ActivTrades Logo

Welcome to our ActivTrades review. ActivTrades is an online Forex and CFD broker that was founded in 2001 in Switzerland. It moved to London in 2005, where it is licensed as ActivTrades PLC, with offices in other financial centers around the world, including Dubai. Another entity of the brand is incorporated in the Bahamas as ActivTrades Corp. The broker offers more than 500 financial products across various asset classes, such as Forex, indices, commodities, Cryptocurrencies, stocks, and ETFs.

Pros

·        ActivTrades PLC is licensed and regulated by the Financial Conduct Authority (FCA) in the United Kingdom.

·        Clients’ funds are securely held in segregated client accounts in some of the biggest banks in the world.

·        Negative balance protection.

·        In addition to offering the full suite of MetaTrader 4 and MetaTrader 5 platforms, ActivTrades has its proprietary trading platform.

·        ActivTrades provides free trading tools, such as Smart Pattern, Smart Order, and Smart Forecast.

·        It has a multilingual customer support service.

Cons

·        Its educational resources are very basic.

·        It does not offer weekend cryptocurrency trading.

·        At $500, its minimum deposit is rather on the high side. 

Overall Ranking

Overall

Investment Opportunity

Commissions & Fees

Safety 

Research

Smartphone Usage

Customer Service

Education

Platforms & Tools

3/5
3.5/5
3/5
4/5
0/5
5/5
4/5
1/5
4/5

Overall

4/5

Investment Opportunity

3.5/5

Commissions & Fees

3.5/5

Safety 

5/5

Research

3.5/5

Smartphone Usage

5/5

Customer Service

4/5

Education

3.5/5

Platforms & Tools

5/5

Extended Review and Information

Founded in 2001 in Switzerland, ActivTrades has grown to become a global brand in the retail Forex industry. The broker has multiple entities that are incorporated in different countries.

It provides its clients with the MetaTrader 4 and MetaTrader 5 trading platforms, as well as its proprietary platform, ActivTrades platform. With ActivTrades, traders can access the Forex, indices, commodity, stock, ETF, and cryptocurrency markets.

How to Open your Account

It is often advised to open a demo account first and hone your trading skills in a risk-less atmosphere before opening a live trading account. This broker provides you with the opportunity to trade on a demo account funded with virtual currency.

Opening a live trading account with ActivTrades is not difficult. Just click on the ‘open an account’ button and supply the necessary details, including the type of account you want. The broker offers two account types — Individual account and Professional account. Professional accounts are not subject to ESMA restrictions on leverage limits (30:1 in the United Kingdom). The minimum deposit required to trade with this broker is $500. We found this to be a barrier to entry for beginner traders, and many other brokers do not force such high minimum deposits, for example eToro with a $200 minimum deposit.

Trading Instruments Available

ActivTrades offers up to six asset classes, which include Forex, commodities, stocks, ETFs, indices, and Cryptocurrencies. Clients can trade 47 currency pairs, across the major, minor, and exotic currency pairs.

The broker also provides CFD trading on two metals, 15 indices, 517 single equities, and seven futures contracts. Both individual and professional account types have access to these assets. Upon our ActivTrades review, we found that on average, this is quite a low amount of trading instruments to provide. Other brokers provide many more trading instruments. However, ActivTrades does cover all popular and major instruments.

Deposits and Withdrawal Methods

Our ActivTrades review found that you have several ways to fund your account, such as bank wire transfer, debit/credit card, PayPal, Neteller, Sofort, and Skrill. Some of these methods can attract charges, and the processing time is different. Please refer to the broker’s website for more information.

Withdrawals can be made through the same channels. It is important to note that PayPal and Sofort are only available for clients in the United Kingdom and UAE.

Interface

ActivTrades provides its clients with the MetaTrader 4 and MetaTrader 5 platforms, which are the most widely used trading platforms in the world. ActivTrades also has its own trading platform, which comes with advanced features such as Progressive Trailing Stops. All the platforms are available on web and desktop applications, and there are mobile apps for Android and iOS devices. Our review of the ActivTrades interface resulted in highly positive feedback. A wide array of platforms will allow you to trade as comfortably as possible, with a multitude of tools at your fingertips.

