- Account opening is fast and easy and a user can start trading in literally minutes
- Low CFD trading fees
- CFDs are available across a broad range of markets.
- No deposit and withdrawal fees.
- Wide selection of trading platforms
- Availability of account for Islamic Forex trading
- High Inactivity fees
- Slow Withdrawals
- No 2-step login on all the trading software except MT5
- Research resources can only be found in Trading Central modules
- Broker releases fewer research materials compared to other brokers
|📈 Trading Platforms||AvaTrade offers multiple trading platforms including MetaTrader 4, MetaTrader 5, AvaTradeGo, WebTrader, and AvaOptions.|
|📞 Customer Service||AvaTrade provides 24/5 customer support through phone, email, and live chat. They also offer localized support in multiple languages.|
|🎁 Promotions/Bonuses||AvaTrade offers various promotions and bonuses from time to time, including welcome bonuses for new traders, referral bonuses, and cashback rewards. However, the availability of these promotions may depend on the trader’s location and the type of account they hold.|
|🏆 Regulation||AvaTrade is regulated by multiple regulatory authorities worldwide, including the Central Bank of Ireland, ASIC in Australia, FSCA in South Africa, and the FSA in Japan. In the United States, AvaTrade operates through its subsidiary, AvaTrade USA, which is regulated by the NFA and CFTC. In the European Union, AvaTrade operates under the Markets in Financial Instruments Directive (MiFID) and is authorized by the Central Bank of Ireland.|
|💳 Deposit/Withdrawal Methods||AvaTrade offers a variety of deposit and withdrawal methods, including bank wire transfer, credit/debit cards, Neteller, PayPal, and Skrill. The availability of these methods may depend on the trader’s location.|
|📊 Spreads/Commissions||AvaTrade offers competitive spreads on various trading instruments. Spreads can vary depending on market conditions and the type of account held by the trader. The broker does not charge any commissions on trades.|
|🔒 Security||AvaTrade uses advanced security measures, including SSL encryption and two-factor authentication, to ensure the safety of traders’ funds and personal information. The broker also maintains segregated client accounts to keep clients’ funds separate from the company’s operational funds.|
|🎓 Education/Resources||AvaTrade provides a range of educational resources for traders, including webinars, video tutorials, eBooks, and market analysis. They also offer a free demo account for traders to practice their trading strategies.|
|📱 Mobile Trading||AvaTrade offers mobile trading apps for iOS and Android devices, allowing traders to access their accounts and trade on the go.|
|💹 Execution Speed||AvaTrade offers fast and reliable execution speeds, with orders typically executed within milliseconds.|
|🛠️ Trading Tools/Indicators||AvaTrade provides a range of trading tools and indicators, including economic calendars, trading signals, and automated trading systems.|
|🌎 Country/Region Availability||AvaTrade is available in multiple countries worldwide, including the UK, EU, Australia, Japan, and South Africa. However, the availability of certain features and services may depend on the trader’s location.|
|💰 Account Minimum||The minimum deposit required to open an account with AvaTrade is $100.|
|💸 Leverage/Margin Requirements||AvaTrade offers leverage of up to 1:400 for Forex trading and up to 1:200 for CFD trading. Margin requirements can vary depending on the trading instrument and market conditions.|
|⚖️ Asset Selection/Market Access||AvaTrade offers a wide range of trading instruments, including Forex, stocks, commodities, indices, and cryptocurrencies. Traders can access multiple markets and trade on various platforms, including MetaTrader 4 and AvaTradeGo.|
AvaTrade isn’t a new name in the industry, as it’s a global brand renowned for offering a wide array of trading platforms for CFD and forex traders. They also provide exceptional educational content to the point it got the “Best in Class” rating for beginners.
- 1 Pros
- 2 Cons
- 3 About AvaTrade
- 4 Types of Accounts Offered
- 5 Range of Financial Instruments Available For Trading
- 6 Base Currencies
- 7 Payment Methods
- 8 Fees, Commission, and Leverage
- 9 Trading Platforms
- 10 Account Opening
- 11 Deposit and Withdrawal Experience
- 12 Customer Service and Support
- 13 Conclusion
AvaTrade was founded in 2006 by Negev Shekel Nosatzki and Emanuel Kronitz, two financial experts in online marketing. However, business operations started in 2007 when the company received investment from venture capital firm Clal Finance.
Although the broker has its main headquarters in Dublin, Ireland, it also has satellite offices across 6 continents. AvaTrade has nine regulations from different jurisdictions worldwide, including the European Union, Japan, South Africa, Cyprus, Abu Dhabi, Australia, and the British Virgin Islands.
