31 Insightful Questions Every Serious Forex Trader Should Ask Forex Brokers

If you really want to know your brokers, ask them these 31 insightful questions and you’ll have facts to base your decisions and know if they are worth working with or not.

I am very happy to tell you I had the opportunity to interview some brokers, though not all of them answered due to their policy.

Some didn’t answer because they want traders to ask them directly and others feel like answering but don’t want me to publish it here and other reasons.

Either ways, I want to say thanks to ICMarkets, NordFX, Blackwell Global, XM Broker, InstaForex, Global Prime Forex, Exness, NewForex, ForexTime, FBS, HotForex,Alpari ,FXOpen and IronFx for their quick response.

Some brokers are yet to answer my interview questions; I will be making an update to this post immediately I receive their answers.

Each question comes with different answers from brokers. So take your time and go through it, and if you feel your preferred broker is not listed among those brokers that gave answers to my questions, you can contact them directly by asking them these 31 questions.

For full disclosure, I am an IB (Introducing Broker) with some of the brokers you will see here.

Here are the 31 Insightful Questions

  1. How long have you been a Forex Broker?
  • NordFX: NordFX is not one, but a group of companies united by one brand. It includes NFX Capital Cyprus Ltd, Nfx Capital Mauritius Inc, Nfx Capital Vanuatu Inc and Nord Forex India Pvt Ltd. Companies under this brand offer individuals and entities a full range of services for trading in the Forex market since 2008.
  • Blackwell Global: Blackwell Global has been in operation since 2010. Blackwell Global opened its doors In Nigeria in 2013.
  • InstaForex: InstaForex brand was created in 2007 and at the moment it’s a top choice of more than 3,000,000 traders.
  1. What regulatory authority is your brokerage firm registered with, and in what country? If yes, give me proof!
  • ICMarkets: ASIC – Australia Australian Financial Services Number : 335692
  • NordFX: Each of our companies has a license corresponding to the country of registration. For example, a Cyprus-based company is regulated by the Cyprus Securities and Exchange Commission, NFX Capital MU Inc. has a license of the Financial Services Commission of Mauritius (FSC), and Nord Forex India Pvt Ltd which was founded in India in 2010, is licensed by the Securities and Exchange Board of India (SEBI) and, in addition, is a member of the National Stock Exchange of India (NSE) and Indian Joint Stock Exchange Ltd (USEIL). With regard to evidence, it is not difficult to check the licenses in the registers of the countries of registration.
  • Blackwell Global: The Blackwell Global Group is regulated by a number of regulators. Blackwell Global is regulated by CySEC, FCA, ASIC, FSP. 

CySEC-  http://www.blackwelltrader.com/our-regulations

 FCA –    http://www.blackwellglobal.com/ 

Blackwell Global Investments (UK) Limited is authorised and regulated by the Financial Conduct Authority. Financial Services Register Number 687576. VAT Reg. No. GB 230372151 

FSP-   http://www.blackwellglobal.co.nz/our-regulations 

Blackwell Global Investments Limited is an independent entity within Blackwell Global. The company is a registered Financial Service Provider (FSP No. 3061) supervised by the Financial Markets Authority to comply with AML/CFT obligations and fair dealing provisions in the Financial Markets Conduct Act 2013. The company is also a member of a Financial Dispute Resolution Scheme.

More information can be found here: http://www.xm.com/regulation

  • InstaForex: InstaForex is a group of companies registered in different countries. It includes various legal entities providing clients with services under their territorial jurisdiction. At present, forex brokers of the Russian Federation are applying for a license. Thus, our company has fulfilled all requirements imposed by Russia’s central bank, which are essential to obtain a license, and entered the Association of forex brokers that acts as self-regulatory organization. Meanwhile, we are awaiting a positive decision from the Bank of Russia in the near future. 

As for the stock market, InstaVector Investment Company Ltd, a brokerage company within InstaForex Group, has been holding a license for a professional service provider since 2008. Apart from Russia-based InstaVector Investment Company Ltd, there are also unlicensed companies within the group. Forex services in Russia are rendered by Insta Service Ltd, registered in Saint Vincent and the Grenadines. At present, Saint Vincent and the Grenadines legislation does not require a special license for a forex service provider. 

  1. Is your broker quoting the rates or another bank?
  • ICMarkets: Other banks – our Liquidity Partners
  • XM Broker: We provide the best available market price among all our liquidity providers.
  • InstaForex: The company operates with many Western counterparts (Banks and others financial organisations), in particular, with those regulated by NFA and FSA brokers. The policy line is not to give such information publicly, as it would be an advertising support for our counter-agents, a lot of them turn out to be direct competitors of our company at the brokerage services market.
  • Global Prime Forex: The rates come from the LPs that provide liquidity, we have 20+ LPs that make the prices.
  • Exness: Please be aware that Our liquidity providers for our Market Maker accounts (Cent, Mini and Classic) are large European banks link and our liquidity providers for our ECN accounts are FXCMPRO and ADS securities link.

4. I believe almost all brokers hide the truth here, regarding what type of broker they are. So if I may ask: What type of broker are you: Market Maker, Straight Through Processing or ECN? I will be glad if you will answer this questions with sincerity or proof because sooner or later traders will know.

  • NordFX: Of course, we do not have an opportunity to manipulate market prices in Forex, we are a classic ECN / STP broker.  There is a famous saying, “Practice is a criterion of truth.” Open an «MT-ECN» account with us and see for yourself how it works. Let me just say that this account is serviced on MT4 and receives quotes directly from ECN Currenex without modifications. We use our own bridge to transfer the order flow to this ECN for excellent speed and quality of order processing.
  • Blackwell Global: Straight Through Processing/ECN. This can be identified by looking at our offerings (low leverage, no re-quotes, market execution, not aggressive on bonus)
  • XM Broker: XM is classified as a ‘market maker’ because we operate a dealing desk whose primary function is to process telephone orders. All client positions however, are covered through multiple liquidity providers and we do not benefit from client losses in any way. Our execution is highly optimised, with 99.35% of all orders being executed in less than 1 second, coupled with a strict no requotes and no rejections policy.
  • InstaForex: InstaForex is an ECN-broker providing qualitative trading services at Forex market. Cooperation with major market-makers and brokers-counter agents complete with huge clients base provides InstaForex Company with high liquidity and opportunity to make fast online service available for its clients. 

There are a lot of different ambiguous descriptions of ECN-trading in the Internet, but you shouldn’t believe everything written there. ECN-trading means using bigger than 1 market lot deals that makes it impossible for clients with micro and mini forex accounts. That is why our company offers ECN-trading by a scheme of all clients lots summarizing with the further transferring to the counter agent.

Every client makes a deal with another one or appears to be a part of summarized position transferred to ECN-counter agents. Giving a clear definition of ECN-trading, a deal of 0.01-10 InstaForex lot cannot  be a 100% ECN-deal, however, deals calculating scheme of InstaForex gives an opportunity to clients with accounts lower than Standard Forex to obtain all advantages  of ECN-trading and usual trading by means of broker (in particular, profitable trading conditions, which are not available with direct ECN-trading).

  • Global Prime Forex: STP/ECN/DMA/NDD are all just catch phrases that brokers use to say that they are A-book and pass trades to the liquidity providers. In reality pretty much every broker runs some type of B-book and one would be a fool to think otherwise.  We are one of the only brokers in the world that shows our clients trade receipts which show which liquidity provider filled the clients trades. This proves to our clients that we do not take the other side of trades and all trades are passed to the liquidity providers.

Below is an example of a trade receipt. Ask your broker if they will show you the same – chances are they won’t because they aren’t sending all trades to the liquidity providers. Instead they internalise most of them and profit from client losses. 5117735

Open order filled by Morgan Stanley (MSFX) in 57ms with 0 slippage

Close order filled by Deutsche Bank (db) in 111ms with 0 slippage

  • Exness: Please be informed that Exness is a market maker (non dealing desk) for Cent, Mini, and Classic accounts and an ECN broker for ECN accounts.

5.  How many active clients do you have right now (You can give me an estimation)? 

  • NordFX: We celebrated a round figure in the spring of 2015 – the number of accounts opened with us reached 1,000,000. Now this figure is close to one and a half million.
  • InstaForex: Currently we have over 3 000 000 traders all over the world.

6. Do you scrutinize your PAMM account managers before allowing them to touch investor’s money? And how do you do that?

  • ICMarkets: We do not offer PAMM platform, only MAM. And yes, we do scrutinize Money Managers before setting them up.
  • NordFX: We do not seek to extend indefinitely the list of proposed investment products and services, and we focus exclusively, as I have said, on the classic currency trading in the Forex market. Therefore, we do not offer PAMM service to our clients.
  • Blackwell Global: We do our KYC on them and request for LPOA, fund managers bring their own clients. Blackwell Global does not interfere with fund managers and investors.
  • InstaForex: PAMM system of InstaForex Company does not give any guarantee of making profit by the managing traders. It is meant for ensuring the technical coordination between Traders and Investors which includes entirely automatically monitoring of Traders PAMM-accounts, money acceptance and refund.

Therefore, the system guarantees your funds protection, so they will not be withdrawn by a PAMM-trader. Moreover, the system assures that you can receive your funds form the PAMM-traders account at short notice during 30-60 minutes after requesting (depending on in which moment between synchronizations a refund request is made).