Education and Research

The broker has some educational articles, but they are mostly guides on how to use the various trading platforms and the Smart Tools. The only available educational resources for learning how to analyze and trade the markets are previous webinar videos, which there are a very finite amount of.

On the aspect of research, our ActivTrades review discovered that they have an active blog for market analysis. In addition, the broker offers a variety of unique proprietary trading tools for both the MetaTrader 4 and MetaTrader 5 trading platforms, such as Smart Order, Smart Pattern, Smart lines, and Smart Forecast. It is rare for a broker to provide such quality 3rd party content for its users.

However, it must be noted that despite the blog, the use of 3rd party content, and previous webinars, we believe that it would be great for ActivTrades to provide some more content for beginners to help get them off on the right foot. 

Are you looking at learning how to trade? Why not go to our lessons page to begin your journey?

Commissions and Fees

Just like most brokers, the spreads vary for different assets. The average spread for EUR/USD, which is the most actively traded currency pair is 0.9 pips, and it’s the same for both the individual account and the professional account. In addition to the spreads, commissions are charged for some assets. For instance, a minimum of €1 commission is charged, in addition to the spreads, for European stocks. Trading U.S. stocks or ETFs even attract an additional €1 per month for the market data.

The 0.9 spread for the EUR/USD is a fair price, but other broker reviews have shown to be much more competitive with their prices. Additionally, the commission on stocks and ETFs are simply too high when compared to other brokers. Therefore, our ActivTrades review suggests that it may not be the optimal platform for active traders and scalpers, as the overall fees will decrease profitability massively over time.

Customer Support

The broker has a highly responsive customer support service, which provides 24 hours a day support to traders, from Sunday to Friday. Customer support channels include live chat, phone lines, emails, and call back forms, and clients can communicate in multiple languages, including English, French, German, Spanish, Italian, Russian, Chinese, and Arabic

There is also a comprehensive FAQ page on its website which answers most of the common queries clients have. We have not seen many other brokers providing such broad customer support. 

Awards

ActivTrades has won a lot of awards over the years, and these are some of them:

·        Best Online Trading Services in 2017, from ADVFN International Financial Awards

·        Best Execution Broker in 2017, from Le Fonti

·        Best Customer Support in 2016, from Agence IAT Grand Prize Excellence

·        Most Trusted Forex Broker 2016 – 16th MENA Forex Show

·        Best Forex Broker 2015 – 15th MENA Forex Show

Regulations and Jurisdictions

ActivTrades operates different entities in different jurisdictions, and they are regulated by the corresponding agencies. In the UK and the UAE, it operates as ActivTrades PLC, which is authorized and regulated by the Financial Conduct Authority (FCA) in the UK and the Dubai Financial Services Authority (DFSA) in the UAE. The brand is incorporated as ActivTrades Corp in the Bahamas, which is licensed and regulated by the Securities Commission of the Bahamas (SCB).

 

In the event of insolvency, traders in the UK are compensated under the Financial Services Compensation Scheme (FSCS) up to £50, 000, and the broker offers additional protection up to £1,000,000.

Conclusion

Being regulated in multiple jurisdictions, ActivTrades ranks high on the aspect of trust. Additionally, it protects its clients against negative balance and provides extra insurance for U.K. traders. However, it needs to do more in trading education and research and not completely rely on 3rd party resources for everything, although the direction to these 3rd parties given is helpful to beginner and intermediate traders.

Overall, we highly recommend this broker to intermediate and higher-level traders, and we would also advise newer traders to join ActivTrades too, however the minimum deposit of $500 may make trading seem a bit daunting to those just starting out. 

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69.6% of retail investor accounts lose money when trading with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. This does not constitute as investment advice or personal recommendations as your specific financial circumstances have not been considered. No warranty is given in regards to the accuracy and completeness of information. Past performance is not an indicator of future results.

This website and the information provided does not constitute investment advice or personal recommendations as your specific financial circumstances have not been considered. No warranty is given in regards to the accuracy and completeness of information. Past performance is not an indicator of future results. The information given is a reflection of opinion. Trading CFDs on leverage involves significant risk of loss to your capital.