AvaTrade Broker Review

Written by Richard Perry

Richard Perry

Richard Perry is a recognised expert in technical analysis and market strategy, with significant experience in currency and equity markets. He has set up his own shingle called Perry Market Analysis, providing consultancy analysis of major markets, including research via webinars, videos and written analysis.

, | Updated: May 13, 2025

If you are a retail trader looking for a forex broker, then AvaTrade is certainly an option you should consider. With protection against potential excessive losses and solid social trading functionalities, AvaTrade is great for newbies and intermediate traders alike.

In this broker review, we will highlight all the important factors you need to consider when deciding whether AvaTrade is the right broker for you. The broker has earned an aggregate score of 4.6/5 on Trustpilot’s website. The score is based on a total of 9,623 customer reviews as of May 12, 2024, with 76% of them giving a 5-star score and 13% of customers rating the broker’s services with 1 star.

Key Pros and Cons

If you are tight on time, here are a few key pros and cons to consider before you start using the services of AvaTrade.

Company Information

AvaTrade was founded in 2006 by Emanuel Kronitz and Negev Nosatzki. The company started its life under the brand name AvaFX, but branched out to become a cross-asset brokerage firm and rebranded as AvaTrade in 2013.

The broker’s global client base has now grown to over 300,000 registered traders, who place over 2 million orders per month and generate a monthly trading volume of over $70 billion, according to AvaTrade.

A Global Presence – The company has its headquarters in Dublin, Ireland, but also maintains regional offices in several other countries, including:

Management

The AvaTrade management team is also highly experienced as each of its members boasts a solid industry background.

They are headed by CEO Daire Ferguson (former Senior Treasury Manager of Bristol Myers Squibb), CFO Sairi Hemmendinger (previously working for PwC), and Chief Compliance Officer Ian Webb, who was formerly employed by Citco Bank Nederland and Deutsche Bank.

Why Trade with AvaTrade?

If you are in a bit of a rush, here are some of the most important features of trading with AvaTrade that we like.

Regulation

Most discussions of a broker’s regulation tend to revolve around the number of licenses it holds. This is because the more regulatory bodies oversee the broker, the more it has to adhere to the rules.

AvaTrade boasts a solid regulatory background, considering its divisions fall under the regulatory scope of several financial watchdogs. Here is a breakdown of all regulators overseeing the broker:

Importantly though, there is one interesting omission from the list of regulators as the broker does not hold a license from the UK’s FCA (Financial Conduct Authority). The FCA is a world-renowned regulator, requiring stringent compliance from the brokers it oversees. The company still complies with the 1:30 cap on retail leverage under its CySEC and CBI licenses but services customers from the UK with its CBI license. Professional traders from these regions can access leverage of up to 1:400, however.

AvaTrade’s licenses enable the broker to cater to the diverse needs of clients the world over. Traders must simply decide which entity best fits their needs and register there.

As is so often the case with brokers from outside the US, AvaTrade lacks authorization from the Commodities Futures Trading Commission (CFTC). Despite this, AvaTrade does have a partnership with the Canadian broker Friedberg Direct, which provides Canadian traders with access to the AvaTrade product suite.

While having many licences certainly improves the level of trust, the absence of UK authorization is considered a downside. However, AvaTrade compensates for this omission by holding licenses from multiple other strict regulators.

KYC Procedure for Account Creation and Depositing

We signed up to join AvaTrade and it took us about ten minutes to complete our registration. The questions and information asked were all fairly basic and typical of what you are required to do when signing up for a broker.

Just go to the website and click the “Register Now” button to get going. Here are the steps that we had to take to sign up:

1. Add Contact Details – add in your name, email address and telephone number. Or simply use your Facebook or Google logins.
2. Further Contact Details – enter your date of birth and address.
3. Trading Experience – answer the questions about how much you have traded in the past year and what volume.
4. Trading Knowledge – assessment of your professional qualifications and experience in leveraged trading.
5. Choose a Password – select a strong password for your account.
6. Choose Your Platform – the broker offers MT4, MT5, and AvaOptions
7. Select Your Base Currency – the options include USD, EUR, GBP, and CHF.
8. Financial Status and Funding – finally, you are required to disclose your estimated annual income, your savings, how much you intend to invest and the source of your funds. This may seem a little uncomfortable to you, but is, nonetheless, a standard industry requirement.
9. Now that you have set up your account, you must upload some documents for AvaTrade to check. You will be asked to prove your identity and provide proof of address.
10. Proof of ID – you must prove your identity by uploading photos of one of the following documents:
    • Passport
    • National ID card
    • Driver’s License
11. Proof of residency – upload a photo of a utility bill or bank account statement.
    When you complete your registration and upload your documents, you must wait for AvaTrade to verify your account. The verification is done within one business day.

