AvaTrade Review

May 13, 2020 08:44 AM ET
AvaTrade Review

Review Summary

With several types of assets and instruments, AvaTrade offers efficient and user-friendly trading platforms and direct market access to traders. Users are provided with flexible account types with convenient options of deposits and withdrawals, as well as a demo account to test the platform first.

AvaTrade

Rating

7.5

Year Founded

2006

Location

Europe, Australia, Japan, British Virgin Islands and South Africa

Regulation

CBI, MiFID, BVI, ASIC, FSCA, FSA, and FFAJ

US Available

No

Trading Instruments

Forex, Indices, Stocks, Cryptocurrency, Shares, CFDs, ETFs, Options, Metals, Energies

Trading Platforms

MetaTrader 4 and 5, WebTrader, AvaOptions, AvaTradeGo, Mac Trading

Minimum Deposit

$100

Deposit Methods

Credit and debit cards, Wire transfer, Neteller, Skrill, WebMoney

Base Currencies

USD, EUR, AUD, GBP, and CHF

Inactivity Fee

$50

Withdrawal Fee Amount

$0

Max. Leverage

1:400

Min. Spread

0.8 pips

Currency pairs

50+

Demo Account

Yes

Social/Copy Trading

Yes

AvaTrade Pros and Cons

Pros

Cons

  • Strict regulation
  • No variable spreads
  • Multiple awards
  • No US clients
  • Hedging and scalping allowed
 
  • Fixed spreads
 
  • No commissions
 
  • Fast trade execution speeds
 
  • Powerful and flexible trading platforms
 
  • Social trading platforms
 
  • Negative balance protection
 
  • Mobile apps
 

 

AvaTrade Review

Established in 2006, AvaTrade is an award-winning trading broker that offers regulated trading services across six jurisdictions. Users can trade over 250 instruments on various trading platforms and several markets. The instruments include Forex, indices, commodities and stocks. The broker is well-known for providing traders with the best conditions available for online trading across the world.

Within the few years only after its establishment, AvaTrade has grown and expanded enormously, and the number of registered customers globally has surpassed 200,000 that execute over two million trades per month, with monthly trading volumes surpassing $60 billion. What makes trading on AvaTrade so unique is its user-oriented perspective with solid financial backing. The optimal trading environment is suitable for any trader due to the 24-hour multilingual support desks and its vast range of platforms and services. 

Whether a trader is a novice or a pro, the adaptable trading platforms and services of this regulated broker provide everyone with the right balance of sophistication and simplicity. This is why AvaTrade has bagged nine industry awards till date starting from 2009. 

Regulation: AvaTrade is a regulated broker that operates in Europe, Australia, Japan, South Africa and the British Virgin Islands. So, they comply with strict rules and regulations regarding handling client funds, reporting and security of financials. AVA Trade EU Ltd is regulated under the Central Bank of Ireland (CBI). It complies with the Markets in Financial Instruments Directive (MiFID) which offers more protection and transparency on customer’s investment. AVA Trade Ltd is regulated by the British Virgin Islands Financial Services Commission (BVI). Ava Capital Markets Australia Pty Ltd is regulated under the Australian Securities and Investments Commission (ASIC). Ava Capital Markets Pty is regulated by the South African Financial Sector Conduct Authority (FSCA). Ava Trade Japan K.K. is regulated by the Financial Futures Association of Japan (FFAJ) and the Financial Services Agency (FSA). By being regulated in numerous countries, AvaTrade is reliable to traders due to its operations fairly and transparently.

Account Types and Opening

AvaTrade does not confuse users with many types of accounts; instead, it keeps trading simple and professional accounts. The accounts provide negative balance protection by having segregated bank accounts holding client funds and making it not accessible by AvaTrade. You can open an account with the minimum deposit of $100 only. 

Account Types on Offer

  • AvaTrade Standard Account

  • AvaTrade Retail Account

  • AvaTrade Professional Account

  • AvaTrade options Account

AvaTrade Spread Betting Account

Due to the strict EU regulations, EU based traders need to make sufficient trading activity in the past 12 months and have financial experience or a financial portfolio of more than €500,000. There also are Islamic trading accounts that operate under the Sharia law. Traders are not asked for a commission for trading; only a fixed spread is charged. You need to pay overnight and inactivity fees. AvaTrade offers demo accounts so traders can test trading conditions and platforms before going live. 

Account Opening

It is easy and quick to open an account on AvaTrade. It can be done by simply filling the form on the website, confirming your email and submitting. The process only takes 15 minutes at most. 

  • You need to enter some basic personal information. You can also use your social accounts like Google or Facebook.

  • Then, answer a few questions. It shows your level and understanding of trading.

