The grandcapital.net website is owned and operated by GrandCapital Ltd, which defines itself as an international brokerage firm that has been providing financial services since 2006. It is incorporated in St Vincent and the Grenadines and is also registered in the Seychelles. The company is a recipient of 18 awards including Best Forex Broker, Best ECN Broker, Best Trading Technologies, and a special award for Stability in Forex, Grand Capital claims. It is a member of the independent financial commission FinaCom and every client is eligible for up to EUR20,000 from the dedicated Compensation Fund. However, this company is not licensed and regulated by any major financial authority, and you should be careful if you are about to work with it.
Grand Capital offers more than 330 CFDs on currency pairs, indices, commodities, shares, and cryptocurrencies. The minimum initial deposit required to open a live account is USD10.
The company provides its services through the well-known MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms, as well as the company’s own mobile application called GrandTrade. MetaTrader 4 is one of the most popular trading platforms globally. It offers a wide range of tools for successful trading such as interactive charts with the latest technical analysis tools and the possibility of automated trading through expert advisers (EAs). The terminal can be downloaded for PC and MAC machines, or you can run it on a web browser.
MetaTrader 5 is the newer version of the terminal that has improved charting tools, more pending orders, financial events directly in the charts, and an easier-to-use language for automated trading. The platform can be downloaded for PC and MAC machines, as well as a mobile app for iOS and Android devices.
GrandTrade is a company’s own developed mobile app for trading and account management. It allows you to open and configure your trading account, deposit and withdraw, monitor the history of your balance operations, transfer funds between accounts, and read updated market analysis. You can download the mobile application on AppStore or Google Play.
Grand Capital offers several deposit methods such as bank transfer, e-wallets (Astropay, FasaPay, Perfect Money, Webmoney, etc.) and cryptocurrencies. Almost all transactions are commission free, or the company compensates them. Deposits made by e-wallets are processed within 15-20 minutes, while these made by bank transfer may take up to 1 business day, the firm claims. Accordingly, withdrawals to e-wallets are processed within several business days while these to bank accounts may last 3 business days. There are commissions depending on the payment provider and the client covers them. If the client’s account is inactive for three months or more, the company will charge a monthly inactivity fee (a commission for account maintenance) of USD300.
There are six types of live accounts, and they differ in the minimum initial deposit required, available instruments, the spread offered, and the commission charged. The “Standard” account requires USD100 as an initial deposit, the spread for major currency pairs starts from 1.0 pips and the currency pairs trading is commission free. However, trading in stocks and other CFDs is charged a commission. The “MT5” account requires USD100 as an initial deposit, the spread for major currency pairs starts from 0.5 pips at the expense of the commission. The “Micro” account requires USD10 as an initial deposit, the spread for major currency pairs starts from 1 pips and trading is commission free. The “Crypto” account requires USD100 as an initial deposit, the spread starts from 0.4 pips at the expense of a commission of 0.5%. You must invest at least USD500 to open an “ECN Prime” account. The minimum spread for the major currency pairs is 0.4 pips at the expense of the commission of USD5-USD7 per lot traded.
The “Client Agreement” document shows that regarding any transaction the client and the company act as principals; therefore, the company is the sole execution venue for the execution of the client’s orders. It is always the counterparty to every trade. This means that Grand Capital acts as a market maker and a conflict of interest arises because in addition to the spread, the company benefits when clients lose. The “Risk Disclosure” document reveals that stop loss orders intended to limit losses may not necessarily limit your losses to the expected level, because in the emerging market situation it may be impossible to execute such a request at a specified price. This means that all orders are subject to slippage and stop loss orders are not guaranteed. The same document informs that there is a possibility to lose all the funds on your accounts with the company (and any additional funds deposited as credit leverage to maintain open positions) in a relatively short period of time if the situation on financial markets is unfavorable for your positions. This should mean that your loss is limited to the money you have invested. However, it is not clear whether you are covered by a negative balance protection policy.
In short, Grand Capital is a typical unregulated offshore company. It is not clear if the company provides negative balance protection. In addition, your money is not protected by any compensation fund. Therefore, it may not be possible to withdraw money from GrandCapital Ltd incorporated in St Vincent and the Grenadines.