    However, there is also one more thing before you can start trading, as you must fund your account. To open a Standard account with AvaTrade, there is a minimum deposit requirement of $100 (or €100/£100).

Account Types

Broadly speaking, there are two main accounts that you can open with AvaTrade:

• Standard Account – this is the default account option for all retail traders.
• Professional Account – qualifying traders are offered narrower spreads and higher leverage limits.

There are three significant differences between Professional and Standard accounts.

• Spreads are tighter for professional traders.
• Leverage limits are much higher with professional accounts.
• Cryptocurrencies can be traded with leverage of 1:2 or 1:100, depending on the account type.

The qualifying criteria for professional accounts are quite stringent:

1. Trading Activity – over 10 large-volume transactions per quarter over the past four quarters.
2. Experience – having professional experience in the financial sector for at least one year.
3. Portfolio Size – its size should be greater than $500,000.

Other Available Accounts

Other accounts are available but they come with some restrictions:

• Spread Betting Account – Clients in Ireland can open a spread betting account. This is similar to a CFD trading account, but the earnings are generally not subject to capital gains taxes.
• Islamic Account – Traders who comply with the Sharia law and profess Islam have access to swap-free accounts without overnight financing charges (interest).
• AvaOptions – A Vanilla Options account is also available to sufficiently experienced customers.

What You Do Not Get at AvaTrade

It is also important to consider the account types and functionalities that are unavailable at AvaTrade. Here are several account features AvaTrade does not offer but some other brokers do:

• STP or ECN Accounts – All accounts at AvaTrade rely on the dealing-desk order execution model, which means you cannot get direct market access at AvaTrade and accounts with spreads from zero pips are unavailable.
• Guaranteed Stop-Loss Orders – Some brokers offer guaranteed stop-loss orders to help protect traders from fast-moving and gapping markets but AvaTrade does not offer this feature. The broker compensates for this omission with AvaProtect, which covers your trading losses within a specific period in exchange for a small fee.

Trading Fees and Other Costs

All brokers need to earn money in some way, with clients’ trading costs covering the brokers’ operational expenses and allowing them to offer their services. It is preferable for trading costs to be as low as possible, as no one likes spending their hard-earned money on covering high expenses.

There are several types of trading costs you can incur and generally, they can be divided into two categories:

• Trading Fees – spreads, commissions, and overnight financing charges.
• Non-Trading Expenses – account opening, inactivity, and currency conversion fees.

Let’s break these down into sections and see what they are at AvaTrade.

Trading Costs

AvaTrade is a market maker operating its own dealing desk, and can generate revenue in one of two ways:

• Firstly, from the spreads incorporated into trades. This is the difference between the bid price (the price you get when you sell) and the ask price (the price you get when you buy).
• Secondly, market makers can act as counter parties, taking the opposite side of client positions. When the trader makes a profit, the broker loses money, and vice versa.

At BestBrokers.com, we will tell you all there is to know about the trading and non-trading costs at AvaTrade so that you can easily determine whether the broker is suitable for you or not.

Spreads

We believe that AvaTrade’s spreads are competitive. As a result of the dealing-desk model, AvaTrade offers fixed spreads. This is good because you always get the same spreads, no matter when you trade. Some brokers with variable spreads tend to offer better trading conditions but prices at AvaTrade are still favorable compared to other market makers.

Commodity trading is subject to standard spread or ‘Spread Over Market.’ For example, the typical spread for trading gold CFDs is 27 pips.

The table below shows how AvaTrade compares to its closest competitors when it comes to the most widely traded forex pairs. On average, some rival brokers tend to have wider spreads, although this is not always the case. Their minimum spreads are sometimes lower than AvaTrade’s fixed spreads.

Commissions

AvaTrade charges no commissions as it profits mainly from the spreads.

Financing Charges

You incur these charges when holding open positions overnight. The fees change daily, depending on the interest rates of the currencies involved in a pair. Based on the direction of your position, these swaps can be negative or positive.

The formula for calculating overnight financing charges that AvaTrade uses is fairly standard and is as follows:

Trade Amount x Daily Interest Rate = Overnight Financing Fee Paid

Deposit Fees

AvaTrade has zero deposit fees, a fairly standard policy at most brokers. For more details, see Deposit Methods.

Withdrawal Fees

AvaTrade has no withdrawal fees, which is also very good. Some brokers charge extra for second withdrawals requested within the same month and the additional fees often start from $25 for wire transfers. For more details, see Withdrawal Methods.

