Is Hantec Markets Regulated? Is it safe? - TU Expert review
License is the most important document you have to consider when choosing a broker. Many traders, who would like to start working with Hantec Markets try to check whether it is regulated. Traders Union experts have already done that. In this article, you will learn whether Hantec Markets is regulated, what regulatory authorities supervise the broker and whether it is safe to work with the company in general.
Short summary about the broker Hantec Markets
The Hantec Markets (also, Hantec) broker was founded in Hong Kong in 1990. Initially, the company focused only on the Chinese and Taiwan markets, providing classic services on OTC financial markets. In 2008, the broker was rebranded and offices were opened in Australia, Great Britain, Japan, and other countries during the next two years. Today, Hantec is a multinational company with 18 offices in the European and Asian regions and is licensed by six regulators.
| 💰 Account currency: | USD, EUR, GBP, CHF, CAD, AUD, PLN, and AED |
|---|---|
| 🚀 Minimum deposit: | $1,000 |
| ⚖️ Leverage: | Up to 1:200 for currencies |
| 💱 Spread: | From 0.2 pips |
| 🔧 Instruments: | Currency, stock, commodity assets, cryptocurrencies |
| 💹 Margin Call / Stop Out: | No/40% |
Pros and cons of Hantec Markets
👍 Advantages of trading with Hantec Markets:
•Large range and reliability. Its regulators include FCA (UK), ASIC (Australia), and FSA (Japan), which are considered some of the strictest regulators in the world.
•Segregated accounts and partner banks are Barclays and Lloyds.
•Deposits of traders are insured by the Financial Services Compensation Scheme for £85,000.
•A relatively small entry threshold for trading stock and commodity assets is just $0-$100.
•Relatively small floating spread — from 0.2-0.5 pips.
👎 Disadvantages of Hantec Markets:
•The high minimum deposit for trading currency pairs is $1,000.
•Lack of reversal competitive advantages. There are no proprietary technological developments, copyright applications, or passive investment services.
•Lack of comprehensive presentation of information on trading terms.
Why is it important to work with a regulated broker?
License is a document that certifies that a broker operates legally and guarantees fulfillment of its obligations to the traders. A financial license is issued by a financial regulatory authority of a country (the National Bank) or a specialized authority (for example, Securities Commission, Futures Trading Commission, etc.). It is important to choose licensed brokers for the following reasons:
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A license guarantees that the broker operates in compliance with the rules of the financial regulator that issued the document.
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In order to obtain the license, a broker must comply with certain requirements, for example, the size of the authorized capital or personnel qualification. It is simply not lucrative for scammers to comply with such requirements.
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A broker’s license provides access to real markets, and you can be sure that the quotes are real and up-to-date.
The best option is to work with a broker that holds the license of the jurisdiction, where the trader resides. You can also choose a company with a financial license of another reliable jurisdiction, for example, the U.S. or the European Union.
Is Hantec Markets Regulated? Broker’s license
Security (Protection for Investors)
Hantec Markets has 18 offices in Europe and Asia and is licensed by the following regulators: FCA 502635 (UK), FSA 102 (Japan), ASIC 326907 (Australia), CGSE 163 (Hong Kong), JSC (Jordan), and FSC C114013940 (Mauritius). It is part of the FSCS, an organization that has an insurance fund of up to £85,000 for each deposit.
Client accounts are separated from the broker's operating accounts and are stored in Barclays and Lloyds banks. Compliance with the segregation policy is regularly audited.
👍 Advantages
- Cross-audit of multiple regulators
- Segregation of customer accounts
👎 Disadvantages
- The difficulty of filing a private claim with a regulator if it is needed
Brokerage fees
Broker’s regulation is the most important choice criterion. However, before you start working with the broker, it is also important to analyze its commissions and fees. TU analysts have studied the commissions and fees charged by Hantec Markets, which you can see below.
