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RCG Markets Review: Is it a Scam? 2024 Review

Mariana Vilaça| Updated: January 8, 2024

Established in 2018 and headquartered in South Africa, RCG Markets serves as an intermediary financial service provider. The company offers direct market access for executing trades in various CFDs (indices, shares, commodities and energies) and FX, catering to retail traders, hedge fund managers and corporate clients.

While this broker is regulated by the FCSA, there are some warning flags that investors should be aware of (explored below).

Have you invested money with RCG Markets and are uncertain about its reliability? Or are you contemplating starting your investment journey with RCG Markets and seeking more information? Continue reading this article, as we will provide a comprehensive overview to address all your queries.

RCG Markets Overview

RCG Markets, established in 2018 and headquartered in South Africa, distinguishes itself as a notable brokerage offering high leverage up to 2000, zero-commission trading accounts, and direct market access. Specialising in a diverse range of CFDs, including indices, shares, commodities, and energies, the platform caters to retail traders, hedge fund managers, and corporate entities. Operating as an STP and ECN broker, it emphasises fair and fast execution, positioning itself as a competitive player in online trading.

In May 2021, RCG Markets became a financial services provider authorised by the Financial Sector Conduct Authority (FSCA) under licence number FSP49769, the financial market regulator from South Africa. However, it is not regulated by any top-tier regulator from well-known countries such as the UK or the US.

RCG Markets Review: Is it a Scam? 2024 Review 1
RCG Markets Review: Is it a Scam? 2024 Review 2

RCG Markets Highlights

🏟️ Headquarters South Africa
🏟️ Founded in 2018
💰 Account Currency GBP, ZAR and USD
💰 Inactivity fee $50 (including funding or trading, within one year)
💰 Commissions $0 for Classic, RAW and ROYAL 100 RCG accounts, $7 for RCG ECN account
💰 Spread 0.0 pips for RCG RAW and RCG ECN accounts and 1.5 pips for RCG classic and ROYAL 100 accounts
💵 Minimum Withdrawal R100
💵 Minimum Deposit R50
💵 Deposit Options Ozow, Paystack, Virtual Pay, Skrill / Neteller, B2Binpay V2.1, E-MOLA (Mozambique), Wire Transfer Bank Details
📜 Regulatory entities FSCA
📍 Products offered CFDs (indices, shares, commodities and energies) and Forex
🎮 Demo Account Yes
🎮 Trading Platforms MetaTrader 4, MT5 Client, Android/iOS Application, Live Webtrader

Although RCG Markets is regulated by the FSCA, there are some warning flags that you need to be aware of. 

  1. The regulatory framework in South Africa is more lenient compared to the European Union, Australia, or the United States. Brokers in South Africa are not obligated to offer negative balance protection, maintain client funds in segregated accounts, or adhere to restrictions on leverage and trading bonuses. Additionally, they are not required to participate in compensation plans or report on open and closed deals.
  2. The address and contact number in its regulatory details do not match those on its website.

What do you need to know about RCG Markets’ services?

As we mentioned before, RCG Markets is an intermediary financial service provider with a variety of trading instruments, such as Forex and CFDs, on indices, shares, commodities and energies. It is a STP (straight-to-processing) and ECN (electronic communications network) broker that claims to offer fairer and faster execution.

Accounts

RCG Markets offers a diverse range of account options featuring fixed minimum deposits along with increased leverage and spreads. The available account types—Classic, Raw, ECN, and Royal—are tailored to accommodate various trading preferences.

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Source: RCG Markets

One of the main attractive features offered by RCG Markets is the low minimum deposit of only R 50, high leverage up to 1:2,000 and spreads as low as 0 pips for some account types.

Beware of a prevalent strategy employed by forex brokers: promoting high-leverage and low-deposit accounts. While this increases the risk for inexperienced traders to quickly deplete their accounts, it doesn’t automatically label the broker as a scam. This approach is a standard industry marketing tactic to enhance attractiveness to potential clients.

Account Opening

The process of opening an account with RCG Markets is straightforward. You just need to follow an intuitive step-by-step registration procedure. Firstly, click “Login” on the homepage:

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Then, insert your First and Last name, create a password, choose the platform that you prefer (MetaTrader4 or MetaTrader5), choose the currency that you’ll trade (GBP, USD, ZAR), insert your email and finally choose the type for account that you prefer1.