  • Global Prime Forex: MAM/PAMM Managers need to go through a screening process before they are given the software to trade MAM/PAMM products – this involves seeing their strategy running for 3 months on any broker, and then a further 1 month at Global Prime before we can approve it for MAM; furthermore there are requirements on the deposit size for MAM products is usually starts from $5K upwards.

Regarding Performance Fees à LPOA and CA forms are required to be signed by all MAM/PAMM clients à the MAM Master will provide a spread sheet of his performance fee and based on his agreed Fee, funds will be deducted from the client accounts. MAM/PAMM masters cannot make commissions on lots traded. This is done on a monthly basis, and records are kept, both on ours, the MAM Masters end and the clients end.

  • Exness:  We do not provide PAMM accounts at the moment but we will possibly offer them in future.

7. I know nothing is 100% in forex trading but why should traders leave their money to your signal providers, PAAM managers and trade copier. (If you have any all these features).

  • ICMarkets: Clients have the choice to use the service providers we are collaborated with – Myfxbook and   We do not recommend any specific signal providers or trade copiers, this is at the discretion of the client. If a client wished to have a managed account, they are able to see the performance of the MAM program before signing up
  • NordFX: As I said, we do not offer either PAMM-service or investment portfolios to our customers.For those customers who want to copy signals more experienced traders, platforms MetaTrader 4 and MetaTrader5 have a service “signals”, which is offered by the creator of these trading platforms – the company MetaQuotes Software Corp.In order to help our clients, we make regular reviews of the best of these signals for them.
  • Blackwell Global: We don’t provide signal providers, trade copiers or fund managers to clients. Our business is evolved around education and we encourage traders to educate themselves in trading forex.
  • InstaForex: Each trader can choose the system which will be more convenient his needs: Pamm system for investing funds to one of available Pamm project and collect profit or ForexCopy system which gives an opportunity to copy deals from ForexCopy traders accounts. Information about all available Pamm and ForexCopy traders is available on our monitoring page https://www.instaforex.com/pamm_monitoring#!/list with detailed information about each project.
  • Global Prime Forex: We don’t have specific Signal Providers or Trade Copiers, nor do we openly advertise MAM/PAMM products. Clients who wish to leave money with PAMM/MAM Managers do so knowing full well that they will need to investigate and understand the risks/rewards that come with investing with MAM/PAMM products that use our Platform.
  • Exness: We do not provide PAMM accounts at the moment but we will possibly offer them in future. We also do not provide signals, however, clients can subscribe from third party providers and use on our platfrom.

8.  Almost all brokers organize seminars and train traders on technical analysis. Why not fundamental analysis too? (I mean how to trade news event). Do you train traders on both? If yes can you provide proof?

  • ICMarkets: Yes we do. The training is done over the phone with new clients that register and request it.  We also host webinars and have various videos and educational material easily accessible online.  We are looking to add extra depth and volume to our Education section, this will be updated very soon.
  • NordFX: You ask for evidence again, don’t you? It’s simple – go to our website http://nordfx.com. And right on the main page you will see regular analytical reviews and forecasts, which are prepared by our experts, and which take into account both technical and fundamental analysis.

We are talking about both weekly forecasts, and medium and long-term forecasts. In addition, at our site you will find an impressive educational section, which includes a number of articles and videos that talk in an easy and understandable way about specifics of applying both technical and fundamental analysis.

  • Blackwell Global: We offer trainings on Fundamental and Technical analysis. If you want proof you are more than welcome to join our Trainings and weekly traders’ discussion at our office.
  • XM Broker: We provide both technical and fundamental analysis to our traders through seminars, webinars and daily signals. This information is available on the Research & Education section on our website.

After getting acquainted with the trading basics, the best decision will be to open a Demo-account (just download the trading terminal by this link: https://www.instaforex.com/trading_platform.php and after the program startup fill in the proper field in the emerged window). Having obtained necessary skills of trading on Demo-accounts you can start registration of a real trading account at our website: http://instaforex.com/open_live_account.php .

  • Global Prime Forex: We provide no education or training whatsoever. Our demographic audience of traders is that of experienced traders who want  a suitable environment to trade in.
  • Exness: Please be informed that we do not provide training or seminars for our clients. however, clients can always refer to our youtube videos and webnars for some information  and more on online information.

9. Making deposit into an account with brokers seems to be easy, but what of making withdrawals? Do you restrict any withdrawal process due to some conditions? If yes what are the conditions? 

  • ICMarkets: We do not have any unorthodox restrictions. For AML purposes the funds needs be withdrawn the same way were deposited – for example: if a client deposited by credit card, then the withdrawal should be by the same credit card.
  • NordFX:  There are no particular restrictions. A bank transfer takes between 3 to 6 working days, a withdrawal to credit cards takes 5 – 6 days, as for electronic payment systems, a withdrawal occurs within one day. At the same time, I would like to note that NordFX does not charge customers any fees either for depositing or for withdrawing funds.
  • XM Broker: Withdrawal of funds is only available to clients who have uploaded their supporting documents and had their trading account validated. Clients log in to the secure XM Members Area to upload their supporting documents (proof of identity and proof of address) and once the clients’ trading account has been validated they will be able to withdraw funds from their trading account.

In order to protect all parties against fraud and minimise the possibility of money laundering and/or terrorist financing, XM will only process withdrawal/refunds back to the source of the original deposit according to the Withdrawal Priority Procedure below:

Credit/debit card withdrawals. Withdrawal requests submitted, regardless of the withdrawal method chosen, will be processed via this channel up to the total amount deposited by this method. E-wallet withdrawals. E-wallet refunds/withdrawals will be processed once all Credit/Debit card deposits have been completely refunded.

Other Methods. All other methods such as bank wire withdrawals shall be used once deposits made with the above two methods have been completely exhausted. XM Cards. Requests to withdraw funds from an XM trading account to an XM Card will be processed only once any Credit/Debit card (not including XM Cards) deposits have been completely returned to their source.

All withdrawal requests will be completed within 24 working hours; however all withdrawal requests submitted will be instantly reflected in the clients’ trading account as pending withdrawals. In case a client selects an incorrect withdrawal method, the clients’ request will be processed according to the Withdrawal Priority Procedure described above.

All client withdrawal requests shall be processed in the currency in which the deposit was originally made. Should the deposit currency differ from the transfer currency, the transfer amount will be converted by XM into the transfer currency at the prevailing exchange rate.

  • InstaForex: Using electronic payment systems, withdrawal is possible to be processed only to the same payment system with the same account details (currency, account number), which the deposit was made from. In case a trading account has been loaded from numerous payment systems, using several wallets and in different currencies, withdrawal shall be requested on the proportional basis.
  • Global Prime Forex:  We don’t restrict withdrawals for clients. Withdrawals need to be done to the same entity as that of the clients Global Prime Account. We also cover the withdrawal fee that the bank charges us so it is free for the client. We don’t cover intermediary bank fee’s which are outside of our control.
  • Exness: For deposit and withdrawal options, please kindly refer to our website.
  • NewForex: Clients must be verified. Clients can wd profit from $5

10. What is your minimum deposit size? 

  • NordFX: We offer several types of accounts to our clients, and of course, trading conditions for them are different. If we talk about the minimum amount of the deposit, it is only 5 USD.
  • Exness: Our minimum deposit depends on the account type.

11.  What kind of leverage do you offer (maximum and minimum)?

  • NordFX: As I have said trading conditions are different, this also applies to the different companies of our group. It is well known that the European regulation imposes fairly strict conditions, and NFX Capital MU Inc. can offer its clients a leverage of 1: 100 in the account MT-ECN to 1: 1000 in the account, which is called 1: 1000.
  • Exness: For maximum and minimum leverage please kindly refer here https://www.exness.com/forex/leverage/

12.  Are traders forced to use your charting platform?

  • ICMarkets: We offer the MT4 and cTrader platforms. Our FIX API solution has just been released to allow clients to connect directly into our liquidity using the GUI of their choice (as long as it can be written to our FIX specs)
  • XM Broker: Yes, traders can only trade on the XM MT4 platform available from our website (Available for PC/MAC, Smartphones and Tablets)
  • InstaForex: Any trading platform which includes InstaForex trading server can be used for trading operations.
  • Global Prime Forex: Since MT4 is the only platform that is offered, traders are able to use add-ons that are supported by the MT4 community. As these are 3rd party additions, it is up to the client to monitor them to see how they affect the MT4 platform as a whole as additional add-ons can have adverse effects on a standard MT4 platform. FIX API or institutional traders are able to plug whatever they like into our liquidity.
  • Exness: Our client’s are not forced to use our charting platform.

13. Apart from spread, withdrawal-fee, roll over rates. What other fees do you charge traders?

  • XM Broker: We charge spreads and swaps. There are no withdrawal or depositing fees (all being covered by XM)
  • InstaForex: We There are no any other charges except swap. But Swap free service can be acticated/deactivated from client cabinet, from the section Account settings/Personal information.
  • Global Prime Forex: We charge a commission per trade r/t of $7 (for AUD it is based off AUD, for all other denominated currencies is it based off USD)
  • Exness: Apart from spread, withdrawal-fee, roll over rates. What other fees do you charge traders? No commissions are paid for forex trading in Cent*, Mini, and Classic accounts, except for spread and swap. For ECN accounts, commission is calculated in proportion to the volume of a trade operation, based on the following: 25 USD per 1 million USD of trading volume.

