|Tier 1 Regulation||ASIC, IIROC, CBI, JFSA|
|Tradable Assets||Stock CFDs, Forex, Indices CFDs, ETF CFDs, Commodities, Crypto|
|Min Trade||0.01(lot), 0.001 (lot) on some assets on MT5|
|Platforms||Web Trading, AvaTradeGo (mobile app), MT4, MT5, AvaOptions, Automated trading (DupliTrade), and AvaSocial|
|Deposit||free of charge|
|Withdrawals||free of charge|
|Funds Safety||segregate accounts and negative balance protection|
|Unique Tools||Ava Protect, Trading Central|
|Bonus||20% welcome bonus according to regulation|
This broker offers average-to-competitive spreads and a broad variety of tradable instruments. Most of their trades are currency pairs and Contract for Difference (CFDs) over stocks. They allow trades of a dozen cryptocurrencies and a handful of options.
Deposits and withdrawals are free. Users can open accounts for $100. There are fees for inactivity and overnight financing.
A dedicated educational and research site, AvaTrade offers a broad variety of free courses, videos, and market analyses.
The broker provides several trading platforms. Each one is relevant for traders with different experience and skill levels.
Our analysis found their customer support responsive. They are available through phone, email, and live-chat.
Founded in Dublin, Ireland in 2006, AvaTrade was AvaFX. Regulated in six jurisdictions, AvaTrade opened in the United Arab Emirates in 2020. It is regarded as a trusted broker with a long operational history.
- no trading commissions
- extensive educational material
- phone support
- rich product catalogue
- options trading
- administration fee
- average spreads
AvaTrade Review and Insights
AvaTrade was one of the first major brokerages in the retail Forex/CFD field. It it has a moderate operating track record. It boasts 200,000 registered global customers. It executes more than two million trades each month.
While the numbers are decent, they don’t rank this broker among the popular firms. Some of those count their users in the millions.
AvaTrade is a multinational company. It has regional offices and sales centres in Paris, Dublin, Milan, Tokyo and Sydney. The company’s administrative headquarters are in Dublin.
Their total trading volume surpasses $60 billion dollars per month. AvaTrade’s scope includes a full spectrum of trading instruments. These include: Forex, stocks, commodities and indices.
CFDs are complex investment instruments. They come with a high risk of losing money due to leverage. Between 67 and 68% of retail investor accounts lose money trading CFDs with AvaTrade. You should consider your understanding of CFDs. Can you afford to risk losing all or most of your money.
AvaTrade is generally considered suitable for all levels of investors:
- easy-to-use platform
- extensive tutorials
- demo mode
- trading with real stocks is not possible
- mimimum deposit of only $100
- a rich catalogue of financial instruments
- technical analysis tools
- advanced educational material
- trading with options
- wide spreads on some instruments
- technical analysis tools
- investors’ protectionmechanism (for residents of EU countries)
- customizable graphs and tables
- trading with options
- wide spreads on some popular spreads
- limited research
- Spreads on the trades
- Overnight funding
- Inactivity fee
You Don’t PAY:
- Commissions for trades
- Using the platform
1. Fees and Spreads
Fees are built into spreads which are not always competitive. There are also inactivity and administrative fees.
Generally speaking, AvaTrade’s fees are competitive for all clients. They work for those making the smallest deposit required as well as for those who can deposit larger sums. We have analyzed here both trading and non-trading fees.
AvaTrade doesn’t charge commissions on trades. They build their fees into the spreads (the difference between the ask and the bid prices).
Spreads for commodities and currencies display in pips. With stocks and crypto, they display in percentages.
AvaTrade ranks average to above average when compared to their competition. A recent analysis of the average major forex currency pairs spreads showed:
The AvaTrade average spread for the benchmark EURUSD was 0.9 pips: Plus500 was 0.7 pips and ZuluTrade was 0.6 pips.
Please note retail traders are usually charged higher spreads than professional traders. This difference is often not immediately clear. The marketing page lists the fixed spreads. There is no documentation on variable spread minimums or averages.
AvaTrades’s average cost for CFD instruments including: commodities, individual stocks and equity indices, perform a bit better than the industry average. Individual stocks and shares are subject to a spread worth 0.13% of the nominal trade value. This is in line with the competition.
Avatrade created a calculator for determining fees across different broker platforms. This is how you use it:
- Enter the instrument you wish to trade
- Set your account’s currency
- Add in the preferred leverage
- Decide whether you want to buy or sell
- Select your current trading platform
AvaTrade imposes an account inactivity fee of $50 per quarter. An account has to be inactive for three months before they charge this fee.
After 12 consecutive months of non-use, AvaTrade deducts an administration fee of $100.
An overlooked element of their trading fee structure is overnight financing. There is a net charge applied to any trade opened at 5 p.m. New York time. In theory, they calculate the charge using the intrabank tom/next intrabank fees. But retail brokerages offer less favourable rates.