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In the next step you need to fill the gaps with your contact and address information:

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To complete your registration, kindly fill in additional fields with your personal information. Please note that agreeing to the terms and conditions, privacy policy, order execution policy, client categorisation policy, and conflicts of interest policy is necessary to finalise the registration process.

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And you are ready to go:

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How to start trading in RCG Markets?

Step 1: Register

To commence trading, you must open an account on the RCG Markets platform. You can find all the necessary steps outlined in the preceding section.

Step 2: Verification

After creating an account that aligns with your preferences, you’ll need to submit essential documents for identity verification. Once verified, you’ll unlock access to your RCG Markets dashboard.

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Source: RCG Markets

Step 3: Compliance Questionnaire

A compliance questionnaire will be administered to assess the user’s knowledge regarding CFDs, how they acquired this knowledge, awareness of associated risks, and relevant statistical data such as current employment status and field of expertise. Stay informed and trade confidently with our user-centric approach.

Step 4: Add Funds

With your account successfully created, the sole remaining step to initiate trading is adding funds. Simply pick your preferred fund amount, select your currency and payment option, and deposit the chosen amount. You’re ready to kickstart your trading journey.

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Source: RCG Markets

It’s worth mentioning that RCG Markets offers a demo account, perfect for beginners to refine their trading abilities without any financial risk. To register, visit the official RCG Markets website, locate ‘RCG Markets demo accounts,’ input your details, select the ‘RCG demo classic’ account type, and finalise the registration process.

Fees Structure

While RCG Markets does not charge for deposits and withdrawals, additional fees may be applicable during trading activities. So, our team carefully reviewed the broker’s fee structure and terms and conditions to gain a comprehensive understanding of the associated charges and their potential impact on trading operations.

RCG Markets charges fees and compensation for various financial services, including trading activities and associated expenses. Although it is common practice for brokers, please be aware that RCG Markets reserves the right to modify fees unilaterally, with clients notified of any changes. Although it is mentioned in the terms and conditions that the client agrees that the Company is entitled to change its fees unilaterally without any consultation or prior consent from the Client.

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Source: RCG Markets

Payment terms require prompt settlement, and the company may deduct charges directly from client funds. Interest accrues on overdue amounts, and failure to meet deposit deadlines may result in the sale of financial instruments. Tax responsibilities lie with the client, and the company may deduct taxes as required. 

In cases of account inactivity, you need to pay a fee of 50 USD (or currency equivalent) that will be subject to your account. In case your account balance is below USD 50 (or currency equivalent), RCG Markets will charge any remaining balance and archive your account.

Spreads and Fees in Nutshell

Accounts Spreads
RCG Classic Account 1.5 pips
RCG RAW 0.0 pips
RCG ECN Account 0.0 pips
ROYAL 100 1.5 pips
Fees RCG Markets
Deposit Fee €/$0
Withdrawal Fee €/$0
Inactive Fee USD 50

Deposit and Withdrawals

The brokerage provides clients with multiple convenient options to instantly deposit funds into their trading accounts, ranging from Bank Wire and Skrill to Neteller and other secure methods. 

RCG Markets guarantees that your withdrawal request will be processed within 24 to 48 hours.

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Source: RCG Markets

Products Available

RCG Markets offers direct market access for executing trades in various CFDs (indices, shares, commodities and energies) and FX.

Products Available?
Stocks
ETFs
Bonds
Funds
Options
Futures
Forex
Cryptocurrencies
Commodities ✔ (CFDs)
CFDs ✔(on indices, shares, commodities and energies)
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Some examples you will encounter when trading with RCG Markets:

  • Forex – EUR/USD; GBP/USD; USD/CHF; USD/JPY
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Source: RCG Markets Demo Account

Alongside with major pairs of forex, RCG Markets also offers Forex trading on exotic pairs.

