MJ Group Limited – an online trading company based in Europe – has set out to help combat one of the biggest issues in the online trading industry: unserious and potentially harmful broker reviews. This is done using a rather easy solution that seems obvious but hasn’t been implemented on this scale before.
So what is this solution and how is it changing the online trading industry? In the following article, we provide the full breakdown.
The underlying issue that the said company is trying to solve is that the online trading industry attracts a lot of unserious actors which, as mentioned, can be harmful to traders. You see, in order for an online broker to be considered safe and reliable, they have to be regulated and licensed by a governing body. In the UK, this task falls on the Financial Conduct Authority (FCA) and in Australia on the Australian Securities and Investment Commission (ASIC).
As a beginner that has never traded before, this might not be obvious and this lack of knowledge is being used for unlawful economic gains. By recommending unlicensed brokers, companies can make traders sign up with brokers that steal their funds and money or provide inaccurate trading information that results in traders losing unnecessary amounts of money.
And considering that many traders trade for thousands of dollars each month, there is a lot of money to be made, which explains why this issue is so widespread.
Automatically Collecting Millions of User Reviews
To solve this issue, MJ Group – which has been recommending online brokers for nearly a decade – has done two things. The first is to only review and recommend brokers that are fully licensed and legally operating, and the second is to include reviews from real users.
To include user reviews, MJ Group has developed a system that automatically collects millions of reviews from all the leading review platforms in the world. For example from Trustpilot, the App Store (iOS), and Google Play (Android).
By doing this, traders can rest assured that the brokers they sign up with are, in fact, safe and reliable. In addition, traders can also pick the broker they want to use based on what other traders in similar situations think about them. And there is no shortage of user reviews about the top online brokers.
As this study with over 200 hours of research shows, a top-tier UK broker such as Plus500 has well over 100,000 user reviews across these platforms. Thus, TradingGuide includes the opinion of not only their hired experts but 100,000 actual traders from all over the world which, in turn, creates one of the most transparent and accurate broker reviews in the industry.
As mentioned, this is a simple yet very effective solution that benefits transparency for everyone involved. Since neither the company nor the brokers can edit published user reviews, there is no way to alter any of the ratings.
Personally, we really like this solution and hope that it will soon be implemented in other industries as well. Why stop at brokers when banks, insurance companies, and similar services could be recommended and reviewed in the same way?
Do you have other ideas on how to make product and service reviews more accurate and unbiased? Share your thoughts in the comments below.