AvaTrade doesn’t charge any account fees. Deposits and withdrawals are also free of charge.
|Overnight funding||Additional fee when holding a position after a certain time|
|Inactivity fee||$50 per quarter after 3 months of inactivity|
|Administration fee||$100 after 12 months of inactivity|
2. Withdrawals and Deposits
Making deposits and withdrawals on the platform is straightforward and simple. It can take several days to process your withdrawal.
Deposits can occur in different ways. One can use a credit card or a bank wire transfer. AvaTrade also accepts deposits through several e-payments providers. These include: Skrill, WebMoney and Neteller. These options are not available to our EU and Australian clients.
The smallest deposit amount with AvaTrade is $100.
Withdrawals can occur through credit or debit cards and bank wire transfers. Both of these are free of charge. They can take from between one and five business days for each withdrawal request to be processed. You will need to ensure your account is both verified and confirmed.
AvaTrade operates from Monday to Friday, excluding weekends. They close during public holidays or festive days included in the official calendar. Bank clearance, electronic payment systems, and credit cards may cause fund payment delays.
Global anti-money laundering laws make things a bit complicated. They force us to send withdrawals to the payment method you used to fund your account.
For example, if you made a credit card deposit of $1,000 dollars and earned a profit of $1,500 dollars? The first $2,000 dollars you withdrew must go to the original credit card you used to make the initial deposit. The profit balance of $500 dollars can be withdrawn using a different method.
3. Account opening
Account opening is fast and straightforward. Traders have several account options. A number of their products are only available for professional traders.
Opening an account is simlar to other online brokers – it’s fast and simple. To register, you have to follow a standard procedure. They ask for your personal information. You verify the account by uploading either a copy of your ID card, driving license or passport. They ask for a copy of a recent utility bill or bank statement.
AvaTrade offers different types of accounts:
- Standard account – account owned by an individual
- Corporate account – account owned by a legal entity
- Islamic account – a swap-free account
You can also request to open a Professional Trading account. This allows you to trade using higher leverage.
To be eligible for this type of account you need to meet at least 2 of the following criteria:
Enough trading activity in the last 12-months
Significant trades on the relevant market. This is an average frequency of 10 trades per quarter over the previous four quarters
Relevant experience in the financial services sector
A financial instrument portfolio of over €500,000
AvaTrade provides a demo account. It is designed to introduce new traders into the trading community. This account provides you with a moderated platform on which to begin and learn.
Think of it as learning to ride a bicycle. You start with training wheels to provide extra support. These attach to your bicycle and you gather enough confidence to remove them one side at a time. You use a demo account on AvaTrade to make trades, it is in a controlled environment. You can make transactions with ease, free from worry about real-time market fluctuations.
4. Markets and products
Their product catalogue is competitive. AvaTrade has covered all the popular instruments, including options.
The are approximately 55 currency pairs. These fall within the range of competitive online brokers.
CFDs include a basic selection of commodities and bonds. They include 5 ETFs and more than 600 shares, dominated by liquid US big tech stocks. AvaTrade also allows trades with some bond funds and 40 different options (via the AVA Options trading platform).
AvaTrade offers social trading through two third-party vendors, DupliTrade and ZuluTrade. Both services allow traders to copy other traders’ activities. The smallest deposit for using ZuluTrade is $500 dollars. It costs $2,000 dollars to trade on DupliTrade.
The table shows popular brokers’ performance based on the number of different instruments they offer:
Learn more about CFDs from our dedicated series:
5. Platform features
AvaTrade provides different platforms serving both advanced traders and beginners. They have a trading app and a separate solution for trading with options.
AvaTrade offers different trading platforms, some for manual others for automated trading. Each platform provides a decent trading experience, presenting a variety of financial instruments to choose from with multiple analytical tools, indicators and charts.
- WebTrader is designed especially for novice traders. Its interface is easy-to-use and there’s no need to download or install anything, and you can access WebTrader from any computer. WebTrader is AvaTrade’s own platform.
- MetaTrader 4, a third-party platform, enables flexible trading environment and it’s available in more than 40 languages.
- MetaTrader 5 is the next generation of the MetaTrader platform, offering more technical analysis tools, order types, timeframes and graphical objects.
- AvaTradeGO is a smartphone app that has a friendly dashboard and some advanced features.
- Automated trading platform enable traders to mirror or copy the trades of others. A trader can copy signals or mirror complete strategies.
We took a closer look at the WebTrader platforms since it’s used by most novice users.
The interface looks nice and clean. The features are logically placed. The search function works without any problems (you can search for any asset or asset category). The portfolio and fee reports are done with clear presented parameters. You can find them under ‘History’ section.
WeTrader has its downsides. You can only use basic order types (market, limit, stop). It’s not possible to set price alerts and notifications.
Besides web trading possibilities, AvaTrade has two mobile trading platforms.
- AvaTradeGo app closely resembles its web solution. It comes with a set of default watchlists, and a volatility protection feature called AvaProtect: a feature, where you can pay a small fee, and AvaTrade protects your losses in that trade. Charting on the app comes with 93 indicators, which are plenty for technical analysis.