14. Do you offer fixed spread ? if yes, do you place any sort of restrictions during  news event like Non-Farm Payroll? Do you freeze the platform few minutes before news event?

  • ICMarkets: We do not offer fixed spreads . Average spread on EUR/USD is 0 – 0.1 pips. We don’t freeze the platform – clients who experience this are generally not having good enough internet connection, or they are placing too many demands on the MT4 software they are using (e.g. having too many charts open, having many EA’s or Indicators working, as well as the performance of their computer. Usually the markets are quite volatile around news times (as you must know) so there is a lot of data changes at these times. Client should optimize their computer conditions if they wish to trade news times.
  • NordFX: There are accounts with fixed spread, there are accounts with dynamic spread.
  • Blackwell Global: We offer strictly STP model, our spreads are variable. We don’t do any form of manipulation to our client’s trades.
  • XM Broker: We operate with variable spreads that depend on the market volatility. No re-quotes, no rejections.
  • InstaForex: All our spreads are fixed, except spreads by trading instruments EUR/GBP and EUR/CHF. Spreads for these pairs is 3 pips in the daytime and 5 pips from 9 pm to 10 am of terminal time. The full list of our spreads you can find within the here.
  • Global Prime Forex:  No, we can only offer a variable spread which comes from our liquidity providers and furthermore, we don’t recommend news trading as the spread can widen considerably due to volatility in the market. We actively advise news traders to not trader over news announcements. In saying this we don’t restrict them from doing so.
  • Exness: We provide 10 currency pairs with a fixed spread for Mini and Classic accounts.

15.  Is your broker good for scalpers? If yes, which account type will you recommend to a trader? And hope profits will never be deleted like some brokers will delete positive trades and leave negative trades?

  • ICMarkets: We do not make any suggestions, clients need to choose. We do tend to find that scalpers do indeed like us, due to our excellent execution and tight spreads. Scalpers tend to open True ECN accounts (as the commission charge is not included in the trade), but clients are free to choose the account type based on their own preference.
  • NordFX: Tight floating spreads, quality quotes and fast execution are achieved through the use of a large number of liquidity providers and serve as a steady basis for successful trading. Immediate hedging of every trading position allows implementing any trading strategy.
  • Blackwell Global: We allow all type of trading strategy including scalping. It is not in our favour to manipulate our clients’ accounts.
  • XM Broker: We allow scalping on all account types
  • InstaForex: Minimal time when order should be closed is 5 minutes after it is opened, accordingly to the point 3.14.6. of Agreement offer: The Customer agrees to undergo a supplementary expert examination of the trading account, if it has been revealed that the trading methods of the Customer include opening and closing/opening lock positions with a less than 5-minute interval between them. In accord to the results of the supplementary examination the Company reserves the right to correct the outcome of the Customer’s trading by the sum total of such orders.
  • Global Prime Forex: We have scalpers who trade successfully on our standard account –orders can only be closed by the client by either setting SL or TP; or by reaching Margin Stop (100% margin).
  • Exness: Please note that we do not have restriction to clients chosen trading strategies.
  • NewForex: Scalping is allowed from 2 minutes

16.  Do you offer guaranteed stop loss in situations of huge market spikes up to 1,000 pips within seconds. Am I covered or not?

  • ICMarkets: We do not offer guaranteed Stop Losses. In cases where the fault is with IC Markets, we do cover such cases
  • Blackwell Global: Blackwell Global makes all efforts to guarantee rates, when it is able to do so, unless conditions prevent delivering the rate selected.

An example below:

GBP crashed across the board based on Sunday’s reaction to ‘hard-Brexit plans’. Due to unusual market movement and volatility, gaps were created and SL could not be guaranteed.

http://www.businessinsider.com.au/the-british-pound-is-crashing-in-asia-on-reports-of-hard-brexit-plans-2017-1

  • XM Broker: In case of a spike, your stop loss will be executed at the best available market price.
  • InstaForex:  In cases of price gaps the orders are executed according to the following rules:

– pending orders, where the open level and the Take Profit got into a price gap, are canceled with a comment [canceled/gap];

– Take Profit order the level of which is within a price gap, is executed at the price set by the order;

– Stop Loss order, which is within the price gap, is executed at the first received price following the gap and marked by a comment [sl/gap];

– Buy Stop and Sell Stop pending orders are executed at the first price received following a price gap, with [started/gap] appearing as a comment;

– Buy Limit and Sell Limit pending orders are executed at the set price and marked by a comment [started/gap].

  • Global Prime Forex: Because orders are sent to the Market, and LPs are required to fill client trades, there are no such things as guaranteed stop losses especially during market spikes as orders will be filled at the first available price. We advise clients to stay away from news announcements like this as client trades can be filled X pips away, purely because the market is too volatile. Only a B-Book or market maker broker can offer guaranteed stops.
  • Exness: If the price of the instrument reaches the level specified by the Stop Loss, the position is completely closed automatically.

17. Can I lose money than I put in my account?

  • ICMarkets: Yes, it is possible. We do not offer negative balance Protection.  We are not a Market Maker broker.
  • NordFX: Never because of us. But it is possible because of unsuccessful trading.
  • XM Broker: Your capital is at risk and therefore you may lose all your invested funds.
  • InstaForex: If during trading operations account balance becomes negative, Company shall corrected it to 0.
  • Global Prime Forex: You can definitely go into negative balance; you can certainly lose more money than in your account, especially if you are overexposed and or risking too much of your account when a black swan event happens and moves in the opposite direction of your trades.
  • Exness: Pursuant to Exness’ General Business Terms, if your account has a negative balance after closing positions, the trading account balance is adjusted to return it to zero. Thus, it is absolutely impossible for you find yourself in a situation where you have incurred losses greater than the funds in your trading account and are obligated to reimburse a negative balance.
  • NewForex: Clients can not lose money without trading

18. Do you allow hedging?

  • InstaForex: Hedging and arbitrage are available trading strategy.
  • Exness: When you open hedged positions with equal volumes, the margin requirement for the positions will be zero on Cent, Mini, and Classic accounts. On ECN accounts, the margin for hedging/locking positions is fully applicable for both positions.

19. Do you allow arbitrage?

  • Blackwell Global: Define arbitrage; if it affects the system ofcourse no broker would allow.
  • InstaForex: Hedging and arbitrage are available trading strategy.
  • Global Prime Forex: We’ve never asked a client to stop trading their strategy through MT4 – the only real restriction is to not send more than 5000 orders a day to our server
  • Exness: Exness has no restrictions on the use of advisors and trading strategies. All trading strategies are welcome on all account types and there are no limitations on the duration of transactions either.

20. Do you support MIT Order (Market If Touch Order)?

  • InstaForex: We offer Instant execution type for all available types of trading accounts in our company.

21.  Good I remembered. When you ask traders to try demo account, does your server gives out the same quotes with live accounts?

  • NordFX: Quotes on a demo account fully comply with quotes on real account. Moreover, any trader can not only master his skills and try out new strategies on a demo account, but also earn real money.

Our company carries out a two-week contest for virtual accounts “DemoCup” every month since March 2010. Every month’s draw is $ 3,500. In total, during the contest its winners have received prizes exceeding $ 300,000. I would like to stress out that absolutely anyone can take part and win in the competition for free.

  • XM Broker: While all features and functions of a real account are also available for a demo account, you should keep in mind that simulation cannot replicate real trading market conditions. One relevant difference is that the volume executed through the simulation does not affect the market; while in real trading volumes have effect on the market, especially when the deal size is large. The speed of execution is the same for real trading accounts as for the XM demo accounts.
  • InstaForex: Quotes may be differ because of the different filters and different suppliers as well as the time differences for 1-2 seconds between different physical servers.
  • Global Prime Forex: The demo takes the quotes from the live server. So yes, the demo server matches the live server in that regard.
  • NewForex: Quotes is the same as in live accounts.

22. Most brokers will purposely spike markets up and down to like 20 pips a few seconds before news event, to purposely delete pending orders of traders. Do you do that too?

  • ICMarkets: No – however Liquidity Providers generally widen spreads at news time. This is a well-known practice and should not be a surprise.
  • XM Broker: We do not and cannot influence the market movements.
  • InstaForex:  In cases of price gaps the orders are executed according to the following rules:

– pending orders, where the open level and the Take Profit got into a price gap, are canceled with a comment [canceled/gap];

– Take Profit order the level of which is within a price gap, is executed at the price set by the order;

– Stop Loss order, which is within the price gap, is executed at the first received price following the gap and marked by a comment [sl/gap];

– Buy Stop and Sell Stop pending orders are executed at the first price received following a price gap, with [started/gap] appearing as a comment;

– Buy Limit and Sell Limit pending orders are executed at the set price and marked by a comment [started/gap]..

  • Global Prime Forex:  We don’t do that, you can see here  when the spread widens during news announcements and rollover; you can then see when the spread widens the moment the news event goes out or how it widens during rollover. Please bear in mind that the market can be volatile before the announcements take place, the market could move erratically and the spread could widen before the event takes place.

When you say that the brokers are purposely spiking the markets it’s in most cases not true – it is simply the market reacting to the news coming out.

