When deciding between two popular brokers like ActivTrades and Pepperstone, it’s essential to weigh the pros and cons based on your trading goals and preferences. Both brokers are well-known in the forex and CFD industry, offering traders competitive services. However, they differ in several areas, including fees, trading platforms, regulation, and customer support. In this comparison, we’ll break down the key features to help you make an informed choice.
This comparison gives you a clear overview of the key differences and similarities between the two brokers, helping you decide which is the better fit for your needs.
| Feature | ActivTrades | Pepperstone |
|---|---|---|
| Year Founded | 2001 | 2010 |
| Regulation | FCA (UK), CSSF (Luxembourg) | ASIC (Australia), FCA (UK), DFSA (Dubai) |
| Trading Platforms | MT4, MT5, ActivTrader | MT4, MT5, cTrader |
| Spreads | From 0.5 pips (no commission on forex) | From 0.6 pips (Standard), 0.0 pips (Razor) |
| Commission | No commission on forex, but on CFDs | Commission only on Razor account |
| Leverage (Retail) | Up to 1:30 (FCA) | Up to 1:30 (FCA/ASIC), 1:500 for professionals |
| Markets Available | Forex, Indices, Stocks, Commodities, ETFs, Cryptos | Forex, Indices, Commodities, Cryptos |
| Customer Support | 24/5 Phone, Live Chat, Email | 24/5 Phone, Live Chat, Email |
| Insurance | Additional insurance up to £1,000,000 | Standard client fund protection |
| Mobile Trading | Yes | Yes |
| Education Resources | Webinars, Tutorials, Market Analysis | Guides, Webinars |
Overview: ActivTrades vs Pepperstone
ActivTrades was founded in 2001 and has grown into a well-established broker known for its advanced technology and competitive spreads. They offer a variety of markets, including forex, CFDs on stocks, indices, commodities, and more. They are regulated by the Financial Conduct Authority (FCA) in the UK and have a strong reputation for client safety and transparent trading.
Pepperstone, founded in 2010, has rapidly become one of the leading online brokers, particularly popular among forex traders. They offer a range of financial instruments, including forex, commodities, indices, and cryptocurrencies. They are regulated by the Australian Securities and Investments Commission (ASIC) and the FCA in the UK, ensuring a secure and trusted trading environment.
Regulation and Safety
Regulation is crucial when choosing a broker, as it ensures the safety of your funds and maintains transparency.
- ActivTrades is regulated by the FCA in the UK, the CSSF in Luxembourg, and other financial authorities, offering a high level of protection for traders. They also provide additional insurance protection for accounts up to £1,000,000, which is an excellent benefit for clients looking for extra security.
- Pepperstone is regulated by ASIC, FCA, and the Dubai Financial Services Authority (DFSA), making it a well-regulated and trustworthy broker. While they don’t offer the additional insurance ActivTrades does, they still provide robust security measures for clients’ funds, including segregated accounts to protect your money.
Trading Platforms
Both ActivTrades and Pepperstone offer traders access to popular trading platforms, but there are some differences in the platforms they provide.
- ActivTrades offers MetaTrader 4 (MT4), MetaTrader 5 (MT5), and their proprietary platform, ActivTrader. MT4 and MT5 are widely used and offer advanced trading tools, custom indicators, and automated trading options. ActivTrader is a user-friendly platform with innovative features such as market sentiment indicators and risk management tools, making it great for both beginners and experienced traders.
- Pepperstone provides access to MT4, MT5, and cTrader. cTrader is a robust platform designed for high-speed trading, with advanced charting tools, customizable layouts, and automated trading options. Traders who value speed and execution precision may find cTrader a valuable tool in their trading arsenal.
Both brokers offer mobile trading apps for Android and iOS, ensuring that you can manage your trades on the go.
Fees and Spreads
Fees and spreads are important factors when deciding between brokers, as they directly impact your profitability.
- ActivTrades offers competitive spreads starting from 0.5 pips on major currency pairs, and they don’t charge commissions on forex trades. However, they charge a small commission for trading CFDs on stocks. In addition, they provide low overnight swap rates, which is great for traders who hold positions overnight.
- Pepperstone has two main account types: Standard and Razor. The Standard account has no commissions and spreads starting from 0.6 pips, while the Razor account offers lower spreads starting from 0.0 pips but charges a commission per trade. This flexible pricing model caters to both casual and high-volume traders.
Both brokers offer competitive pricing, but Pepperstone’s Razor account may appeal more to traders who require tight spreads and don’t mind paying a commission for them.
Markets Available
Both ActivTrades and Pepperstone offer access to a wide range of financial instruments, but there are some differences in the variety they provide.
- ActivTrades provides access to forex, indices, commodities, financial stocks, ETFs, and cryptocurrencies. They also offer CFDs on smaller, more niche markets, which can be beneficial for traders looking for less crowded trading opportunities.
- Pepperstone also offers forex, commodities, indices, and cryptocurrencies, but they stand out in their extensive range of forex pairs (over 60 currency pairs). For forex-focused traders, Pepperstone might be the better choice.
Leverage
Leverage allows traders to control larger positions with a smaller amount of capital, but it also increases risk.
- ActivTrades offers leverage up to 1:400 for professional clients and 1:30 for retail clients, which is in line with European regulations.
- Pepperstone offers leverage of up to 1:500 for professional clients outside Europe and 1:30 for retail clients under FCA or ASIC regulations.
If you’re a professional trader looking for higher leverage, Pepperstone may offer slightly more flexibility.
Customer Support
Customer support is often overlooked, but it’s critical, especially when issues arise.
- ActivTrades provides 24/5 support via phone, live chat, and email in multiple languages. They also offer a comprehensive help center and educational resources to help traders improve their skills.
- Pepperstone offers 24/5 multilingual support through phone, live chat, and email. They are known for their responsive customer service and have an excellent reputation for helping traders resolve issues promptly.
Education and Research
Both brokers offer educational resources, but ActivTrades goes a step further with its tools for beginner and intermediate traders.
- ActivTrades offers webinars, video tutorials, and market analysis reports, catering to traders who want to deepen their knowledge and improve their trading strategies.
- Pepperstone also provides educational materials, such as guides and webinars, but their focus tends to be more on experienced traders.
Conclusion
The decision between ActivTrades vs Pepperstone ultimately depends on your trading style and needs.
- Choose ActivTrades if you prefer additional insurance protection, a wide variety of niche markets, and user-friendly trading platforms with innovative tools.
- Opt for Pepperstone if you’re a forex-focused trader who values tight spreads, high leverage, and fast execution with cTrader.
Both brokers are well-regulated and trusted, making either choice a safe option for most traders. However, considering the specifics of fees, platforms, and available markets can help you choose the one that aligns with your trading preferences.
By thoroughly comparing ActivTrades and Pepperstone, this blog post offers insight to traders seeking the right broker for their specific needs. Use this guide to help make an informed decision and enhance your trading experience.
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.