Criteria for selecting a broker
As mentioned above, brokerage companies so much that is simply impossible to list them all, especially to do a detailed review. But you are able to create your list of Forex brokers, it is not so difficult, just follow our recommendations. Before you choose a broker, you need to check it against the following criteria:
Reputation.This is one of the most important criteria. As a rule, all the major brokers have a good reputation. By reputation, first of all, it refers to the company’s image, without which it is impossible to be a leader in the financial services market and compete with other companies. The first thing you should pay attention – this is the age of the broker. The longer it is on the market, the more likely that in front of you the best broker and not a swindler or pyramid scheme. Prefer companies that are on the market for over 10 years. Although sometimes there are exceptions. Often popular brokers who have a good reputation, provide the worst trading conditions than the young company, which opened a year ago and to attract their customers willing to provide services at more attractive prives. It should be understood that for the advertised brand has to pay, and when working with young companies, there is always the risk of running into a scam;
Regulation.This is no less important indicator of the reliability of the broker. All Forex dealers can be divided into regulated brokers and offshore companies. The activity of brokers regulated by laws and supervising the brokers of the country in which they are registered. If we talk about foreign brokers, they tend to have a license FCA (UK) or by CySEC (Cyprus) – this is the most reliable controls, carrying the issuance of licenses, without which the business of brokerage companies is illegal. In addition, regulators supervise their work, carry out regular checks, act as arbitration between DC and their customers, and in case of violations apply to them disciplinary sanctions such as fines and even the withdrawal of the license. The offshore brokers registered in the countries of the offshore zone (British Virgin Islands, St. Vincent and the Grenadines, Belize, and so on. D.), Which is no longer such an important regulation in the EU, but on the other hand, companies significantly reduce costs and they are willing to offer more favorable conditions. Russian brokers are regulated by the Central Bank of the Russian Federation, but as the law on Forex in Russia came out recently, the supervision system of the Russian forex dealers have not yet adjusted and raises many questions. The best in terms of security are the European brokers with a license, even in the event of bankruptcy you will be able to get a decent compensation;
Trading conditions.Most Forex brokers offer the most favorable trading conditions. Firstly, it is the lowest spread (currently there is a speech about the ECN-accounts, as the classical accounts of the spread is usually above average). Biggest brokers collaborate with a lot of liquidity providers, so that can offer almost zero spreads and instant execution of orders, which is very beneficial for scalpers. Secondly, this high degree of leverage. This function allows you to open the transaction without having to his credit a large deposit. Thirdly, it is no re-quotes and slippage. Instant order execution ensures that your transaction will be opened at a good price without repeated requests when a new price (requotes), and deferred or protective order is triggered at a set price you without slippage in the event of increased volatility. Finally, this is the minimum size requirements for the deposit, which will be especially interesting for beginners, since they may not have enough own funds to open an account. All these conditions usually offers the best top forex brokers who are willing to compete with smaller dealing centers;
Trading Platform.Another criterion for choosing a broker is to have a reliable trading platform. For beginners, this platform is definitely considered MetaTrader 4. If DC uses an unpopular platform, many traders will bypass his party. Although today there are many modern trading platforms, which are much better and faster than the MT4, but they are not widely used, but because for a long time in the software leader in Forex will MetaTrader. But experienced traders are already starting to look closely to other trading platforms, so the presence of brokers in the arsenal of such terminals as cTrader and xStation, significantly raises its rating. In addition, in recent years traders have requirements to the presence of which does not require installation on your PC Web terminal, and on the development of mobile trading becoming popular mobile trading terminal application. This feature is very convenient for busy people, as it allows to respond quickly to the latest market trends, while being at work or on a trip. Therefore, the best brokers in 2017 offering both fixed trading platforms, as well as their official mobile version;
The presence of additional functions.To make trading even more convenient and comfortable, brokerage companies offer additional features. For example, beginners will be useful for a free demo account with a renewable deposit, with which a novice trader can work out at the opening of the transactions, to develop their trading strategy or test an expert. In addition, for beginners brokers often provide training, including free. Availability cent accounts will advance to the real trading with minimum risk that the market will feel better. A more experienced traders will be interested in analytics and forecasts. A large number of trading instruments, including precious metals, CFD-contracts, stocks and indices, as well as the opportunity to scalp and hedge their positions – all this greatly raises the rating of Forex brokers;