24.  I know brokers give out bonuses to traders to help and sometimes lure them to trade and loose more. My question is how do you help traders with your bonuses?

  • NordFX: The bonus, as well as the leverage, can bring additional, very substantial profits to the trader. You just have to know how to use these tools. Each client is free either to use any bonus or give it up. As for assistance to traders, there is a bonus in the range of our offers, called “Up to 100% on the deposit”, which also includes free trader education and relevant advice from a consulting analyst.
  • Blackwell Global: Bonuses are not given often, we do not encourage Bonuses to our traders. Our clients are well educated and do not need bonuses..
  • XM Broker: Our bonuses are fully tradable which means they give you the opportunity to open bigger volume trades and keep your positions opened for longer time. You can make a withdrawal any time and the bonus is not locking your money.

It is required to pass both verification levels by uploading a document which proofs your identity for first level and a document which proofs your address for the second level. After both levels are approved – you need to accept terms of Nodeposit agreement offer on our website https://www.instaforex.com/nodeposit_bonus

A list of acceptable documents for account verification is announced on Trading conditions page https://www.instaforex.com/verification

  • Global Prime Forex: We don’t offer bonuses of any kind. We can however, negotiate commission based on volume traded.
  • Exness: For our bonus programs, please kindly refer here https://www.exness.com/bonuses/
  • NewForex: We help them to start trading with our bonuses and we teach our newbies

24. Most brokers offer a VPS service freely to traders. Do you also do that and what do you expect in turn from a trader ?

  • ICMarkets: To qualify for free VPS clients need to have 15 lots traded/month
  • XM Broker: Clients that maintain a minimum amount of(Equity – Credit) USD 5,000 or equivalent in other currency are eligible to request a Free VPS from the Members Area at any given time required they trade at least 5 round turn lots per month . In qualifying for a Free VPS, we also take in to account any other trading accounts registered using the same email address.

Clients that do not meet the above criteria can still request an XM MT4 VPS from the Members Area for a USD 28 monthly fee which will be automatically deducted from their MT4 account on the first working day of each calendar month.

  • InstaForex: We offer free VPS when account balance is more than 5 000 USD. It can be ordered from cabinet, from section Company`s services/Free VPS. Information about all other costs of the VPS is announced on our website, For Free VPS page check here
  • Global Prime Forex: The VPS services that we offer are sponsored if traders can trade 20 lots in a month. This entitles traders to Bronze Level VPS. For escalated levels of service, the lot requirement is increased.
  • Exness: Yes, we provide free VPS hosting for our clients. You may refer here for more detailed information 

25.  I believe you have different accounts for traders. If I may ask, which account type will you suggest for: Scalpers, Swing Traders, News Traders respectively?

  • ICMarkets: We do not make any recommendations, clients need to choose.
  • XM Broker: The account types differ in size and therefore it is up to the trader to select what account type best suits his/her trading strategy.
  • InstaForex: In order to help traders to create a successful trading strategy two account types were developed by the InstaForex Dealer Department specialists. Trading accounts’ types differ by the method of accounting spreads and commissions, which are picked by the trader opening an account.

Erurica account type with its 0 spreads is recommended for newbies because it is not necessary to take into consideration the spread in case of pending orders usage: a pending order is executed right when the price reaches its value if the spread equals to 0.

  • Exness: https://www.exness.com/register/#/full
  • NewForex: We have Micro and Standard Accounts.

26. Do you support traders who trade futures, forex, options and stocks?

  • XM Broker: We offer Forex, Commodities, CFDs, Equity Indices, Energies, Precious Metals. We do not offer binary options
  • InstaForex: All the mentioned trading instruments are available for trading. Information about contacts specification is announced on our Trading conditions page following the link https://www.instaforex.com/specifications
  • Global Prime Forex: Currently on our MT4 platform, traders can trade FX Pairs, Metals and CFDs (US500, AUS200, DAX30, etc)
  • Exness: Please kindly refer to this link for our trading instruments [https://www.exness.com/forex/specifications/]

27.  Can I earn interest on positive rollovers?

  • InstaForex: Annual fee rate 5 % applies to all trading accounts (The rate applies only to active accounts, for inactive accounts – the annual rate is 2%.). It is added on funds unused in trading. Annual fee rate 5% is credited to the accounts of InstaForex clients at the beginning of the next month after accountable and counted on the basis of the average value of free funds for the accountable month.
  • Exness: Swap is applied for various instruments, in accordance with the Contract Specifications. To calculate the amount of swap that applies to the particular parameters of a transaction, you can use the Trader’s calculator.

28. Execution is vital to traders; How can you proof that your broker is good at this?

  • ICMarkets: IC Markets MT4 and cTrader trade servers are located in the NYE and LD5 IBX Equinix Data Centres in New York and London, providing clients with the fastest possible execution speeds. Equinix data centres are knows globally for their secure and reliable infrastructure.  Also the use of a VPS is recommended to reduce the execution time.
  • Blackwell Global: The record speak for itself, you can never see any negative review of our services online or anywhere. We welcome you to open an account and experience for yourself.
  • XM Broker: Our execution is highly optimised, with 99.35% of all orders being executed in less than 1 second, coupled with a strict no requotes and no rejections policy. Want a proof ? Try us out!
  • InstaForex: Accordingly to the point 3.1.4. of our Agreement offer the time, required to execute an enquiry or an order, depends on the quality of connection between the Customer terminal and the Company server, as well as on the market conditions. Under the normal market conditions, it usually takes about 1-5 seconds to process an enquiry or an order. Amid the market conditions which differ from the normal ones, the processing time can be extended up to 10-15 seconds. However orders are executed less than for a second.
  • Global Prime Forex: We can provide the tickets to show the execution time, slippage, and LP that filled the trade. Execution is tied to latency, so it still depends on the clients distance to the server, and if they are using a VPS or not.
  • Exness: The type of execution available depends on the account type and the type of financial instrument: Information on the types of execution available can also be found on our website
  • NewForex: We have Instant Execution. We wd funds in 24 hours

29. What piece of advice will you give a newbie starting forex?

  • ICMarkets: Knowledge is power. Newbies are often prone to not understanding the principals behind why markets move and how they move.
  • NordFX: I would strongly advise before starting to trade on a live account, to take a most serious approach to the process of learning and getting experience.
  • Blackwell Global: To try his/her best to educate himself/herself on forex trading. Which we offer for free at our Lagos office.
  • XM Broker: Invest some time in educating yourself. Trading is not about getting rich fast. You should learn the basic money management principles and understand their importance. It is vital to spend a considerable amount of time in order to educate yourself and develop your own trading strategy.
  • Global Prime Forex: We don’t market to newbies and if anything we would prefer to not take them on as clients until they have worked out how to profitable on a demo for at least 6 months. We advise new traders to 1) trade on the demo for at least 6 months before attempting trading (this needs to be done diligently) 2) .

30. What piece of advice will you give a trader with years of experience?

  • ICMarkets: Knowledge is power – if you have considerable experience in forex trading, the client will understand the benefits of trading with IC Markets in terms of execution and spreads.
  • NordFX: I do not think they need my advice. Still, I would advise them to never stop learning.
  • Blackwell Global: Not to stop learning and try to pass the knowledge to intending forex traders to make a lot of people financially independent. Do not be greedy, psychology plays a big part in trading.
  • XM Broker: Keep reading and educating yourself. Financial markets are highly complex and what you know today may not be relevant tomorrow. There is always room to learn more. Successful traders did not become profitable over a night.
  • Global Prime Forex: We would be there for them and discuss more on the execution side of things how we can help them out by tailoring custom streams to them.

31. What piece of advice will you give traders who want to quit their job for forex?

  • ICMarkets: If the client is confident enough that they can make sufficient earnings by trading, we would encourage it on the basis that the client has the relevant knowledge and nous to quit their regular job to be a full time trader.
  • NordFX: Indeed, many lose money in the Forex market, but many earn. Therefore, if you are haunted by failure, it is not the market to blame for this, the reason should be sought in yourself. And when you find and resolve it, you are sure to succeed. And I sincerely wish you success!
  • Blackwell Global: : I won’t advice anybody to quit their day job but make forex trading as an alternative means to make extra income for themselves.
  • XM Broker: There are 2 types of traders: Losers and Winners. Losers fail once or twice and quit. Winners have goals and keep pushing until they reach them. They never give up until they achieve their targets. You choose which type of trader you would like to be!
  • Global Prime Forex: There is a lot of generic advice available regarding that sort of decision: 90% of traders lose all their money in the first 2 months of trading; FX trading revolves around risk management, that is one of the most important things to learn; trading forex successfully takes many years usually—it is not a decision to be made lightly. We would advise against it and tell the trader to take everything they read in FX with a grain of salt.

Brokers I Use (Recommend)

I have seen the good and the bad since 2006 in the brokers world. I could remember when I sent thousand of dollars to a broker in 2007 and till now my account as not been credited.  How I wish I could turn the hands of time, how I wish I asked these questions then. Well it is not too late to ask your brokers too.

From my relationship with some brokers as at now these are the ones I use and recommend.

For full disclosure I am an Inroducing Broker with them too.

Did I miss anything? I hope these questions and answers have opened your eyes more.

Let me hear from you too. What do you think about your own broker and what do you feel about the questions and answers from brokers you have read about here?

I’ll be waiting for you in the comment box

Enjoy your day.

