Home How We Analyze Forex Brokers

How We Analyze Forex Brokers

We do our best to offer an objective analysis of the leading forex brokers around the globe. And to achieve this unbiased review, we use up to 3180 data points gathered over almost six months of focused research. All our assessments come with an error rate as low as 1% per year, which is why you can be sure you will get only trustworthy and quality information.

What Devices Did We Use In Our Testing?

All of our assessments used the devices listed below.

For all of our device analyses, we used an 802.11n wireless Wi-Fi connection. Also, when this connection wasn’t available, we used a 4G connection. Unless otherwise indicated, all sites and web-based platforms were accessed using the Google Chrome Browser.

Our primary testing device was a MacBook Pro Retina 12″ with an 8 GB LPDDR3 RAM, a 1.2 GHz Intel Core m5, Intel HD 515 1536 MB Graphics card, and storage capacity of 500 GB SSD running macOS Catalina.

Our second testing device was a Samsung Galaxy S8+ with a 6.2″ 4K Super AMOLED (2960×1440) display. It had 4GB RAM, along with a 64-bit Octa-Core Snapdragon 835 Processor 2.45GHz, running the Android 9 Pie operating system.

What Categories Did We Use In Our Review?

Our reviews are the result of the 105 variables needed for the most accurate data results. These variables include:

Category

Weighting

Research

17%

Commissions & Fees

17%

Platform & Tools

17%

Offering of Investments

17%

Customer Service

17%

Education

5%

Mobile Trading

10%

What Scoring Strategy Did We Use For Our Categories?

We offered the ‘Best in Class’ distinction for all the categories mentioned above, along with secondary groups: Professional Trading, Crypto Trading, Social Copy Trading, MetaTrader, Ease of Use, Beginners, Trust Score, and Overall. These distinctions refer to achieving a ranking in the top seven for that category.

Keep reading for a more detailed explanation about our category scoring.

The “Yes/No With Opinion” Distinction

Each ‘Yes’ answer received points. The number of points offered was linked to the variable. As a result, the total number of ‘Yes’ responses was divided by the total points needed to calculate a final Yes/No score.

This Yes/No score for a category was matched with an opinion score. The opinion score goes from 1 to 10, with 1 meaning ‘Terrible’ and 10 meaning ‘Excellent.’ As a result, the Yes/No score differs for each category based on the opinion score variation. As an example, you can have a 65% Yes/No score and 30% opinion score. The classes we assessed with the Yes/No distinction are Platforms & Tools, Offering of Investments, Mobile Trading, Education, and Research.

The Customized Distinction

For the Customer Service, and Commissions & Fees categories, we used additional scoring parameters. The first factors we analyzed were distinct trade scenarios. As an example, the USD/EUR spread is a standard pair that can be used to compare across brokers. Brokers receive points based on how competitive their prices were when compared to their peers.

These multiple scenarios resulted from various factors. We also analyzed distinct investors for a month, along with account costs for maintenance, VIP, or active trader fees. Our purpose was to establish an “all-in” price for each trade. We then assessed all this information to reach a reliable Commissions & Fees score.

On the other hand, for the Customer Service scoring, we use the data offered by a trustworthy research group. Their research was done via phone tests from an international broker headquarters in the United Kingdom. A series of tailored questions was used to reach a real conclusion about each broker, and as many as 330 tests were done to produce a reliable score.

Conclusion

In the end, all tests were set up into three distinct groups. A score was given based on the performance demonstrated and responses given by each broker within a controlled timeframe. Also, we use a Net Promoter Score to rate our overall experience. For our reviews, the Net Promoter Score receives 50%, the representative assessment 35%, and the response time 15%. All of this data is was put together to establish the Overall score for the Customer Service category.