The website of FTMO begins by stating that “Forex traders are wanted”.
They pretend that students will be offered an opportunity to partner with their proprietary trading firm where they earn 70% of profits.
As always, a trading combine or evaluation phase is involved, where FTMO charges an upfront fee to trade on a simulator, just like My Forex Funds scam does it.
There’s also a free trial to entice the financially naive to join FTMO.
Furthermore, they claim that their company was established in 2015 and that they have a good reputation with sites like TrustPilot, Forexpeacearmy and Forex Factory.
Unforunately, some of those “reputation management” websites like TrustPilot are not legitimate, and cannot be used as a reliable platform to test the authenticity or reputation of a company.
And there is something sinister about this supposed prop trading firm.
So if you feel that you will lose your subscription fees (as you are not alone or won’t be the first case), I implore you to check out these alternative trading and investing recommendations.
FTMO Review: Where scammers cheat you
This website is very professional at first. Prospective “students” can find every bit of information they are looking for such as location of the company, how to get started, what procedures to follow etc.
The company’s website is also claiming to have won various awards and has also been endorsed through the platforms that I mentioned above.
However, these things are not going to translate into money in your pocket. You are ultimately going to be cheated.
This is how:
FTMO is an unregulated broker that distances itself from its brokerage business
If you look at the disclaimer statement at the footer of their website, it says something along these lines:
FTMO does not provide any of the investment services listed in the Capital Market Undertakings Act No. 256/2004. FF Trader s.r.o. are not a broker and do not accept deposits.ftmo.com
Now, their style of operation is quite weird and is a strong contradiction of what their disclaimer statement says.
The company is actually running another parallel business, which they refer to as “our proprietary trading firm”.
This is where all the deposits will be forwarded to, but of course FTMO is not admitting this fact.
Furthermore, the “Our proprietary trading firm” is offering trading platforms like the MT4 and cTrader software. They are also providing data feed from third party liquidity providers.
The so-called “Our proprietary trading firm” is an outfit of FTMO.com.
It is operating a fully-fledged brokerage business in Europe without the authority or licensing of organizations like European Securities and Markets Authority (ESMA), European Insurance and Occupational Pensions Authority (EIOPA) and many others.
In short, this company is providing trading services without a valid financial regulator’s license.
This company is cheating the financially naive with excellent marketing tactics
Now that they are running an illegal yet fully-fledged Forex brokerage business and not admitting it, the stage is set for scamming activities.
And they cooperate with rogue “reputation management” sites like Trustpilot to bring fake/manipulated reviews with outstanding rating.
There are over 800 reviews from supposed students of this “prop trading firm” and nearly 750 reviews have rated the service with a 5 star.
A tiny fraction of negative reviews have been left as is to create the impression that the reviews are well balanced and authentic.
Because FTMO, in collaboration with Trustpilot, has a business partnership deal, they are able to delete every negative comment that is submitted to their platform.
See evidence in this customer email:
From James James on 2021-09-06 09:20Please write a report about FTMO just like MFF, any other propfirm
their server is not regulated, they always say they are not a broker, but they are using their own server…And the important thing is ther server is extremely suck, it freezes so many times, disconnecting. I cannot even Open or close or modify my SL TP even I’m a funded trader.Rollover spread always over 40 pips and Slippage even over 20pips even other top broker like fxcm,oanda,saxobank never have that price.
One more thing is if I write a bad review in trustpilot, My review would be deleted and even blocked my account
The conclusion is that FTMO.COM is a scamsite that makes lucrative money by cheating customers who pay upfront to get into their bogus prop trading firm.
The 70% profit seems attractive as the company also promises free education so that traders might think they are providing coaching that isn’t available anywhere else.
In the end, complaints will build up and unless people get a chance like this to comment below, am sure they will continue to be frustrated because it’s clear these scammers are suppressing voices using their financial muscles and even threats (to some extent).