 

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31 Insightful Questions Every Serious Forex Trader Should Ask Forex Brokers

If you really want to know your brokers, ask them these 31 insightful questions and you’ll have facts to base your decisions and know if they are worth working with or not.

I am very happy to tell you I had the opportunity to interview some brokers, though not all of them answered due to their policy.

Some didn’t answer because they want traders to ask them directly and others feel like answering but don’t want me to publish it here and other reasons.

Either ways, I want to say thanks to ICMarkets, NordFX, Blackwell Global, XM Broker, InstaForex, Global Prime Forex, Exness, NewForex, ForexTime, FBS, HotForex,Alpari ,FXOpen and IronFx for their quick response.

Some brokers are yet to answer my interview questions; I will be making an update to this post immediately I receive their answers.

Each question comes with different answers from brokers. So take your time and go through it, and if you feel your preferred broker is not listed among those brokers that gave answers to my questions, you can contact them directly by asking them these 31 questions.

For full disclosure, I am an IB (Introducing Broker) with some of the brokers you will see here.

Here are the 31 Insightful Questions

  1. How long have you been a Forex Broker?
  • NordFX: NordFX is not one, but a group of companies united by one brand. It includes NFX Capital Cyprus Ltd, Nfx Capital Mauritius Inc, Nfx Capital Vanuatu Inc and Nord Forex India Pvt Ltd. Companies under this brand offer individuals and entities a full range of services for trading in the Forex market since 2008.
  • Blackwell Global: Blackwell Global has been in operation since 2010. Blackwell Global opened its doors In Nigeria in 2013.
  • InstaForex: InstaForex brand was created in 2007 and at the moment it’s a top choice of more than 3,000,000 traders.

  1. What regulatory authority is your brokerage firm registered with, and in what country? If yes, give me proof!
  • ICMarkets: ASIC – Australia Australian Financial Services Number : 335692
  • NordFX: Each of our companies has a license corresponding to the country of registration. For example, a Cyprus-based company is regulated by the Cyprus Securities and Exchange Commission, NFX Capital MU Inc. has a license of the Financial Services Commission of Mauritius (FSC), and Nord Forex India Pvt Ltd which was founded in India in 2010, is licensed by the Securities and Exchange Board of India (SEBI) and, in addition, is a member of the National Stock Exchange of India (NSE) and Indian Joint Stock Exchange Ltd (USEIL). With regard to evidence, it is not difficult to check the licenses in the registers of the countries of registration.
  • Blackwell Global: The Blackwell Global Group is regulated by a number of regulators. Blackwell Global is regulated by CySEC, FCA, ASIC, FSP. 

CySEC-  http://www.blackwelltrader.com/our-regulations

 FCA –    http://www.blackwellglobal.com/ 

Blackwell Global Investments (UK) Limited is authorised and regulated by the Financial Conduct Authority. Financial Services Register Number 687576. VAT Reg. No. GB 230372151 

FSP-   http://www.blackwellglobal.co.nz/our-regulations 

Blackwell Global Investments Limited is an independent entity within Blackwell Global. The company is a registered Financial Service Provider (FSP No. 3061) supervised by the Financial Markets Authority to comply with AML/CFT obligations and fair dealing provisions in the Financial Markets Conduct Act 2013. The company is also a member of a Financial Dispute Resolution Scheme.

More information can be found here: http://www.xm.com/regulation

  • InstaForex: InstaForex is a group of companies registered in different countries. It includes various legal entities providing clients with services under their territorial jurisdiction. At present, forex brokers of the Russian Federation are applying for a license. Thus, our company has fulfilled all requirements imposed by Russia’s central bank, which are essential to obtain a license, and entered the Association of forex brokers that acts as self-regulatory organization. Meanwhile, we are awaiting a positive decision from the Bank of Russia in the near future. 

As for the stock market, InstaVector Investment Company Ltd, a brokerage company within InstaForex Group, has been holding a license for a professional service provider since 2008. Apart from Russia-based InstaVector Investment Company Ltd, there are also unlicensed companies within the group. Forex services in Russia are rendered by Insta Service Ltd, registered in Saint Vincent and the Grenadines. At present, Saint Vincent and the Grenadines legislation does not require a special license for a forex service provider. 

  1. Is your broker quoting the rates or another bank?
  • ICMarkets: Other banks – our Liquidity Partners
  • XM Broker: We provide the best available market price among all our liquidity providers.
  • InstaForex: The company operates with many Western counterparts (Banks and others financial organisations), in particular, with those regulated by NFA and FSA brokers. The policy line is not to give such information publicly, as it would be an advertising support for our counter-agents, a lot of them turn out to be direct competitors of our company at the brokerage services market.
  • Global Prime Forex: The rates come from the LPs that provide liquidity, we have 20+ LPs that make the prices.
  • Exness: Please be aware that Our liquidity providers for our Market Maker accounts (Cent, Mini and Classic) are large European banks link and our liquidity providers for our ECN accounts are FXCMPRO and ADS securities link.

4. I believe almost all brokers hide the truth here, regarding what type of broker they are. So if I may ask: What type of broker are you: Market Maker, Straight Through Processing or ECN? I will be glad if you will answer this questions with sincerity or proof because sooner or later traders will know.

  • NordFX: Of course, we do not have an opportunity to manipulate market prices in Forex, we are a classic ECN / STP broker.  There is a famous saying, “Practice is a criterion of truth.” Open an «MT-ECN» account with us and see for yourself how it works. Let me just say that this account is serviced on MT4 and receives quotes directly from ECN Currenex without modifications. We use our own bridge to transfer the order flow to this ECN for excellent speed and quality of order processing.
  • Blackwell Global: Straight Through Processing/ECN. This can be identified by looking at our offerings (low leverage, no re-quotes, market execution, not aggressive on bonus)
  • XM Broker: XM is classified as a ‘market maker’ because we operate a dealing desk whose primary function is to process telephone orders. All client positions however, are covered through multiple liquidity providers and we do not benefit from client losses in any way. Our execution is highly optimised, with 99.35% of all orders being executed in less than 1 second, coupled with a strict no requotes and no rejections policy.
  • InstaForex: InstaForex is an ECN-broker providing qualitative trading services at Forex market. Cooperation with major market-makers and brokers-counter agents complete with huge clients base provides InstaForex Company with high liquidity and opportunity to make fast online service available for its clients. 

There are a lot of different ambiguous descriptions of ECN-trading in the Internet, but you shouldn’t believe everything written there. ECN-trading means using bigger than 1 market lot deals that makes it impossible for clients with micro and mini forex accounts. That is why our company offers ECN-trading by a scheme of all clients lots summarizing with the further transferring to the counter agent.

Every client makes a deal with another one or appears to be a part of summarized position transferred to ECN-counter agents. Giving a clear definition of ECN-trading, a deal of 0.01-10 InstaForex lot cannot  be a 100% ECN-deal, however, deals calculating scheme of InstaForex gives an opportunity to clients with accounts lower than Standard Forex to obtain all advantages  of ECN-trading and usual trading by means of broker (in particular, profitable trading conditions, which are not available with direct ECN-trading).

  • Global Prime Forex: STP/ECN/DMA/NDD are all just catch phrases that brokers use to say that they are A-book and pass trades to the liquidity providers. In reality pretty much every broker runs some type of B-book and one would be a fool to think otherwise.  We are one of the only brokers in the world that shows our clients trade receipts which show which liquidity provider filled the clients trades. This proves to our clients that we do not take the other side of trades and all trades are passed to the liquidity providers.

Below is an example of a trade receipt. Ask your broker if they will show you the same – chances are they won’t because they aren’t sending all trades to the liquidity providers. Instead they internalise most of them and profit from client losses. 5117735

Open order filled by Morgan Stanley (MSFX) in 57ms with 0 slippage

Close order filled by Deutsche Bank (db) in 111ms with 0 slippage

  • Exness: Please be informed that Exness is a market maker (non dealing desk) for Cent, Mini, and Classic accounts and an ECN broker for ECN accounts.

5.  How many active clients do you have right now (You can give me an estimation)? 

  • NordFX: We celebrated a round figure in the spring of 2015 – the number of accounts opened with us reached 1,000,000. Now this figure is close to one and a half million.
  • InstaForex: Currently we have over 3 000 000 traders all over the world.

6. Do you scrutinize your PAMM account managers before allowing them to touch investor’s money? And how do you do that?

  • ICMarkets: We do not offer PAMM platform, only MAM. And yes, we do scrutinize Money Managers before setting them up.
  • NordFX: We do not seek to extend indefinitely the list of proposed investment products and services, and we focus exclusively, as I have said, on the classic currency trading in the Forex market. Therefore, we do not offer PAMM service to our clients.
  • Blackwell Global: We do our KYC on them and request for LPOA, fund managers bring their own clients. Blackwell Global does not interfere with fund managers and investors.
  • InstaForex: PAMM system of InstaForex Company does not give any guarantee of making profit by the managing traders. It is meant for ensuring the technical coordination between Traders and Investors which includes entirely automatically monitoring of Traders PAMM-accounts, money acceptance and refund.

Therefore, the system guarantees your funds protection, so they will not be withdrawn by a PAMM-trader. Moreover, the system assures that you can receive your funds form the PAMM-traders account at short notice during 30-60 minutes after requesting (depending on in which moment between synchronizations a refund request is made).

