IG Broker Review

Mar 12, 2020 08:07 PM ET
IG Broker Review

Review Summary

IG is a well-known international broker that provides trading opportunities around the world. The company has several financial regulators and is listed on the London Stock Exchange. Traders can use the online platform and mobile application to access their accounts. Low commissions and a demo account make IG the right choice for beginners. Online chat and trading training will help beginners quickly integrate into financial markets.

IG Broker

RATING

10

YEAR FOUNDED

1974

LOCATION

UK

REGULATION

FCA (UK), ASIC (Australia), FINMA (Switzerland), ...

US AVAILABLE

Yes

TRADING INSTRUMENTS

Stock, ETF, Forex, Options, CFD, Crypto, Equities for UK clients, Robo-advisory service in the UK, IPOs

TRADING PLATFORMS

MetaTrader4-5, IG online Platform, mobile apps

MINIMUM DEPOSIT

$300

DEPOSIT METHODS

Wire Transfer, Credit/Credit Cards, Paypal, Prepaid Cards

Base currencies

6

Inactivity fee

Yes

Withdrawal fee amount

$0

Max. Leverage

Up to 1:500

Min. Spread

0.1 pips

Currency pairs

95

Demo account

Yes

Social / Copy trading

Yes

Overall rating 8.29

Mobile trading

10

Social trading

6

Copy trading

5

Research

9

Education

10

Customer service

9

Safety and security

9

IG pros and cons

IG Pros

IG Cons

  • Listed on stock exchange
  • Does not hold a banking license
  • Negative balance protection for UK citizens
  • Poor phone support
  • Demo account, Trading platform tutorial & education
  • No fundamental data available
  • Live chat support
  • Slow account opening (3-4 days)
  • Good interactive chart

 

  • Good variety of order types

 

 

In-depth IG Review

 

IG was founded in the UK (London) in 1974. The brand belongs to the company of the same name IG Markets Ltd. Currently, its representative offices are located in 14 countries, and the number of clients has already reached 195 thousand people. The broker is considered the leading provider of CFD contracts; it has repeatedly received various awards.

For example, in 2017, the company was immediately awarded four prizes for the high level of customer service:

  • Best Finance App;
  • Best Multi-Platform Provider;
  • Best CFD Provider;
  • Best Trading Platform.

Many traders have long been entrusting their deposits with this broker for a long time since all funds go to the accounts of different banks. They are stored separately and are never combined with the company's accounts. Money is not used in the company's activities, and even if it becomes bankrupt, they will not go as compensation to creditors. Another advantage is the availability of a license from the ASIC regulator. It is a controlling financial institution operating in Australia since 2001. It has the status of a state regulator, which allows you to trust the work of this organization.

Account types and opening

The procedure for creating an account is the same for each trader, regardless of location. The only caveat is several restrictions. In particular, you can use only CFD for trading. But the UK traders have the opportunity to use stocks, but for this, you need to open a second account. Also, in the UK, IG provides tax-privileged accounts.

It is worth noting that the broker has a demo account where test money is credited. You can try different strategies and the principle of functioning of the platform before moving on to a real deposit. This procedure is suitable for most beginners who want to get exciting strategies for further work.

Besides, a separate account must be opened to use smart portfolios, which are a service like “advisor robots.” The minimum account balance, in this case, should be £ 500. A demo account is also available so that you can try the IG platform with virtual money.

Following the registration, you should go through the identification procedure, which is carried out entirely through the Internet. You will need to send your ID to verify your identity. You can start trading platform immediately after registration.

Deposit and withdrawal

You will also have to go through the verification procedure to start trading and replenish your deposit. You can use the US dollar, euro, British pounds, Australian dollars, Singapore dollars, or the Hong Kong dollar as the primary account currency. Money is credited quickly. On average, it will take you from a few minutes to 15 minutes for your money to appear on the account. It is worth noting that the broker cooperates with many payment systems so you can not worry about compatibility.

Also, here you can track any activity and movement of your funds. Go to the tab with personal data to track the transaction history. It is worth noting that live chat on the site will allow you to oversee the procedure for paying and to file a complaint if the broker holds the money for more than the specified period. Here you can also solve various underlying issues that interest you.

In IG, you can choose one of three options to replenish your account

  • Bank transfer
  • Credit card
  • Debit cards
  • PayPal.

