Is Maverick FX Trading A Scam?

Trading foreign currencies are just as lucrative as trading with stocks and options, but it begs the question: where do you start?

This hit me when I was looking it up and found Maverick FX, promising to give $25,000 in capital, but also begs the question: Is Maverick FX A Scam?

Sounds too good to be true, right? Why on earth would they give you money that you might just blow off by doing bad trading?

So, what is really the catch here? And of course, there is a catch.

Find out by reading our Is Maverick FX A Scam article now!

Is Maverick FX A Scam: What Is Maverick FX

Maverick FX is an offshoot of Maverick Trading which focuses on stock and options while the former, as the name suggests, focuses on foreign exchange.

Maverick Trading claims to be a proprietary firm with two “funded” divisions which are Stock & Options Trading and Forex Trading which will be our topic.

The company was founded in 1997 and is headquartered in Salt Lake City, Utah.

But what is a proprietary firm?

Proprietary trading refers to a financial firm or commercial bank that invests for direct market gain rather than earning commission dollars by trading on behalf of clients. Also known as “prop trading,” this type of trading activity occurs when a financial firm chooses to profit from market activities rather than thin-margin commissions obtained through client trading activity. Proprietary trading may involve the trading of stocks, bonds, commodities, currencies or other instruments.

Proprietary trading, which is also known as “prop trading,” occurs when a trading desk at a financial institution, brokerage firm, investment bank, hedge fund or other liquidity source uses the firm’s capital and balance sheet to conduct self-promoting financial transactions. These trades are usually speculative in nature, executed through a variety of derivatives or other complex investment vehicles.

Basically, it means that you are trading the firm’s money.

These are few pros and cons of trading with a proprietary firm:

Pros

1. Cost – prop firms ensures you a lower commission and lower costs than commission and costs with a retail trading account.

For example, with a retail account, your broker will charge you somewhere around $8 – 10 per trade while on a prop trading account it is per share which ranges around ¢1 to ¢.00027.

So if you trade 100 share with a retail account you will pay $8 – $10 while with a prop firm account, you will only pay a cent. See the difference?

2. High Leverage and Account Balance – with a master balance backing you up, this means you have a higher buying power and you would not need to worry about minimum account balance.

3. Risk Management – since you are not trading your own money, the prop firm will instill proper risk management in you so as to safeguard their investment

This means someone from the company will call you out if you are having nasty streaks versus going rouge on your own.

4. Training – remember this is not your money your trading so the prop firm will have you undergo intensive training and if they deem you profitable, will set you up with a live trading account.

Cons

1. Power over the trading account – this means that the firm may stop you from practicing that job if you are unable to make good profits from your trading.

2. Accountability and High Stress Level – you may have a high stress levels during the trading using the firms money and this may lead to uncontrolled emotions during your trading sessions.

3. Fees – some proprietary trading firms impose fees to be paid for using their platforms. With Maverick FX, their Desk Fee is $199 per month.

The Desk Fee is:

This covers the electronic infrastructure we need to run the firm, as well as continuing education, ongoing coaching, mentoring, supervision, support, etc.

As taken from Maverick FX website

4. You don’t keep all the money – you do not get 100% of profits but the prop firm typically deduct a percent of your profits ranges between 20% to 50% from his achieved profits.

With Maverick Trading this is the compensation scheme for their options trading:

Is Maverick FX A Scam? - Maverick Trading Options Trading Compensation
Maverick Trading Options Trading Compensation

Is Maverick FX A Scam: Who Is The Founder Of Maverick Trading And The Current CEO

Is Maverick FX A Scam? - Maverick Trading Founder and Former CEO Robb Reinhold
Maverick Trading Founder and Former CEO Robb Reinhold

Robb Reinhold is the founder and was the CEO of Maverick Trading, but has since handed the reins to Darren Fischer.

Darren Fischer, the current CEO starting September 2018, is a long time trader of Maverick Trading and is also handling the sales department.