  • Global Prime Forex: MAM/PAMM Managers need to go through a screening process before they are given the software to trade MAM/PAMM products – this involves seeing their strategy running for 3 months on any broker, and then a further 1 month at Global Prime before we can approve it for MAM; furthermore there are requirements on the deposit size for MAM products is usually starts from $5K upwards.

Regarding Performance Fees à LPOA and CA forms are required to be signed by all MAM/PAMM clients à the MAM Master will provide a spread sheet of his performance fee and based on his agreed Fee, funds will be deducted from the client accounts. MAM/PAMM masters cannot make commissions on lots traded. This is done on a monthly basis, and records are kept, both on ours, the MAM Masters end and the clients end.

  • Exness:  We do not provide PAMM accounts at the moment but we will possibly offer them in future.

7. I know nothing is 100% in forex trading but why should traders leave their money to your signal providers, PAAM managers and trade copier. (If you have any all these features).

  • ICMarkets: Clients have the choice to use the service providers we are collaborated with – Myfxbook and   We do not recommend any specific signal providers or trade copiers, this is at the discretion of the client. If a client wished to have a managed account, they are able to see the performance of the MAM program before signing up
  • NordFX: As I said, we do not offer either PAMM-service or investment portfolios to our customers.For those customers who want to copy signals more experienced traders, platforms MetaTrader 4 and MetaTrader5 have a service “signals”, which is offered by the creator of these trading platforms – the company MetaQuotes Software Corp.In order to help our clients, we make regular reviews of the best of these signals for them.
  • Blackwell Global: We don’t provide signal providers, trade copiers or fund managers to clients. Our business is evolved around education and we encourage traders to educate themselves in trading forex.
  • InstaForex: Each trader can choose the system which will be more convenient his needs: Pamm system for investing funds to one of available Pamm project and collect profit or ForexCopy system which gives an opportunity to copy deals from ForexCopy traders accounts. Information about all available Pamm and ForexCopy traders is available on our monitoring page https://www.instaforex.com/pamm_monitoring#!/list with detailed information about each project.
  • Global Prime Forex: We don’t have specific Signal Providers or Trade Copiers, nor do we openly advertise MAM/PAMM products. Clients who wish to leave money with PAMM/MAM Managers do so knowing full well that they will need to investigate and understand the risks/rewards that come with investing with MAM/PAMM products that use our Platform.
  • Exness: We do not provide PAMM accounts at the moment but we will possibly offer them in future. We also do not provide signals, however, clients can subscribe from third party providers and use on our platfrom.

8.  Almost all brokers organize seminars and train traders on technical analysis. Why not fundamental analysis too? (I mean how to trade news event). Do you train traders on both? If yes can you provide proof?

  • ICMarkets: Yes we do. The training is done over the phone with new clients that register and request it.  We also host webinars and have various videos and educational material easily accessible online.  We are looking to add extra depth and volume to our Education section, this will be updated very soon.
  • NordFX: You ask for evidence again, don’t you? It’s simple – go to our website http://nordfx.com. And right on the main page you will see regular analytical reviews and forecasts, which are prepared by our experts, and which take into account both technical and fundamental analysis.

We are talking about both weekly forecasts, and medium and long-term forecasts. In addition, at our site you will find an impressive educational section, which includes a number of articles and videos that talk in an easy and understandable way about specifics of applying both technical and fundamental analysis.

  • Blackwell Global: We offer trainings on Fundamental and Technical analysis. If you want proof you are more than welcome to join our Trainings and weekly traders’ discussion at our office.
  • XM Broker: We provide both technical and fundamental analysis to our traders through seminars, webinars and daily signals. This information is available on the Research & Education section on our website.

After getting acquainted with the trading basics, the best decision will be to open a Demo-account (just download the trading terminal by this link: https://www.instaforex.com/trading_platform.php and after the program startup fill in the proper field in the emerged window). Having obtained necessary skills of trading on Demo-accounts you can start registration of a real trading account at our website: http://instaforex.com/open_live_account.php .

  • Global Prime Forex: We provide no education or training whatsoever. Our demographic audience of traders is that of experienced traders who want  a suitable environment to trade in.
  • Exness: Please be informed that we do not provide training or seminars for our clients. however, clients can always refer to our youtube videos and webnars for some information  and more on online information.

9. Making deposit into an account with brokers seems to be easy, but what of making withdrawals? Do you restrict any withdrawal process due to some conditions? If yes what are the conditions? 

  • ICMarkets: We do not have any unorthodox restrictions. For AML purposes the funds needs be withdrawn the same way were deposited – for example: if a client deposited by credit card, then the withdrawal should be by the same credit card.
  • NordFX:  There are no particular restrictions. A bank transfer takes between 3 to 6 working days, a withdrawal to credit cards takes 5 – 6 days, as for electronic payment systems, a withdrawal occurs within one day. At the same time, I would like to note that NordFX does not charge customers any fees either for depositing or for withdrawing funds.
  • XM Broker: Withdrawal of funds is only available to clients who have uploaded their supporting documents and had their trading account validated. Clients log in to the secure XM Members Area to upload their supporting documents (proof of identity and proof of address) and once the clients’ trading account has been validated they will be able to withdraw funds from their trading account.

In order to protect all parties against fraud and minimise the possibility of money laundering and/or terrorist financing, XM will only process withdrawal/refunds back to the source of the original deposit according to the Withdrawal Priority Procedure below:

Credit/debit card withdrawals. Withdrawal requests submitted, regardless of the withdrawal method chosen, will be processed via this channel up to the total amount deposited by this method. E-wallet withdrawals. E-wallet refunds/withdrawals will be processed once all Credit/Debit card deposits have been completely refunded.

Other Methods. All other methods such as bank wire withdrawals shall be used once deposits made with the above two methods have been completely exhausted. XM Cards. Requests to withdraw funds from an XM trading account to an XM Card will be processed only once any Credit/Debit card (not including XM Cards) deposits have been completely returned to their source.

All withdrawal requests will be completed within 24 working hours; however all withdrawal requests submitted will be instantly reflected in the clients’ trading account as pending withdrawals. In case a client selects an incorrect withdrawal method, the clients’ request will be processed according to the Withdrawal Priority Procedure described above.

All client withdrawal requests shall be processed in the currency in which the deposit was originally made. Should the deposit currency differ from the transfer currency, the transfer amount will be converted by XM into the transfer currency at the prevailing exchange rate.

  • InstaForex: Using electronic payment systems, withdrawal is possible to be processed only to the same payment system with the same account details (currency, account number), which the deposit was made from. In case a trading account has been loaded from numerous payment systems, using several wallets and in different currencies, withdrawal shall be requested on the proportional basis.
  • Global Prime Forex:  We don’t restrict withdrawals for clients. Withdrawals need to be done to the same entity as that of the clients Global Prime Account. We also cover the withdrawal fee that the bank charges us so it is free for the client. We don’t cover intermediary bank fee’s which are outside of our control.
  • Exness: For deposit and withdrawal options, please kindly refer to our website.
  • NewForex: Clients must be verified. Clients can wd profit from $5

10. What is your minimum deposit size? 

  • NordFX: We offer several types of accounts to our clients, and of course, trading conditions for them are different. If we talk about the minimum amount of the deposit, it is only 5 USD.
  • Exness: Our minimum deposit depends on the account type.

11.  What kind of leverage do you offer (maximum and minimum)?

  • NordFX: As I have said trading conditions are different, this also applies to the different companies of our group. It is well known that the European regulation imposes fairly strict conditions, and NFX Capital MU Inc. can offer its clients a leverage of 1: 100 in the account MT-ECN to 1: 1000 in the account, which is called 1: 1000.
  • Exness: For maximum and minimum leverage please kindly refer here https://www.exness.com/forex/leverage/

12.  Are traders forced to use your charting platform?

  • ICMarkets: We offer the MT4 and cTrader platforms. Our FIX API solution has just been released to allow clients to connect directly into our liquidity using the GUI of their choice (as long as it can be written to our FIX specs)
  • XM Broker: Yes, traders can only trade on the XM MT4 platform available from our website (Available for PC/MAC, Smartphones and Tablets)
  • InstaForex: Any trading platform which includes InstaForex trading server can be used for trading operations.
  • Global Prime Forex: Since MT4 is the only platform that is offered, traders are able to use add-ons that are supported by the MT4 community. As these are 3rd party additions, it is up to the client to monitor them to see how they affect the MT4 platform as a whole as additional add-ons can have adverse effects on a standard MT4 platform. FIX API or institutional traders are able to plug whatever they like into our liquidity.
  • Exness: Our client’s are not forced to use our charting platform.

13. Apart from spread, withdrawal-fee, roll over rates. What other fees do you charge traders?

  • XM Broker: We charge spreads and swaps. There are no withdrawal or depositing fees (all being covered by XM)
  • InstaForex: We There are no any other charges except swap. But Swap free service can be acticated/deactivated from client cabinet, from the section Account settings/Personal information.
  • Global Prime Forex: We charge a commission per trade r/t of $7 (for AUD it is based off AUD, for all other denominated currencies is it based off USD)
  • Exness: Apart from spread, withdrawal-fee, roll over rates. What other fees do you charge traders? No commissions are paid for forex trading in Cent*, Mini, and Classic accounts, except for spread and swap. For ECN accounts, commission is calculated in proportion to the volume of a trade operation, based on the following: 25 USD per 1 million USD of trading volume.