- Forex Options app: AvaOptions mobile app removes the need to read a traditional options chain, by reinventing how traders can select their desired strike price, time-horizon, and strategy, from a single screen.
6. Education and research
A highlight is AvaTrade’s educational materials. They offers webinars, tutorials, and ebooks for all trader levels. Many technical tools are available.
AvaTrade’s research option are decent. They differ depending on the trading platform. We tested their basic Webtrader platform. We found its tools easy-to-use and comparable with what other brokers provide.
- Economic data
- News feed
AVATrade’s trading courses and other educational materials are well-organized. They are segmented into beginner, intermediate, and advanced topics. These offer a logical path to skill-building. Several general articles cover many market topics. They have tutorials on each trading platform.
Their materials are segmented into five major subtopics. This lets clients easily find answers to their questions.
You can learn in the following ways:
- Demo account
- Platform tutorial videos
- General educational videos
- Quality educational articles
We liked their video library. It is one of the best in the industry. These videos explain their use:
- Advanced trading tools
- Trading platforms
- Trading strategies
7. Customer service
You can reach AvaTrade through phone, email, or live chat. The response is fastest via live chat. They are not always available by phone.
Customer support is another highlight of Avatrade. They offer a comprehensive FAQ. This will address most inquiries before you need to contact one of their brokers.
AvaTrade offers 24 hour/5 days per week chat andphone support. They have social media portals and online form entry. It takes less than a couple of minutes to receive an answer from a live chat representative. On email, we received answers to our emails within a day. This was quite a fast response.
This is a standard leader in the industry. Too many other online brokers have no phone support.
AvaTrade is well-regulated and must follow the rules of each country in which they trade.
AvaTrade is regulated in six countries, including the United Arab Emirates.
Their global headquarters are in the Republic of Ireland. Their corporate structure has several entities matching their bases of regulated operations. These include Republic of Ireland, Australia, Japan, South Africa and British Virgin Islands. Since February, 2020, AvaTrade is regulated under Abu Dhabi’s Financial Services Regulatory Authority.
AvaTrade’s client accounts have up to €20,000 protection. This insurance is through ICCL, Ireland’s Investor Compensation Company. The broker provides no extra insurance. They do offer negative balance protection, mandated under EU financial regulations.
Licenses and regulations are held in the following areas:
- European Union: AVA Trade EU Ltd is incorporated in Ireland and regulated by the Central Bank of Ireland.
- Australia: Ava Capital Markets Australia Pty Ltd is licensed in Australia by the Australian Securities & Investments Commission.
- International: Ava Trade Ltd is a registered financial services company in the British Virgin Islands. It is fully licensed and regulated by the British Virgin Islands Financial Services Commission.
- Japan: Ava Trade Japan K.K. is licensed and regulated in Japan by the Financial Services Agency.
- South Africa: Since 2016, AvaTrade is part of the South African market. The trading name is ‘Ava Capital Markets Pty Ltd’. They are regulated by the South African Financial Sector Conduct Authority (FSCA No.45984).
- Middle East (Abu Dhabi) AvaTrade is regulated under Abu Dhabi’s Financial Services Regulatory Authority. This covers the United Arab Emirates.
AvaTrade Final Verdict
AvaTrade is not the only online broker in the market. According to the user numbers, it is not the most popular. We think it is a reliable and trustworthy company.
AvaTrade is intuitive and easy to use. Both the web-based platform and the App offer a good user experience. They are straightforward and uncomplicated to work with.
They have an exceptional library of different educational materials. If you don’t plan to trade on AvaTrade, their tutorials and webinars are worth exploring.
One of their biggest drawbacks was their inconsistent spreads. Its inactivity fee is an above-average charge amount. The platform is far from bad, but not intuitive compared to some of their competition.
We recommend Avatrade for all kinds of traders regardless of experience level. We recommend you conduct your own extensive analysis into similar providers.
If you want to compare the AVAtrade platform with other brokers read:
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Providers were also required to fill out a multi-point survey regarding every aspect of their platform. In-person demonstrations and evaluations were provided by the majority of the online providers we reviewed.
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All trading involves risk. More than 80% of investors lose in spread bet and CFD trading. As these complex instruments allow for the use of leverage, there is a high risk of losing more money than you have deposited. Before attempting to participate in spread bets and CFDs, consider how well you understand them and if you can afford to lose your money.
- 0.1 Review summary:
- 0.2 AvaTrade Review and Insights
- 0.3 2. Withdrawals and Deposits
- 0.4 3. Account opening
- 1 You can also request to open a Professional Trading account. This allows you to trade using higher leverage.
- 2 To be eligible for this type of account you need to meet at least 2 of the following criteria:
- 3 Enough trading activity in the last 12-months
- 4 Significant trades on the relevant market. This is an average frequency of 10 trades per quarter over the previous four quarters
- 5 Relevant experience in the financial services sector
- 6 A financial instrument portfolio of over €500,000