  • Lastly, verify your identity and residency. You can verify your identity by uploading a copy of your passport, ID card, or driving license. For residency verification, use a copy of a bank statement or recent utility bill. 

Open Forex trading Account with Avatrade

Base Currencies for Account Opening

AvaTrade offers its users the option of choosing any of the five base currencies, such as USD, EUR, AUD, GBP, and CHF. Keep in mind that GBP is only available for clients from the UK, and AUD is only available for clients from Australia. It is helpful when a broker offers multiple base currencies as users can avoid a conversion fee. You can do this by opening multi-currency bank accounts at any of the digital banks. 

Deposit and Withdrawal

To make it easy for all kinds of traders and investors, AvaTrade offers convenient methods to deposit and withdraw for users. These methods include credit cards and debit cards, E-payments, and wire transfer. There are also several forms of e-payment, such as Skrill, WebMoney, and Neteller. However, those are not available for Australian and EU clients. 

You can use the same processes as a deposit to withdraw from accounts on AvaTrade. You need to verify and confirm your account to withdraw money from your account because AvaTrade strictly follows the KYC or Know Your Customer process. It eliminates all potential risks of illegal intentions. Withdrawal on AvaTrade is very fast; it only takes two working days. 

Fee for Deposits and Withdrawals

AvaTrade does not charge any fees for deposit or withdrawal. You can use lots of electronic wallets to deposit or withdraw money. The minimum amount that traders can deposit is $100 or equivalent in any other currencies. 

Commissions and Fees

AvaTrade charges different fees for Forex, CFDs, and Cryptocurrencies. When a trader opens an account on AvaTrade, it requires a minimum deposit of $100. The minimum opening balance is dependent on the base currency of the client’s deposit.

Inactivity Fees

If a client is inactive for a long time, then the broker cannot earn profits either. This is why inactivity fees are charged on AvaTrade. After every three consecutive months of inactivity, traders have to pay $50. This amount is deducted from the trading account.

Administration Fee

Apart from inactivity fee, AvaTrade also charges an administration fee if you do not use your account for 12 consecutive months. The amount is $100.

Other Applicable Charges

AvaTrade also charges some other charges that include overnight interest, maturity rollover, and corporate actions. 

Asset-Wise Trading 

AvaTrade offers a very transparent fee structure for users so they can easily find everything required on the website. When it comes to assets, the broker provides different fees structure for Forex, CFDs, and Cryptocurrencies. 

Fees for Forex

AvaTrade does not charge any commission for Forex trading. However, it compensates itself through the bid-ask spread. For instance, if the spread is 3 pips on 1000 units of a currency pair, then the amount of the compensation to the broker is 1000*3 pips or 0.0003. So, it is $0.30. 

Fees for CFDs

No commission is charged for CFD trading on AvaTrade, but it is compensated through the bid-ask spread. 

Fees for Cryptocurrencies

Similarly, AvaTrade charges no commission for cryptocurrency trading either. Here also, it is compensated through the bid-ask spread. 

Trading Instruments and Markets

AvaTrade offers the option of trading various instruments on its trading platforms, such as:

Forex Trading: There are more than 50 currency pairs available on AvaTrade including all major, minor and many exotic currencies. Spreads start from 0.8 pips, with leverage up to 1:400.

AvaTrade Forex Trading online

Options trading: AvaTrade has made options trading easy for all traders with any level of experience. The complexity of vanilla options has reduced on the new options trading platform. It has also opened up a range of opportunities for curious traders interested in vanilla options.

Indices, bonds, commodities, stocks and ETFs: AvaTrade provides traders with the highest of leverage and low spreads to trade these financial instruments.

what is cfd trading

Cryptocurrency: You can trade nine cryptocurrencies with up to 1:20 leverage. The coins include Bitcoin, Bitcoin Cash, Ethereum, and Ripple. 

Off-exchange cryptocurrencies trading at AvaTrade

Trading Platforms and Tools

MetaTrader

MetaTrader is a kind of trading software most commonly used by Forex traders for trading. It poses as a connecting channel between your device and currency trading systems. The benefit of MetaTrader platforms is that they are very light and do not overload the systems. So, traders do not experience a lagging effect on their device or server. Thus, MetaTrader is a fast trading platform that offers immediate executions on the volatile markets. 

Metatrader 4

There are two versions of MetaTrader platforms, such as:

MetaTrader 4: Introduced in 2002, MeTaTrader4 is the industry benchmark in online trading. It is easily customizable and user-friendly.

Features: 

  • Fast and flexible trading platform

  • Trading signals for major providers

  • Expert advisors for algorithmic trading

  • Global accessibility from web, PC, and mobile

Benefits of using MetaTrader Platform

  • The most powerful platform: MetaTrader is the most powerful and advanced platform in the world. By opening an account with this platform, the traders can trade with competitive spreads.