14. Do you offer fixed spread ? if yes, do you place any sort of restrictions during  news event like Non-Farm Payroll? Do you freeze the platform few minutes before news event?

  • ICMarkets: We do not offer fixed spreads . Average spread on EUR/USD is 0 – 0.1 pips. We don’t freeze the platform – clients who experience this are generally not having good enough internet connection, or they are placing too many demands on the MT4 software they are using (e.g. having too many charts open, having many EA’s or Indicators working, as well as the performance of their computer. Usually the markets are quite volatile around news times (as you must know) so there is a lot of data changes at these times. Client should optimize their computer conditions if they wish to trade news times.
  • NordFX: There are accounts with fixed spread, there are accounts with dynamic spread.
  • Blackwell Global: We offer strictly STP model, our spreads are variable. We don’t do any form of manipulation to our client’s trades.
  • XM Broker: We operate with variable spreads that depend on the market volatility. No re-quotes, no rejections.
  • InstaForex: All our spreads are fixed, except spreads by trading instruments EUR/GBP and EUR/CHF. Spreads for these pairs is 3 pips in the daytime and 5 pips from 9 pm to 10 am of terminal time. The full list of our spreads you can find within the here.
  • Global Prime Forex:  No, we can only offer a variable spread which comes from our liquidity providers and furthermore, we don’t recommend news trading as the spread can widen considerably due to volatility in the market. We actively advise news traders to not trader over news announcements. In saying this we don’t restrict them from doing so.
  • Exness: We provide 10 currency pairs with a fixed spread for Mini and Classic accounts.

15.  Is your broker good for scalpers? If yes, which account type will you recommend to a trader? And hope profits will never be deleted like some brokers will delete positive trades and leave negative trades?

  • ICMarkets: We do not make any suggestions, clients need to choose. We do tend to find that scalpers do indeed like us, due to our excellent execution and tight spreads. Scalpers tend to open True ECN accounts (as the commission charge is not included in the trade), but clients are free to choose the account type based on their own preference.
  • NordFX: Tight floating spreads, quality quotes and fast execution are achieved through the use of a large number of liquidity providers and serve as a steady basis for successful trading. Immediate hedging of every trading position allows implementing any trading strategy.
  • Blackwell Global: We allow all type of trading strategy including scalping. It is not in our favour to manipulate our clients’ accounts.
  • XM Broker: We allow scalping on all account types
  • InstaForex: Minimal time when order should be closed is 5 minutes after it is opened, accordingly to the point 3.14.6. of Agreement offer: The Customer agrees to undergo a supplementary expert examination of the trading account, if it has been revealed that the trading methods of the Customer include opening and closing/opening lock positions with a less than 5-minute interval between them. In accord to the results of the supplementary examination the Company reserves the right to correct the outcome of the Customer’s trading by the sum total of such orders.
  • Global Prime Forex: We have scalpers who trade successfully on our standard account –orders can only be closed by the client by either setting SL or TP; or by reaching Margin Stop (100% margin).
  • Exness: Please note that we do not have restriction to clients chosen trading strategies.
  • NewForex: Scalping is allowed from 2 minutes

16.  Do you offer guaranteed stop loss in situations of huge market spikes up to 1,000 pips within seconds. Am I covered or not?

  • ICMarkets: We do not offer guaranteed Stop Losses. In cases where the fault is with IC Markets, we do cover such cases
  • Blackwell Global: Blackwell Global makes all efforts to guarantee rates, when it is able to do so, unless conditions prevent delivering the rate selected.

An example below:

GBP crashed across the board based on Sunday’s reaction to ‘hard-Brexit plans’. Due to unusual market movement and volatility, gaps were created and SL could not be guaranteed.

http://www.businessinsider.com.au/the-british-pound-is-crashing-in-asia-on-reports-of-hard-brexit-plans-2017-1

  • XM Broker: In case of a spike, your stop loss will be executed at the best available market price.

  • InstaForex:  In cases of price gaps the orders are executed according to the following rules:

– pending orders, where the open level and the Take Profit got into a price gap, are canceled with a comment [canceled/gap];

– Take Profit order the level of which is within a price gap, is executed at the price set by the order;

– Stop Loss order, which is within the price gap, is executed at the first received price following the gap and marked by a comment [sl/gap];

– Buy Stop and Sell Stop pending orders are executed at the first price received following a price gap, with [started/gap] appearing as a comment;

– Buy Limit and Sell Limit pending orders are executed at the set price and marked by a comment [started/gap].

  • Global Prime Forex: Because orders are sent to the Market, and LPs are required to fill client trades, there are no such things as guaranteed stop losses especially during market spikes as orders will be filled at the first available price. We advise clients to stay away from news announcements like this as client trades can be filled X pips away, purely because the market is too volatile. Only a B-Book or market maker broker can offer guaranteed stops.
  • Exness: If the price of the instrument reaches the level specified by the Stop Loss, the position is completely closed automatically.

17. Can I lose money than I put in my account?

  • ICMarkets: Yes, it is possible. We do not offer negative balance Protection.  We are not a Market Maker broker.
  • NordFX: Never because of us. But it is possible because of unsuccessful trading.
  • XM Broker: Your capital is at risk and therefore you may lose all your invested funds.
  • InstaForex: If during trading operations account balance becomes negative, Company shall corrected it to 0.
  • Global Prime Forex: You can definitely go into negative balance; you can certainly lose more money than in your account, especially if you are overexposed and or risking too much of your account when a black swan event happens and moves in the opposite direction of your trades.
  • Exness: Pursuant to Exness’ General Business Terms, if your account has a negative balance after closing positions, the trading account balance is adjusted to return it to zero. Thus, it is absolutely impossible for you find yourself in a situation where you have incurred losses greater than the funds in your trading account and are obligated to reimburse a negative balance.
  • NewForex: Clients can not lose money without trading

18. Do you allow hedging?

  • InstaForex: Hedging and arbitrage are available trading strategy.
  • Exness: When you open hedged positions with equal volumes, the margin requirement for the positions will be zero on Cent, Mini, and Classic accounts. On ECN accounts, the margin for hedging/locking positions is fully applicable for both positions.

19. Do you allow arbitrage?

  • Blackwell Global: Define arbitrage; if it affects the system ofcourse no broker would allow.
  • InstaForex: Hedging and arbitrage are available trading strategy.
  • Global Prime Forex: We’ve never asked a client to stop trading their strategy through MT4 – the only real restriction is to not send more than 5000 orders a day to our server
  • Exness: Exness has no restrictions on the use of advisors and trading strategies. All trading strategies are welcome on all account types and there are no limitations on the duration of transactions either.

20. Do you support MIT Order (Market If Touch Order)?

  • InstaForex: We offer Instant execution type for all available types of trading accounts in our company.

21.  Good I remembered. When you ask traders to try demo account, does your server gives out the same quotes with live accounts?

  • NordFX: Quotes on a demo account fully comply with quotes on real account. Moreover, any trader can not only master his skills and try out new strategies on a demo account, but also earn real money.

Our company carries out a two-week contest for virtual accounts “DemoCup” every month since March 2010. Every month’s draw is $ 3,500. In total, during the contest its winners have received prizes exceeding $ 300,000. I would like to stress out that absolutely anyone can take part and win in the competition for free.

  • XM Broker: While all features and functions of a real account are also available for a demo account, you should keep in mind that simulation cannot replicate real trading market conditions. One relevant difference is that the volume executed through the simulation does not affect the market; while in real trading volumes have effect on the market, especially when the deal size is large. The speed of execution is the same for real trading accounts as for the XM demo accounts.
  • InstaForex: Quotes may be differ because of the different filters and different suppliers as well as the time differences for 1-2 seconds between different physical servers.
  • Global Prime Forex: The demo takes the quotes from the live server. So yes, the demo server matches the live server in that regard.
  • NewForex: Quotes is the same as in live accounts.

22. Most brokers will purposely spike markets up and down to like 20 pips a few seconds before news event, to purposely delete pending orders of traders. Do you do that too?

  • ICMarkets: No – however Liquidity Providers generally widen spreads at news time. This is a well-known practice and should not be a surprise.
  • XM Broker: We do not and cannot influence the market movements.
  • InstaForex:  In cases of price gaps the orders are executed according to the following rules:

– pending orders, where the open level and the Take Profit got into a price gap, are canceled with a comment [canceled/gap];

– Take Profit order the level of which is within a price gap, is executed at the price set by the order;

– Stop Loss order, which is within the price gap, is executed at the first received price following the gap and marked by a comment [sl/gap];

– Buy Stop and Sell Stop pending orders are executed at the first price received following a price gap, with [started/gap] appearing as a comment;

– Buy Limit and Sell Limit pending orders are executed at the set price and marked by a comment [started/gap]..

  • Global Prime Forex:  We don’t do that, you can see here  when the spread widens during news announcements and rollover; you can then see when the spread widens the moment the news event goes out or how it widens during rollover. Please bear in mind that the market can be volatile before the announcements take place, the market could move erratically and the spread could widen before the event takes place.

When you say that the brokers are purposely spiking the markets it’s in most cases not true – it is simply the market reacting to the news coming out.

