Pfd-nz

The Company. Security of Funds

As previously mentioned and also because of their name, PFD-NZ is based in New Zealand. The broker is also monitored by the local regulator called that is the Financial Markets Authority (FMA). Overall, it is a reliable company that has been around since 1999. Your funds are secure when you choose to make a trade using this broker.

At one time, New Zealand used to draw in shady forex brokers because the local regulations were not the most strict. It has changed dramatically over time, as complaints began coming in. The financial regulations are in line with the all other aspects of the laws, and is fairly solid. The FMA constantly monitors the operations of the regulated businesses and frequently warns against scammerswho claim to present them as being controlled. One of the primary obstacles to registration is the requirement that a company has at least one million dollars in capital stakes. This greatly reduces the number of fraudulent companies that could be eligible to apply, and is a more difficult task than similar requirements in other jurisdictions. This is particularly true when compared with the rates in certain offshore zones like Vanuatu in which you can start a forex business by investing $2,000.

PFD-NZ has received mixed reviews from traders. Although some feel oddly good, like an advertisement by PFD-NZ but there are also some negative reviews. They tend to focus on execution and slippage and it is possible that this broker is not suited for scalpers despite the lower spreads. However, the firm is located on New Zealand and some of these reviews were written by European clients, which means that the server’s lag could be an issue. Remember, the complaints focused on milliseconds and fractions of pips in execution. This isn’t a problem for most traders in any way.

Trading Conditions

Minimum Initial Deposit

There is no minimum deposit required at PFD-NZ. This practice is common to other brokers, like LG and is targeted at making it easier for traders to trade.

The most experienced traders will tell that sufficient capital is required to allow a trading strategy to be fully executed. This is only crucial if you’re novice or simply want to test the service of a particular company.

Average spreads and Commissions

PFD-NZ has highly competitive spreads. Both types of accounts offer spreads of EUR/USD less than 1 pip while other pairs offering fairly similar spreads. We’ve mentioned that this is particularly evident in pairs with JPY, AUD and NZD. It is true that traders have complained of slippage and you must be sure to take the figures given caution. However, whatever the reason the spreads are competitive. If you’d like to know the spreads provided by some of most prominent brokers in the world, in real time, you can check them out here..

Leverage

PFD-NZ offers a leverage limit of 1:300 for its STP clients who have accounts with balances less than $5,000. The leverage for the rest is set at 1:100. Both of these options are adequate to serious investors. There are brokers that provide one-to-one as well as even greater leverage.

Keep in mind that higher leverage may not be the best for traders. The only thing allows you to take larger positions but with lower capital to back them. Although this might sound appealing initially, be wary of receiving a margin-call when your risk management strategy isn’t appropriate. In that case, you could have mistakenly thought that trading was playing the game.

Trading Platforms

PFD-NZ is the only trading platform, MetaTrader4(MT4). Many positive reviews have been shared concerning this system. It is the most preferred choice for many brokers since it has excellent charting capabilities, an amazing setting for developing customized software (MQL) as well as mobile apps that are compatible with iOS as well as Android. One of the most appealing features to MetaTrader’s platform is the vast variety of technical indicators and automatized trading tools ( Expert Advisors) that the “marketplace” has to offer. They are, most importantly, not tied to a particular broker, therefore when you own a set of these tools, you are able to transfer them to a different MT4 broker.

An overview of MetaTrader4 which is provided through PFD-NZ (Click for zooming in)

The company was once able to offer an exclusive platform, known as Kiwi Trader however, as of the writing this review it was no longer being used. We don’t know the exact what the reason is, but we think that the cost of maintaining it are greater than the profits it generated, in contrast to MetaTrader4.

Methods of Payment

In terms of payment options, PFD-NZ offers several. The more conventional Bank Transfer and Credit/Debit Card are also supported by e-wallets including Neteller, GiroPat and China Union Pay.

Conclusion

Pacific Financial Derivatives (or PFD-NZ) is an New Zealand based STP/ECN forex broker. It is licensed through the FMA. In addition the spreads they provide are extremely comparable with the very best in the market. There were several complaints by traders regarding slippage at this broker. The issue could be based on where you live, since this broker is based out of New Zealand, and ping is a concern from a variety of locations. This is a list of the broker’s strong and weak points.