When choosing a broker, it’s essential to consider key features like regulation, platforms, fees, and support. Two popular brokers, ActivTrades and AvaTrade, offer competitive services to traders worldwide. In this comparison, we will break down what each broker offers, helping you decide which one suits your trading needs.
This table highlights the key differences and similarities between ActivTrades and AvaTrade, making it easier to compare their features at a glance.
| Feature | ActivTrades | AvaTrade |
|---|---|---|
| Regulation | FCA (UK), SCB (Bahamas), CSSF (Luxembourg) | Central Bank of Ireland, ASIC (Australia), FSCA (South Africa) |
| Minimum Deposit | $500 | $100 |
| Trading Platforms | MT4, MT5, ActivTrader | MT4, MT5, AvaTradeGO, AvaOptions |
| Spreads (Forex Majors) | From 0.5 pips | From 0.9 pips |
| Commission Fees | No commissions on forex trades | No commissions on forex trades |
| Leverage | Up to 1:30 (Retail), 1:400 (Pro) | Up to 1:30 (Retail), 1:400 (Pro or in certain regions) |
| Customer Support | 24/5 via phone, email, live chat | 24/5 via phone, email, live chat |
| Educational Resources | Webinars, trading guides, one-on-one training | AvaAcademy, eBooks, video tutorials, market analysis |
| Unique Features | SmartTools, negative balance protection | AvaProtect, social trading (ZuluTrade, DupliTrade) |
| Cryptocurrency Trading | No | Yes |
| Inactivity Fees | No | Yes (after 3 months of inactivity) |
1. Regulation and Safety
ActivTrades
ActivTrades is a well-established broker regulated by multiple top-tier authorities, including the Financial Conduct Authority (FCA) in the UK and the Securities Commission of the Bahamas (SCB). This broker’s commitment to client protection includes offering segregated accounts to safeguard funds and additional insurance covering up to £1,000,000 per client.
AvaTrade
AvaTrade is also highly regulated, operating under various jurisdictions including the Central Bank of Ireland, ASIC in Australia, and the Financial Sector Conduct Authority (FSCA) in South Africa. Similar to ActivTrades, AvaTrade ensures client fund protection with segregated accounts, and traders are further safeguarded by regulatory frameworks in these regions.
Verdict: Both brokers offer solid regulatory oversight, but ActivTrades’ additional insurance coverage can be appealing for high-net-worth traders.
2. Trading Platforms
ActivTrades
ActivTrades offers MetaTrader 4 (MT4), MetaTrader 5 (MT5), and their proprietary platform, ActivTrader. MT4 and MT5 are industry-standard platforms with powerful features, ideal for traders who need advanced charting tools, automated trading, and customization. ActivTrader, their in-house platform, is designed for simplicity and user-friendly trading, available via desktop and mobile.
AvaTrade
AvaTrade also supports MT4 and MT5, alongside their proprietary platform, AvaTradeGO, and AvaOptions for options trading. AvaTradeGO is designed with beginner traders in mind, offering simple navigation and features like social trading through the AvaSocial app. Their platform versatility is a plus for traders interested in both forex and options.
Verdict: Both brokers offer strong platform support, but ActivTrades stands out for traders seeking a robust, feature-rich experience, while AvaTradeGO is excellent for beginners and social traders.
3. Account Types and Minimum Deposits
ActivTrades
ActivTrades provides two main types of accounts: Individual and Professional. Their minimum deposit starts at $500, which may be higher than some brokers but reflects their focus on offering premium services for more experienced traders. Professional traders benefit from tighter spreads and higher leverage, subject to meeting specific eligibility criteria.
AvaTrade
AvaTrade has a lower minimum deposit of $100, making it more accessible to beginner traders. They offer a variety of account types, including Retail, Professional, and Islamic accounts, catering to different types of traders. AvaTrade also supports cryptocurrency trading, an additional feature that sets it apart.
Verdict: AvaTrade wins in terms of accessibility with its lower minimum deposit and a wider range of account options, making it more attractive to beginners.
4. Fees and Spreads
ActivTrades
ActivTrades offers competitive spreads, starting from 0.5 pips on major forex pairs. They do not charge commissions on forex trading, making it cost-effective for traders. Additionally, there are no fees for deposits or withdrawals, which is a benefit for active traders looking to minimize costs.
AvaTrade
AvaTrade’s spreads start slightly higher, around 0.9 pips for major currency pairs. However, AvaTrade compensates for this with no commission fees on trades. They also don’t charge fees on deposits or withdrawals, but there may be inactivity fees after three months without trading.
Verdict: ActivTrades edges out AvaTrade with slightly tighter spreads, especially for active forex traders, while both brokers maintain a commission-free trading environment.
5. Customer Support and Education
ActivTrades
ActivTrades offers 24/5 customer support via live chat, phone, and email. They also provide an extensive library of educational resources, including webinars, trading guides, and one-on-one training for newer traders.
AvaTrade
AvaTrade provides multilingual customer support 24/5 via phone, live chat, and email. Their educational section is also well-developed, featuring video tutorials, trading eBooks, and regular market analysis. AvaTrade further enhances the user experience with their AvaAcademy, a learning portal tailored to traders at all levels.
Verdict: AvaTrade takes the lead in educational resources, with its broad range of learning tools, while ActivTrades offers excellent personalized support for traders needing more hands-on guidance.
6. Leverage
ActivTrades
For retail traders, ActivTrades offers leverage up to 1:30 for forex pairs, which complies with European regulations. However, professional clients can access higher leverage up to 1:400, but this requires meeting specific experience and capital requirements.
AvaTrade
AvaTrade provides similar leverage limits for European clients but offers higher leverage outside Europe, reaching up to 1:400 on forex pairs for retail traders in certain regions. This makes AvaTrade a more flexible option for traders in areas with fewer regulatory restrictions.
Verdict: AvaTrade offers broader leverage options depending on your region, which can be advantageous for traders looking for higher risk-to-reward opportunities.
7. Additional Features
ActivTrades
One unique feature of ActivTrades is its negative balance protection, ensuring that clients cannot lose more than their initial deposit. Additionally, they offer a SmartTools package, which enhances the MT4 and MT5 experience with features like advanced risk management and order automation tools.
AvaTrade
AvaTrade offers some unique features, such as AvaProtect, which allows traders to protect trades against losses for a fixed fee. They also support automated trading and social trading features through ZuluTrade and DupliTrade, allowing traders to copy strategies from successful traders.
Verdict: AvaTrade shines with its additional tools like AvaProtect and social trading, which are perfect for beginner and intermediate traders.
Final Thoughts
The choice between ActivTrades and AvaTrade depends on your trading style and needs. ActivTrades is ideal for more experienced traders seeking premium platforms, tighter spreads, and advanced trading tools. In contrast, AvaTrade is a better fit for beginner traders due to its low minimum deposit, comprehensive educational resources, and social trading features.
Whether you are a seasoned trader looking for a feature-rich experience or a beginner seeking accessible trading tools, both brokers offer competitive advantages. Choose the one that aligns best with your goals and trading strategy.
Editorial Staff at Chweya is a team of financial experts led by Vincent Nyagaka, with over 9 years of experience in finance, commerce, forex, crypto, and marketing. Started in 2014, Chweya is now among the largest free financial resource sites in the industry and is often referred to as Wikipedia for business.