Before Maverick Trading, he was previously affiliated with companies such as Carpe Victoria Capital Management Inc., Cesium Capital Consulting, LLC, and the United States Marine Corps.

Is Maverick Trading A Scam? - Maverick Trading Current CEO Darren Fischer
Maverick Trading Current CEO Darren Fischer

Which is puzzling because if you look up Fischer’s LinkedIn profile it says he was the Chief Investment Officer of Carpe Victoria Capital Management from May 2010 – August 2018.

But if you go to this website, it says that Darren is still affiliated and is the only officer of Carpe Victoria.

It says it was incorporated in 2015 in Leatherleaf Dr, Tampa, Florida and has a branch in South Baronay Cir, Sandy, Utah.

Does this mean anything? For now, we do not know.

But why would he say he is no longer connected to this company when in fact he is the only person in it?

Questions, questions, questions.

Is Maverick FX A Scam? - Darren Fischer and Carpe Victoria Capital Management, Inc.
Darren Fischer and Carpe Victoria Capital Management, Inc.

What Do You Get When You Sign Up With Maverick FX: The Good

Training

As with any prop company, Maverick Company will not let you handle a live trading account without proper training.

This compromises of:

Instructors/Coaches/Mentors

Proficiency Testing

Real time trade alerts

Demo trading account and Trade simulators

The training they provide is comprehensive and teaches you everything you need to know about forex trading.

If you find a particular topic difficult, you can ask for help from their trading coaches, which somehow implies you are not alone as you slog through the materials.

Risk Limitation, Targets, Management, and Goals

Before they give you access to a live trading account, Maverick FX will enforce a rigid risk management and limitations in you.

This is important because having a good risk management means that you know when to put a lid on your trading, especially when you have a particularly nasty streak.

They also have risk managers who regularly go through your account to discuss what are your plans to cut back your losses and get back on the green again.

Institutional Spreads

This means that you will only trade eight main spreads on your account, as per Maverick FX policy.

This means that you are only trading eight currencies that are profitable according to Maverick. The currencies are:

  • Euro
  • Great British Pound
  • US Dollar
  • Swiss Franc
  • Japanese Yen
  • Canadian Dollar
  • New Zealand Dollar
  • Australian Dollar

Why is this advantageous? It is advantageous for you because they constantly monitor these eight currencies.

Meaning, you will instantly know what are the changes in each of them without constantly searching for them and trading other currencies that are not profitable.

The Catch

So now, I bet you are excited and raring to go sign up as their trader, right? I mean, if you look at it, what is not to love?

Plus, they will start you off with a hefty $25,000 in capital, right? Wrong!

The truth is that after paying for $3000 for the “membership fee” which gives you access to the training, you will also need to pay $199 per month Desk Fee.

This starts the moment you sign up with them, when you start your training, which does not 100% guarantee you will pass, until they give you a live trading account.

Doesn’t sound fun now, huh? What makes it worse is that, once they let you have a live trading account, you will need an additional $2000 for capital.

Is Maverick FX A Scam? - Maverick FX Capital Sharing Program
Maverick FX Capital Sharing Program

Which Maverick will also put $2000, giving you a grand total capital of $4000.

If you are successful, you can withdraw your portion of the profit or continue trading and according to the Maverick site, will give you $10,000 account.

But the real catch here is that, even if you have that amount in your account, you are not allowed to touch that whole account and are only allowed to trade 20%.

They are only giving you that amount so you can trade larger amounts.

So you will only trade your initial deposit and if you lose that money then bye-bye because they will cut off your account then there.

On top of that, you will need to pay $199 every month. You see now? They will not take any risk with their money in your trading, but just yours.

What People Say About Maverick Trading

These are the reviews we found at BBB:

I looked into several other prop firms before going with Maverick. Everything disclosed up front with expectations and fees. Straight to the point.

