TradeCentrum

tradecentrum.com in short

T. C. TradeCentrum is another registered trademark of Goldenburg Group Limited, which operates the tradecentrum.com website. The company is licensed to provide investment services and is supervised and regulated by the Cyprus Securities and Exchange Commission (CySEC). TradeCentrum tries to ensure the highest standards of client protection providing online trading opportunities for a wide selection of assets, the company claims. Customers can trade CFDs on currency pairs, indices, commodities, and shares through the industry leader – MetaTrader 5 (MT5). TradeCentrum claims to use the STP execution model providing floating spreads. You can start trading by depositing USD100.

Regulation

The company’s license and regulation should be checked before you decide to open a live account with it. Behind the trade name TradeCentrum is the financial company Goldenburg Group Limited. It is a Cypriot Investment Firm (CIF) supervised and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 242/14. The company announces to protect clients’ money at the highest level in accordance with the Markets in Financial Instruments Directive (MiFID II) and the rigorous regulatory standards issued by the CySEC. Goldenburg Group Limited is a member of the Investor Compensation Fund (ICF), so clients will be compensated in the event of the company’s economic failure.

Account Types

There are no different types of live trading accounts. Trading conditions are equal for all groups of traders, regardless of the deposited amount. The spread is not fixed and can widen beyond the typical values. The typical value for the EUR/USD pair is 3 pips. Clients can start trading by investing a minimum of USD100 (by credit card or dotpay) or USD250 (by bank transfer). The leverage can be up to 1:100 for professional clients, while the one for retail clients complies with the requirements of ESMA and MiFID II – up to 1:30 for major currency pairs. You can also own physical shares, but this involves a management fee, which will be charged daily. The margin call will be triggered at the 100% margin level and the stop out will be triggered at the 50% margin level.

What the Documents Show about the STP Execution Model

Usually, the Order Execution Policy is the document, which shows how the company executes client’s orders. In this case, the document provided by Goldenburg Group Limited should be checked. It shows that Goldenburg Group Limited does not execute client orders as a principal to principal against the client; therefore, the company is not the execution venue. It transmits each customer order for execution with its liquidity providers. This confirms the claim that Goldenburg Group Limited uses the Straight Through Processing (STP) execution model and there is no direct conflict of interest as with market makers.

You can also find out that your market orders are subject to slippage and will be executed at the first available market price. Slippage usually occurs during periods of quick market movements or gapping. Then market orders will be filled at the first available market price. Once triggered, pending orders are executed as market orders, which means they are also subject to slippage and stop loss orders are not guaranteed.

All retail clients are covered by Negative Balance Protection. This means that they cannot lose more than the funds they have in their trading account.

Fees

Brokerage companies usually earn money from the common fees that customers pay during trading, such as spread, swap, rollover, and commissions. However, Goldenburg Group Limited will charge you some additional fees. If there is no trading activity in your account for more than six months, it becomes inactive. Inactive accounts will be charged a monthly maintenance fee of up to EUR40. In addition, all transactions on Italian CFDs and ITA40 are subject to Financial Transaction Tax (FTT) between EUR0.25 and EUR200 depending on the nominal transaction value.

Deposits and Withdrawals

There are three methods for depositing funds – by bank transfer, credit, or debit cards and dotpay. The company has different minimum deposit requirements depending on the payment method. The minimum deposit made by credit (debit) card is USD100 and the maximum deposit is USD10,000 per transaction. However, the minimum deposit amount by bank transfer is USD250.

Withdrawals can only be made by bank transfer.

TradeCentrum declares that it does not charge any commission on customer deposits or withdrawals, but all fees of intermediary institutions are covered by the customer.

Trading Platforms

Customers can trade through the newer MetaTrader platform – version 5. In addition to all popular MetaTrader 4 features, the new opportunities for traders have been added. There are six new types of pending orders, you can export your transaction history to Microsoft Excel and can trade on a smartphone or tablet with an Internet connection. It will suit every beginner and experienced trader.

Assets

Forex – You can trade 63 major, minor, and exotic currency pairs as CFDs. The typical spread value for the EUR/USD pair is 3 pips and the leverage for retail clients is 1:30.

Indices – You can trade 14 of the most traded indices as CFDs. The typical spread value for DJIA and DAX30 is 20 points. Leverage is 1:20 for major and 1:10 for minor indices.

Commodities – You can trade 23 commodities as CFDs. They include Gold, Silver, Oil, and Natural Gas. The typical spread for the Gold is USD1.6 and it is USD0.09 for Crude Oil.

Shares – The company offers CFDs on shares of global companies such as Apple and Google. Shares include more than 600US, near 200 European, 8 British, 9 Hong Kong, and 18 Swiss companies. You will be charged a commission starting from EUR20.

Summary

TradeCentrum is another brand of Goldenburg Group Limited. It is a CySEC-regulated company, and the license allows it to provide financial services across European Union (EU). The legal documents confirm that TradeCentrum uses the STP execution model escaping the main conflict of interest between the company and customers. A wide set of assets are available for trading through the MT5 platform. You can open a real account by investing at least USD100. Compared to most other brokerage firms, spreads look a bit wider. Deposits and withdrawals are processed free of fees, but all fees of intermediary banks are covered by you.