EXT LTD is a financial company, authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 165/12. EXT LTD complies with the requirements of the European Securities and Markets Authority (ESMA) and guarantees a high degree of investors protection.
The company product portfolio consists of over 150,000 trading assets divided into 50 currency pairs, 5 commodities, over 10,000 shares, over 30 global indices, Bonds, ETFs, and options. The spread of the EUR/USD starts at 0.3 pips, which is in the lower range of values for that instrument.
Customers can trade all available assets through the company’s own developed platform. The EXANTE trading terminal provides access to all financial markets from a single multi-currency account. It can be run on any device – through a web browser, from a desktop application on Windows and MacOS, or from iOS and Android smartphones. The company announces it has created a network of over 400 servers around the world, so the latency is as low as possible. There are no different accounts available – only a regular one and the minimum initial sum is EUR10,000.
Let us note that there is a EUR30 withdrawal fee. There is also an inactivity fee of EUR50 per month if you have not had trades for more than 181 days or your account balance is below EUR5,000. Additionally, there are more fees described in the website.
The Terms of Business document shows that: ‘Where the Services involve the receipt and transmission and/or execution of Orders by EXT, for and on behalf of the Client, for the purpose of conducting any Transaction or entering into any Contract, EXT will not act as principal, but will only act for and on behalf of the Client.’ This means the company uses the Straight Through Processing (STP) model to execute the client order, or it is not a market maker. The General Risk Disclosure document reveals that under certain market conditions the execution of a stop loss order may be worse than its stipulated price and the realized losses can be larger than expected, or stop loss orders are not guaranteed. All other orders are subject to slippage and can be filled at the first available market price. The same document warns that the client may achieve a good profit, but an equally small adverse market movement can not only quickly result in the loss of the Clients’ entire deposit but may also expose the Client to a large additional loss. So, perhaps there is no negative balance protection. We could not find any other texts that mention this clause.
In general, the company does not show the entire trading conditions on its website. It is regulated by the CySEC and uses an STP model to execute client orders, but it is not clear if the individual clients are covered by negative balance protection. Stop loss orders are not guaranteed and although the company offers its own platform, the lack of MetaTrader terminal is a serious disadvantage.