OlympTrade is owned by Frandom Holding Ltd and Smartex International Ltd. The latter, Smartex, is registered at the FinancialCommission.org/ that is said to function as a complaint resolution authority for unregulated forex and binary options brokers. Smartex registered Address is: 103 Sham Peng Tong Plaza, Victoria, Mahe, Seychelles. The phone number is: +357 25030996. Olymp Trade is mainly focused to offer Binary Options in Russia. The company is also registered at FMRRC which stands for ‘Financial Market Relation Regulation Center’. It is a non-commercial organization created for the purpose of regulating brokers. Basically, a broker pays to become a member and to receive a certificate. According to FMRRC’s own website, the role is to “provide traders with maximum security of their transactions in financial markets.”
Is OlympTrade a Scam?
Recently, in 2016, Olymp Trade also became accepted as a new member to the FinaCom (Financial Commission). Just like FMRRC, the FinaCom’s role is: “the services of the Financial Commission is to provide its customers with a neutral 3rd party mediator to help resolve complaints in cases of disputes where customers are unable to come to an agreement with their broker.”
The remaining question is whether these two websites and third party “regulators” can really provide Olymp Trade’s clients with a safety similar to what CySEC can provide?
According to an Olymp Trade representative in our forums, they have also applied for a CySEC regulation regulation but we’ve seen that ploy before. Another source, Financemagnates, writes: “Acting on the principles of Dispute Resolution Organization (DRO), the Financial Commission tries to guarantee traders protection (e.g. offering a compensation fund of $10,000 per case”. I am not certain what “tries to guarantee” means but a compensation fund does sound comforting if true.
Editor’s Note – Why Doesn’t Olymp Trade Suck in 50 Words
Olymp Trade doesn’t suck because after registration, you will immediately gain access to a free 10,000$ demo account. Furthermore, the company is a member of the Financial Commission (FinaCOM PLC). This is a third party and a neutral authority which is there to resolve complaints made by traders.
Why Does Olymp Trade Suck in 50 Words
One of the downsides is the very limited assets list. There are only 13 tradeable assets and only two categories of them; currencies and commodities. The second reason why I am a bit skeptical is regarding their regulation. The FinaCOM seems to have been around for a couple of years but I am not sure whether they are as effective as CySEC or not. Another reason for concern is the FMRCC regulation, a non-official source of oversight based in Russia. Time will tell.
Should I Open an Account with Olymp Trade?
Moving on to the unique and proprietary Olymp Trade platform. Once inside, you may to switch between demo and the real account. The demo account is set to 10,000$ and the minimum trade size is only 1$. Yes, that means you can do 10,000 trades for practicing purposes before you run out of virtual cash. The best part is all the tools, indicators and the advanced charts the platform offers. If it’s not enough, you can select the technical tab and it will open yet another chart with even more tools. Basically, it’s just like a light and mini version of MetaTrader 4.
Execution is fast and to make it even faster you can switch to One Click trading at any time so you don’t have to confirm trades before execution. Furthermore, VIP members will benefit from a 90% payout which in relation to many other brokers is well above average. To become VIP, you “only” need to deposit $2000.
In conclusion, the efforts are good. The platform is well-designed, the education center comes in many languages and the 10$ minimum deposit together with a free no-deposit demo is a very welcoming gesture. There are bonuses for first time depositors and the bonus policy is not aggressive. You can choose not to accept a bonus at signup. Read more about Olymp Trade bonuses further below. My only concern is whether the Financial Commission and the FMRRC can really do a job that equals them to a regulator and that remains to be seen, I am skeptical. If you have any experience trading with Olymp Trade, join our forum discussion and share your information.
Olymp Trade Complaints
This broker is very new and due to their clients mainly being from Russia, it’s difficult to find English complaints. I did however find a website (mywot.com) with Russian comments and translated as many comments as I found. Unfortunately, most of them seemed to be regarding binary options in general and coming from people who had only tried the gambling approach. Some comments were positive about Olymp Trade, regarding the benefits of the technical tools on the platforms and withdrawals not being troublesome.
A few complaints were regarding price differences where a client claimed he had executed trades on two different PC’s at the same time with different results and the other claimed the demo prices were different than the real account (not sure how you can manually execute two trades at the exact same time unless you are using a software, this was not mentioned in the comment). Therefore, I’m not sure whether those claims are true or not but some delays and price differences are typical with all brokers (as other commentators also pointed out in the comments).
Olymp Trade Ratings
User Friendliness 17/20
The website is user-friendly thanks to the inside platform interface guide that explains each section of the platform. The FAQ section includes answers to many questions that a client may have and the “about company” page explains Olymp Trade’s goals and everything you need to know about them. Thanks to the instant access to the free demo account after registration, practicing is not a problem for the beginner. Finally, the education section is not restricted and comes in 10 different languages.
No. of Assets and Expiry time 8/20
The number of assets are only 13 of which 10 are currencies and the remaining are commodities.
Interestingly, you can type your own expiry times in the Olymp Trade platform. However, you may not enter a value below 1 minute and not above 180 minutes. You cannot enter half minutes either. There are no other types of options other than the high and low but OTC trading is available, even during holidays.
Commissions, Support and Effective Return 17/20
The returns are at 80% during market hours and with a deposit of 2000$ you can increase the payouts to 90% which is very high in relation to many other brokers. There are no commissions at Olymp Trade. A live chat is available and the email support promises a response within one business day.
Deposit, Payment and Bonus 17/20
The minimum deposit is only 10$ and the VIP account only requires 2000$ and is considered to be fairly small in relation to other broker’s VIP accounts. Bonuses depend on how much you deposit but a 100$ depositor gains 100 in bonus. You are required to turnover 25 times the bonus volume before you can withdraw the bonus, your own funds can be withdrawn prior to reaching the turnover but it will also cancel the bonus.
Website Extra’s 15/20
The unique Olymp Trade platform offers many tools. There are candlestick charts offering several time frames and indicators to choose from. To name a few, there is RSI, MACD, SMA and Stochastic Oscillator. Clicking “technical analysis” will give you access to a fully functional candlestick chart where you can draw lines, change time frames and use a larger variety of tools and indicators! One click trading is also available and the platform can be switched from Live to Demo with a couple of clicks.