  • Easy accessibility: You can use the platform to its fullest from your computer, iOS, or Android phones and tablets. You can also use it directly from the web. 

  • User-friendliness: Traders can access all trading platforms from a single menu. They can also place their most frequently used commands on the toolbar to access them easier. A neat and easily navigable platform filled with professional-grade features.

  • Analytic abilities: The platform displays analytical objects, multiple time frames and technical indicators by interactive and flexible charts. 

  • Guardian angel: Guardian angel is a personalized trading feedback tool on MetaTrader. It helps traders to improve their trading performance and decision making. 

  • Expert advisors: MetaTrader offers programs that enable automated trading that can help you achieve top scores. You can download these trading robots from the store or create one. 

  • Hedging: MetaTrader 4 allows Hedging. Traders can hedge their positions in order to protect themselves from the uncertainties of the market, such as volatility.

  • Security: MetaTrader 5 offers high security to users. It compresses all data transfers and encrypts them according to 128-bit keys. 

  • More opportunities with more assets: Traders are provided with an unlimited choice of commodity, ETF CFDs, share, index, Forex, and Cryptocurrencies. 

  • Custom indicators: Both MetaTrader 4 and MetaTrader 5 offer a choice of built-in technical indicators. However, traders can also develop custom mathematical tools that perform any analytical operation according to defined conditions. 

  • Libraries: A script is an application that you can program to perform any function on the MetaTrader 4 and MetaTrader 5 platform. For instance, you can program a script to close all pending orders or delete all indicators on a chart.

How to use MetaTrader platforms?

To trade on MetaTrader platforms, you have to:

  • Open a real account and select MetaTrader 4 or MetaTrader 5 as your platform.

  • Deposit a minimum of $100 to fund your account and enter the market

  • Download MetaTrader 4 or MetaTrader 5 and log in with your credentials.

Supported devices

MetaTrader 4 and MetaTrader 5 supports –

  • Web

  • iOS

  • Android

  • Windows

Main features of AvaTrader MetaTrader 4 trading platform:

  • One-click trading

  • EA functionality

  • Nine timeframes ( 1 minute, 5 minutes, 15 minutes, 30 minutes, 1 hour, 4 hours, Daily, Weekly, and Monthly)

  • Three charts with direct trading (Line, Bar, and Candlesticks)

  • 30 built-in indicators

  • 24 graphical objects

  • 1 single login on all trading platforms

  • 4 pending order types

  • Security of guaranteed full data back-up

  • Built-in MetaTrader 4 and MQL4 guides

  • News streaming

  • Trade history information

  • Micro lots available

  • Internal mailing system

Main features of AvaTrade MetaTrader 5 trading platform:

  • Multi-asset trading (Forex, Index, Cryptocurrency, Stock, ETF CFDs and Commodity)

  • 3 charts with direct trading (Line, Bar and Candlesticks)

  • 1 single login from all trading platforms

  • One-click trading

  • 12 timeframes

  • 37 graphical objects

  • 38 built-in indicators

  • 6 pending order types

  • EA functionality

  • News streaming

  • Trading history information

  • Internal mailing system

  • Built-in MetaTrader 5 and MQL 5 help guides

  • Multi-threaded strategy tester

  • Guaranteed full data back-up and security

  • Micro lots available

  • Inner-account funds transfers

AvaOptions

AvaOptions is a professional and powerful desktop trading platform for easy and simple options trading. It offers a fully customizable interface that the users can design to their preferences by combining payoff diagrams, charts, and live risk reports. You are also provided with interactive risk management and a professional money manager. 

AvaOptions

Features of AvaOptions

  • Forex options and more: You can trade over 40 currency pairs with any combination of call and put options in a single account for creating your optimal portfolio. Strategies including straddles, strangles, spreads, and risk reversals can be executed.

  • Complete control: AvaOptions provides the traders with complete control over their portfolio. You are allowed to balance risk and reward so you can match your market view.

  • Risk management tools: AvaOptions offers professional risk management tools, portfolio simulators and much more. Moreover, it is available on both desktop and mobile.

  • Money management: Traders are provided with full money management features by AvaOptions. So, they can trade multiple accounts with one ticket only.

  • Flexible orders: Trades can be called and put with stop and limit orders and can be triggered by a predetermined premium level. It gives additional control over trade entry and exit. 

  • Time management: With the intuitive platform of AvaOptions, it is easy to buy options to take a view or hedge risk and sell options to generate income. Expirations are available on all business days, at any strike price, from overnight options to one-year expiration. 

