AvaTrade Review – Is it the safest Forex broker?
The origin of an increasingly popular Forex broker AvaTrade dates back to 2006. The broker with more than 15 years of experience is currently dominating the market in several regions. The broker is regulated within six different jurisdictions, which makes it one of the most reliable and trustworthy Forex brokers out there. To the traders’ benefits, AvaTrade provides exceptional trading conditions with ultra-tight spreads and a commission-free trading experience. The maximum leverage on trading assets with the broker can go up to 1:400.
At the moment, the broker has more than 300,000 active users registered on the AvaTrade trading platform. The customers of the broker can diversify their trading portfolio with over 1250 financial instruments available. The assets can be traded on two of the most popular trading platforms – MetaTrader 4 and MetaTrader 5. Furthermore, the traders can earn referral bonuses with the broker and expand their trading capital. There is much more to this brokerage firm than meets the eye. So make sure to read the complete review on AvaTrader Forex broker to learn more about the opportunities and benefits of trading Forex with it.
AvaTrade Safety and Recognition
Most of the traders who have an understanding of the basic requirements in Forex trading will ask about brokers’ regulations in the first place. Which is indeed the right thing to do. The regulations guarantee the safety and security of your funds and protect you from any downturns that the broker might experience. Even though some traders might choose unregulated brokers for more flexibility in their trading styles, it is always recommended to go for a licensed brokerage firm that offers a competitive trading environment.
AvaTrade holds licenses from six different jurisdictions, which allows him to lawfully operate worldwide in many regions and countries across the globe, including the regions of Europe, Africa, Asia, and others. The list of the regulatory bodies authorizing the brokerage services of AvaTrade includes:
- Cyprus Securities and Exchange Commission, CySEC
- British Virgin Islands Financial Services Commission
- Australian Securities and Investments Commission, ASIC
- South African Financial Sector Conduct Authority, FSCA
- Financial Futures Association of Japan, FFAJ
- The Abu Dhabi Global Markets, ADGM & Financial Regulatory Services Authority, FRSA
- Israel Securities Authority, SSA
Awards and Titles
Since the establishment of the broker in 2006, AvaTrade broker received numerous industry awards for notable achievements in the financial and technological spheres. Some of the most qualified and renowned institutions have named the broker within several nominations that include Best Bitcoin CFD Trading Provider of the year (2014-2020), Best Day Trading Broker (2019), Most Innovative CFD Broker, UK (2019), The Best Forex Broker, Portugal (2019), Best Trading Experience (2017-2018), Top 10 Brokers, China (2018), The Most Trustworthy Broker, China (2018), Best Educational Broker (2011-2018), Best Dealing Room (2014-2017) and many more.
AvaTrade Trading Assets
AvaTrade is famous for its diverse financial instruments portfolio that includes several markets. Almost every financial market that is currently popular in the trading industry can be found with the broker, which was the primary goal of AvaTrade, as well. The list of the tradable financial instruments with the broker includes currency pairs, shares, stock indices, commodities, cryptocurrencies, and bonds. Despite the great variety in the available trading portfolio, the major focus of the broker actually is directed towards Forex trading. This is understandable though, as Forex is the largest financial market existing today. All the major currency pairs can be traded with competitive trading conditions with the broker. Apart from some of the most exotic currency pairs, the traders can go for popular ones, as well, such as EUR/USD, USD/JPY, or GBP/USD.
In addition, the traders can also access Contracts for Differences which apply to several major markets including shares, indices, commodities, and cryptocurrencies. Some of the most popular shares are listed on the trading platform of AvaTrade such as Apple, Google, and Amazon. For the indices, traders can choose among the most common and famous indices such as FTSE100 or DAX 30. Commodities come in two types with AvaTrade – soft and hard and both can be traded with the broker including precious metals such as gold, silver, or energies like Crude Oil. For the cryptocurrency portfolio, the broker includes some of the most popular currencies, such as Bitcoin, Ethereum, and Litecoin.
AvaTrade Trading Platforms
AvaTrade Forex broker provides a lot of options for the trading platforms. The broker supports different modifications of the most popular trading software that are compatible with the number of device types. Traders can choose among the five trading platforms:
- MetaTrader 4
- MetaTrader 5
Some of these platforms were specifically designed for Forex trading or for the simplicity of their use. They can be accessed through a desktop, browser, mobile devices, tablets, or macOS systems. The most popular options however still remain to be MetaTrader 4 and MetaTrader 5 which have been on the market for quite some time now. The broker supports different versions of these trading platforms and through maintaining all the features of the MT4 and MT5 software, they make the interface of the platforms much more user-friendly and easily accessible.
