Huigu is a contract for difference (CFD) broker, officially registered on August 30, 2023. The company primarily offers CFD trading services in forex, stocks, indices, commodities, energy, and precious metals to investors. The headquarters of the company is unknown. The broker's official website supports multiple languages, including English, Traditional Chinese, Simplified Chinese, Japanese, German, French, Arabic, Korean, Thai, Russian, and more.
Corporate Background and Regulatory Status:
According to public information on its website, Huigu is headquartered in Tulsa, Oklahoma. The broker provides retail and commercial banking services in the central and southwestern United States, ranking among the top 50 financial services companies in the country and being the largest in the state of Oklahoma. Additionally, Huigu is regulated by the National Futures Association (NFA) with the NFA ID: 0558557.
However, upon verification, it was found that Huigu is only a non-member of the National Futures Association (NFA) and is not subject to NFA regulation. Moreover, the company's website design closely resembles that of several other brokers, including Varna Trade, RH Trade, Kaerm IM, HCapitalForex, Arlington Asset Investment Corp Ltd, all suspected of using the same template for creating multiple websites. These brokers are also registered with the Financial Crimes Enforcement Network (FinCEN) and are registered as non-members of the NFA, potentially to confuse investors.
Furthermore, as of November 13, 2023, the registration time of the broker's official website is less than three months.
Account Opening:
To open an account with Huigu, users need to register and log in on its official website. The registration process requires providing personal information such as name, email, phone number, country, residential address, uploading identification documents, selecting and setting a login password. Additionally, an invitation code is required for registration, which is not a standard account registration procedure.
Account Types:
Information about trading accounts is not mentioned on Huigu's official website. The broker claims to offer floating spreads as low as 1 pip and provides trading leverage ranging from 1:100 to 1:500. However, details about minimum deposit, trading commissions, additional levels, stop-loss levels, minimum trade volume, and other trading specifics are not clearly disclosed.
Trading Platform:
Huigu only offers a proprietary web-based trading platform for users. This platform's rules are highly opaque, and users may be susceptible to price manipulation and slippage, along with incurring high trading fees.
Deposits and Withdrawals:
Specific information about deposit and withdrawal methods is not disclosed on the broker's official website.
Customer Support:
Huigu only provides customer support through email at support@huigulimited.com, offering a limited means of contact.
In Summary:
Traderknows advises investors that Huigu's corporate entity registration information is unclear, and its purported regulatory registration seems designed to mislead uninformed investors. The broker itself is not regulated by any official financial regulatory authority, and the lack of clear account information, the requirement for an invitation code for registration, the use of a proprietary trading platform, and a singular contact method suggest that the website may be involved in a potential scam.
Traderknows advises traders to stay away from this platform when choosing a trading platform, to avoid unnecessary financial losses. Additionally, the broker's official website, along with VLC Trade LLC, OBV Trade MT5, SXHJAS GLOBAL LIMITED, ASEX CAPITAL GROUP LIMITED, KFCP GLOBAL LIMITED, Cberry Wt, Varna Trade, RH Trade, Kaerm IM, HCapitalForex, Arlington Asset Investment Corp Ltd, share a similar website design, suggesting the use of the same template.
As of now, the broker has been marked as a "scam" on Traderknows.