Jake J 11/23/2019

Maverick took a $6,000 membership fee up front and charged me $200 per month for over a year for training. I had to take a break for my current job (as it was busy). They indicated that was okay and that I am a member for life, and although I had no access to the training; I did have access to daily updates and connections to FINVIZ (a stock analysis site). A few months later they cut me off of all communication. According to the contract, only I have the right to suspend or terminate my training. It’s been a year since I heard from them. I feel Scammed.

06/11/2019

Which is not much, so we digged around to see what other people are saying about this service.

In Glassdoor, it is a mix of good and bad reviews, these are a few of them:

“Complete and Utter SCAM!!! STAY AWAT FROM THESE CRIMINALS!”

I worked at Maverick Trading for less than a year

Pros

Zero! All the money you are forced to put up, you can learn the same trading ideas on Options on Youtube

Cons

This place should be shut down by the Feds immediately! I’m not sure how they get away with this BS! They make you deposit 20% of your own capital, while they charge you commissions on trades and then if you happen to make a profit, they take a huge piece of that as well. Your better off trading and doing research on your own!

Advice to Management

Stop posting job postings on valid job sites like Careerbuilder, LinkedIn, Craig’s List, etc. This isn’t a real job, it’s a contractor job where you have to put up your own money and they take it from you. Again, complete and utter scam. I have never heard 1 GOOD thing about this company. STAY AWAY!

May 1, 2018

“Need for Improvement”

I worked at Maverick Trading full-time for more than a year

Pros

There are good people working, and there are useful things learned from training.

Cons

The vast opportunity to improve and learn is hindered by the system implemented. You don’t get what you are promised from when you singed up and join them. They are a bunch of liars and is good at taking advantage of incoming employees.

Advice to Management

Be transparent with the incoming employees and stop taking advantage of them.

April 21, 2020

“I love it at Maverick, give it a try.”

I worked at Maverick Trading part-time for less than a year

Pros

I learned how to trade, so much knowledge.

Cons

The cost of the program, didn’t know about it.

Advice to Management

Keep up the good fight.

April 3, 2020

“They Blame You For Their Frauds”

I worked at Maverick Trading full-time for more than a year

Pros

The information shared can be valuable for some people.

Cons

They hide the fact that the program is quite expensive. If you question them, they will blame you for not being aware enough. It’s stupid and so unethical!

Advice to Management

Stop lying to people about the money you charge eventually!

February 13, 2020

“Best Prop firm out there right now”

I have been working at Maverick Trading full-time for more than 3 years

Pros

I’ve been in and out of the prop industry for over 15 years now and most of the firms I used to know have either closed or merged with the others. I chose Maverick as they have basically run as an independent firm and taken care of their traders for the long term. They are very upfront with the costs of trading and are very available when you need them. Fast payout on profits only take 1 day.

Cons

TWS software isn’t my favorite platform I’ve traded on but the costs of data feeds are 10% of what I paid on sterling and laser

Advice to Management

None

March 16, 2017

“The payment could be a problem”

I worked at Maverick Trading full-time

Pros

I like their impromptu webinars.

Cons

The payment system wasn’t disclosed properly when I joined them. Things got so bad that I was in debt when the program got over. I wouldn’t recommend it to anyone who can’t afford it.

Advice to Management

Be clearer regarding the payment terms to avoid disheartened members in your trading program and increase overall satisfaction.

In Reddit:

Pretty sure this is one of those places that straddles the line between bottom of the barrel and scam.

ninepointcircle 1 year ago

Pretty sure this is a bullshit company/position. From what I remember reading, they require an initial investment and promise potential 6 figure salaries quickly by trading. That sounds very much like a scam to me

dcirrilla 1 year ago

Scam

pfbweddit 1 year ago

garbage don’t waste your time

lieutenant_lowercase 4 years ago

“The initial minimum risk deposit is $5,000.00. This amount is held by Maverick Trading and can be withdrawn upon any time from the firm.”

