Forex offers an opportunity that allows one to invest money with the aim of making more money. There exist many foreign brokers hence the investor should be keen to avoid scams. The brokers are essential in trading binary options, forex, crypto-currencies, stocks, among many others. Due to the mushrooming of forex brokers, it is a challenge determining the legitimacy of a broker. In the article, IQ Option, FXTM, and Forex.com shall be discussed since they have proved to be the best.
The top picks are as shown in the table below.
|BROKERS||MINIMUM DEPOSIT||MINIMUM SPREAD||CURRENCY PAIRS|
|IQ Option||$10||3 pips||29||1st Choice|
|FXTM||$10||0.1 pips||57||2nd Choice|
|Forex.com||$50||0.97 pips||50||3rd Choice|
IQ Option is another financial services provider based in Cyprus. The company is authorized to offer financial services to people from European Economic Area under the CIF licence. The company is popular due to its reliability and the quality of services. IQ Option receives regulation from the Cyprus Securities Exchange Commission. The company also belongs to the Investors Compensation Scheme. The act is essential since all the investors’ money is protected up to a maximum of 20,000 euros.
The company provides a proprietary platform aimed at catering to the trading needs. The platform has a large chat essential to the traders. Besides, it has a wide selection of trading tools. Also, new features such as position top-up increases the flexibility of the investors.
IQ Option offers free mobile trading app. The app enables the clients to execute duties, check the status of the account, and be updated on matters in the market.
Trading Accounts Offered
The company offers three accounts namely the VIP account, demo account, and standard trading account. A minimum deposit of $10 is required to open a standard account. It is the best forex account for beginners. Opening a VIP account requires a minimum deposit of $1900. On the other hand, the demo account is provided for free and it comes pre-loaded with practice money amounting to $1000.
Bonuses and Promos
IQ Option does not give any deposit bonuses. The only promotion offered is the trading competition. The prizes for the competition lies between $100 and $100,000.
Assets at IQ Option
The traders can trade in over nighty different underlying assets. The assets include market indices, selection of currency pairs, commodities and stocks. Besides the company has added twelve different kinds of crypto-currencies to trade in. things such as gold, oil, and silver were also added to the Digital trade’s asset lists.
The support services are available twenty throughout the day and night. Lice chats, email, and telephone are the means of communication. The company has also translated the website into many different languages.
Trading Costs and Fees
IQ Option is very transparent. Trading cost is determined by spreads, dormant account fees, swap fees, commission and withdrawal charges.
Deposit and Withdrawal
The company has provided several methods for money transfer. The methods include ewallets, credit cards, and bank wire transfer. The allowed credit cards are MasterCard, Maestro, and Visa. Processing of withdrawals usually takes one business day. However, for bank wire transfer and credit cards, the process can even take 10 business days.
IQ Option is certainly one of the best forex trading platform for beginners.
FXTM is a global FX and CFD broker. The company is regulated by various bodies such as the Cyprus Securities and Exchange Commission (CySEC) and Financial Conduct Authority (FCA). Due to leverage, one should been keen when trading CFDs because of the risk of losing money rapidly. The customer service is excellent since provides relevant answers quickly. The service provider can be contacted in many different languages. The account is digital and opening one is faster. Besides, there exist many educational tools such as live webinars and demo account. FXTM is one of the best forex trading platform uk for beginners.
Pros of FXTM
- The customer service is excellent.
- Modern and fast account opening
- The educational tools are great.
Cons of FXTM
- It charges inactivity and withdrawal fees.
- There is a limited product portfolio
- The stock CFD fees tend to be high.
FXTM Trading Fees
The trading fee of FXTM is low. Several account types are offered and have varying fees. The ECN charges a commission but it has low spreads. A typical trade entails buying a leveraged position, keeping it for a week then selling it. The type of account determines the forex fee. For instance, the standard accounts do not charge commissions but there is increased spreads.