Inactivity Fees

Despite the lack of deposit and withdrawal fees, you may have additional costs if your account remains inactive for a certain period.

If you have not used your account for two consecutive months, you will incur an inactivity fee of $10 or the equivalent in your base currency. The fee is charged on a monthly basis and is deducted from the client’s available live balance.

Compared to most brokers, this fee is relatively low. On the downside, inactivity fees typically range from $10 to $15 per month and are deducted after one year of dormancy. You could say that 24 months is a relatively long timeframe, 12 months is average and 6 months is a short timeframe. AvaTrade’s inactivity fees kick in after just 2 months.

Administration Fees

There is one more inactivity charge to consider. On top of the monthly inactivity fee, you will be charged $100 annually after one year of dormancy.

If you trade in US dollars, have a balance below $2,000, and have not used your account for 12 consecutive months, you will be charged a $220 inactivity fee ($10 monthly fee for 12 months plus a $100 annual administration fee). This is hugely expensive compared to rival brokers:

• Forex.com only starts charging an inactivity fee of $12 per month after 12 months.
• OANDA charges a $10 inactivity fee per month after 12 months.

Overall on Fees

AvaTrade compares well to rival brokers in terms of trading costs, offering low fixed spreads and zero commissions. Another thing we like about this broker is the absence of deposit or withdrawal fees. However, AvaTrade imposes high administration fees on top of standard inactivity charges, which is rarely seen at other brokers.

All in all, AvaTrade is a bit of a mixed bag when it comes to overall expenses, offering significantly better trading conditions to active customers.

Desktop Trading Platforms

AvaTrade has a few platforms you can trade on. Let’s start by looking at the main options available:

• WebTrader – AvaTrade’s proprietary browser-based platform.
• MetaTrader 4 – MT4 is still considered the benchmark platform for retail traders.
• MetaTrader 5 – MT5 is the upgraded version of MT4.

Now, let’s have a look at each platform in more detail:

WebTrader

AvaTrade’s proprietary platform is web-based and can be loaded in most modern browsers, so there is no need to download it on your desktop computer. The design is sleek and easy to navigate.

Here is what we like:

• The simple, well-structured layout contains separate categories for the different asset classes.
• The information in the trade editor enables traders to easily calculate their profits, losses, costs, and overnight financing charges.
• The Live Chat function is available directly on the platform.

However, the charting capabilities are slightly more limited compared to those of some rival proprietary platforms, like the one used by CMC Markets, for example.

MT4 & MT5

The vast majority of traders have probably encountered the MetaTrader software at some stage of their trading journey, as almost all brokers offer it to their retail clients. Launched in 2005, MT4 is seen as the industry benchmark for traders. Many brokers are also offering MT5, the upgraded version of its predecessor.

MetaTrader 4 (MT4) is good for charting and technical analysis and is compatible with most devices, including desktop computers, laptops, smartphones, and tablets. At AvaTrade, the MT4 platform also offers Guardian Angel, a risk assessment add-on that gives users feedback on their trading decisions and helps them develop and improve their skills.

MetaTrader 5 (MT5) is the improved version of MT4 that supports a wider selection of asset classes, including shares, commodities, exchange-traded funds (ETFs), CFDs, and cryptocurrencies (Bitcoin, Ripple, Ethereum, and more). Some of the other upgrades include:

• More order types (6 in MT5 versus 4 in MT4)
• More available timeframes (21 to choose from in MT5 versus just 9 in MT4)
• 38 technical indicators (only 30 in MT4)
• 37 graphical and annotation objects (24 in MT4)

Other Platforms & Functions

Aside from the MetaTrader software suite, there are other trading platforms available to desktop users at AvaTrade.

AvaOptions – Rival brokers rarely offer a separate trading platform for this instrument but AvaTrade clients can trade options via the specialized AvaOptions platform.

Automated Trading – DupliTrade and ZuluTrade enable copy trading and are both available at AvaTrade. DupliTrade is available to European customers, while ZuluTrade allows you to follow and copy over 10,000 traders from more than 190 countries around the world.

Mobile Trading Platforms

AvaTrade has a good selection of mobile trading software.

AvaTradeGo is the proprietary mobile platform of the broker that borrows heavily from the desktop version of its WebTrader. The app is available on iOS and Android and has good functionality, with access to many tutorials and abundant educational content. It even offers a free demo account to the benefit of those, who are still learning the ropes and do not yet want to risk real money.

Here is what we like about AvaTradeGO:

• Charting features are available.
• Users have access to market sentiment information.
• Social trading notifications.
• AvaProtect is also available here.
• Users can see current market trends.

