader
Regulation: CySEC, FSA
Headquarters: Cyprus
Founded: 2010
Regulatory Licenses:
- TopFX Ltd - authorized by CySEC (Cyprus) registration no. HE 274180 and license no. 138/11
- TopFX Global Ltd - authorized by FSA (Seychelles) registration no. 8424819-1
Updated on May 21, 2024
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In our comprehensive review process, we meticulously examine and compare forex brokers to ensure our evaluations are thorough and reliable. This method involves an in-depth analysis of over 1000 brokers, focusing on aspects such as regulatory compliance, trading platforms, tools, customer support, fees, and spreads. Our goal is to provide traders with all the necessary information to make informed decisions.
Fondex, formerly known as Kawase Exchange, is a European online trading broker rooted in Cyprus, inspired by Japanese principles of trust, power, determination, flexibility, and simplicity. Fondex leverages years of expertise and a regulated license to offer a high-performance trading experience, incorporating the latest technologies. Initially, TopFX, an international brokerage firm specializing in liquidity provision and regulated institutional brokerage services, started its operation in 2010. The retail division commenced five years later, with Kawase and then Fondex launching trading services in key Asian markets.
Fondex's operational model and delivery of trading environments have been acknowledged through several awards and recognitions from renowned exhibitors and publishers. Notably, Fondex clients have rated the company as the best in customer service, value for money, and overall client satisfaction, showcasing Fondex's strong standing. Among the most significant awards garnered by Fondex are:
Fondex is not a scam and is considered a low-risk Forex trading broker, thanks to its headquarters in Cyprus, which ensures traders' funds are safeguarded through various safety programs. Fondex operates under the name TopFX LTD and is regulated by CySEC, adhering to stringent regulations. Despite having an offshore entity, Fondex remains a safe broker for investing and trading, especially with the introduction of stricter licensing rules by offshore jurisdictions and adherence to ESMA regulations. Our Fondex reliability ranking scores 4.0 out of 5, reflecting the broker's good reputation, high level of regulation, and commitment to fund safety. The presence of an offshore entity is the sole concern.
Is Fondex Available In The US?
Fondex does not offer its services to US clients. Due to regulatory constraints, brokers operating in the US must be registered and compliant with local financial regulators, which restricts non-US brokers from trading in the US.
How are you protected?
Fondex's regulatory compliance with CySEC involves adherence to the MiFID directive, encompassing capital adequacy, financial reporting, and detailed audits. This ensures continuous and unparalleled oversight of Fondex's activities. Traders' funds are stored in leading banks, fully segregated from the company's finances, and protected by negative balance protection. Additionally, Fondex is a member of the ICF (Investor Compensation Fund), offering resolutions and compensation in unlikely events.
Leverage allows traders to control a large trading position with a relatively small amount of capital, magnifying both potential profits and losses. Fondex offers leverage up to 1:30 for retail traders on major currencies, 1:20 for minor ones, and 1:10 for commodities, while professional clients can access leverage up to 1:500. International traders are also entitled to leverage of 1:500 for major currency pairs, emphasizing the need for prudent leverage use.
Fondex offers a streamlined approach to trading accounts by providing a single account type designed to accommodate various trading strategies and volumes, featuring spreads starting from 0 pips. Additionally, for Muslim traders, Fondex provides the option of a Swap-free account to comply with Sharia law.
Fondex employs a proprietary price aggregation system, checking prices over 50 times per second to secure the lowest available quotes for its instruments, resulting in raw spreads and commission-based trading charges. Fondex stands out by not imposing fees for deposits and withdrawals, coupled with low non-trading fees. After comprehensive testing and comparison against 1000 brokers, Fondex's fees are considered low, achieving an overall score of 4.2 out of 5.
Offering access to more than 1000 markets, Fondex connects traders with leading liquidity providers and global exchanges, ensuring the best possible pricing from tier-1 banks. The broker's diverse market range includes popular trading instruments, making Fondex a competitive broker for FX, Shares, iShares, Powershares ETFs, Indices, Metals, and Commodities. However, the primary focus remains on CFDs and Forex Instruments, with asset availability and conditions varying by entity. Fondex's market range has earned a score of 4.15 out of 5 for its broad selection.
Fondex offers a user-friendly process for depositing and withdrawing funds directly through the Fondex cTrader platform, simplifying the transaction process. The broker's funding methods have been rated excellent, with a score of 4.15 out of 5. Fondex does not enforce a minimum deposit requirement, and transaction fees are minimal or non-existent, supporting various account-based currencies. However, available deposit options may differ depending on the entity.
