NEOTRADES Broker: Scam or Legit?

Is NEOTRADES a legit broker or a scam?

NEOTRADES currently operates under the Mauritius Financial Services Commission (FSC), a Tier-3 regulator with notably weaker investor protections compared to top-tier authorities like CySEC, FCA, or ASIC.

Critical Issues to Note:

• Misleading CySEC Claims: The CySEC license number promoted by NEOTRADES belongs to NAGA Markets Europe Ltd., not NEOTRADES. Without verified CySEC registration, any association with EU-level regulation should be considered unsubstantiated.
• Regulatory Risk: As an offshore broker under Mauritius FSC, NEOTRADES lacks the stringent oversight of Tier-1 jurisdictions. Client fund segregation and dispute resolution mechanisms may be less robust.

Is NEOTRADES A Scam?

While we do not classify NEOTRADES as a scam, it cannot be deemed fully legitimate by EU regulatory standards. Traders should be cautious and prioritize brokers regulated by top-tier authorities unless NEOTRADES provides verifiable proof of higher-tier licensing. Verify any regulatory claims directly with CySEC or the Mauritius FSC before depositing funds. For stronger investor protection, consider brokers licensed by FCA, ASIC, or CySEC-registered entities.

Quick FAQs on NEOTRADES Regulation

Is NEOTRADES regulated by CySEC under licence 204/13?

No. 204/13 corresponds to another broker (NAGA). The status shown for NEOTRADES is “Unverified”. You should disregard any implied CySEC protection unless CySEC‘s registry directly lists NEOTRADES’ legal entity.

Which regulator actually supervises NEOTRADES?

Public materials attribute NEOTRADES to Mauritius FSC, a Tier‑3 regulator with weaker investor protection versus EU/UK/AU frameworks.

Does NEOTRADES provide negative balance protection or compensation coverage?

Not clearly disclosed on the pages you provided. Demand the specific clause numbers in the Client Agreement before you trade.

Are client funds fully segregated and ring‑fenced?

The broker does not transparently detail bank locations, reconciliation cadence, or statutory trust protections. Treat segregation claims as unproven until you read the legal docs.

How should I verify if a broker is legit vs. scam?

Go to the primary regulators website, search the licence number, match the legal name, URLs, and addresses, and read the Client Agreement for fund protection, leverage, and dispute clauses.

Is the “Protected Trades” promo risk-free?

No. Losses are covered only as non-withdrawable bonus, only if all first five trades lose, and you must email to tag positions. This doesnt eliminate risk; it shifts it into bonus terms.