The broker is fully digital and has a limited product portfolio comprising forex and CFDs only. There are over 250 CFD offers like, e.g. stock indices, currency pairs, bonds, ETFs, individual shares, and commodities such as sugar, coffee, gold, and silver.
Currently, AvaTrade has more than 400,000 registered users executing three million trades per month, making the broker one of the market leaders in the industry. The broker provides a wide choice of trading platforms across different device types.
Let’s see the kind of accounts they offer
Types of Accounts Offered
AvaTrade offers various account types to ensure that users have access to a trading environment that fits their financial circumstances, knowledge, and belief. Based on this, the four accounts AvaTrade offer are; a retail account, professional account, Multi Account Manager (MAM), and Corporate account. In addition, each of the accounts above has a demo version and an Islamic variation for Muslim traders.
The retail or standard account caters to individuals who buys and sell securities using their own money on their own account. Although this trader may have some level of trading experience, it isn’t substantial enough to be called professional traders.
Unlike the retail account, the professional account holder can trade their preferred financial asset with higher leverages and lower spreads. This lack of leverage restriction means the trader can maximize their capital allocation and generate more profits even when the asset experience minimal price changes. On the downside, trading with very high leverage could amplify the trader’s loss if it is unsuccessful. To be eligible for this type of account, an applicant needs to carry out an average of 40 transactions in 12 months. They also must have worked in the financial sector for a year and have a cash saving and financial instrument portfolio worth €500,000 or more.
This account was specially designed to help asset managers manage multiple clients’ accounts from a single place. Not only can the user make group trades for numerous accounts, but they can also assess the position and history of the accounts simultaneously. To explain further, this account is some kind of master account that contains and controls a large, diverse pool of independent accounts.
This account is set up by a legal entity and is meant for institutional and retail business trading. The owners usually trades securities under a formal business entity rather than an individual professional account. As a result, the account holder is allowed to add multiple authorized users to place and manage trades on behalf of the company.
To make their platform all-inclusive for all investors regardless of religion, AvaTrade ensured every one of their four unique accounts has an Islamic variat. This account meets Sharia requirements and is designed for Muslim investors. The Sharia law sees interests as “riba” or exploitative. Hence, in the Islamic accounts, users can keep their positions open for up to 5 days without incurring the rollover fee. However, if the trader holds the position beyond the 5 days, they have to pay the fee.
This is essentially a practice account to help beginner traders improve their trading experience in a risk-free environment. The user gets $100,000 of virtual money to hone their trading strategy for a period of 3 weeks. Besides practice, traders can also use the AvaTrade demo account to evaluate the broker’s trading conditions before committing real funds to the platform.
Range of Financial Instruments Available For Trading
The product portfolio at AvaTrade comprises mainly forex, CFDs, Bonds, shares/stocks, commodities, ETFs, currency pairs, Options, Indices of Foreign Exchange, and cryptocurrencies. In total, the broker provides access to more than 250 financial instruments across a broad range of different asset classes.
For clarity, the number of markets or tools a customer can access depends on the trading platform they are using. For instance, where the MT5 platform listed more than 1,000 assets, the MT4 counterpart only boasts of an average of 250 tradable tools.
AvaTrade supports up to 7 base currencies, including;
- US Dollar (USD)
- Australian Dollar (AUD)
- Euro (EUR)
- British Pound (GBP)
- Swiss Franc (CHF)
- Japanese Yen (JPY)
- South African Rand (ZAR)
However, not every currency is available to all traders. The number of currencies a trader can access depends on their geographical region. For instance, only British traders may use the GBP as their base deposit currency. Similarly, only people from Australia, Switzerland, and Japan may use the AUD, CHF, JPY options respectively.
In addition, the number of currencies a trader can choose from depends on the payment portal they use. For example, where the bank transfer and credit/debit card channels support more base currencies, people depositing through e-wallet have only 2 currencies (USD, EUR) to choose from.
For traders whose native currency isn’t supported on the platform, AvaTrade will convert these currencies, but the customer will be levied a conversion fee.
Avatrade has a myriad of payment options. It is up to the user to choose the method that suits them best. Here are the four channels available:
- Credit card
- Debit card
- Bank transfer
- E-payment (e.g. Skrill, Neteller, PayPal, WebMoney)
Keep in mind that investors from the European Union and Australia cannot deposit funds through e-wallets. However, there are alternative options they can choose from.
Fees, Commission, and Leverage
Users have to understand that the fees and commissions on AvaTrade differ and we’ll try to break them down.
