AvaTrade Broker Review

AvaTrade

A Guide to Forex Trading Scams

Forex is one of the most popular forms of trading. Individuals and institutional investors welcome the opportunity to make money relatively quickly. However, there are also many risks involved, including bitcoin scams, forex trading scams, and falling victim to unscrupulous brokers. While governments propose tighter regulations on forex, the multiplicity of scams mean that traders should tread carefully.

Should You Trade with AvaTrade? Read This Broker Review First

AvaTrade is a licensed broker based in Ireland. It has tier 1, tier 2, and tier 3 licenses. AvaTrade provides a wide variety of trading products and offers the MetaTrader platform. In addition, it has a selection of tools for mobile trading and social trading.

Year Founded

2006

Regulation

FSA, ASIC, BVI, FFAJ, FSAC, ADMG and FRSA

Minimum Deposit

100 units of currency

Product Types

Forex, cryptocurrency, indices, stocks, bonds, cryptocurrency, CFDs, vanilla options, commodities

Products Offered

1250 financial instruments

About AvaTrade

AvaTrade is a regulated broker, but it is not licensed for all regions and does not accept U.S. clients. In addition to reading this broker review, check that AvaTrade is licensed for your area before signing up. If you have questions about regulated or unlicensed brokers or need to make a complaint about financial services, consult with Broker Complaint Registry. We will discuss the issue thoroughly and refer you to experts who can assist you with your complaint or fund recovery.

About AvaTrade

AvaTrade is based in Ireland and was originally founded in 2006 under the name of Avaex. On its website, AvaTrade promises an “innovative and reliable” trading environment with ‘best-in-class personal service.” It is privately held and offers many trading products, but among its most popular are CFDs and forex. It should be noted that CFDs are known as high-risk investments, and since the United States has restrictions on CFDs, AvaTrade does not work with U.S. clients.
Its headquarters are in Dublin, Ireland, but AvaTrade has several offices across the Asia-Pacific region and Europe. It holds seven licenses from top-tier, second, and third-tier regulators. It does not, however, hold a license from the FCA. Traders can open an account with 100 units of currency and there are many trading tools for novice traders as well as mobile apps to facilitate trading on the go.

Licenses

AvaTrade has seven licenses which include MiFID, Central Bank of Ireland, FSA, ASIC, BVI, FFAJ, FSAC, ADMG, and FRSA. Some traders may be concerned that it does not have a license from the FCA or the Financial Conduct Authority based in the U.K. However, this does not necessarily reflect negatively on AvaTrade, since the FCA is known to have exacting standards.
It is important to work with a broker that is regulated, and with licenses from top and medium-tier regulator bodies, it is clear that AvaTrade fits this description. Broker Complaint Registry does not recommend signing up with any broker that does not have a license. However, it is important to note that there can be problems that arise even with regulated brokers. It is always important to be vigilant when working with any financial service company or broker.

Fees, and Accounts

AvaTrade states one of its advantages is that it does not charge commissions. However, it makes money from spreads on trades. The rate of these spreads is lower for a “professional” account, although the requirements for a professional account are demanding and it is unlikely that many clients will qualify for a professional account.
To open an account, a client needs just 100 units of currency. This is quite reasonable and is at the low end of minimum deposit requirements. AvaTrader does not charge fees for deposits or withdrawals, which is a good sign, but it does have an inactivity fee for accounts that have not seen any trading activity for 90 days or more. Also, there are overnight rollover costs. that many clients will qualify for a professional account.

Trading Products

AvaTrade offers a wide selection of trading products such as:
  • Forex
  • Indices
  • Commodities
  • Stocks
  • Bonds
  • ETFs
  • Options
  • Cryptocurrencies
AvaTrade gives access to some of these asset classes through CFDs The variety of trading products is an advantage, since having a diversified portfolio is a good hedge against volatility and dramatic market movements.

Platforms

Like many licensed brokers, AvaTrader offers MetaTrader 4 and 5 as well as a version of WebTrader. The latter can be accessed through a browser and MT offers manual and automated trading. AvaTrade no longer offers social trading platforms RoboX and Mirror Trader but it has social trading platforms AvaSocial, ZuluTrade, DupliTrade, and MQL5 signal with features that more than compensate for the services AvaTrade canceled.

In addition, AvaOptions allows the trading of vanilla options and AvaProtect can limit the downside in losing trades. AvaTradeGo makes mobile trading easier. AvaTrade’s platform is clear, user-friendly and provides transparency on how trades are conducted. There are many features available for first-time traders as well as seasoned experts.

Should You Trade With eToro?

BCR has investigated eToro thoroughly and has concluded that eToro seems like a legitimate trading service. It has at least 3 high caliber licenses and is about to go public, which means it will be subject to more oversight. There are a number of advantages and disadvantages which may or may not matter to individual clients depending on their location and their trading priorities.
For instance, account minimums are very high for non-U.S. clients, there are commissions on U.S. trades and U.S. traders can only trade cryptocurrencies. However, many brokers that trade CFDs offer no services to U.S. clients. Whether or not eToro is right for you depends on your financial goals and region. If you have your own research resources, the lack of educational features on eToro may not be an issue.
Even though eToro is a registered broker, that does not mean there will never be problems with service. If you have a complaint with eToro or another broker, speak to Broker Complaint Register today.

Customer Support

AvaTrade offers a selection of methods for clients to contact support if they have questions or concerns. There is 24/5 live chat, thorough FAQs, email support, and phone numbers listed from AvaTrade’s service centers around the world.
AvaTrade Pros The following is a summary of AvaTrade’s benefits:
  • A thorough selection of trading instruments
  • Educational offerings and tools
  • A choice of social trading platforms
  • Protection against negative balance
AvaTrade Cons: The following is a summary of AvaTrade’s drawbacks:
  • WebTrader, AvaTrade’s default platform, lacks some features its competitors have
  • Limited market updates and research tools
  • No stop loss guarantees
  • Doesn’t accept US clients

Should You Trade with AvaTrade?

According to our investigation, AvaTrade seems like a legitimate broker. It is licensed by multiple regulatory bodies, some of which are top-tier. It has many advantages for novice investors, including a low minimum and numerous educational features and tools.

It provides some protection against huge losses but does not include stop-loss protection. AvaTrade has an impressive selection of trading products, but some advanced traders are not that impressed with its Webtrader platform.

The choice is yours whether you want to sign up with AvaTrade or keep looking. Remember that even with legitimate licensed brokers, there is no guarantee that you will not have experiences that cause concern. If you have problems with any broker and want guidance through the complaint process, contact Broker Complaint Registry.

Do You Need Assistance with a Broker Complaint? Broker Complaint Registry Will Help

Contact Broker Complaint Registry experts if you have a broker complaint. We deal with a variety of issues, including data theft, broker scams, and crypto complaints. Our team will refer you to experts who have vast experience dealing with regulators, banks, and law enforcement. We will provide advice and give you valuable guidance to help you resolve the issue.