Experts at the Traders Union have analyzed Hantec Markets’ trading conditions for explicit and hidden commissions. There are no hidden commissions. The broker adds a markup to the market spread and that is its commission. There are no extra fees for currencies. The commission is included in the spread for commodity assets, but for cryptocurrencies, there is a commission. However, there is no information about its amount.
| Account type | Spread (minimum value) | Withdrawal commission |
| Retail account | from $2 | No |
| Professional trading account | from $18 | No |
Brokers that are similar to Hantec Markets
Many brokers operate legally, obtaining relevant licenses and permissions. However, when choosing a broker, it is important to compare their trading conditions. TU experts have prepared a comparative analysis of Hantec Markets conditions with its closest competitors.
Comparison of Hantec Markets with other Brokers
| Hantec Markets | RoboForex | Pocket Option | Exness | IC Markets | Libertex | |
|---|---|---|---|---|---|---|
Trading platform |
MT4 |
MT4, MT5, R MobileTrader, R StocksTrader, R WebTrader |
Pocket Option, MT5, MT4 |
Exness Trade App (mobile), Exness Terminal (web), MetaTrader5, MetaTrader4 |
MT4, cTrader, MT5, TradingView |
Libertex, MT5, MT4 |
Min deposit |
$100 |
$10 |
$5 |
$10 |
$200 |
$100 |
Leverage |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:1 |
From 1:1 |
Trust management |
No |
No |
No |
No |
No |
No |
Accrual of % on the balance |
No |
No |
No |
No |
No |
No |
Spread |
From 0.2 points |
From 0 points |
From 1.2 point |
From 1 point |
From 0 points |
From 0.1 points |
Level of margin call / stop out |
No |
No |
No |
No |
No |
No |
Execution of orders |
Market Execution |
Market Execution, Instant Execution |
Market Execution |
Market Execution, Instant Execution |
Market Execution |
Market Execution, Instant Execution |
No deposit bonus |
No |
No |
No |
No |
No |
No |
Cent accounts |
No |
Yes |
No |
No |
No |
No |
Hantec Markets is a professional manual and algorithmic trading broker that focuses on the European and Asian markets.
The minimum deposit in RoboForex is $10. Leverage up to 1:2000. Traders choose RoboForex for reliability, favorable trading conditions, minimum spreads, and commission fees. The company is recommended for beginner traders and experienced investors.
Pocket Option offers a wide range of trading instruments and copy trading services. It constantly improves its service quality and expands the list of assets and trading platforms. The broker is suitable even for novice traders without significant capital due to the low initial deposit. Experienced traders who work with CFDs and binary options can also use Pocket Option’s services.
Exness broker is a trusted broker partner that is compliant with all relevant terms. Exness complies with all payment obligations and pays money earned.
IC Markets Trading Company is a great broker for scalping enthusiasts, automated trading lovers, and beginner traders.
Libertex is a reputable broker. It would be worthwhile to look at the platform as a technical solution. It will appeal to those who can not imagine their life without gadgets and are eager to keep up with the time.
Conclusions
Hantec Markets is a quite reliable broker for trading. Hantec Markets operates on the license of a reliable jurisdiction and its operation is regularly monitored. However, the company does not offer the best trading conditions compared to competitors. You can choose this broker and not worry about the safety of your funds, but there are better options in terms of trading conditions.
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FAQ
How difficult is it to obtain a brokerage license?
The procedure for obtaining a license differs depending on the jurisdiction, but it is very difficult and expensive to get the document in a reliable jurisdiction. This is why only reliable brokers obtain licenses.
Why is it not recommended to work with offshore brokers?
Offshore brokers have to meet minimum requirements for obtaining a license and reporting, which is why often scammers get such licenses.
Can an offshore broker be reliable?
Yes, although there are not many of such brokers. There are brokers with a good reputation, but with an offshore license. You still need to be very cautious when working with such companies.
How do I check a broker’s reputation?
In order to check a broker’s reputation, you need to read user reviews. However, it is recommended to only use independent websites for that.
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Team that worked on the article
Mikhail Vnuchkov joined Traders Union as an author in 2020. He began his professional career as a journalist-observer at a small online financial publication, where he covered global economic events and discussed their impact on the segment of financial investment, including investor income. With five years of experience in finance, Mikhail joined Traders Union team, where he is in charge of forming the pool of latest news for traders, who trade stocks, cryptocurrencies, Forex instruments and fixed income.
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.