Note: Primecap is to operate via the website - https://primecap.io/, which is currently not yet functional and no information about the company was immediately available. Therefore, we could only gather relevant information from the Internet to present a rough picture of this broker.
Risk Warning
Online trading involves significant risk, and you may lose all of your invested capital. It is not suitable for all traders or investors. Please ensure that you understand the risks involved and note that the information contained in this article is for general information purposes only.
General Information & Regulation
Primecap is allegedly a forex broker registered in China that claims to provide its clients with various tradable financial instruments with flexible leverage up to 1:300 and floating spreads on the MT4 and MT4 web trader trading platforms via three different live account types.
As for regulation, it has been verified that Primecap currently has no valid regulation. That is why its regulatory status on WikiFX is listed as “No License” and receives a relatively low score of 1.31/10. Please be aware of the risk.
Market Instruments
Primecap advertises that it offers access to a wide range of trading instruments in financial markets, including forex, metals, stocks, indices and cryptocurrencies.
Account Types
Primecap claims to offer three types of trading accounts - namely Starter, Premium and Business, with minimum initial deposit requirements of $250, $5,000 and $25,000 respectively. In comparison, licensed brokers allow setting up a starter account with a minimum deposit of $100 or even less.
Leverage
The specified leverage for different account types at Primecap varies between 1:100 and 1:300. Leverage is adjusted based on the account type. Clients on the Starter account can experience leverage of 1:100 or 1:200, the Premium account can experience leverage of 1:200 or 1:300, while the Business account can enjoy the leverage ratio of 1:300. It is important to keep in mind that the greater the leverage, the greater the risk of losing your deposited capital. The use of leverage can both work in your favour and against you.
Spreads
All spreads with Primecap are a floating type and scaled with the accounts offered. For example, the spread starts from 0.0 pips on the Starter account, and from 1.0 pips on the Premium account. As tested on the MT4 platform, however, the EUR/USD spread is as high as 2 pips, which is above the industry average of 1.5pips.
Trading Platform Available
The platform available for trading at Primecap is one of the most notable and preferred trading platforms the market offers - MetaTrader4 and MT4 web trader. This trading terminal is highly praised by traders and brokers alike due to its ease of use and great functionality. The MT4 offers top-notch charting and flexible customization options. It is especially popular for its automated trading bots, a.k.a. Expert Advisors.
Deposit & Withdrawal
The deposit and withdrawal methods supported by Primecap are limited to payments done via credit cards or wire transfers. The minimum initial deposit requirement is said to be $250. The minimum withdrawal amount via wire transfers is $/€/£250, while via credit cards is $/€/£100.
The broker does charges a withdrawal fee. Specifically, $/€/£50for wire transfers, $/€/£25 for credit cards plus a processing fee of $10/€7/£5. However, if you decide to withdraw funds before executing more than 200 in turnover or if your account has not been verified, then a levy of 10% of the withdrawal amount will be charged as well. The withdrawal request processing time takes between 2 and 5 business days.
Bonuses & Fees
From the information available on the website, we find out that there are three types of bonuses offered by Primecap - a welcome bonus which is 15%-30%, a friend-brings-friends bonus which is 10%-20% and a traditional bonus which is 30%. In the Deposit/Withdrawal Policy, we find out that to be able to withdraw the bonus amount, the trader must execute trading volume equal to 25 times the sum of the deposit and bonus amount. However, in the Terms and Conditions document, the conditions are for a trading volume which is equal to 30 times the sum.
In any case, you should be very cautious if you receive a bonus. Bonuses aren't client funds, they're company funds, and fulfilling the heavy requirements that are usually attached to them can prove a very daunting and difficult task. Note that brokers are prohibited from using bonuses and promotions by all leading regulators.
Apart from the withdrawal fee, the broker also charges a dormant fee. If a trading account stays inactive for 6 months, then the company will charge a 10% monthly dormant fee.
Customer Support
Primecap‘s customer support can be reached by telephone: +43720117236, email: support@primecap.io. However, this broker doesn’t disclose other more direct contact information like the company address that most transparent brokers offer.
Pros & Cons
Frequently Asked Questions (FAQs)