Basically they bend you over and stick a dildo up your ass.

FinanceGI 4 years ago

Maverick is okay if you know what it is and what it is not. It’s not a real prop firm and that’s okay. It’s a leverage arcade. If you want access to more capital, the ability to work from home and chat servers for non-retards who have no skin in the game it’s a decent set-up

If you’re looking for a real prop experience with base pay, quants building model and proprietary indicators for you, ultra-fast access to news and top tier technology and DMA, you’re out of luck.

What’s the split? 70/30? If it’s below that or has no potential of eventually going up to at least 80/20, I’d pass.

Palestinian_Trader2 3 years ago

You also have to put up Risk Capital on top of the other fees you mentioned above.

At the end of the day they are really just providing you with more capital so you can trade larger size. But, if you lose money in the account that money is coming out of your pocket, not theirs.

This isn’t necessarily a bad thing though, and even some of the top prop firms in the industry require this.

It might be something you take a look at if you are a successful trader and just need access to more capital.

Tride5 3 years ago

These are the reviews over at ForexPeaceArmy:

I signed up with Maverick Trading FX in August 2010 and paid a $998 fee to start-up and $199 for two months after that. I attended their online classes, passed their tests, and showed growth in my demo account. When it came time to do the capital sharing program, they didn’t contribute any capital like they said they would.

I pulled the plug and asked for a refund. They only gave back $199. I would stay far away from these people. About 95% of their trades are based on news announcements. They teach about reading the charts, but their trading alerts are when there are news events.

Everything they teach can be learned online for free.

Kevin December 20, 2010

I traded with their FX division for a while. It is somewhat of a scam. You basically pay a lot of money for education, of which isn’t that great. All basic stuff you can learn on your own. 800 startup fee + 200/month and the monthly fee can start to add up quickly. For that amount of money, you can get better education than what they offer. In addition, they don’t offer anything when it comes to FX prop trading. You have to prove yourself on the demo, which is fine, but after you do so, you basically just plop down your own 2 grand, and you trade it the same way you would do if you were trading on your own, in your own retail account outside of Maverick, except that you give away part of your profits to them! You take all the risks, you have to properly manage your risk based off the 2 grand account, they don’t offer additional capital or anything. From the Prop trading perspective it is a scam. If you talk to them about it, they will say they give you “leveraged capital”, which is laughable because when you are trading off a 2K account to start off with, you don’t need additional leverage assuming you are controlling your risk (percentage of your account per trade). Even if you aren’t controlling your risk, you still don’t need them—leverage in forex is accessible to anyone who can open a retail account.

Andy June 2, 2013

True pro level training.

Guys, these are real reviews. I’m only 1/3 thru training and I can feel the transformation already. I joined Maverick because I basically gave up and thought my trading career was going to be with robots only (I did make a kick a** bot portfolio, though). When you trade with bots, what is the point of monitoring the markets? With bots, I no longer have a reason to get up early and trade the GBP news or sit down at my computer and trade the FOMC meetings. NFP Friday isn’t very special when you trade with bots. Why worry bout big moves and try to trade them? My bots all do that for me. That is not cool and I feel like I’m in that Bruce Willis movie, Surrogate (horrible movie, don’t watch it). I’m just a bot manager, not a trader. Now I can see that there is training out there that can really ignite my trading and get me to the next level. Sorry if I’m sounding like I’m a Maverick salesman. I’m not. Just really feeling blessed I now have a clear path at getting my trading where I need it be and a way to obtain the capital when I’m ready.

Ryang123 August 11, 2018

You basically pay a lot of money for education, of which isn’t that great. Research this, you can get a lot more capitol elsewhere with a lot less startup cost. You can get all this education on YouTube. It’s all basic stuff you can learn on your own. 3000.00 startup fee + 199/month. The demo is another loop to jump through, which is fine, but after you do so, you give them another 2000, and you trade it the same way you would do if you were trading on your own account, except that you give away part of your profits to them! Would stay away from them one.

