Eightcap is an Australian financial services company that offers trading solutions to global customers. The company’s core products are currencies (Forex), commodities, indices, cryptocurrencies, and shares. It operates as Eightcap Pty and Eightcap Global Limited.
The firm was started in 2009 and is headquartered in Australia. It offers its services through ten languages like German, French, Spanish, Bahasa, and Italiano, among others.
Eightcap is regulated by the Australian Securities and Investment Commission (ASIC) and the Vanuatu Financial Services Commission (VFSC).
In conducting this review, we opened a live account and verified most of the claims made by the company. For example, we looked at whether the company is regulated by ASIC and VFSC and checked its spreads.
Eightcap claims to be a globally trusted, solid broker. Does what is on offer live up to the hype?
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ECN / STP
Maximum Retail Leverage
Eightcap is an Australian-based Forex and CFD broker. It serves traders since 2009 and has expanded to five offices globally. The trading environment is secure and trustworthy, with oversight by the ASIC in Australia and the FSC in Vanuatu, and financially secure, as evident in this brokers partnership with Formula One team Scuderia Ferrari for the 2019 and 2020 seasons. Over 200 assets are available from two account types and two trading platforms. High-frequency traders will enjoy a very competitive commission-based cost structure with raw spreads, also ideal for scalpers and other short-term traders.
In-house research is regularly published, and new traders have access to an adequate educational section filled with quality content. While Eightcap claims to build a home for MT4 traders, its offering is lacking the added plugins that other brokers offer. It maintains only the out-of-the-box MT4/MT5 trading platforms, which require third-party plugins to reach their potential and the advertised cutting-edge trading environment. Forex traders have access to the most-traded currency pairs, but the selection requires an upgrade to accomplish more comprehensive market coverage. Equity traders remain confined to the home market of Eightcap, Australia, and Australian traders may give Eightcap a genuine consideration. This broker focuses on the basics and executes them well with untapped potential.Back to Top
Safe Regulation and Security
We always recommend trading with a regulated Forex broker to avoid falling prey to popular brokers and exchanges. A look at Eightcap’s website shows that the company is regulated by two different regulators: ASIC (Australia) and VFSC (Vanuatu).
I can confirm that Eightcap is indeed regulated by these agencies as claimed.
I also did a search of the company’s registration details on the Vanuatu Financial Services Commission website and confirm that the firm is registered there.
It is reassuring to know that Eightcap is overseen by two regulatory agencies, especially a top-tier regulator like ASIC, and that it has been in business for more than 10 years. Longevity is a relatively good predictor of future survival.Back to Top
Eightcap offers two types of accounts that incur differing fees and charges. The raw account type charges a commission that starts at $7 per round trip (trade entry plus exit). Its minimum spread starts at 0 pips. The standard account, on the other hand, charges no commission but its minimum spreads start at 1 pip.
Like most brokers, currency majors like the EUR/USD and GBP/USD usually have a lower spread than minors and exotic pairs. The lowest advertised spread for Forex in the standard account type is 1 pip. However, in most cases, the spread brokers advertise is not usually the one they offer in the live market. At times, the spread depends on the market volatility. So, I went to the live platform to see typical spreads during the London and New York Overlap.
In this case, I saw that the EUR/USD and AUD/USD had a live spread of 1 pip (10 pipettes) each, in line with the advertised minimum, while a minor pair like EUR/HUF had a spread of 141.
The chart below shows the typical spreads for commodities advertised by Eightcap.
Eightcap also charges a swap fee for overnight trades, like almost every other Forex / CFD brokers. You can view the swap rates by going to MT4/5, right-clicking on your preferred symbol, and selecting specification. Finally, you should scroll down to see the swap rates for long and short trades.
Eightcap does not charge any inactivity fee, which is a good thing because several brokers do charge such a fee, typically after no trade has been placed for two or three months. I do not see a good reason why a retail Forex / CFD broker could justify the imposition of such a fee.Back to Top
What Can I Trade
Eightcap is a multi-asset platform that makes it possible for people to trade Forex, commodities, indices, and cryptocurrencies. On its website, Eightcap claims that customers can trade over 200 assets, which is true.
I counted 47 currency pairs offered in both MT4 and MT5. The company offers currency majors and minors, but it does not offer any exotic pairs. I then counted 10 stock indices like the Dow Jones, ASX 200, CAC 40, and FTSE 100. The firm offers 5 commodities like Brent and WTI crude oil, gold, silver, and platinum.
There are 11 cryptocurrencies on offer, which are only available on the MT5 platform. They include Bitcoin, Litecoin, Ethereim, Monero, and Tron, among others. That is a relatively wide range of cryptocurrencies on offer for a Forex / CFD broker.
Additionally, the company offers share trading on over 160 companies through the MT5 platform only. Most of the stocks listed are from Germany, Australia, UK, and the US, with an emphasis on Australia which is not surprising as Eightcap is headquartered there.