Bonuses and Promotions.The presence of bonuses is not a determining factor when choosing a broker, but for beginners is an additional incentive investment. It should be understood that the presence of large bonuses (more than 100% of the amount of replenishment) is probably a sign that in front of you a crook. So, many pyramid schemes, knowing that a flood of new customers begins to decline, trigger bonus shares to raise new funds, then there is their closing. While most reliable brokers in general abandoned the bonus system, as traders try to play them, in the end it leads to an increase in trading volumes and a drain of the deposit. All bonuses are arranged in such a manner that first spent their own funds, as well as the amount of your money close to zero, there is a cancellation of the bonus. It turns out that the whole point is lost bonuses, it would seem, the deposit increases, but the bonus is not involved in the loss, but it nearly impossible to play, as a result you start to take risks and merge. However, there are traded bonuses (usually no more than 20-30% of the deposit), involved in the loss of the deposit and no deposit bonuses that are offered by the broker for performance conditions and performance trading platform. Here they can and should be used, but not all dealing centers provide them;
Deposit accounts and withdraw funds.A wide variety of ways of depositing and withdrawing funds increases the rating companies, as one trader is convenient to use electronic payment systems (WebMoney, PayPal, Yandex, QIWI, Skrill Moneybookers), other findings profit credit cards or bank transfer. The more payment methods, the better, because the trader will prefer to broker change than work in uncomfortable for him the payment system. But this problem does not usually occur as dealing centers understand this and are continually expanding list of available payment systems. Some brokers already provide the ability to display on the Bitcoin wallets that is a progress in the Forex industry. Moreover, in recent years companies have to compensate brokerage commission payment systems, which is also a great advantage;
Technical Customer Service.Another important criterion for the reliability of the broker is to have a professional customer service. Before you register with the selected broker, communicate with customer support, as it is the link between you and the company. Write the chat, ask someone regulated company, which provides trading conditions and so on. D. From the responses and courtesy speed management depends largely on whether or not to work with the company or not, as in the case of any dispute you have to communicate Tech Support. Also, no harm will support the presence of the Russian language, because not everyone can be explained in English. Also, ask how the support staff, the best Forex brokers is usually carried out support of its customers on a 24/7 basis, and provides a free telephone hotline.
How is the rating of Trade Leader
Before we get into the list of the top brokers in the version Trade Leader website, the company passed moderated and parameter validation. Each parameter is assigned a certain number of points depending on its importance:
- for each year of the company by 2 points;
- for each language by 3 points;
- for each billing system used to deposit, 3 points;
- for each payment system for withdrawal at 5 points;
- for each currency in which it is possible to open an account, to 5 points;
- for the presence of a demo account – 5 points;
- for providing bonuses for recruiting, no deposit bonuses, Islamic accounts, training seminars, asset management and partner program – 10 marks;
- for each trading platform on 10 points if it MT5 or cTrader – 15 points;
- for having functions of copying transactions, PAMM accounts, accrued interest on the balance in the account – 20 points;
- for the presence of ECN-accounts, analysts – 30 points;
- for the provision of services to segregated accounts (which are stored clients’ funds separately from the company’s accounts), scalping – 40 points;
- for low spread – 50 points, for the average spread – 20 points, for the high spread – 0 points;
- If the broker is assigned a rating of Trade Leader mark “reliable”, he receives an additional 30 points.
Brokerages thoroughly tested information on the availability of licenses regulators available on the DC website. Depending on the credibility of regulators brokers assigned a certain number of points:
- Low (Financial Commission, NAFD, KROUFR, NAUFOR) – from 5 to 15 points;
- average (CySEC, FSCL, BaFin) – from 20 to 35 points;
- High (FCA, NFA, FINRA, SIPC, MiFID) – 40 to 50 points.
For each positive response, the past moderation, the broker is assigned 2 points for each plus – 0.2 points, and for leaving a negative review with a broker removed 2 points.
Thus, using our independent rating of Forex brokers, you save your time and money. You do not need to waste your time looking for reliable brokers in Russia and to risk their funds by investing them in a little-known dealing centers. On the Trade Leader you get already proven our recommended brokers are honest reviews and shaped top 10 brokers. Moreover, we are open to dialogue with our users, and we are ready to listen to your comments and suggestions (to do this, go to Contacts, and send an email to the email address specified there). We wish you a successful trading!