Pepperstone is one of the leading Australian forex brokers today offering a great platform for trading CFDs, Forex, Cryptocurrencies & Commodities. PepperStone, like many other online brokers in the market, offers a demo account to practice and familiarise yourself with their platform. However, If you're starting out you could consider opening a real live account, the minimum deposit required is $200.
Pepperstone is a CFD & Forex broker created in 2010 and regulated by the Australian Securities and Investments Commission (ASIC License No. 414530) and the Financial Conduct Authority (Registration Number 684312). Pepperstone operates in Melbourne, Australia, and several offices in Shanghai, China, and Dallas, USA, Bangkok (Thailand) and London (United Kingdom).
Pepperstone played an important role in uncovering the history of insider trading in Australia, serving the Australian Federal Police and the Australian Securities and Investments Commission. The company has been nominated for several prestigious awards for its excellence & innovation in the foreign exchange sector. It is one of the best forex brokers in the market today with its downside is not offering brokerage accounts to US clients (i.e. individuals living in the United States).
In 2013, Pepperstone Razor Trading account was ranked among the top 100 innovations in Australia. In 2014, Pepperstone received the Victoria Governor's Award and the fastest-growing brokerage in Australia by BRW magazine.
Spreads & Fees
Pros and Cons
- Special Accounts for Professional & Institution Traders
- Razor account offers spreads from 0.0 pips
- Min. deposit is $200
- No deposit or withdrawal fees
- Swap-Free Accounts (Interest Free- Islamic Compliant)
- Awards - #1 in Customer Service and Overall Client Satisfaction
- FCA, ASIC Regulated
- Not Regulated in CySEC
- Charges Inactivity Fees (i.e. Not trading on account)
- No Bonus or Promotions
- Not Accepting US Clients
A ‘Spread’ or otherwise known ‘Bid/Ask Spread’ is the measured difference between the buy and sell price quoted for any trading instrument: whether it be a Forex currency pair, Commodity (Crude Oil), precious metals (Gold), Indicies, Stocks and Crypto (Bitcoin & Ethereum). It can be interpreted as the cost of trading charged by the broker to traders.
Pepperstone, along with the majority of the CFD & Forex brokers charge a spread to their clients and that is the reason why a majority of traders choose a broker with low spreads. Spread is reported in PIPs or known as basis points. Spreads can be calculated by spread value in pips × traded lot size.
Pepperstone hаѕ two diffеrеnt рriсing mоdеlѕ – fixеd spreads аnd flоаting spreads, аlѕо known аѕ Vаriаblе ѕрrеаdѕ.
As you can see Pepperstone’s forex spreads are fairly competitive versus its direct competitors especially highlighting that its fixed spread has always been in a consistent range. Pepperstone won’t disappoint as their fixed spreads don’t fluctuate much even during uncertain market conditions. This is our recommended and one of the best forex brokers for beginner traders.
Although, Pepperstone’s spread is in the competitive range their individual account offering is what gives them an advantage e.g. their Razor Trading Account offers a fixed commission of AUD$3.5 for every 100k (Standard Lot) traded with very low spreads ranging from 0~0.8 pips. It’s very competitive against other brokers when it comes to trading Crude Oil. If you’re thinking about Scalping (HFT Trading) and placing multiple trades per day (Intense Intraday Trading) then we recommend you go with the Razor Forex Trading Account as it has true ECN forex broker features. Spreads is generated by close to 22 banks and electronic crossing networks (ECNs), making it one of the best low spread Forex brokers in Australia. (See Illustration below)
Bаѕеd on thе specific account type you choose, уоu will еithеr bе рriсеd аt a fixеd оr vаriаblе ѕрrеаd. (see Pepperstone’s Spreads & Fees).
Spread vs Trader Style
- Intraday Trading- <10 Trades
- Intraday Trading- 10+ Trades
- Swing Trading
- Long Term Trading
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There are a total of 11 trading platforms available to enable Australian, British and European traders to easily trade CFDs and Cryptocurrency. Eleven platforms are provided for CFD and cryptocurrency traders, including MetaTrader 4, MetaTrader 5 and WebTrader - Pepperstone's exclusive brand. Additional information is provided for trading platforms, including APIs, MAM / PAMM, and benchmarking trading platforms. Just like many other brokers in the market today, Pepperstone offer their platforms pm various devices covering the Desktop, Tablets & Phones for Android and Apple.