You can withdrawal money via bank transfer in three business days. Credit/debit card withdrawal is also available. You need to wait for up to 5 days. After you complete the binding of details, all further replenishment and withdrawal of funds will be carried out automatically. It is a very convenient option because you do not need to enter details manually each time. If your accounts or a bank card lose relevance, you will have to re-perform the procedure for linking payment details.

Commissions and fees

Standard Trade Commission for stock-based CFDs in the USA is $0.02 per share and $15 minimum ($0.03 per share & 25 CAD minimum for Canada). Most European traders must pay 0.10% Standard Trade Commission and €10. The average cost of ETFs is 0.22%, although it may vary depending on the structure of your portfolio. Management fees are multi-level and will be lower if you invest more. S&P 500 CFD has the 0.6 average spread cost (1.5 for Europe 50 CFD). The average spread for EUR/USD is 0.7 pips. These statistics are market averages. In general, you can count on similar commissions in other companies. Based on this, you can plan your strategy without looking at alternative options.

The broker has several non-trading commissions for traders. In particular, if your account is inactive for two years, then you will have to pay 12 pounds or 14 euros per month. You also need to pay a conversion fee of 0.3%. For international transfers, you will have to pay a fee of 15 pounds. Another commission is 3% when performing micro contracts.

Trading instruments and markets

In IG, most customers can only trade CFDs. Customers from the UK and some other countries have the opportunity to trade stocks, and the services of advisor robots are also available to them.

The asset classes are:

  • Stocks;
  • CFD;
  • Smart portfolios for UK customers.

Trading instruments and markets

The UK and some other traders can use stocks. Here are the number of assets you can use while trading at IG and other companies.

 

IG

XTB

eToro

Stock markets

8

17

16

ETFs

2000

170

145

 

All traders are free to use 1900 ETF CFDs. Also, everyone can use 95 currency pairs, 68 CFDs, 10500 Stock CFDs, and 8 Cryptos. Some clients from the UK, Malta, and Ireland can use 47 Commodity CFDs and 13 Bond CFDs.

Trading platforms and tools

The main advantage of a broker is variability. Each trader can use a standard IG platform, or MetaTrader 4-5. Let's look at the company's web platform. It is quite intuitive, which is a plus for beginners. You can select Indices, FX, Cryptocurrency, Shares, and other types of assets in the left pane.  

IG Broker Trading platforms

There is also news information, analytics, signals, and tracking active orders. Thus, every user can open an unlimited number of graphs in separate windows. Each window can be expanded to full screen, or grouped with other charts. It is convenient as you can track multiple assets at once. One-click trading is also available here.

You can choose one of several types of orders and two terms of their validity, although some of them are not available for every instrument traded and not in all countries. Orders can be placed online or by phone. Keep in mind that placing orders by phone is more expensive. 

IG Broker Trading CFD ticket

When using a guaranteed stop, you will be protected from any costs associated with slippage (IG guarantees that your order will be executed at a stop price). Naturally, this is not free. IG charges a fee for using guaranteed stop orders. Trailing stop orders work as an automated service that can be used for all transactions. However, it cannot be installed only for some transactions - it is either turned on and applied to all your transactions, or turned off and not used at all.

The form of placing an order at first glance may seem a little incomprehensible: market orders are placed through the “Deal” tab, and all others are placed through the “Order to open” tab.

At the moment, the company does not have a separate desktop application for accessing the platform. Alternatively, you can use MetaTrader 4 or 5.

IG Broker Trading chart

By connecting to your account, you can manage assets and customize your trading strategy.

User experience

The platform promotes the rapid study of various assets and an understanding of the necessary foundations of the market. Developers have worked on the interface to give it conciseness and completeness. It allows you to rely on the convenience of trading and the ability to work with minimal timings. The interface allows you not to worry about the speed of work. Now you can reduce technical problems to a minimum.

Mobile trading

If you have a smartphone on iOS or Android, then you can download a mobile client for trading. Its interface has much in common with the online platform and approximately the same features.

IG Broker Trading Mobile trading

You can keep track of the latest market news, financial reports, and enter into contracts. In general, the possibility of this platform is not inferior to the desktop version. It will allow you to trade anywhere and rely on a stable connection to the server, even with a 3G connection.