While Eightcap easily offers a sufficient variety of instruments to satisfy most traders, I feel that a wider variety would be welcome. For example, it could add more commodities like soybeans, corn, natural gas, platinum, and palladium. Also, it could increase its selection on cryptocurrencies and shares.
Leverage is an important concept in Forex and contracts-for-difference (CFD) trading. Eightcap offers two types of leverages based on the regulator. Its ASIC-regulated business offers maximum retail leverage of 30:1 while its Vanuatu business offers maximum leverage of 500:1.
The table below shows the maximum leverage offered by Eightcap through ASIC. As you can see, these limits are like the maximum leverage allowed under Europe’s MIFID II regulations (ESMA regulations).
Forex, Gold, Silver, Brent, and WTI: 1:500
Minors, gold, and major index: 1:20
S&P 500, Dow Jones, Nasdaq 100, FTSE 100, NIkkei 225, ASX 200: 1:200
Commodities other than gold: 1:10
CAC 40, Stoxx 50: 1:100
Share CFDs: 1:5
Crypto, US stocks: 1:10
Like almost all Forex and CFD brokers, Eightcap operates for 24 hours five days a week. You can trade currency pairs every Monday to Friday for 24 hours. The market opens at midnight on Sunday Sydney time and closes at midnight on Friday.
You can trade shares when the respective market opens. For example, you can trade American shares from 14:35 GMT to 20:55 GMT. Australian shares like BHP and Westpac are traded every Monday to Friday between 10 am and 4 pm Sydney time.
The chart below shows the trading hours for different indices.
The trading hours for cryptocurrencies like Bitcoin and Ethereum are between Monday at 00:01 and Friday at 23:59. All times given are UTC.Back to Top
Eightcap offers three account types. First, there is a 30-day demo account (it expires after 30 days) that gives you access to the company’s products without any risk because it uses fake cash. This account is ideal for beginners or experienced traders who are creating and testing a trading strategy.
Live Account Types
Eightcap offers an ECN “Raw Account” and an STP “Standard Account”. The main difference between these two is the pricing structure. The raw account charges a commission per trade while the standard one charges a spread. A spread is a difference between the ask and bid prices. The commission on the raw account is $3.50 per trade.Back to Top
Eightcap offers the MT4 and MT5 trading platforms for desktop and mobile devices. The desktop software offers more features than the mobile one.
In general, the MT4 and MT5 look the same but the latter has more features.
The most unique feature offered by Eightcap which I was able to note is Capitalised.ai, which is a platform that helps customers create bots using intuitive non-coding language. You use the platform by just connecting it to your MT4 and then adding commands that will be executed. You can create a strategy from scratch or use one of the several prebuilt templates.
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Research and Education
Many brokers provide a comprehensive suite of educational and research content. Eightcap has an educational page that features content on topics like swing trading and technical analysis. This content, however, is not structured as a course. The education page is only available in the English version of the website.
Eightcap also has a market analysis page where it offers insights on the trading day. The page is divided into CFD news, Forex news, and market updates. These analyses are delivered in both video and text format. The content here overall is of quite good quality.
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Eightcap offers customer support in several ways, including a phone call, email, and online chat. I tried each of these three options and the response time was relatively fast for all. There was no long queue when I called. Similarly, my email messages were replied to within seconds. I found the customer service representatives being knowledgeable about the questions I asked.
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Bonuses and Promotions
Currently, Eightcap has a running refer-a-friend promotion, for non-Australian clients only. The referrer earns $100 deposited into the trading account when the referred trader opens and funds their Eightcap trading account.
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Opening an Account
I started by first trying out Eightcap’s demo account and the process was very easy. They just requested my name, email address, country, and phone number. I then went on to download the MT4 after verifying my email address.
Opening a live account with Eightcap was a relatively easy process. Like other Forex brokers, I was asked to provide basic information like my name, country of residence, email address and phone number.
After entering this information, the company sent me a confirmation link to my email, which I used to verify the account easily. The company then asked further details like account type - individual, joint, enterprise - and personal details.
A live chat feature was readily available for me to get any help along the way. I tried using the chat feature and I was impressed by the speed and quality of the response.
In the next step, I was asked to select my account type, preferred trading platform, and the account currency. In this case, I selected MT4, standard, and US dollar.
In this final stage, Eightcap requested my identification documents and a proof of residence. The firm then spent about 12 hours going through my documents and accepted my application. In general, the account opening process ran smoothly and met good industry standards.
I also asked Eightcap about the available options for customers who lack a proof of residence. The company has a process for them to become customers. It includes sending a signed document from a bank manager, magistrate, landlord, immigration officer, notary, police officer, and an accountant.
The minimum deposit in Eightcap for both the Raw and Standard accounts is $100.
