Alyaziah Hayat | March 27, 2022
Table of Contents
LiteFinance (ex. LiteForex) is a Forex and CFD broker that operates from the Marshall Islands. This ECN broker offers online trading on limited instruments via the MetaTrader platforms. They also provide social trading, market analysis and educational resources to traders.
Broker Pros / Cons
- Social trading platform
- MetaTrader platforms; MT4 & MT5
- Expert analysis powered by Claws & Horns
- Comprehensive market analysis app for mobile devices
- Multilingual client support team
- Limited trading instruments
- Not the cheapest commission fees
- No service to clients from United States, Israel and Japan
- No free VPS
LiteFinance is an online broker that offers ECN forex and CFD trading to clients worldwide. The brokerage was established in 2005 and has since become a global brand with offices across Asia, Africa and Europe. Its head office is located in the Marshall Islands while other offices are in Kyrgyzstan, Nicaragua, Vietnam, Thailand, Philippines, Ghana, Myanmar, India, Nigeria, Indonesia, Tanzania, Kenya, Afghanistan, Uganda and Cyprus.
LiteFinance offers Forex, Metals, Commodities, Indices, Stock CFDs and Cryptocurrencies for trading on the MetaTrader platforms. The broker offers tight spreads, social trading, and decent execution speeds over its ECN network which helps to ensure minimal requotes and reliable trading conditions. LiteFinance asserts that client trades are routed directly to the liquidity provided without broker intervention.
The LiteFinance brand boasts of over 500,000 clients from all over the world. They claim that around 300 new trading accounts are activated every day. To ensure a wider reach, its websites are translated into 17 languages. LiteFinance also supports its clients with multiple trader tools, learning resources and expert market analysis.
LiteFinance Investments Limited is registered in the Marshall Islands with the reg. number: 63888. The company is regulated in accordance with Marshall Islands Business Corporation Act. This international arm of the company operates the website: www.litefinance.com.
LiteFinance (Europe) Limited, is a registered Cyprus Investment Firm (CIF) with the registration number HE230122. The brand is authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number: 093/08 in accordance with Markets in Financial Instruments Directive (MiFID). This arm operate the website; www.liteforex.eu
For the CySEC regulated jurisdictions (European Economic Area, UAE and Marshall Islands), the clients are insured by the Investment Compensation Fund (ICF). This can help to protect client funds should the broker run into financial difficulty. The ICF can compensate eligible clients for up to €20,000.
Client funds are domiciled in segregated bank accounts and are thus, should not be used by the broker for any other purpose such as fulfilling internal financial obligations.
LiteFinance must abide by the Anti Money Laundering Money (AML) policy which requires that all clients are properly identified. That is why all clients are required to submit an ID card and a recently issued utility bill.
LiteFinance does not provide its services to residents of the United States, Israel and Japan.
LiteFinance provides the MetaTrader platforms; MT4 and MT5 in their variations. The MetaTrader platforms are very popular with online trading because of the multiple features implemented, trading tools and extension capabilities. MetaQuotes Software Corporation; a Russian software company, developed the MT4 in 2005 and the MT5 in 2010. Since then, the MetaTrader platforms have become one of the standard platforms for online forex trading.
The LiteFinance MT4 trading platform is provided as follows:
- Windows desktop software
- MT4 Multiterminal: Designed for multi account managers
- MT4 mobile apps: downloadable for iPhone/iPad and Android phones.
The LiteFinance MT5 is available as desktop software for Windows and also as mobile apps for iOS and Android devices. The apps can be downloaded from the respective app stores.
There are thousands of MT4 software add-ons already in use although these add-ons will not run on MT5. Thus, many traders still continue to use MT4. Here are some of the features of the MetaTrader Platforms:
- Both platforms are user friendly and fully customisable.
- Multiple order types: MT4 has 4 pending orders whilst MT5 has 6.
- Both platforms support the use of software extensions to improve its features. These include custom indicators, scripts and expert advisors (EAs) which are used to automate forex trading.
- MT4 has 9 timeframes whilst MT5 has 21 timeframes.
- Both platforms support multiple chart types including line, candlestick & bars.
- For technical analysis, MT4 has 28 drawing tools whilst MT5 has 44.
- MT4 comes preloaded with 30 technical indicators whilst MT5 comes with 38.
- MT5 has the ‘Depth of Market’ feature and embeds an economic calendar.
MT4/MT5 Mobile Apps
These are separate mobile apps built for Android and iOS devices. Both mobile apps look alike and integrate seamlessly with the desktop applications. That is, the MT4 accounts integrate on desktop and mobile and the MT5 accounts are accessible from MT5 app or MT5 desktop. The features are not much different from the desktop versions. Here are some of the features of the MT4/MT5 apps:
- Perfect for monitoring the markets when on the move. The apps show the real time ‘buy’ and ‘sell’ prices of all the trading instruments.