Most Important Features:

  • Watchlist and alerts.
  • Portfolio Information.
  • Technical indicators.
  • Transaction and account history.
  • Safety system.
  • System of crediting funds.

IG Broker Trading Mobile trading

The availability of technical analysis is a nice feature, although this feature is not very suitable for mobile devices. One crucial point that we missed is the news section. From the security section, you can access security-related news, but there is no centralized news feed.

Social trading

IG offers a kind of social trading for all users. The focus is on the IG Community, where newcomers can interact with the community and learn. Each trader can share trading ideas and tips here. It is a kind of online forum. The company also has a section with trading signals in a web terminal. Autochartist and PIA-First supply all messages. The broker focuses on the fact that this is conditional data that is not a direct call to action or the only correct information.

Thanks to a forum with many topics and an active community, you can find many different strategies and get valuable advice from the Trading Guru. Here new questions are asked daily, and various discussions are held. Thanks to this, you can raise your level of trading to a new height.

Copy trading

The automatic copy trading option is not available on the site. You can use the trader community forum to get tips and reviews on specific strategies. Some traders share their experiences and signals. But the site and the trading terminal do not have the option to copy transactions automatically.

The main problem is that there is no automatic Copy trading function. Due to this, many newcomers should personally study various strategies and communicate with more experienced colleagues on the forum. On the other hand, this will allow beginners to move to a new level after a thorough analysis of various strategies and gaining experience.

Research

News has a direct impact on trade. The trading platform on the site includes a section with news and market analytics. Here you can find thematic news, video reports, and the most important reports of world companies. Market comments will help many traders correctly interpret economic changes to adjust trading strategies.

It is worth noting that the economic calendar on the site is updated p in real-time. All relevant news, reports, and other activities are displayed here. You can sort economic news by country or by importance. The data table is regularly updated, which is very convenient for news trading. Beginners can sign up for webinars and training courses. It will help you learn essential information about trading opportunities.

In addition to the main terminal, the broker provides automated trading options based on modified advisor robots. They help organize automated trading based on the chosen strategy. Algorithms and services of expert advisors will be able to provide a reliable springboard for a novice trader.

Education

IG offers great educational features. You can sign up for courses and webinars, as well as watch instructional videos.

In IG you will have a large number of opportunities for self-education:

  • Trading lessons
  • Video conferences
  • Forum
  • Video Tips.

You can also sign up for upcoming webinars or install the IG Academy app. Reading short descriptions and watching instructional videos help you understand the features. Online courses compiled by leading traders of the company with many years of experience. All training materials seminars and training videos built on the principle of providing basic information for training beginners.

IG Broker Trading educational features

Here you can get simple answers to complex questions and prepare a primary base for starting your trading. Experienced traders can get less information here because of all lessons designed for beginners. Nevertheless, videos and webinars will help people learn the trading platform and the principles of working with these brokers.

Customer service

You can contact support by email, phone, or live chat. Email support is available 24/7, which is very good. Chat and email support services are beneficial and reliable. Customer support generally works in your local language, but in some developing countries, such as Romania, customer service may only be available in English. Before opening an account, you should check with IG support staff.

After you open an account, an individual manager will be attached to you; however, specifically, in our case, it was not so easy to contact him. Some contact numbers from the help and support page also do not work. IG has 14 sales offices around the world, where you can meet with company employees in person.

This broker has representative offices in Chicago, London, Dublin, Madrid, Paris, Stockholm, Geneva, Milan, Johannesburg, Dusseldorf, Luxembourg, Dubai, Singapore, Melbourne, and Tokyo.

Safety and security

An equally important aspect is safety and reliability. The company has several international regulators. For example, the American market is controlled by regulators. If you are a trader from Europe, then you can count on BaFin and FINMA as the primary regulators. In total, the company has about 11 regulators.

An important aspect: the broker provides protection against negative balance only for customers from the EU. The company itself is owned by the parent group IG Group, which publishes quarterly reports on financial activity.

Final thoughts

To summarize, you need to focus on several aspects. This company has been operating legally for more than a dozen years and offers various trading options for beginners and experienced users. Despite the lack of automatic trading for all traders, you can use the training materials and trading signals in the terminal on the site. The broker has a training system, regular video broadcasts, and a forum for communication. Here you can find trading tips, and you can adjust your strategy. This broker is suitable for those who want to create an account with a small-size deposit and start the first steps in trading.


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