The other two platforms, on the other hand, AvaTradeGo and AvaSocial are exclusive terminals designed specifically for AvaTrade customers. The AvaTrade rating was primarily affected by the introduction of these platforms. AvaTradeGO even claimed the title of the most innovative technology and for a reason. The platform allows traders to connect global trading markets with social trends and live feeds. The primary advantage of the platform is a reduced risk of trading and simplicity of use. As for the AvaSocial, the main goal of the broker was to allow traders to share their trading experience on market. It furthermore lets the users get knowledge and expertise from the industry-leading experts in the Forex industry. The app is the most popular choice for beginner traders and is supported on all devices.
AvaTrade Account Types
When starting trading with the AvaTrade broker, the clients can choose between the three major account types. They can register Islamic Account, Standard Account, or Professional Account. The difference between the account types is considerably large. The trading conditions are different for each of the accounts, as well as fees. For instance, for the Islamic account, there are different fee structures compared to Standard and Professional accounts.
Standard Account holders can access all the financial instruments that are available on the brokerage firm’s trading platform. There are no commissions applicable for trades on standard accounts. The leverages depend on the individual products, however, there is a special spread cost formula that calculates the exact amount of the spread: spread x trade size = Spread Charge in Secondary Currency. For instance, on a 1,000 EUR or USD trade with a respective spread of 3 pips (0.0003), the formula would actually look like 0.0003 x 1,000 = 0.30 US dollars. The margin requirement for Standard Account also is calculated with the formula: trade size / leverage – margin required in the primary currency. AvaTrade platforms display overnight interest (swaps) in annualized terms.
More experienced traders have an option to register a professional trading account instead of the standard one with an AvaTrade Forex broker. However, the clients should satisfy certain criteria in order to become eligible and create a professional account. First of all, the broker requires that you have sufficient trading activity throughout the past 12 months with AvaTrade. Meaning that the trader should have carried out transactions in significant size at an average frequency of 10 per quarter. The markets eligible are leveraged CFDs, Forex, or Spread betting. Furthermore, the broker asks for the financial instrument portfolio exceeding 500,000 EUR, which includes both cash savings and financial instruments. The benefits of the account are the minimum margin requirements and the flexible leverage.
There are quite a few traders who are opening and closing their trades on the same trading day. They are called day traders, keeping their positions less than 24 hours. However, most of the traders hold positions for longer periods of time. Any trade that is kept open for more than 24 hours is required to pay a rollover fee. On the other hand, such interest rates are primarily against the Riba principles of Sharia law, which makes trading not desirable for the Muslim community. Therefore, AvaTrade opinion produced an Islamic account that frees the traders from rollover fees or swaps on their daily traders.
Promotions at AvaTrade
AvaTrade runs one of the most famous affiliate partnership programs for their fellow traders. This program allows the clients to work from home and receive rewards for each referred trader. It requires a simple understanding of marketing over the internet and you can join the Exclusive Partners Program of the broker with ease. There are more than 70,000 partners registered on the broker’s affiliate program in more than 150 countries worldwide. The broker pays regular payments in a timely manner to their affiliates and it has already paid more than 250,000,000 US dollars to the members of the partnership program.
The traders who join the Forex Affiliate Partnership of AvaTrade review the whole library of the sources dedicated to marketing and other educational materials. Furthermore, each affiliate has a dedicated account manager to assist and support him or her throughout the program. The broker offers flexible commission structures that include CPA, Revenue share or trade rebates, and Hybrid deals.
Final Thoughts – Is AvaTrade legit?
In the wake of reviewing AvaTrade and getting more insights regarding the services and products that it offers to traders, we can say that AvaTrade is a genuine and legit Forex brokerage firm. Throughout the long term, it managed to figure out how to win various honors on account of the high-quality service provision and it has pulled in upwards of 300,000 customers. Among numerous different things that make AvaTrade, a dependable Forex specialist is an official regulated status that it has. As well as all the other things, the company supplies various sorts of traders with a diverse portfolio of 1250 trading assets. Considering all the features that the broker has, we strongly recommend trading with the AvaTrade Forex broker.