Interactive Brokers versus Oanda
Interactive Brokers and Oanda are well-known brokers, catering to retail traders and professionals alike. Interactive Brokers maintains one of the most competitive core trading environments globally, while Oanda focuses primarily on Forex trading.
Beginner traders will find the familiarity of the MT4 trading platform at Oanda beneficial, while Interactive Brokers presents a suite of cutting-edge proprietary solutions developed for advanced traders. The IBKR Campus is an excellent learning platform for new traders, while Oanda offers less educational content.
Both brokers support third-party developers and algorithmic trading, but while Oanda enjoys success in the North American market, Interactive Brokers ranks among the leading brokers internationally. Interactive Brokers also delivers a trader-friendly pricing environment versus a more expensive cost structure at Oanda.
- Features and Platforms
- Available Markets
- Typical Spreads and Fees
- Security and Trust
- Interactive Brokers vs. Oanda - Verdict
Features and Platforms
| Features & Platforms | Interactive Brokers (visit site) | Oanda (visit site) |
 |  | |
| Headquarter: | US | US |
Established : | 1978 | 1971 |
Retail Loss Rate: | 58.4% | 76.6% |
Regulation: | ||
Minimum Deposit: | $0 | $100 |
Demo Account: | ||
Managed Account: | ||
Islamic Account: | ||
Inactivity Fee | ||
Deposit Fee: | ||
Withdrawal Fee | Third-Party | Third-Party |
Funding Methods: | 2 | 3-5 (dependent on geographic location) |
MT4: | ||
MT5: | ||
cTrader: | ||
Proprietary Platform: | ||
Automated Trading: | ||
Social / Copy Trading: | ||
MT4/MT5 Add-ons: | ||
Guaranteed Stop Loss: | ||
Negative Balance Protection: | ||
Bonuses and Promotions: | ||
Unique Feature One: | Broad-asset selection | Excellent MT4 Upgrade with 28 Tools |
Unique Feature Two: | Excellent trading tools | VPS, Autochartist, and TradingView |
Broker Offers: |
Noteworthy:
The Interactive Brokers Investor’s Marketplace offers 1,500+ services, creating a distinct advantage for traders. Interactive Advisors presents passive portfolios from as little as $100.
Available Markets
| Available Markets | Interactive Brokers | Oanda |
| Currency Pairs: | ||
Cryptocurrency Pairs: | ||
Commodities and Metals: | ||
Indices: | ||
Equities: | ||
Bonds: | ||
ETFs: | ||
Options, Futures, and Synthetics: | ||
Maximum Retail Leverage: | 1:40 | Between 1:10 to 1:50 |
Maximum Pro Leverage: | 1:40 | 1:100 |
Traders and investors at Interactive Brokers get access to 135 markets across 33 countries in 23 currencies. It offers one of the most in-depth choices of trading instruments industry wide. It recently added cryptocurrency trading. Oanda focuses primarily on Forex trading, with a smaller choice of commodity and index CFDs.
Typical Spreads and Fees
| Typical Spreads & Fees | Interactive Brokers | Oanda |
Minimum Raw Spreads: | 0.1 pips | 0.0 pips |
Minimum Standard Spreads: | Not applicable | 0.6 pips |
Minimum Commission for Forex: | $2.00 per round lot | $5.00 per round lot |
Commission for CFDs/DMA: | 0.05% per trade | Not applicable |
Commission Rebates: | No | Yes |
Execution Type: | Market Maker | Market Maker/ECN Hybrid |
Interactive Brokers offers clients one of the lowest pricing environments in its commission-based trading accounts, with costs often 50% cheaper than competitors. Oanda counters with a competitive cost structure in its commission-free and commission-based products but cannot match the low fees at Interactive Brokers.
Security and Trust
Interactive Brokers
| Country of the Regulator | Name of the Regulator | License Number |
US | US Securities and Exchange Commission (SEC) | Undisclosed |
Canada | Investment Industry Regulatory Organization of Canada (IIROC) | Undisclosed |
UK | Financial Conduct Authority (FCA) | 208159 |
Luxembourg | Commission de Surveillance du Secteur Financier (CSSF) | Undisclosed |
Ireland | Central Bank of Ireland (CBI) | C423427 |
Hungary | Central Bank of Hungary (MNB) | H-EN-III-623/2020 |
Australia | Australian Securities and Investments Commission (ASIC) | 453554 |
Hong Kong | Hong Kong Securities and Futures Commission (SFC) | Undisclosed |
India | Securities and Exchange Board of India (SEBI) | INZ000217730 |
Japan | Japan Securities Dealers Association (JSDA) | 187 |
Singapore | Monetary Authority of Singapore (MAS) | CMS100917 |
Oanda
| Country of the Regulator | Name of the Regulator | License Number |
Canada | Investment Industry Regulatory Organization of Canada (IIROC) | Undisclosed |
US | US Securities and Exchange Commission (SEC) | Undisclosed |
UK | Financial Conduct Authority (FCA) | 542574 |
Australia | Australian Securities and Investments Commission (ASIC) | 412981 |
Japan | Japan Securities Dealers Association (JSDA) | 2137 |
Singapore | Monetary Authority of Singapore (MAS) | CMS100122-4 |
Interactive Brokers is a NASDAQ-listed company and a constituent of the S&P 400 index. The company remains 81.5% privately held and maintains $6 billion in excess regulatory capital. Oanda and Interactive Brokers maintain an excellent regulatory track record in all their jurisdictions.
Interactive Brokers vs Oanda – Verdict
Interactive Brokers
| Pros | Cons |
| Cutting-edge proprietary trading platforms with support for algorithmic trading | Limited deposit and withdrawal options |
| Industry-leading asset selection and trading costs | |
| Superior trading tools consisting of 1,500+ services | |
| Low-cost passive investments from as little as $100 |
Oanda
| Pros | Cons |
| Excellent 28-tool MT4 upgrade package | Limited asset selection with equities missing |
| Trustworthy broker with more than 25 years of experience | No modern payment processors |
| Competitive pricing environment | |
| Quality market commentary on the Oanda blog MarketPulse |
Interactive Brokers maintains one of the most competitive trading environments industry-wide, including trading platforms, support for algorithmic trading, costs, asset selection, passive investments, and trading services. The educational section remains among the highest quality ones. Oanda counters with a less advanced proprietary trading platform but offers MT4, supporting extensive third-party upgrades. It provides 28 MT4 plugins, creating an advanced MT4 trading experience with a competitive Forex pricing environment.
Interactive Brokers presents 100+ currency pairs with excellent trading costs and full support for advanced trading algorithmic solutions, making it one of the best brokers for Forex traders.
FAQs
Is Oanda the best broker?
The definition of best broker depends on individual trading requirements, but Oanda primarily focuses on Forex trading, where it presents a competitive offer. Overall, Oanda cannot compete with the industry leaders.
Is Oanda a good broker for beginners?
Oanda offers educational content but lacks depth. Beginner traders will benefit from the familiarity of MT4 and its shallow learning curve.
Can I trade forex with Interactive Brokers?
Interactive Brokers presents 100+ currency pairs with excellent trading costs and full support for advanced trading algorithmic solutions, making it one of the best brokers for Forex traders.