- Can be customised for alerts, favourite instruments and interface colours.
- Excellent tool for trading on the go. Multiple orders can be placed, adjusted or closed using market or pending orders. Just like the desktop application, MT4 has 4 pending orders while the MT5 app has 6.
- Charting on the go with 9 timeframes, 30 inbuilt indicators and drawing tools.
- Real time account balances, trade monitoring and history.
LiteFinance Social Trading Platform
This social trading platform is integrated into ‘My LiteFinance’; which is the clients’ area of the LiteFinance website. It is the first platform available to all clients after registration. This platform is web based and enables users to profile traders according to their performance and choose if they want to automatically copy trading signals of these traders. Whenever there is a trade from a copied trading signal, the trades are replicated in the copier’s account.
Here are the features of the social trading platform:
- Search for traders; check their performance, portfolio, history, profits.
- Copy the trades of a trader and monitor his performance.
- Manual trading by searching for instruments and placing trades.
- Perform technical analysis using 7 chart styles on 9 timeframes, over 75 indicators and analytical tools.
- Daily analytics which consists of news, signals, economic calendar and interest rates.
- Account management: switch between real and demo account, deposits and withdrawals all from the platform.
The LiteFinance analytics are updated on the website frequenlty. They examine the technical and fundamental analysis of selected instruments based on history, news or economic events. The analysis can provide trading tips to readers.
The art of analysis from Claws & Horns
Claws and Horns is a reputable financial investment research firm that offers in-depth analyses, trading signals and expert opinions on a wide variety of markets and trading instruments. LiteFinance has partnered with them to bring this service to all registered clients at no extra costs.
Mobile Apps from LiteFinance
There are a total of 6 mobile apps from LiteFinance. The apps are available for iOS and Android devices.
- Forex Analysis: The app presents full technical and fundamental analysis powered by Claws & Horns. The app also has video analysis, economic calendar and ‘market review’ which show the percentage of traders buying and selling an asset.
- Forex Signals: The app gives forex signals 24 hours a day.
- Trading Strategies: This app gives a wide selection of trading strategies which are constantly updated.
- Forex Digest: This is a blog which contains several articles on the currency markets including analysts’ opinions.
- Currency Converter: This app gives the latest information of price actions of several instruments.
- Mobile Trading: This app is the mobile trading app from LiteFinance. With this app, you can trade the markets while on the go.
This is available on the LiteFinance website, forex analysis app and also on the MT5 platform. It shows the time and date for important events that are known to affect the prices of particular assets. Traders analyse these events, compare them with history and can use them to assist with their fundemental analysis.
Virtual Private Server (VPS)
A VPS is useful to traders who need speed, steady internet connection to the servers and reliable power supply. Most traders who use complex trading systems and EAs always demand to use a VPS, especailly due to the convienience of being able to remotely run trading platforms 24/7. The VPS is provided by LiteFinance at a fee starting from $15 per month.
This section of the website is updated weekly with expert analysis, opinion and insights into the price movements of selected currency pairs.
LiteFinance has a series of articles designed to introduce and teach forex trading to the new trader.
The Forex trading tutorials includes over 25 articles created for beginners. It starts from basic terms, next, it progresses to technical and fundamental analysis and then to trading strategies and money management.
A library of over 120 books recommended by LiteFinance experts is available on the website. Some of the books are ‘The Money Game’, ‘Millionaire traders’, ‘Trading for a living’, etc.
There are also several articles on indicators, forex trading strategies. A glossary of over 200 trading terminologies and their definitions are provided.
LiteFinance provides access to trade up to 56 currency pairs which represents the major, minor and exotic pairs. Other trading instruments available are: 4 metals, 2 oil commodities, 11 indices, 20 crypto assets and about 41 stocks traded on US exchanges.
- Classic Account: This account is designed for beginners. The spread starts from 1.8pips and no commissions are charged.
- ECN Account: This is the flagship account designed for experienced traders who require the speed and power of ECN trading. The spread starts from 0.0pips and commissions start from $5 per lot. Forex majors are charged at $10 per lot and forex minors are charged at $30 per lot.
For all accounts, the minimum opening deposit is $50 and the maximum leverage is 1:500. The MT4, MT5 and social trading platforms are available to all traders and market execution is used for all trades.
Swap free Islamic accounts are available on the two account types. Demo accounts are freely available if you wish to trail the various platforms and trading conditions available before opening a real trading account with LiteFinance.
