Pepperstone

The Company

Pepperstone is an Australia-based ECN forex broker that was established in the year 2010. The Melbourne-based firm Pepperstone Group Ltd. is ASIC-regulated, and is headquartered with offices in London, Dallas, Shanghai and Bangkok.. The broker gives its clients the option of trading Forex (more more than 70 different currency pair) CFDs Index precious metals, energy and cryptocurrency. The broker also has an UK subsidiary that is authorised and licensed with the Financial Conduct Authority (FCA).

Pepperstone is a relatively new broker however , it became popular by offering sophisticated trading solutions as well as excellent trading conditions. In 2014, it was ranked as the fastest growing business across Australia in BRW Magazine.

Security of Funds

Pepperstone has the Australian Financial Services License and is monitored through the Australian Securities and Investment Commission (ASIC). ASIC demands licensed financial services providers to satisfy stringent capital requirements and adhere to various internal procedures for accounting, risk management and audits. In terms of the capital requirements for minimum ASIC demands that forex brokers have at least $1 million to be able to provide financial services legally. The UK regulator FCA requires that forex brokers be able to hold a minimum amount of 730000 EUR.

Furthermore, Pepperstone stated on its website that it has client-segregated accounts with banks of the top tier and that it has Professional Indemnity Insurance through Lloyds of London.

In spite of the regulations and rules imposed on brokers, it is important to remain aware of potential risks that come with the trading of Margin FX or CFDs. Contrary to the European-based brokers, Australian ones aren’t protected by any compensation scheme. Customers of Pepperstone, the UK affiliate of Pepperstone are, however, under the scope of Financial Services Compensation Scheme (FSCS) that protects customers with up to PS50,000 per individual per business

Trading Conditions

Minimum deposit

Pipestone’s clients can trade with 200 dollars or equivalent as a minimum. For example, ThinkForex, another Australian broker that is based in Australia, requires a an initial deposit of $ 250 and has average spreads that range from 1.2 to 1.2 per cent, whereas AvaTrade which is also based in Australia has a minimum deposit of $100 as a minimum deposit. They also offer average floating spreads that amount to 1.8 per cent in the currency pair EUR/USD.

Commissions and spreads

In terms of the spreads offered by Peppersone, the median one is 1.2 per cent on the EUR/USD currency for Edge Standard account, 1.2 pips for Edge Standard account and 0.8 pip on Edge Razor. Edge Razor Account.

Another aspect of the trading cost is the commissions paid by brokers. Pepperstone however, charges commission only on its Edge Razor account only, which is $3.5 per transaction and the Standard one is not charged commissions.

Concerning the costs of trading It is important to note admin fees are applicable on accounts that are an Islamic accounts, in the event that the trade was held for more than 3 days. The amount varies between 3 and 150 points, based upon the exchange rate of each currency.

Another option provided by this broker that should be considered can be that of the Pepperstone Price Improvement (PPI) which is in reality positive slippage. The PPI technology will fill the orders to a better level , automatically, if prices shift in the direction of traders’ benefit.

Leverage

For leverage, the highest leverage offered through Pepperstone has been set at 500:1. It is thought of as an extremely high leverage, especially when you bear that in some countries, there are restrictions on leverage, which are less than this. For instance , the maximum leverage permitted in the US is 50:1, while for Japan leverage is restricted to 25:1.

Additionally, this broker offers one of the largest leverage levels available for trading in Bitcoin CFDs 1:20.

Trading Platforms

Pepperstone gives its customers three options for platform options: MetaTrader4, MetaTrader5 and cTrader. It is the industry-standard MT4 is accessible for Mac tablet, iPad, Android and iPhone. Additionally, a internet-based MT4 version is available by the name of WebTrader. WebTrader is a web-based edition of the cTrader platform is also available and is also available as mobile-friendly. Furthermore the cTrader platform comes with an option called cAgo that allows trading using robots as well as the development of custom indicators using C#.

These three platforms for trading that are offered by Peppersrone are among the most well-known within the field. They are MT5 and cTrader. MT5was designed and advertised as a better version of MT4 However, most brokers still prefer the previous technology because MT5 is not able to support hedging as well as indicators from MT4 as well as Expert Advisors (EA) do not available on the MT5 platform. With regard to the platform cTrader, it’s specifically designed for use with ECN brokerages, and has a an easy-to-use interface for users.

We also need to be aware of some key features Pepperstone gives its clients. For starters, its order execution feature. Pepperstone has formed a partnership together with Equinix via its NY4 Data center the broker is a participant in the Equinix Financial eXchange. Through this exchange Pepperstone has access to a variety of networks with low latency and can transfer data directly to customers and strategic partners.

Additionally, Pepperstone wasthe first to offer the brand new trading function in the analytical tools providerAutochartist — “Trade Now” e-mail trading service.

Methods of Payment

Peperstone provides its customers with the widest range of payment options available: Bank Wire, Credit/Debit cards (Visa and MasterCard are acceptable), Skrill, Local Bank Deposit, Neteller, Bpay, Union Pay, PayPal, BPay, FasaPay, WebMoney, QIWI and POLI.

Conclusion

In the end, Pepperstone is one of the most reputable Australian-based brokerages providing real-time execution, very low spreads, clear pricing, and affordable trading costs.