AvaTradeGo

AvaTradeGo is a trading platform with innovative technology where you can connect to global markets with live feeds and social trends. You can reduce your trading risk with AvaProtect on this platform, which is a unique protection technology. 

AvaTradeGo

Features of AvaTradeGo

  • Unique technology: AvaTrade allows you to create your own watch lists, and view live charts and prices. Traders can trade over 1000 instruments on this platform.

  • Simple trading: AvaTradeGo offers a complete set of intuitive management tools with a sophisticated dashboard, zoom-in feature, clear charts and more.

  • Market trends: The market changes every moment and you need to keep track of it to earn more in trading. With this amazing feature, AvaTradeGo keeps you updated about the key financial information and market conditions. 

WebTrader

WebTrader is an innovative online trading platform that is designed specifically for beginners. With its modern design, it offers an easy-to-use interface and simple online trading. You do not need to download or install anything to trade. You can directly access WebTrader from any PC that is connected to the internet. It helps you trade from anywhere in the world.

Features of WebTrader

  • Easy availability: WebTrader is compatible with any computer and any browser. So, it is available to any trader across the world. Moreover, as mentioned earlier, you do not have to waste your effort and time into downloading and installation. So, you can invest it in comprehensive market research instead.

  • Live market sentiment: If you are a novice trader, then nothing can be better than utilizing the wisdom of the masses. You can buy and sell assets by making wise decisions based on the live market sentiment. It offers you accurate data on what the traders of AvaTrade are selling and buying in real-time. So, you will not have to spend time on fundamental and technical analysis.

  • Increased control: WebTrade offers you all trading necessities so you can achieve the ultimate trading results, including pending orders and market. You can have control over everything, from taking profits to place a stop loss, close your positions partially, view charts and trading history etc. with only a click of the mouse, you can also open, close, and edit individual and aggregate positions. 

Main features of AvaTrade WebTrader trading platform

  • Secured deposits with the regulated broker AvaTrade

  • Ultra-low spreads and swap rates

  • Outstanding multi-lingual service and support

Mobile Trading

AvaTrade is not only available on PC but you can also trade using this broker on iPhone and Android by downloading AvaTradeGo app. On AvaTradeGo, traders can use all powerful features of MetaTrader 4, and also perform actions like registration, deposit, social trading notifications etc. If you are familiar with the MetaTrader 4 app, then you can download it too.

Download AvaTradeGo:

Download MetaTrader 4:

 AvaTrade Mobile Trading

Benefits of using mobile trading

  • Stay informed: By having your phone with you all the time, you are always informed with real-time feeds and social trends. So, you never miss an opportunity to earn profits. 

  • User-friendliness: Mobile apps offer an advanced, user-friendly, and intuitive home screen.

  • The convenience of zooming in: When you are using AvaTrade apps on mobile, you can zoom in to view details clearer. Managing charts and using advanced features also become easier due to this.

  • Guidance: Mobile apps also offer guidance on several trading services until you have fully mastered the app. So, apps are ideal for beginners.

  • Multiple accounts: On the mobile apps of AvaTrade, you can open a manage many MetaTrader 4 accounts on the same control panel. 

Research

You may visit the official website of AvaTrade to research on trading instruments, trading platforms, trading info, economic indicators, and more. Visit the blog of AvaTrade to get news and notifications about the market, webinars, and expert advisors. To trade better, you need to keep an eye on the economic calendar, AvaTrade’s market analysis, and trading position calculator.

Education

  • Education section: AvaTrade offers an education section on its official website to help traders in trading. It contains trading for beginners, professional trading strategies, order types, and sharp trader. You can also go through tutorials available on Ebook and videos. 

  • Demo trading: If you are a beginner in trading, then you must open a demo account first before opening a real-time account to avoid the risks of losing your money. AvaTrade offers a demo account that you can use to test the platform first. It also offers the convenience of trading with virtual money on this account so novice traders can practise trading without any danger. 

Customer Service

AvaTrade offers a high standard of customer support. Account-holders can contact the support team via telephone and live chat. Their multilingual customer service supports thirty languages, so, they can serve a user from all those nations. The knowledgeable and responsive support team of AvaTrade answers all technical queries, covering a range of topics. 

Safety and Security

AvaTrade is regulated by many international regulators and operates in many countries across the globe. So, there is no doubt that it is a reliable broker as it complies with the strict regulations of those authoritative bodies that commit a fair business and transparency. If you are looking for a broker that will provide safety and security for your money, then AvaTrade is the one for you. 

Final Thoughts

Apart from offering a range of trading instruments compared to other brokers, AvaTrade offers an effective, user-friendly, and reliable platform for trading. Due to being regulated by multiple countries, it is considered one of the most trusted brokers in the world. It is ideal for any broker, whether he is a beginner, or experienced.

 


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