Pepperstone offers webtrading service for both beginner and professional clients. Many traders do not like the idea of downloading the MetaTrader 4/5 platform on their devices so therefore they can trade directly via web link:
- Pepperstone Webtrader: More suitable for beginner traders
- Pepperstone cTrader: Suitable for Pro trader who can take advantage of advanced charting, excellent spreads, bespoke indicators and pre-sets. The cTrader broker platform is also available for mobile trading.
- MetaTrader 4
- MetaTrader 5
- Android App & Tablets
- Apple App & Tablets
Account Types Offered
Deposit & Withdrawal
Pepperstone does not charge internal fees for withdrawal or deposit. However, be aware that payments to and from international banks may require fees for transfers from either party. These costs must be borne by the customer.
Many options can be used for deposits and withdrawals: credit/debit card, bank transfer, PayPal, POLI, China Union Pay, BPay, Skrill (Moneybookers), Neteller, Qiwi, Fasapay, Fasapay and Wire Transfer. Withdrawals are carried out according to the same methods and those made by bank transfer require 3-5 business days.
Several basic currencies in your trading account can also be selected: Australian Dollars (AUD), New Zealand Dollars (NZD), United States Dollars (USD), Canadian Dollars (CAD), Japanese Yen Euros (EUR), Hong Kong Dollars (HKD), Pounds Sterling (GBP), Swiss Francs (CHF) and Singapore Dollars (SGD), JPY, NZD, CHF, SGD
Client Fund Protection
Being one of the ASIC regulated forex brokers, they guarantee the security of customer's (Traders) fund through strict rules and regulations. Pepperstone separates the deposit from merchants and company funds. All fund operators are deposited with National Australia Bank. The bank holds assets under management of more than 600 billion Australian dollars. This ensures high deposit security.
In addition, in 2016, the value of the company indicated an annual growth of 20% with a monthly transaction exceeding A $ 100 billion. These reports listed the company with average revenue of $ 60 million and a number one ranking according to BRW Fast Starters. In 2014, the company had to stop accepting Japanese customers after an investigation by ASIC, which indicated the absence of the JFSA.
- Visa Debit
- Visa Credit
- American Express
- Bank Transfer
- Diners Club
- Western Union
While safety is of paramount importance to Pepperstone, the professional attention with which the company's customer service deals with customer questions and doubts is also paramount. It offers 24-hour phone, online support and live chat to deal with customer queries.
The company has its operations centre in Melbourne, Australia, but also has branches in London, Bangkok, Dallas and Shanghai. Pepperstone's state-of-the-art website is available in English, German, Thai, French, Italian, Indonesian, Khmer, Arabic, Vietnamese, Korean, Chinese, Russian and Spanish.
What so unique unique about Pepperstone?
- Negative Balance Protection: Pepperstone offers this feature to protect their traders from entering into a negative trading balance. Every broker sets a margin call which means you are restricted to a maximum lots size you can possibly trade. Forex trading is highly leveraged trading and the market is very volatile therefore sometimes a losing trade can exceed risk or stop levels meaning you lose beyond deposit levels. Negative balance protection is useful when a trader leverages more on their trades relative to their account size
- Research: Pepperstone provides graphics and quality news and an interactive graph. However, there is no Analyst Estimates data for this company
- News: Pepperstone offers detailed and well-functioning news. but they are not integrated into trading platforms. They are only accessible through the market analysis page and customer's resources
- One-Click Trading: This feature is necessary for executing a trade with a single mouse click without the hassle of opening other windows. As we know trading entry opportunities come and go within seconds so it’s very handy to have this feature. This is very helpful for a trader that look form short-term opportunities i.e. Scalp traders or ‘Scalping’. Pepperstone self-developed and advanced forex trading technology called ‘Edge’ allows traders to access deep liquidity and interbank trading via MT4. The one-click trading tool is accessible on MT4 for users that can download directly from the Pepperstone platform.
- Guaranteed Stop Order
- Limit Orders
- One-Click Trading
- Additional Education
- Trailing Stops
- Negative Balance Protection
- Account Verification (Identity)
- Bonuses Offered
Pepperstone is a great platform which offers the enhanced and developed forex trading technology called the . ‘EDGE’Their award winning active customer service and low spreads make their services very competitive on the current market against other top CFD & Forex Brokers. If you’re a beginner or professional trader that is thinking reliability, trust and transparency then Pepperstone fits all those criteria.
Does Pepperstone accept US Clients? No. Pepperstone does not offer their broker services to US clients or residents
Pepperstone not available in following countries? United States, Syria, South Korea, Iraq, Iran, Japan