Table of Contents
If you’ve been looking for traders on the Internet, you must have stumbled upon AvaTrade. AvaTrade is a CFD and Forex broker that has been established in 2006. This is a privately held online broker, and it used to be known as AvaFX for a while. Their goal is to create a reliable environment where people could do their trades without worrying about risks or anything of the sort.
It’s hard to know whether they are successful or not unless you either try out the platform or do some research on the broker’s background. Well, if you don’t have the time or energy to do that, don’t worry – we did it on your behalf. Keep reading for a detailed review on AvaTrade and all it has to offer to its users.
Who Is AvaTrade for?
AvaTrade is ideal for new investors. This is because it has some impressive educational materials that can help boost someone’s knowledge very easily. If anyone is looking to obtain some basic understanding of how trading works for CFD and Forex, they can rest assured AvaTrade can help them out.
The user interface is great, and the spreads are reasonable. So, anyone looking to improve their trading skills can use AvaTrade.
Furthermore, AvaTrade could be an amazing choice for people who do not have a lot of money to use on trading from the get-go.
Things We Like
AvaTrade has many advantages that we enjoyed seeing. First of all, the research tool range is amazing. It can offer any trader a great time on the platform. Opening an account is also very easy. Since some people may want to start trading as soon as possible, this is a great thing.
Not to mention that it also makes sure people don’t spend more time figuring out how to open an account instead of actually trading.
We also loved the fact that deposits and withdrawals are free. It is a great way to ensure people can deposit the amount they need and withdraw their funds later without worrying about fees.
Their software is user-friendly and can accommodate all types of traders. The trading tools they have come in a wide range. Also, you have access to multiple platforms, so you can get what you want whether you’re into social, algorithmic, or manual trading.
Things We Don’t Like
What disappointed us was the fact that the customer support is not permanent, so you will not be able to talk to the staff 24/7. This is not reasonable considering people may need help urgently, and they have to wait if they try to contact the staff on their days off.
While there are no fees for withdrawals and deposits, there are other services that come with fees. For example, if your account is inactive for too long, you will be charged an inactivity fee, which is a bit disappointing to see.
Also, while the instruments come in a wide variety, the portfolio is still pretty limited compared to larger brokers. AvaTrade only offers Forex, CFDs, and crypto trading.
Pros / Cons
- It has amazing research tools
- The deposit and withdrawal options are free of charge
- The account opening process is very fast and easy
- The Forex fees are average
- A high inactivity fee will apply
- It has a limited product range
Safety and Regulation
Don’t open your account just yet – first, you must learn how safe the platform is and whether your funds are secured. Here is what you should know before trading with AvaTrade.
Who Is AvaTrade?
AvaTrade is a Forex and CFD broker that was founded in 2006, being one of the first large brokerage firms on the market. It is part of the AVA Group of companies, and it is one of the leading Forex brokers in the entire world. It was founded as AvaFX, and it has headquarters in Dublin, Ireland. It also has some satellite offices in the Asia-pacific region and Europe, so it is registered with several jurisdictions all over the world.
The broker offers stocks, commodities, cryptos, indices, and Forex.
Is AvaTrade Regulated?
AvaTrade is regulated by various authorities in the world. One of them is the Central Bank of Ireland. Apart from that, it is also regulated by the Australian Securities and Investments Commission (ASIC), B.V.I Financial Services Commission on the British Virgin Islands, Financial Futures Association of Japan (FFAJ), Financial Sector Conduct Authority (FSCA) in South Africa, Japanese Financial Services Agency (FSA) and others.
- Ava Capital Markets Australia Pty Ltd – authorized by ASIC (Australia) registration number 406684
- AvaTrade EU Ltd – authorized by Central Bank of Ireland registration number C53877
- AvaTrade Japan K.K. – authorized by FSA (Japan) registration number 1662 and the FFAJ number 1574
- AVATrade Ltd – authorized by B.V.I Financial Services Commission
- Ava Trade Middle East Ltd – authorized by FRSA (Abu Dhabi Global Markets (ADGM)) registration number 190018
Is AvaTrade Safe or a Scam?
Considering that AvaTrade is monitored by so many regulatory authorities, it is considered safe. It also has a lot of experience on the market, standing as proof that they are trustworthy and safe. There are other things making it safe, though. For instance, AvaTrade offers negative balance protection. Most clients belong to a top-tier financial authority as well.
