Overview of LONGFUAN
LONGFUAN is a Chinese forex broker founded in 2016. It is not regulated by any major financial authority. The company offers a variety of trading platforms, including MT4 and MT5, and tradable assets, including forex, stocks, and cryptocurrencies. LONGFUAN offers a minimum deposit of USD200 and a maximum leverage of 1:500. Spreads start from 0.0 pips. The company also offers a demo account, and a variety of deposit and withdrawal methods, including bank transfer, credit/debit cards, and e-wallets.
In addition to its trading services, LONGFUAN also offers a comprehensive suite of educational resources to help traders learn about forex trading and develop their skills. These resources include a trading academy, webinars, video tutorials, a blog, and a community forum.
Pros and Cons
Pros
Diverse Trading Assets: LONGFUAN offers a wide variety of tradable assets, including forex, stocks, commodities, and indices. This gives traders a wide range of options to trade and diversify their portfolios.
Multiple Trading Platforms: LONGFUAN offers two popular trading platforms, MT4 and MT5. These platforms are known for their user-friendly interfaces, extensive charting tools, and advanced trading tools. Traders can choose the platform that best suits their needs and preferences.
Variety of Educational Resources: LONGFUAN offers a variety of educational resources, including webinars, videos, articles, and a trading academy. These resources can help traders learn about forex trading and improve their trading skills.
Competitive Leverage Options: LONGFUAN offers competitive leverage options, with maximum leverage of 1:500 for its Standard and Islamic accounts, and 1:200 for its ECN account. This can help traders amplify their profits, but it also increases their risk.
Cons
Lack of Regulatory Oversight: LONGFUAN is not regulated by any major financial authority. This means that there is no independent body that is overseeing the broker's operations and ensuring that it is complying with all applicable laws and regulations. This can be a red flag for potential investors.
Limited Information on Customer Support Email: The information on LONGFUAN's website about its customer support is limited. This can make it difficult for traders to contact the broker for assistance.
Withdrawal Fees for Some Methods: LONGFUAN charges withdrawal fees for some methods, such as credit/debit cards and e-wallets. This can add to the overall cost of trading.
Limited Maximum Leverage for ECN Account: The maximum leverage for LONGFUAN's ECN account is 1:200. This is lower than the maximum leverage for its Standard and Islamic accounts, which can be a disadvantage for traders who prefer to use higher leverage.
Regulatory Status
LONGFUAN is not regulated by any major financial authority. This means that there is no independent body that is overseeing the broker's operations and ensuring that it is complying with all applicable laws and regulations. This lack of regulation can be a red flag for potential investors. Regulated brokers are subject to a number of safeguards that are designed to protect investors, such as capital requirements, segregation of client funds, and reporting requirements.
Market Instruments
LONGFUAN offers a diverse range of trading assets, including forex, stocks, and cryptocurrencies. Forex stands out as the most popular asset, with the company providing access to over 160 currency pairs. Stocks represent another prominent trading option, with a selection of over 1,000 stocks available for trading.
Additionally, the company recognizes the growing interest in cryptocurrencies as an emerging trading asset, reflecting the increasing attention from investors in recent years. This comprehensive range of assets allows traders to diversify their portfolios and engage in various financial markets through the platform provided by Hong Kong Prosperity Investment Management Limited.
Account Types
LONGFUAN offers two distinct account types tailored to satisfy the diverse needs of traders: The Standard Account and The ECN Account.
The Standard Account is a basic account that is suitable for beginners and experienced traders alike. It offers fixed spreads and a higher leverage of up to 1:500. This account is a good option for traders who are looking for a simple and easy-to-use account with good value for money.
The ECN Account is a professional account that is designed for experienced traders who require low spreads and tight spreads. It offers floating spreads and a lower leverage of up to 1:200. This account is a good option for traders who are looking for the best possible execution and who are comfortable with a higher level of risk.
How to Open an Account？
It should take you around 5-10 minutes to open an account with LONGFUAN.
Step 1: Visit the LONGFUAN website and click on the “Open Account” button.
Youll then be directed to the account registration page.
Step 2: Select the type of account you want to open.
LONGFUAN offers three account types: Standard and ECN. Standard accounts are suitable for beginners, and ECN accounts are designed for experienced traders.
Step 3: Fill out the online application form.
The form will ask for your personal information, such as your name, address, and contact details. You will also need to provide a copy of your ID and proof of address.
Step 4: Make a minimum deposit of USD200.
LONGFUAN supports a variety of deposit methods, including bank transfer, credit/debit cards, and e-wallets.
Step 5: Wait for your account to be approved.
LONGFUAN will review your application and approve your account within a few days.
Step 6: Start trading.
Once your account is approved, you can start trading with LONGFUAN. You can access the trading platform from your computer or mobile device.
Leverage
LONGFUAN offers different maximum leverage options for its trading accounts. For Standard accounts, traders can access a maximum leverage of 1:500, providing a higher level of capital efficiency and potential risk-reward opportunities. On the other hand, the ECN account option comes with a slightly lower maximum leverage of 1:200.