24.  I know brokers give out bonuses to traders to help and sometimes lure them to trade and loose more. My question is how do you help traders with your bonuses?

  • NordFX: The bonus, as well as the leverage, can bring additional, very substantial profits to the trader. You just have to know how to use these tools. Each client is free either to use any bonus or give it up. As for assistance to traders, there is a bonus in the range of our offers, called “Up to 100% on the deposit”, which also includes free trader education and relevant advice from a consulting analyst.
  • Blackwell Global: Bonuses are not given often, we do not encourage Bonuses to our traders. Our clients are well educated and do not need bonuses..
  • XM Broker: Our bonuses are fully tradable which means they give you the opportunity to open bigger volume trades and keep your positions opened for longer time. You can make a withdrawal any time and the bonus is not locking your money.

It is required to pass both verification levels by uploading a document which proofs your identity for first level and a document which proofs your address for the second level. After both levels are approved – you need to accept terms of Nodeposit agreement offer on our website https://www.instaforex.com/nodeposit_bonus

A list of acceptable documents for account verification is announced on Trading conditions page https://www.instaforex.com/verification

  • Global Prime Forex: We don’t offer bonuses of any kind. We can however, negotiate commission based on volume traded.
  • Exness: For our bonus programs, please kindly refer here https://www.exness.com/bonuses/
  • NewForex: We help them to start trading with our bonuses and we teach our newbies

24. Most brokers offer a VPS service freely to traders. Do you also do that and what do you expect in turn from a trader ?

  • ICMarkets: To qualify for free VPS clients need to have 15 lots traded/month
  • XM Broker: Clients that maintain a minimum amount of(Equity – Credit) USD 5,000 or equivalent in other currency are eligible to request a Free VPS from the Members Area at any given time required they trade at least 5 round turn lots per month . In qualifying for a Free VPS, we also take in to account any other trading accounts registered using the same email address.

Clients that do not meet the above criteria can still request an XM MT4 VPS from the Members Area for a USD 28 monthly fee which will be automatically deducted from their MT4 account on the first working day of each calendar month.

  • InstaForex: We offer free VPS when account balance is more than 5 000 USD. It can be ordered from cabinet, from section Company`s services/Free VPS. Information about all other costs of the VPS is announced on our website, For Free VPS page check here
  • Global Prime Forex: The VPS services that we offer are sponsored if traders can trade 20 lots in a month. This entitles traders to Bronze Level VPS. For escalated levels of service, the lot requirement is increased.
  • Exness: Yes, we provide free VPS hosting for our clients. You may refer here for more detailed information 

25.  I believe you have different accounts for traders. If I may ask, which account type will you suggest for: Scalpers, Swing Traders, News Traders respectively?

  • ICMarkets: We do not make any recommendations, clients need to choose.
  • XM Broker: The account types differ in size and therefore it is up to the trader to select what account type best suits his/her trading strategy.
  • InstaForex: In order to help traders to create a successful trading strategy two account types were developed by the InstaForex Dealer Department specialists. Trading accounts’ types differ by the method of accounting spreads and commissions, which are picked by the trader opening an account.

Erurica account type with its 0 spreads is recommended for newbies because it is not necessary to take into consideration the spread in case of pending orders usage: a pending order is executed right when the price reaches its value if the spread equals to 0.

  • Exness: https://www.exness.com/register/#/full
  • NewForex: We have Micro and Standard Accounts.

26. Do you support traders who trade futures, forex, options and stocks?

  • XM Broker: We offer Forex, Commodities, CFDs, Equity Indices, Energies, Precious Metals. We do not offer binary options
  • InstaForex: All the mentioned trading instruments are available for trading. Information about contacts specification is announced on our Trading conditions page following the link https://www.instaforex.com/specifications
  • Global Prime Forex: Currently on our MT4 platform, traders can trade FX Pairs, Metals and CFDs (US500, AUS200, DAX30, etc)
  • Exness: Please kindly refer to this link for our trading instruments [https://www.exness.com/forex/specifications/]

27.  Can I earn interest on positive rollovers?

  • InstaForex: Annual fee rate 5 % applies to all trading accounts (The rate applies only to active accounts, for inactive accounts – the annual rate is 2%.). It is added on funds unused in trading. Annual fee rate 5% is credited to the accounts of InstaForex clients at the beginning of the next month after accountable and counted on the basis of the average value of free funds for the accountable month.
  • Exness: Swap is applied for various instruments, in accordance with the Contract Specifications. To calculate the amount of swap that applies to the particular parameters of a transaction, you can use the Trader’s calculator.

28. Execution is vital to traders; How can you proof that your broker is good at this?

  • ICMarkets: IC Markets MT4 and cTrader trade servers are located in the NYE and LD5 IBX Equinix Data Centres in New York and London, providing clients with the fastest possible execution speeds. Equinix data centres are knows globally for their secure and reliable infrastructure.  Also the use of a VPS is recommended to reduce the execution time.
  • Blackwell Global: The record speak for itself, you can never see any negative review of our services online or anywhere. We welcome you to open an account and experience for yourself.
  • XM Broker: Our execution is highly optimised, with 99.35% of all orders being executed in less than 1 second, coupled with a strict no requotes and no rejections policy. Want a proof ? Try us out!
  • InstaForex: Accordingly to the point 3.1.4. of our Agreement offer the time, required to execute an enquiry or an order, depends on the quality of connection between the Customer terminal and the Company server, as well as on the market conditions. Under the normal market conditions, it usually takes about 1-5 seconds to process an enquiry or an order. Amid the market conditions which differ from the normal ones, the processing time can be extended up to 10-15 seconds. However orders are executed less than for a second.
  • Global Prime Forex: We can provide the tickets to show the execution time, slippage, and LP that filled the trade. Execution is tied to latency, so it still depends on the clients distance to the server, and if they are using a VPS or not.
  • Exness: The type of execution available depends on the account type and the type of financial instrument: Information on the types of execution available can also be found on our website
  • NewForex: We have Instant Execution. We wd funds in 24 hours

29. What piece of advice will you give a newbie starting forex?

  • ICMarkets: Knowledge is power. Newbies are often prone to not understanding the principals behind why markets move and how they move.
  • NordFX: I would strongly advise before starting to trade on a live account, to take a most serious approach to the process of learning and getting experience.
  • Blackwell Global: To try his/her best to educate himself/herself on forex trading. Which we offer for free at our Lagos office.
  • XM Broker: Invest some time in educating yourself. Trading is not about getting rich fast. You should learn the basic money management principles and understand their importance. It is vital to spend a considerable amount of time in order to educate yourself and develop your own trading strategy.
  • Global Prime Forex: We don’t market to newbies and if anything we would prefer to not take them on as clients until they have worked out how to profitable on a demo for at least 6 months. We advise new traders to 1) trade on the demo for at least 6 months before attempting trading (this needs to be done diligently) 2) .

30. What piece of advice will you give a trader with years of experience?

  • ICMarkets: Knowledge is power – if you have considerable experience in forex trading, the client will understand the benefits of trading with IC Markets in terms of execution and spreads.
  • NordFX: I do not think they need my advice. Still, I would advise them to never stop learning.
  • Blackwell Global: Not to stop learning and try to pass the knowledge to intending forex traders to make a lot of people financially independent. Do not be greedy, psychology plays a big part in trading.
  • XM Broker: Keep reading and educating yourself. Financial markets are highly complex and what you know today may not be relevant tomorrow. There is always room to learn more. Successful traders did not become profitable over a night.
  • Global Prime Forex: We would be there for them and discuss more on the execution side of things how we can help them out by tailoring custom streams to them.

31. What piece of advice will you give traders who want to quit their job for forex?

  • ICMarkets: If the client is confident enough that they can make sufficient earnings by trading, we would encourage it on the basis that the client has the relevant knowledge and nous to quit their regular job to be a full time trader.
  • NordFX: Indeed, many lose money in the Forex market, but many earn. Therefore, if you are haunted by failure, it is not the market to blame for this, the reason should be sought in yourself. And when you find and resolve it, you are sure to succeed. And I sincerely wish you success!
  • Blackwell Global: : I won’t advice anybody to quit their day job but make forex trading as an alternative means to make extra income for themselves.
  • XM Broker: There are 2 types of traders: Losers and Winners. Losers fail once or twice and quit. Winners have goals and keep pushing until they reach them. They never give up until they achieve their targets. You choose which type of trader you would like to be!
  • Global Prime Forex: There is a lot of generic advice available regarding that sort of decision: 90% of traders lose all their money in the first 2 months of trading; FX trading revolves around risk management, that is one of the most important things to learn; trading forex successfully takes many years usually—it is not a decision to be made lightly. We would advise against it and tell the trader to take everything they read in FX with a grain of salt.

Brokers I Use (Recommend)

I have seen the good and the bad since 2006 in the brokers world. I could remember when I sent thousand of dollars to a broker in 2007 and till now my account as not been credited.  How I wish I could turn the hands of time, how I wish I asked these questions then. Well it is not too late to ask your brokers too.

From my relationship with some brokers as at now these are the ones I use and recommend.

For full disclosure I am an Inroducing Broker with them too.

Did I miss anything? I hope these questions and answers have opened your eyes more.

Let me hear from you too. What do you think about your own broker and what do you feel about the questions and answers from brokers you have read about here?

I’ll be waiting for you in the comment box

Enjoy your day.

 

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