AvaTrade versus FP Markets

With twelve plugins and Autochartist, FP Markets offers one of the more competitive MT4/MT5 environments, ensuring traders have an edge. Its geographically restricted Iress trading platform provides manual traders with a viable alternative. Its proprietary social trading service and Myfxbook Autotrade complement integrated MT4/MT5 solutions while MAM/PAMM modules cater to asset managers.

AvaTrade shines with its choice of trading platforms and the out-of-the-box MT4/MT5 upgraded with the Trading Central plugin at its core. Traders may also opt for the proprietary WebTrader, the mobile app AvaTradeGO, and Ava Option. Social traders can use Ava Social, ZuluTrade, and DupliTrade, and a lucrative partnership program exists.

We have conducted an in-depth review of FP Markets and AvaTrade to determine which presents the better overall choice and which traders will benefit the most at either broker.

Headquarters
AustraliaIreland
Regulators
ASIC, CySEC, FSCAASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, MiFID
Tier 1 Regulator(s)?
Owned by Public Company?
Year Established
20052006
Execution Type(s)
ECN/STPMarket Maker
Minimum Deposit
$100$100
Negative Balance Protection
Trading Platform(s)
MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-basedOther, MetaTrader 4, MetaTrader 5, Web-based+
Average Trading Cost EUR/USD
1.1 pips0.9 pips
Average Trading Cost GBP/USD
1.4 pips1.5 pips
Average Trading Cost WTI Crude Oil
$0.04 $0.03
Average Trading Cost Gold
$0.21 $0.29
Retail Loss Rate
70.70%77.82%
Minimum Raw Spreads
0.0 pipsNot applicable
Minimum Standard Spreads
1.0 pips0.9 pips
Minimum Commission for Forex
$6.00 per Round LotCommission-free
Islamic Account
Signals
US Persons Accepted?
Managed Accounts
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Features and Platforms

MT4
MT5
MT4/MT5 Add-Ons
cTrader
Proprietary Platform
Automated Trading
Social/Copy Trading
DOM?
Guaranteed Stop Loss
Scalping
Hedging
One-Click Trading
OCO Orders
Interest on Margin
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Noteworthy:

FP Markets and AvaTrade offer beginner traders quality education and actionable research, but the AvaTrade academy, SharpTrader, spun out into a separate business unit, is one of the best educational resources.

Available Markets

Currency Pairs
Cryptocurrencies
Commodities
Crude Oil
Gold
Metals
Equity Indices
Stocks
Stocks (non-CFDs)
Bonds
ETFs
Options
Futures
Synthetics
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FP Markets offers an excellent equity-focused asset selection in its Iress platform and an above-average choice of 1,000+ asset in MT5. Both brokers present an average number of currency pairs for Forex brokers, but all AvaTrade clients get a balanced selection of trading instruments, including options. Neither broker caters very well to cryptocurrency traders.

Typical Spreads and Fees

Average Trading Cost EUR/USD
1.1 pips0.9 pips
Average Trading Cost GBP/USD
1.4 pips1.5 pips
Average Trading Cost WTI Crude Oil
$0.04 $0.03
Average Trading Cost Gold
$0.21 $0.29
Average Trading Cost Bitcoin
$13 $39
Minimum Raw Spreads
0.0 pipsNot applicable
Minimum Standard Spreads
1.0 pips0.9 pips
Minimum Commission for Forex
$6.00 per Round LotCommission-free
Deposit Fee
Withdrawal Fee
Inactivity Fee
No$50 quarterly after 3 months
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Trading costs are notable cheaper for Forex traders in the commission-based FP Markets account versus the commission-free AvaTrade alternative, by up to 50%. Equity traders may achieve lower trading fees at AvaTrade versus FP Markets, but it remains asset-dependent, as AvaTrade features commission-free trading with higher mark-ups.

Security and Trust

Country of the Regulator
Australia, Cyprus, South AfricaUnited Arab Emirates, Australia, Ireland, Israel, Japan, British Virgin Islands, South Africa
Name of the Regulator
ASIC, CySEC, FSCAASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, MiFID
Regulatory License Number
286354, 371/18, 50926C53877, SIBA/L/13/1049, 406684, 45984, 1662, 190018, 514666577
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Both brokers segregate client deposits from corporate funds and offer negative balance protection. FP Markets serves non-EEA and non-Australian clients from its unregulated but duly registered St. Vincent and the Grenadines subsidiary. AvaTrade has more regulatory licenses, but the trading environment is not equally competitive, dependent on the regulator. From a security and trust perspective, both rank equally.

FP Markets vs AvaTrade – Verdict

FP Markets

ProsCons
Choice of trading platforms and auxiliary trading tools Availability of Iress geographically restricted
Very competitive cost structure and excellent asset selectionLimited commodities and metals selection
Low minimum deposit requirement and leverage of up to 1:500
Well-regulated and trustworthy

AvaTrade

ProsCons
High-quality educational offering via SharpTraderHigher trading costs typical for commission-free brokers
Excellent choice of trading platforms catering to various trading needs
Broad asset selection and cross-asset diversification opportunities
Well-regulated and trusted broker with oversight from a central bank

AvaTrade is an overall competitive brokerage, where the geographic location makes a difference, but services are equally available. Traders must accept higher trading costs but get an excellent choice of trading platforms. FP Markets remains a better overall choice for Forex traders due to lower trading costs and deeper liquidity. It also provides more competitive MT4/MT5 trading platforms due to its upgrades.

You might also be interested in reviewing the below broker comparisons:

FAQs

Does FP Markets have a no deposit bonus?

FP Markets presently lists no deposit bonuses but had such campaigns in the past and may introduce them during promotional campaigns, including a no deposit bonus.

Does FP Markets have commissions?

FP Markets charges commissions for equity traders and features one commission-based Forex account, where costs are notably cheaper than its commission-based alternative.

Is FP Markets regulated in the UK?

FP Markets is not regulated in the UK but caters to UK traders from its international subsidiaries.

Is AvaTrade SEBI registered?

AvaTrade does not have a SEBI license but accepts Indian traders from its international subsidiaries.

Is AvaTrade regulated in South Africa?

AvaTrade maintains a South African subsidiary with a regulatory license from the FSCA.

Is AvaTrade legal in the USA?

AvaTrade does not accept US-based traders as it has neither presence nor regulation in the US.

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