Real Stock Fees
One can trade with real stocks even when a non-client. The real stocks are from NASDAQ and NYSE stock exchanges. The fee is comprised of a commission and a small spread.
The non-trading fee of the FXTM is higher. After six months of inactivity, the client is charged $5 each month. Besides, numerous methods of withdrawal attract a fee. However, the company does not charge any fee on deposit and account. The withdrawal fee differs depending on the country, currency, and method used.
Account Base Currencies
The clients can select from the four currencies that is EUR, GBP, NGN, and USD. NGN is only meant for the residents of Nigeria. Investors do not pay the conversion fee when they fund the bank accounts using similar currency as that of the bank account. Opening a multi-currency bank account enables the client to save on currency conversion fee.
Web Trading Platform
The MetaTrader provides a platform of FXTM.
Pros of the Platform
- It has a clear fee report
- Allows order confirmation
- Shows a nice customizability
Cons of the Platform
- There is no price alerts
- There is no two-step login
Desktop Trading Platform
Pros of the Platform
- There are price alerts
- It has a clear fee report
- Customizability is excellent
- It has no two-step login
Mobile Trading Platform.
FXTM has a good mobile trading platform.
- It is user-friendly
- The search function is good
- Price alerts are available
- There is no two-step login
- Confirmation of order is not available
- No face/touch ID login.
Forex.com is a forex trading company founded in 2001. It is one of the forex trading brokers for beginners.
Pros of Forex.com
- The company is greatly regulated.
- It is highly desktop functionality and mobile.
- The TradingView charts are all built into a platform
Cons of Forex.com
- When compared to the international brokers, the company has higher spreads.
- There is no existence of negative balance protection.
- In the United States there is no crypto-currency trading.
- For small traders, it is only a small rebate.
The platforms on the Forex.com accommodate both the occasional long-term investors and active day trading clients. For the desktop experience one is recommended to select either MetaTrader 4 (MT4) or advanced trading platform.trading on mobile smart devices requires either MT4 or Forex.com app. On the platforms, the Forex.com analysts provide market analysis, access trade signals, research reports, economic calenders, see positions, order history, and news. Integration of the Forex.com with NinjaTrader is also possible.
The mobile app provides traders to have access to the accounts. Through the technology, the investors are able to view charts and trade history, deposit or withdraw money, access news, and create watchlists. The major setback is the charting feature. Common indicators such as MACD, RSI, and moving averages are in limited number. However, full order functionality is provided besides the ability to place stop losses easily and conditional orders.
Investors located in the United States have an access to eighty three pairs. The case is in additional to unleveraged silver and gold. Clients not in the U.S. have the access to all forex pairs besides CFDs on stocks, indexes, and commodities. Crypto-currency trading is offered in the United Kingdom. Fifty units of the account currency is required to open an account. $100 is the little trade size on the currency.
The investors can contact Forex.com through various means. For instance, live phone support, online chat, extensive tutorials and FAQ on the website are the major ways. The phone support and online chat are provided to both the prospective and current investors. The chat support is in terms of Chabot. The scenario limits the number of questions to be asked.
Commission and Fees
Forex.com do not connect raw prices offered in the market with the clients’ orders. The company instead marks the price up a bit facilitating a larger spread. There is no mark-ups on spreads offered by the Direct Market Account but a commission is charged. The standard account features bigger spreads but a commission is not provided. The commission account has less spreads and quite lower commissions as compared to the DMA. The Active Trader Program is open to any individual who opens an account with at least $25,000. The account is also available to clients who trades $25,000,000 in a month. The ACH and checks are free during withdrawals. $25 fee is incurred in wire transfers under $10,000. The wire transfers exceeding $10,000 are free.
Is Forex.com, FXTM, and IQ Option the Best Forex Trades for Beginners?
The three companies have proved to be transparent in costs and fees. IQ Option provides CBDs allowing clients to open and close any time hence proving appropriate for day trading. The three brokers are also regulated preventing instances of being conned. The trading platforms and customer support are also excellent. It is for the named reasons that the companies are recommendable.