Eightcap accepts several payment methods, including:
- Wire transfer
- Credit and debit card
- Poli Payment
- China UnionPay
Eightcap does not charge any deposit or withdrawal fees. However, the respective payment methods will adapt their fees for the transactions. In most cases, the payment will reflect in your account instantly. Some deposit options like wire transfer will usually take a little time to be processed.Back to Top
Deposits and Withdrawals
Eightcap offers multiple ways for customers to deposit and withdraw their funds. The available deposit methods are Visa and Mastercard credit and debit cards, Poli Payment, Wire Transfer, BPay, China Union Pay, Skrill, PayPal, and Neteller. The debit and credit card deposit options accept payments in USD, GBP, EUR, NZD, CAD, and SGD. The deposit option is free and can be done on a 24/7 basis. A bank wire transfer takes 1-3 business days to complete.
BPay and Poli Payment accept only Australian dollars while China Union Pay accepts RMBs only. There are no charges to deposit and withdraw funds although some options have some external costs.
I used PayPal to fund my account and the process was very smooth, taking less than 5 minutes to complete.
The withdrawal process was also swift. You just need to go to your client area, select the payment option, select the trading account you want to withdraw, and confirm the details. The company typically asks several questions and seeks documents for first time customers to comply with KYC and AML laws. This is a common practice among Forex / CFD brokers.Back to Top
- Broker's Name : Eightcap
- Headquarters : Australia
- Regulation : ASIC, VFSC
- Type of Broker : None
- U.S. Clients Allowed :
- Minimum Deposit : $100
- Maximum Leverage : Maximum Leverage 1:30 (or 1:500 for non-Australia clients)
- Commissions / Spreads : Both
- Account 1 : Standard
- Account 2 : RAW
- Demo Account :
- Islamic Account :
- Segregated Account :
- Managed Accounts :
- Deposit Options :
- Withdrawal Options :
- ETFs :
- CFDs :
- Commodities :
- Metals :
- Stocks :
- Oil :
- Gold :
- Binary Options :
- Indices :
- Type of Platform : MetaTrader 4, MetaTrader 5
- Platform Languages :
- OS Compatibility :
- Trading Signals :
- Charting Package :
- Market Analysis :
- Chart Trading :
- Automated Trading :
- Scalping :
- Hedging :
- Mobile Alerts :
- E-mail Alerts :
- Trailing Stops :
- Guaranteed Stop Loss :
- Guaranteed Limit Orders :
- Guaranteed Execution :
- One-click Execution :
- OCO Orders :
- Interest on Margin :
- Web-based Trading :
- Mobile Trading :
- Website Languages :
- Support Hours : 24/5
- E-mail Support :
- SMS Support :
- Chat :
Pros and Cons
Low minimum deposit and high leverage of up to 1:500
Competitive ECN cost structure
Excellent technology infrastructure and seasoned management team
Daily research and quality educational content
Limited asset selection
Eightcap vs Comparisons
We have gathered a list of the top broker alternatives to Eightcap, and conducted an in-depth broker comparison to assist you in choosing the right broker for your trading needs.Back to Top
How much capital do I need to trade with Eightcap?
The minimum deposit is $100 or a currency equivalent, but the total required capital depends on the trader and desired assets. Forex trading carries significantly lower entry requirements than equity trading.
What is the maximum leverage at Eightcap?
Maximum leverage at Eightcap Pty Ltd is 1:30. Maximum leverage for clients trading with Eightcap Global Ltd is 1:500. Leverage is also asset dependent.
Does Eightcap offer a demo account?
Yes, traders may request a demo account from Eightcap. While it expires after 30 days, traders may request an unlimited one by contacting customer support.
How do I open a live account with Eightcap?
An online form processes new account openings. The application button, located in the top-right corner of the website, opens a brief registration form. Account verification is mandatory to comply with AML stipulations. The process follows well-established industry standards.
What can I trade on Eightcap?
Eightcap offers more than 200 assets across Forex, commodities, equity, and index CFDs.
Is Eightcap regulated?
Yes. Eightcap is regulated by the Australian Securities and Investment Commission (ASIC) and the Vanuatu Financial Services Commission (VFSC).
Is Eightcap a market maker?
Yes. Eightcap is a safe broker. It has been in the industry for more than a decade and I did not find any complaints about its safety. It also has a good rating in TrustPilot.
Is Eightcap a good broker?
Eightcap offers a choice of two account types with differing execution models. One is ECN, the other is STP. STP brokers are not strictly speaking market makers but tend to offer similar pricing and execution to market makers.
What is the maximum leverage in Eightcap?
Eightcap has a maximum leverage of 500:1 for its VFSC offering and 30:1 for its ASIC offering.
How much capital do I need to trade with Eightcap?
Eightcap requires a minimum deposit of $100 or its currency equivalent.Back to Top
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