Pros
No minimum deposit requirement
Userfriendly deposit and withdrawal process through Fondex cTrader
Cons
Withdrawal options may incur fees up to 3% for cards and online transfers, and 0.9% for bank wire transfers in Euro
Deposit methods include Card Payments, Bank Transfers, UnionPay, Qiwi, WebMoney, Skrill, Neteller, and Yandex Money, although availability may vary by region. The recommended starting amount for live trading is USD 200 or equivalent, which is considered reasonable for traders of any size. Notably, Fondex sets itself apart from many brokers by not requiring a minimum deposit, contrasting with the common industry benchmark of $500.
Withdrawals at Fondex are free of deposit fees, but it's important to consult with your payment provider regarding potential charges. Withdrawal methods such as Cards and Online Transfers are subject to a 3% processing fee, while Bank Wire Transfers in Euro carry a 0.9% fee.
After conducting an extensive review, it's evident that Fondex offers a unique and proprietary trading platform that stands out for providing bank-grade trading conditions along with speedy execution through market depth and a direct connection to banks via its NDD model. Fondex, formerly known as Kawase cTrader Broker and now rebranded as Fondex cTrader, has been developed as a DMA platform. Its execution is characterized by speed and high-quality direct market connections without the use of bridge technology. This allows traders access to institutional-level trading, which is an exceptional opportunity.
The platforms provided by Fondex are rated highly, with an overall score of 4.2 out of 5 compared to over 1000 other brokers. Fondex excels with its proprietary platform, incorporating add-ons and sophisticated features, in addition to offering the cTrader platform for professional technical traders. However, the absence of MetaTrader platforms, which are highly popular among traders, is considered a significant drawback. When comparing trading platforms, here are some specifics:
Web Platform
The platform provides unmatched transparency with detailed orders, deals, position timelines, live order book values, and comprehensive position details spanning 50 fields.
Desktop platform
Fondex cTrader is versatile, scaling to desktop, web, and mobile versions, ensuring performance is accessible on almost any device. It includes live market sentiment charting tools, trading history, session info, and on-server trailing stops.
Mirror trading
The cTrader platform further enhances its offerings with mirror trading and algorithmic trading capabilities through cMirror and cAlgo. cMirror, in particular, was developed to enable the mirroring of strategies from over 1000 top traders, significantly increasing the ease and convenience of trading. As a result, traders have the option to either become a signal provider and earn a commission or automate their trading positions by following a strategy, all accessible through a single account feature.
Can you engage in copy trading with Fondex? Absolutely, Fondex enables traders to copy trades through the cTrader platform, granting access to hundreds of strategies for more than 600 instruments across 7 asset classes.
Fondex's customer support service has demonstrated its proficiency, ranking among the top for providing multilingual support and fast responses, including a live chat option. Along with competitive trading conditions, the Fondex support team is ready to assist with account opening, the trading process, and any other stage of trading. Offering international phone lines and email support, Fondex ensures that its traders receive professional service whenever needed, marking a significant advantage.
Fondex's customer support is rated as Excellent, achieving an overall score of 4.9 out of 5 based on our testing. We experienced some of the fastest and most knowledgeable responses compared to other brokers. It's important to note, however, that support is not available 24/7.
The education materials offered by Fondex, though limited, include articles on numerous topics, Forex News, and recent market updates. While these resources might be adequate for some, beginners are advised to seek additional educational courses with webinars and seminars through third-party providers if planning to trade with Fondex.
Fondex's research tools are advanced and professional level, supported by the cTrader platform, which provides various tools and capabilities for good analysis features. Fondex Education is rated with an overall score of 4 out of 5 based on our research. The broker does provide quality educational articles, but the resources overall are somewhat limited. However, it compensates with highly sophisticated research tools via the cTrader platform.
The review of Fondex reveals a brokerage firm that has evolved from its origins as Kawase Exchange, leveraging its expertise in liquidity provision and institutional brokerage to offer a competitive edge to retail clients. The direct market access enabled by exceptional technological solutions and the proprietary platform's direct connection to banks ensures consistent performance for active traders. This comes along with various benefits tied to trading volume and comprehensive trading tools.
Based on our findings and financial expert opinion, Fondex is recommended for:
Beginning Traders
Professional Traders
Technical Trading
Running EAs
Copy Trading
Scalping/Hedging Strategies
Users of the cTrader Platform
Currency and CFD Trading
A variety of Trading Strategies
CFD Share Trading
In summary, Fondex presents a compelling choice for traders at different levels, offering unique tools and services, especially through its proprietary and cTrader platforms.