The fastest way of reaching the support team is via instant web chat which is available 24/5. Other support team channels work from 9:00am to 6:00pm, Monday to Friday. Up to 6 phone lines are available for various countries. A ‘feedback’ form is available on the website for reaching the support team. Email addresses are available for specific countries or departments. The support desk is multilingual and efficient. On social media, they are on Facebook, LinkedIn, Instagram, Pinterest, twitter, Telegram and YouTube.
- Credit/Debit Cards: All major international cards are accepted. Card deposits are instantly processed and there are no charges. The minimum deposit is $10 while the minimum withdrawal is $1.01. For withdrawals, a commission of 3.5% is charged.
- Bank Wire Transfers: no commissions are charged on bank deposits and withdrawals except the fees that may be charged by the client’s bank. The minimum transaction is $100 and it takes 2-7 days to completely process a bank transfer.
- Local transfer: This is applicable to countries where LiteFinance has a local office or partner. Local bank transfers are processed on the same day and attract no charges.
- Online Payments: Skrill, Neteller, Perfect Money, QIWI, Yandex.Dengi are the online payments that are accepted. The minimum deposit is $10. There are no deposit commissions but withdrawals are charged a little percentage which is generally less than 5%.
- Cryptocurrencies: Bitcoin, Litecoin, Monero, Ethereum, Bitcoin cash and Bitcoin gold are the accepted cryptos for deposits and withdrawals. The minimum deposit is the equivalent of $10 while the minimum withdrawal is $1. Withdrawal commissions are charged.
It only takes a few minutes to open a new account with LiteFinance. Visit the website and click on ‘Registration’ which is on the top right hand side of every page on the website. The form below displays:
Select your country, fill your phone number or email and choose a password. Next, read and if you agree, accept the agreement and click on ‘Register’. You are automatically logged onto the social trading platform which doubles as the clients’ area. From there, you can complete your profile, make deposits and commence live trading. Alternatively, registration can be done by importing your profile info from Google or Facebook. This is done by clicking any of the icons as shown on the registration screen above
|Broker Features||AvaTrade||IG||IC Markets|
|Regulated||ASIC, BVI, CBI, FFAJ, JFSA, FSCA, IIROC, ADGM FRSA||FCA, CFTC, NFA, BaFin, FINMA, ASIC, FMA, MAS, FSA, FSCA, DFSA, JFSA, METI, MAFF||ASIC, CySEC, FSA, SCB|
|Country||Australia, Ireland, South Africa, Japan, British Virgin Islands||Australia, UK, USA, Switzerland, UAE, Singapore, Japan||Australia, Seychelles, Bahamas, Cyprus|
|Min. Deposit||Min $250 Deposit||Min $100 Deposit||Min $200 Deposit|
|Commission||From $0||From $0||From $0|
|Instruments||Forex, Commodities, Cryptocurrency, Stocks, Shares, Indices, Metals, Energies, Options, Bonds, CFDs, ETFs||Forex, Commodities, Stocks, Shares, Indices, Cryptocurrencies, Metals, Energies, Options, Bonds, ETFs, CFDs||Forex, Commodities, Cryptocurrency, Stocks, Shares, Indices, Metals, Energies, Bonds, CFDs|
|Platforms||MetaTrader 4, MetaTrader 5, AvaTradeGO, AvaOptions, AvaSocial, DupliTrade, ZuluTrade, Web, Mobile||MetaTrader 4, IG Platform, IG Progressive Web App, ProRealTime (PRT), L2 Dealer, FIX API, Web, Mobile||MetaTrader 4, MetaTrader 5, cTrader, Web, Mobile|
|Type||Market Maker, STP||STP, ECN, DMA||ECN|
|Funding||Wire Transfer, Credit/Debit Card, Paypal, WebMoney, Neteller, Skrill||Wire Transfer, Credit/Debit Cards, PayPal||Wire Transfer, Credit Card, Debit Card, WebMoney, Neteller, PayPal, Skrill, FasaPay, UnionPay, Qiwi, Bpay, Poli|
|Visit Broker||Visit Broker||Visit Broker||Visit Broker|
LiteFinance is a regulated brand that gives its clients access to trade Forex and CFDs online. Clients’ funds are held in segregated bank accounts. They provide the popular MT4 and MT5 platforms that are well known for being simple, robust, sophisticated and powerful for implementing various trading tools and for conducting chart analysis. There is also the option of social trading by copying trading signals of other traders. Multiple funding options are available. Comprehensive market analysis is provided by a third-party firm; Claws & Horns.
Despite this, LiteFinance could improve its limited list of assets in order to remain competitive with other online brokers. The commission and fees are also not the lowest in the brokerage industry.