ForexGen — MetaTrader Broker with Shady Reputation

ForexGen, which began to operate on-line in 2006, is a Forex broker that offers quite interesting trading conditions, including MT4 platform, spreads as low as 0 pips and no overnight swaps. The spreads on the major currency pairs go do down to 1 pip for $5,000 and bigger accounts and decline to 0 for accounts starting from $50,000. Leverage also varies depending on the trading account size — from 1:200 to 1:500 for mini and micro accounts, 1:100 for standard accounts and 1:50 for big accounts.
Unfortunately, there are four major problems with this broker. First, their site claims to be on-line since 2001, while it’s not. Second, ForexGen offers 1 pip commission per trade to their partners, which means that the broker doesn’t receive profit from the spread on big accounts and that’s a bad sign for traders. Third, ForexGen tries to look like it’s registered with some authorities or regulatory institutions, but in fact it isn’t. Fourth, they have a lot of bad reviews in the Forex community; I don’t know of they are justified, but that’s something I would be worried about.

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