The distinction in leverage levels allows traders to choose an account type that aligns with their risk tolerance and trading preferences. The availability of these leverage options satisfies a diverse range of traders, accommodating both those seeking higher leverage for potential gains and those prioritizing a more conservative approach to risk management.
Spreads & Commissions
LONGFUAN offers two distinct account types, each with its own spreads and commission structure. The Standard Account features fixed spreads starting from 0.7 pips, providing traders with a predictable cost for each trade. Additionally, this account type incurs a commission of 0.07% per trade, adding a variable component to the overall transaction cost.
On the other hand, the ECN Account offers floating spreads from 0.0 pips, providing traders with potentially tighter spreads depending on market conditions. Notably, the ECN Account does not involve any commission charges, making it an appealing option for traders who prefer a commission-free trading model.
Here is a table that summarizes the spreads and commissions of LONGFUAN's two account types:
Trading Platform
LONGFUAN provides two trading platforms for its clients, the MT4 and MT5. These platforms are both popular among forex traders due to their wide range of features and flexibility.
The MetaTrader 4 (MT4) is a popular trading platform developed by MetaQuotes Software Corp. It is known for its user-friendly interface, extensive charting tools, and advanced trading tools. MT4 is also compatible with a wide range of third-party applications, such as Expert Advisors (EAs) and trading robots.
The MetaTrader 5 (MT5) is the latest and most advanced version of the MT4 platform. It offers a number of enhancements to the MT4, including support for more assets, more technical indicators, and improved trading tools. MT5 is also compatible with a wide range of third-party applications.
Deposit & Withdrawal
LONGFUAN offers various deposit and withdrawal methods, including bank transfer, credit/debit cards, and electronic wallets such as PayPal, Skrill, and Neteller. The company does not charge any fees for deposits. However, for withdrawals, bank transfers are free (telegraphic transfer) or USD 20 (express transfer), credit/debit card withdrawals incur a fee of USD 30, while electronic wallet withdrawals are free.
There are limits imposed on deposits and withdrawals. The deposit limit is USD 20,000 per day and USD 100,000 per month. On the other hand, the withdrawal limit is USD 5,000 per day and USD 25,000 per month.
Customer Support
The customer support of LONGFUAN can be reached through the provided email address: 2744256625@qq.com. While the information is limited, utilizing an email address suggests that users can contact customer service for inquiries, assistance, or issue resolution by sending an email to the specified address. Traders seeking support or information from LONGFUAN can use this email contact to reach out to the customer service team and expect assistance with their queries or concerns.
Educational Resources
Hong Kong Prosperity Investment Management Limited provides an extensive array of educational resources satisfying traders of diverse expertise in forex trading.
Their comprehensive forex trading academy offers courses spanning from fundamental forex principles to advanced topics like technical analysis, trading strategies, and risk management. Additionally, traders can access a library of webinars and video tutorials covering various aspects of forex trading.
The company maintains an informative blog with up-to-date news and articles related to forex trading. For community engagement, there's a forum where traders can seek assistance, ask questions, and share insights with peers. To facilitate hands-on learning, a demo account is available for traders to practice and refine their skills in a risk-free environment.
Conclusion
In conclusion, LONGFUAN presents a mix of advantages and disadvantages for prospective traders. On the positive side, the broker offers a diverse array of trading assets, multiple platforms including MT4 and MT5, and competitive leverage options, satisfying a broad range of trading preferences. The availability of educational resources further enhances its appeal.
However, the lack of regulatory oversight raises concerns about investor protection, and the limited information on customer support channels impact accessibility. Additionally, withdrawal fees for certain methods and the comparatively lower maximum leverage for ECN accounts are noteworthy drawbacks.
FAQs
Q: What trading assets does LONGFUAN offer？
A: LONGFUAN provides a diverse range of trading assets, including forex, stocks, and cryptocurrencies, allowing traders to build a varied and comprehensive portfolio.
Q: How can I contact LONGFUAN's customer support？
A: You can reach LONGFUAN's customer support by emailing them at 2744256625@qq.com.
Q: Is there a demo account available for practice？
A: Yes, LONGFUAN offers a demo account, providing traders with a risk-free environment to practice and refine their trading skills before engaging with real funds.
Q: What are the withdrawal fees on LONGFUAN？
A: There are withdrawal fees for specific methods. Bank transfers are free or incur a USD 20 fee, and credit/debit card withdrawals have a fee of USD 30. Electronic wallet withdrawals are exempt from fees.
Q: Does LONGFUAN offer negative balance protection？
A: The document does not explicitly mention negative balance protection, and traders should inquire directly with LONGFUAN about risk management features and safeguards in place.
Q: What is the maximum leverage for ECN accounts on LONGFUAN？
A: The maximum leverage for ECN accounts on LONGFUAN is 1:200, providing traders with flexibility in choosing an account type based on their risk tolerance and trading preferences.
Q: Are there educational resources available for traders on LONGFUAN？
A: Yes, LONGFUAN offers a comprehensive suite of educational resources, including a trading academy, webinars, video tutorials, a blog, and a community forum.