  • Indices – Over 10 indices from international markets such as the US, Spain, France, Germany, and more
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Source: RCG Markets Demo Account

  • Shares – CFDs on over 50 stocks from International Markets
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Source: RCG Markets Demo Account

  • Commodities– Gold and silver (in the image below you only can see Gold and silver, but the platform also provides exposition to platinum and cooper)
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Source: RCG Markets Demo Account

  • Energy – Oil and Natural Gas
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Source: RCG Markets Demo Account

RCG Markets Alternatives

In this article, we delve deeper into the analysis of RCG Markets, highlighting certain warning flags associated with the company. If, upon consideration, you find that RCG Markets may not be a suitable choice for you, we will present alternative options that align more closely with your preferences.

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#1 Best alternative overall

Min. deposit of €/$0
Excellent reputation (founded in 1978)
+100 Currency pairs on Forex
View BrokerRCG Markets Review: Is it a Scam? 2024 Review 22Read review
Interactive Brokers summary
IBKR is a leading global online broker that provides an advanced trading platform, a large selection of tradable securities, and low fees. It also launched IBKR GlobalTrader.
Supported countriesWorldwide, including South AfricaRegulatorsSEC, FINRA, SIPC, CFTC, IIROC, FCA, CBI, AFSL, SFC, SEBI, MAS, MNB
Products offeredStocks, ETFs, bonds, Forex, funds, commodities, options, futures and CFDsInterest on uninvested cash4.83% in USD, 3.395% in EUR, 4.769% in GBP
Fractional SharesYes
RCG Markets Review: Is it a Scam? 2024 Review 23

#2 Best for Forex and CFDs

Min. deposit of €/$0 in South Africa
Excellent reputation
45+ Number of currency pairs on Forex
View BrokerRCG Markets Review: Is it a Scam? 2024 Review 22Read review
XTB summary
It offers low spreads on hundreds of markets through CFDs on Stocks, Forex, Indices, Commodities, and Cryptocurrencies. Awarded multiple times as the best Forex and CFD broker.
Supported countriesWorldwide, including South AfricaRegulatorsFCA, KNF, CySEC and FSC
Products offeredStocks, ETFs, CFDs (on Gold, Natural Gas, Corn and Coffee) , Forex, indices, commodities, and cryptocurrenciesInterest on uninvested cash3.80% in EUR (first 90 days, then 2.00%)
Fractional SharesYesDemo accountYes

77% of retail CFD account lose money.

RCG Markets Review: Is it a Scam? 2024 Review 25

#3 Ideal for Demo Accounts

Excellent reputation
Minimum deposit: €/£/$100
60+ Number of currency pairs on Forex
View BrokerRCG Markets Review: Is it a Scam? 2024 Review 22Read review
Plus500 summary
Plus500 is a multi-asset online broker that offers no commissions when trading CFDs on Forex, Cryptocurrencies, Stocks, Commodities, ETFs, Options, and Indices.
Supported countriesWorldwide, including South AfricaRegulatorsFCA, CySEC, MAS, ASIC, FMA
Products offeredCFDs on stocks, ETFs, options, commodities, Forex, indices and cryptocurrenciesInterest on uninvested cash0%
Fractional SharesYesDemo accountYes

82% of retail CFD accounts lose money.

Bottom Line

In conclusion, the 2024 review of RCG Markets highlights key considerations for potential investors. While FSCA authorisation provides some scrutiny, notable warnings and regulatory leniency warrant caution. 

With this article, our team emphasises the importance of informed decision-making, urging readers to weigh the risks associated with light regulated brokers and be aware of the company’s fee structures. 

Alternative options like Interactive Brokers, XTB, and Plus500 are presented for those seeking more reputable alternatives. As the financial landscape evolves, staying informed and exploring diverse choices remains crucial for a successful trading experience.


1If you choose MetaTrader4 you can select between the account types: RCG RAW, RCG ECN and RCG Classic. If you choose to trade with MetaTrader5 you only can select the ROYAL100 account

Mariana Vilaça
Fintech Analyst

Mariana is currently a finalist in Management program at the University of Minho, and she also serves as a digital ambassador for a leading Big4 company in the field of financial consulting, Ernst & Young.

Mariana's primary areas of interest revolve around the exact sciences, numbers, and the financial sector. Presently, Mariana holds the position of COO at a junior initiative within her university, dedicated to promoting financial literacy among the youth and addressing the educational challenges faced in Portugal.

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