In the FX and CFD niche, all fees are in two classes:
- Trading fees which include everything from commissions and spreads to conversion fees and financing rates
- Non-trading fees which is made up of administrative/inactivity fees, and deposit and withdrawal charges and administrative/inactivity fees.
The minimum initial deposit to open an account at AvaTrade is $100 or 100 units of any base currency. Clients do not get volume discounts neither do they have guaranteed stop losses. Although the spreads depend on the financial instrument, fees levied on retail accounts are higher than those of professional trading accounts.
To become a professional trader, the user has to meet stringent criteria in terms of their investment capital among other requirements.
Generally, AvaTrade spreads for major forex pairs, which start from 0.9 pips for a retail account is slightly higher than the industry average of 0.47. In contrast, the broker provides some of the most competitive leverage in its niche.
For CFDs, AvaTrade’s spread starts from 0.01% which is one of the lowest CFD fees in the market. Spreads on AvaTrade can be as low as 0.01% (sometimes lower) of the overall trade position.
Making deposits and withdrawals is free for all clients. If a user does not trade with their account for three consecutive months, they’ll pay an inactivity or administrative fee for maintaining that account. The fees are $50/€50/£50 for 3 months of inactivity and $100/€100/£100 for 12 straight months of no trading.
AvaTrade has multiple trading platforms for users to choose from. There is the web-based trading platforms, desktop, and mobile trading platforms.
This is for traders that prefer trading from a web browser instead of downloading an app on their mobile or the full software. There are four web options traders can choose to download which are WebTrader, MetaTrader 4 (MT4), MetaTrader 5 (MT5), and AvaOptions. The latter platform is exclusively for trading CFD and FX options.
This software is designed to be downloaded on a personal computer and they include MT4, MT5, and AvaOptions. Like the web-based version, the AvaOptions for desktops can only be used to trade options.
Traders that favour trading straight from their phones will find this option convenient. There are three apps to pick from: AvaTradeGO, (the broker’s own mobile app); AvaOptions, and MT4, a well-known third-party trading platform.
Each platform well-designed, with seamless great UI and UX. The WebTrader, MT4, and MT5 software is available in major languages like English, Chinese, German, Swedish, French, Spanish, Portuguese, Arabic, Russian, Japanese, and Polish. Only AvaOptions is available in the English language.
Besides, the software and app are equipped with a search function to easily bring out information about a specific asset and more for the user to explore.
There are portfolio and fee reports as well as tools for placing basic orders such as market, limit, and stop. Among the trading software, only MT5 has sophisticated capabilities like the “one cancels the other (OCO)” order and a two-step login. The other apps have only one-step login, which doesn’t come with the same level of security.
Opening an account with AvaTrade is quite easy and the process is seamless. While signing up could take up to 10 – 15 minutes, account approval takes 24 hours or less. Here are the steps involved;:
- Enter your details into the signup form
- Select the platform you want to trade with
- Fund your account using any of the given payment methods
- Choose an asset to buy or sell
- Start Trading
Deposit and Withdrawal Experience
AvaTrade does not charge deposits or withdrawals fees. Funding an account with a credit/debit card is fast as the money reflects instantly. New account holders may have to wait for a business day or a few hours for their deposit to reflect.
This delay is because AvaTrade conducts a security verification all cards used on the platform for the first time. For clients using bank transfer methods, it could take up to 4-5 working days for the payment to go through. User’s depositing money can only do so with a card or bank account that is in their name.
While AvaTrade offers many perks and fair trading conditions to users, a few drawbacks of doing business with this broker is their withdrawal process. Withdrawing money for all clients (new and old, retail and professional) could take as long as 3 business days.
This is mostly attributed to the broker seeking evidence of identification before they release funds. A crucial information for users to remember is that they can only withdraw money via the same channel they use to make payment.
For example, if a trader uses their credit card to deposit $2,000, the first $2,000 they withdraw must also be credited to that card. This law is the same for top brokers and was put in place to curb money laundering. Subsequent withdrawals may then be done through other means like bank account, e-wallets etc.
Customer Service and Support
AvaTrade has an excellent customer service and support system to ensure they meet the inquiries and needs of all customers. The platform provides support in over 14 local languages. A customer can get in touch with the customer service team through email, telephone call, web chat, and WhatsAPP.
To reduce wait time, the platform provides dozens of phone numbers across different regions to cater to users. The only negative with the customer service is that it is 24/5 instead of the 24/7 help available at other online brokers.
AvaTrade stands out for several reasons, but it is renowned for the number of trading platform options it has. Getting recognized as the Best in Class for its beginner’s educational content also makes it stand it. In addition, its selection of tradeable markets almost doubled over the years, and with other amazing features, it’s no wonder this online broker is a top choice among users.
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