AvaSocial is AvaTrade’s dedicated copy trading app. Social trading is growing in popularity and AvaSocial reflects this as it enables you to:

• Follow and copy the positions of the best traders.
• Learn by asking mentors questions and join various trading groups.
• Discover new trading strategies.

Trading Instruments

At AvaTrade, there is a wide range of tradable instruments, with 8 different asset classes to choose from. We think this is a strong selection, given the availability of forex options, cryptocurrencies, and ETFs, which some brokers do not offer. We were slightly underwhelmed by the selection of bond markets, while the range of currency pairs is fairly standard with 53 pairs.

Forex

There are 53 currency pairs to trade here, which is a relatively reasonable selection that aligns well with the competition. However, some brokers boast a greater diversity, with OANDA and Forex.com offering between 70 and 80 pairs.

Indices

There are a total of 33 indices to choose from. All major indices are available, with 19 main indices in addition to several sector indices such as FAANG, AIRLINES, and GREEN ENERGY. This is a decent selection.

Commodities

There are a total of 27 commodity markets, including all precious metals (gold, silver, and more), energies, and soft commodities. AvaTrade is a little light on base metals as only copper is available, but the selection is good overall.

Bonds

Only two bonds are on offer, namely EURO-BUND and JAPAN GOVT BOND. There are no treasuries, gilts, or other markers involving major government debt. The options are severely limited at the moment.

Stocks

Most brokers offer the greatest variety in the stock category, and AvaTrade is no exception to this general rule, as it offers hundreds of options to traders.

The website contains a total of 625 stocks to trade, and 500 of them are US stocks. There are also major German, UK, French, Italian, Dutch, and Canadian stocks. Overall, we consider this a decent enough selection.

Cryptocurrencies

There are 17 cryptocurrencies to trade (Bitcoin, Ripple, Ethereum, and others), ensuring a good enough variety for crypto enthusiasts to sink their teeth into.

Other Asset Classes

AvaTrade also offers 57 ETFs (exchange-traded funds) in addition to 44 forex options. The selection is good, considering that few brokers facilitate options trading to begin with.

Trade Execution

AvaTrade uses a dealing-desk model of order execution, which basically means it operates as a market maker. This comes with several benefits for traders, but the model also has some downsides you should be aware of. Let’s first list the advantages of the dealing-desk model.

• Fast Trade Execution – all orders are processed in-house and are never routed to the interbank market.
• Low Spreads – AvaTrade offers relatively low fixed spreads.
• No Commissions – AvaTrade generates revenue mainly from the spreads and charges no additional commissions upon opening and closing positions.

However, the dealing-desk model has several drawbacks, starting with the conflict of interest that could possibly arise. AvaTrade sometimes uses external liquidity providers to hedge trades in order to control risk. In cases where trades are not hedged, AvaTrade takes the opposite side of its clients’ positions.

Effectively, this means that the broker may sometimes trade against its clients. It is important to take this into account and assess to what extent you will feel comfortable when there is a possibility that your broker will trade against you.

AvaTrade currently does not offer STP (Straight-Through Processing) or ECN (Electronic Communication Network) order execution.

Deposit Methods

To open a live account with AvaTrade, you must meet the minimum deposit requirement of 100 units in your base currency:

• USD-Denominated Account – $100
• EUR-Denominated Account – €100
• GBP-Denominated Account – £100
• AUD-Denominated Account – AU$100 (only available to Australian clients)

AvaTrade also recommends that you deposit at least 1,000 to 2,000 units in your preferred base currency to adequately enjoy the full range of products on offer.

The broker does not charge additional fees for depositing. This is a fairly standard practice but is always important to confirm in advance. There are several methods you can use to fund your account:

• Debit/Credit Card
• Wire Transfer – note that it may take up to 7 business days for the funds to reflect in your balance.
• E-Wallet (such as PayPal, Skrill, Webmoney, or Neteller) – this solution is unavailable to Australian or EU clients.

The funding process is simple – just click on the “Deposit” section of your account and select the method you would like to use.

Withdrawal Methods

The withdrawal process is relatively quick at AvaTrade. Some withdrawals are released within minutes, but the process may take 1 to 2 business days in some cases. We consider this processing timeframe adequate enough.

Due to international anti-money laundering requirements, the method of withdrawal has to be the same as the payment solution you used to fund your account. You must withdraw up to 200% of your deposit (your total deposit plus 100% profit on top). After that, you can switch to a different withdrawal method.

There are no additional expenses related to withdrawals from your AvaTrade account. Some brokers charge extra for more than one withdrawal per calendar month, but thankfully, this is not the case at AvaTrade.