ChuchFK August 25, 2020

As you can see it is a mix of positive and negative, the latter about not being honest with the fees and no fully funded account after training.

What Is Maverick Trading’s Main Competitor

The main competitor of Maverick Trading that also offers forex trading is Integra Capital a division of T3 Trading Group by Zack Nadel.

The difference is that Integra Capital will require you to take the Series Industry Examination (SIE) and the Series 57 exam will they will sponsor to trade a prop account.

Additionally, Integra Capital’s minimum deposit is $10,000 but they will not any payment for study materials.

What I Like About Maverick FX

What I like about it is that they really help beginners or even the experienced trade to get their footing in forex trading education and training they provide.

There are coaches and mentors who actively monitor your progress which you can always ask them for help.

They also drill the strong risk management in you and the being accountable with your trading.

One thing to note though is that one ex-trader of Maverick mentions that you can find the educational materials they provide online for free somewhere else.

So it is not groundbreaking but the good thing is that it structured and will help you from start to the finish.

Maverick FX Cost

As one of Maverick recruiting videos states, the capital requirements to trade in our FX Division are $3,000 Membership Fee (lifetime membership), starting the second month a $199 per month Desk Fee (covering the same services in the FX Division as in the Options Division).

Once a trader is ready to go live, the Risk Capital deposit is $2,000.

For the first two months, Maverick Trading will give a trader a $4,000 account to ensure they are managing risk properly.

When they trade that successfully, they automatically give them a $10,000 account.

From there, Level Advancement is similar to the Maverick Trading Options Division, requiring two months consistent trading above the previous high-water mark.

Losses incurred in excess of the Risk Capital deposit are, again, non-recourse to the trader.

The trader is eligible for the Performance Bonus as well once the profit splits to the firm equal $3,000. The top-level account in the FX Division is $300,000, which is still up to $15mil in FX positions.

On the FX side, each trader goes through over 100 hours of detailed instruction and has structured coaching and supervision.

As quoted from Darren Fischer’s interview in dayztrading

Maverick FX Refund Policy

Maverick Trading does not have money-back guarantee.

PROS and CONS

PROS

  • Educational training provided and the help of coaches and mentors
  • Will ingrain risk management in you

CONS

  • Not transparent with the fees
  • Does not have verified income statements
  • Does not have a refund policy
  • A misleading marketing strategy that says they will give you a fully funded trading account

Final Thoughts: Is Maverick FX A Scam?

Now that we unraveled what is Maverick FX, we can finally answer this question: Is Maverick FX A Scam?

We can say they are shady as heck. We are appalled that they are deluding people into thinking they will be handed a huge capital after months and months of training.

Bottom line is, you will not be trading Maverick’s account, but your own money since they require another $2000 for trading capital.

Also, there is a desk fee that you will have to every month for $199 so they never lose, they instead make you pay them money on your own capital.

But we are not disregarding the educational material they provide, which is useful and comprehensive, plus the help of coaches are welcome too.

In the end though, they are shady and you can find the same materials online with no fees.

Another trader who is only lining his pockets and draining his subscribers’ wallets is Andrew Keene.

This guy runs a huge scam business that will tell you about “insider trades” that is questionable at best.

Learn about it by reading our The 1450 Club Review!

Click Here to Read My # 1 Top Scam: 1450 Club Review

Maverick FX

6.1

Data Accuracy

2.0/10

Ease of Use

8.0/10

Collaboration

9.0/10

Features

5.5/10

Pros

  • Educational training provided and the help of coaches and mentors
  • Will ingrain risk management in you

Cons

  • Not transparent with the fees
  • Does not have verified income statements
  • Does not have a refund policy
  • A misleading marketing strategy that says they will give you a fully funded trading account

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