There are several concerns too. For example, AvaTrade is not listed on the stock exchange. It doesn’t have a banking license either, and the financial information is not available publicly.
Countries It Accepts Clients from
AvaTrade accepts clients from most countries, which is great. There are a few exceptions as well, such as Belgium, Iran, and the U.S. In Iran, the broker operates under a different brand, respectively Atrade.
Over time, AvaTrade was also able to win a lot of awards. Some of them include the Best Trading App 2021 – DayTrading.com award and the Best Forex Broker 2019 – DayTrading.com.
Range of Offerings and Products
For new traders, AvaTrade offers enough products to help them get started. Stock, commodity, index, and Forex CFDs are available. But for other types of stocks, mutual funds, or bonds, people will have to look for a different platform.
AvaTrade offers 59 ETF CFDs, 55 currency pairs, 625 stock CFDs, 32 stock index CFDs, 2 bond CFDs, 27 commodity CFDs and 17 cryptos.
The maximum leverage offered depends on where the client is from. Australian and international traders can use a leverage of up to 1:400, and European ones can use a maximum of 1:30 in leverage.
AvaTrade has several types of trading platforms available. The web trading platform is user-friendly and has an AvaProtect order type, and it also has a good search function. But it comes with no price alerts, has no 2-step login, and has limited customizability.
The mobile trading platform is better than the web version. It brings the AvaProtect order type, but it also has a good search function and is user-friendly. Unfortunately, it is only available in English, and it has no 2-step login.
As for the desktop platform, it has price alerts, good customizability, and a clear fee report. Still, unfortunately, it has a poor design and comes with no 2-step login.
AvaTrade has multiple types of accounts available. They include an options account, corporate account, retail account/standard account, spread betting account, and an Islamic account.
People can also get a demo account if they want to. This is a great option for beginners because it allows them to see if the platform suits their needs or not.
Deposits and Withdrawals
Deposits can be done using any method the person wants depending on what is available in their jurisdiction. They can use bank transfers, cards, or e-wallets. There is no deposit fee either.
What Is AvaTrade’s Minimum Deposit?
The minimum deposit with AvaTrade is $100. So, it is quite low, making it accessible to more people.
Withdrawals are very slow and can take up to 3 business days. Luckily, you can perform them using the same methods you use to make deposits.
In certain geographical regions, AvaTrade offers bonuses and promotions. So, you will have to get in contact with AvaTrade to find out more information.
Client Support and Education
AvaTrade is great when it comes to the education it offers. It has a demo account, but it also offers educational videos, platform tutorial videos, quality international articles, webinars, and others.
Verdict – Overall Rating
Overall, people can use AvaTrade without worrying too much about risks. The platform is regulated by a lot of authorities, and it is also experienced. Not to mention that you can try it out with no risks by using their demo account. They need to work a bit on the speed of the withdrawal processes and could add more promotions but for the most part, it’s a great company.
All brokers listed on our website are regulated by at least one financial regulator and have never been reported as a scam. Our reviews and overall scores are based on the key areas above, in a combination with our opinion and commentary.
The reviews are shared and discussed with the brokers, but the authors of our website always have the final word. Furthermore, we always strive to keep the information on our website updated and relevant for our readers.
What helps us stand out is that we always test our brokers with an anonymous live account, to ensure we deliver the most accurate information and experience to our readers. Finally, our reviews and evaluation are always independent of any financial compensation we may receive from the brokers.
There is a very high degree of risk involved in trading securities.
With respect to margin-based foreign exchange trading, off-exchange derivatives, and cryptocurrencies, there is considerable exposure to risk, including but not limited to, leverage, creditworthiness, limited regulatory protection, and market volatility that may substantially affect the price or liquidity of a currency or related instrument. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable, or that they will not result in losses. Learn more at Wikipedia.
All investments involve risks and are not suitable for every investor. The value of securities may fluctuate and as a result, clients may lose more than their original investment. The past performance of a security or financial product does not guarantee future results or returns. Keep in mind that while diversification may help spread risk it does not assure a profit, or protect against the loss, in a down market.
There is always the potential of losing money when you invest in securities or other financial products. Investors should consider their investment objectives and risks carefully before investing. More details here.
Looking for more information on brokers and trading? Have a look at our trading guides:
- Best Forex Brokers for 2021
- Best Binary Options Brokers for 2021
- Best Online Stock Brokers for 2021
- Best Trading Apps for 2021