Customer Support Contacts

Contacting AvaTrade’s customer service center can be done through all the usual communication methods. However, we were a bit disappointed with the email option, which we will discuss further below. In the meantime, here are the available support contacts:

First and foremost, we liked the fact that AvaTrade’s website can be accessed in a multitude of different languages. Just go to “About Us” and click on “Trading Websites” to choose the language you prefer.

1. FAQ and Help Center
   There is an extensive list of frequently asked questions (FAQs) on the website, with several sub-sections on different topics, so you can quickly find answers to your inquiries. The section covers technical issues, general support, trading platforms, and account management, and is available 24/7.
2. Online Chatbot (AvaGuide)
   If you fail to find answers to your questions in the FAQ section, you can consult the AvaGuide online chatbot or ask it to transfer you to a member of the customer support team. The bot’s responses are automated and instant.
3. Telephone Lines
   If you prefer to interact with a person, there is also an extensive list of 37 different telephone numbers on the website, which includes countries from around the world.
   • 21 countries in Europe
   • 7 countries in Asia
   • 4 countries in South America
   • 2 countries in Africa

   The telephone is apparently staffed only on weekdays, that is 24/5.

4. Email
   There is no specific email address for contact, but you can send an inquiry through the website’s built-in email system. Add your contact details, the type of inquiry, and your question. The response time is usually relatively short. We received a response within 24 hours of submitting our inquiry. AvaTrade calls this service ‘Email,’ but we disagree. It is more of a messaging service where you need to enter your contact information to receive a reply. You have to provide phone details as well as an email address, so this is more of a marketing tool.

Research and Educational Materials

The Education hub on the AvaTrade site is jam-packed with content, covering a variety of topics to educate traders at all levels. It is an impressive collection of information that will certainly be of great help to inexperienced customers, who are just starting on their trading journey.

The broker offers a multitude of articles on topics such as:

• Trading for beginners – explaining the basics of trading
• Technical analysis indicators
• Fundamental analysis indicators
• Trading strategies and risk management guides

If you prefer, you can also watch various educational videos. And if that is not enough, you can sign up for a free e-book where there is even more to digest.

For registered clients, there is the “Sharp Trader” Academy, where you can get more content related to technical and fundamental analysis in addition to video and written educational materials.

Trading Central

Trading Central, which sends trading signals to the platform, is also available. You can access analysts’ opinions and trading ideas, as well as news streamed within the MT5 platform.

Security and Money Guarantees

At Bestbrokers.com, we believe that the protection of client funds is one of the most important factors when choosing a broker. The good news is your money is in safe hands with AvaTrade. Depending on the country, the broker offers:

• Full segregation of client funds
• Investor compensation scheme (for European traders)
• Negative balance protection
• AvaProtect

Let’s look at these features in more detail.

All reputable brokers segregate their clients’ funds, keeping them separate from their own assets. This means that if the company goes bankrupt, your account is protected. European clients of AvaTrade are also covered by the ICCL (Investor Compensation Company Limited), which is the Irish equivalent of an investor compensation fund. The ICCL can compensate up to 90% of your losses, with a limit of €20,000 per investor. However, this protection is not available to clients outside of Europe.

We believe that the ICCL protection is important for AvaTrade’s European customers. However, it is worth noting that if AvaTrade had a license from the FCA in the UK, then the compensation limit would be significantly higher, up to £85,000.

One strong advantage of trading with AvaTrade is that all retail accounts are protected against negative balances. This means that clients cannot lose more money than they initially deposited – excellent news for novice traders.

Another innovative feature we like about AvaTrade is that clients can take advantage of AvaProtect for specific trades. In exchange for a one-time fee (described as a ‘modest hedging fee’) paid when opening a trade, your position is protected for a certain period. If you close it within your chosen period, you can be fully compensated for losses up to $1 million. It is important to note that you must trade through the WebTrader or AvaTradeGO platforms to become eligible for AvaProtect.”

Conclusion

According to BestBrokers.com, AvaTrade is a good broker and is definitely a suitable option for beginner traders. Taking stock, we see that the broker has the following advantages:

• Solid licenses (despite the lack of FCA authorization)
• A good range of desktop and mobile trading platforms
• A large variety of tradable markets
• Low spreads and no commissions whatsoever
• Robust social and automated trading functionalities

Our only complaints are related to:

• The lack of a UK license
• The absence of STP or ECN accounts
• The high inactivity fees, although this should not bother active traders

Overall, we believe AvaTrade is a good broker for online trading.

Written by R. Perry