Founded in the year 2010 in Melbourne, Pepperstone is a major online forex broker player, transacting over USD 100 billion in monthly forex volumes. The CFD and forex trading platform has attracted investment from leading Australian investment firm, Champ Equity in 2016. Pepperstone offers forex and CFD trading as well as commodities and cryptocurrency trading, with a total of 80+ instruments. Pepperstone offers the MT4 suit of trading platforms and cTrader platform from Spotware Systems. It also offers additional third-party platforms for social trading and copy-trading platforms like Myfxbook, Tradency, and ZuluTrade. To learn more, read this Pepperstone review.
Pepperstone quick facts
Overall Score (Out of Five)
Bitcoin, Litecoin, Dash, Ethereum, Bitcoin Cash
Wire Transfer, credit/debit card, e-wallets payment gateways online
Registered and licensed by FCA and ASICMinimum deposit is AUD 200 onlySocial copy trading platformAward-winning customer supportSimple registrationWide range of payment methodsNegative balance protection80+ trading instruments
How we reviewed Pepperstone
When it comes to safety features and factors like the Pepperstone login, the broker is pretty well organised. The number of coins it offers is limited though. The broker also offers limited mobile trading platforms with fewer features. The safety factor is appreciated though. The Pepperstone review found that the trading broker also lacks a coverage in terms of advanced research tools or educational resources. As far as customer support is concerned, there is personalised attention and care. All in all, this broker appeared above average. Learn more at pepperstone.com
Pepperstone was founded in 2010 in Melbourne. It is regulated by the FCA/Financial Conduct Authority of the UK and AsiC. Additionally, the forex broker puts client funds in segregated bank accounts. Pepperstone also has a head office in Australia. The parent company behind Pepperstone is the Pepperstone Group Limited which is the corporate handler of the brand in Australia. It is licensed by ASIC and offers financial services in Australia and some other countries. The EU side of the operation has Pepperstone Ltd. Based in the UK, it is licensed by FCA. The company is based in Australia but also has offices in Dallas, Shanghai, Bangkok, and London. Pepperstone trading is thus in line with the regulations and licenses granted to it.
Regulation and Compliance
Is Pepperstone safe? Pepperstone is regulated and licensed by the Australian Securities and Investment Commission or ASIC and the UK Financial Conduct Authority/FCA. Security of client funds is of paramount importance. Pepperstone maintains client accounts in a segregated way with the National Australia Bank and Barclays in the UK. Additionally, Pepperstone Limited is protected by the FSCS or Financial Services Compensation Scheme Protection which provides up to GBP 50,000 per person or firm in case the firm defaults or becomes insolvent. Additionally, the Pepperstone cTrader and MT4 platforms offer automatic, inbuilt stop-out systems that protect against losses. This means a trade is closed when equity reaches 20 to 50 percent of the margin requirement. Negative balances are also waived on a case basis. For the MT4 trading platform, stop out is set at 20 percent margin, while it is 50 percent for cTrader.
This Pepperstone review found the broker offers reasonably competitive rates for main account types. Pepperstone fees are mostly reasonable. Standard accounts are commission free, while the Razor account is associated with lower spreads and reasonable commissions. However, the downside is that the Standard Account has higher spreads. While opening a Pepperstone account, there are no non-trading fees as such. Pepperstone does not charge account or inactivity fees. Whenever a conversion takes place, a conversion fee of 1 percent is charged, which is pretty high. Conversion is charged to carry on costs charged by the banks for converting one currency to another, absorbing the spread when trading in a currency other than EUR, GBP, NZD, USD, and AUD.
While there is no account or inactivity fee, there is a conversion fee and financing cost. Deposit fees incur charges of 1.8 to 3 percent while withdrawal fees range across USD 20 in some cases. Withdrawal and funding are free except for standard credit or debit card funding which costs 3 percent for most currencies except AUD. The Qiwi funding method incurs a 3 percent cost. Skrill has USD 1 fee while international bank wire methods of withdrawal cost USD 20. Bank wire withdrawals for AUD is free of charge. But for other methods like PayPal, Visa, MasterCard, POLi, and Bpay, as well as China Union Pay, there are no other fees or charges which impact funding. While bank wire transfers take anywhere from 3-5 working days, International Telegraphic Transfers incur a cost of AUD 20.
Funding the Pepperstone account is easy. Pepperstone trading is simple, given that within the Secure Client Area, credit and debit cards, e-wallet, online payment gateways, like PayPal, POLi, China Union Pay, apart from Skrill and Neteller are also permitted. For Australian clients, Bpay is on offer. Qiwi and Fasapay are some other funding methods. There’s also broker to broker transfers. Available funding types are linked to the country from which the account holder hails. This Pepperstone review found that transaction time and associated fees will be displayed in the client area, so there is complete transparency on that score. No commissions are charged on most funding options. Funding times also vary depending on the payment mode. Bank transfers can take 1-2 days, while Credit, Skrill, Neteller etc are instant, 24/7.
Withdrawing the funds is also easy because all you need to do is go to the Secure Client Area, request the withdrawal and it takes a maximum of 48 hours to process. Pepperstone withdrawal fees can be as high as AUD 20. Find out more at pepperstone.com/en/client-resources/funding-methods
This Pepperstone review also found the customer service has won many accolades. They are the winners of the Investment Trends overall client satisfaction award. Key elements leading to this are that the broker offers personalised customer service. Customer support offers education and resolution of trading enquiries for a beginner, intermediate or even expert traders. Dedicated account managers may also be assigned. The customer care is available 24 hours a day in each office location. There’s also live chat and email support available. The customer care is multilingual.
Unique features & Trading Platform
There is no in-house Pepperstone trading platform. It uses third-party platforms cTrader and MetaTrader 4. Further, cTrader is a third-party app that Pepperstone offers to its traders. What is Pepperstone trading platform cTrader all about? Well, it offers a reliable interface, with basic order types like the market, stop limit, limit, stop loss and trailing stop are available.
There is an excellent search function and drag and drop features as well as multiple view options. There are alerts and notifications features while fee reports are available too. Ctrader also has a mobile platform that is user-friendly and well designed. It is available on Android and iOS. But the mobile versions need development. Functions lack intuitive features and UI is incomplete. No push notifications are there for iOS devices, for Pepperstone apps. Additionally, the desktop platform for cTrader is only for Windows.
The brokerage also offers MT4 and MT5. Meta Trader 4 is available for Windows and Mac. EAs and VPS hosting along with offering both platforms MT4 and MT5 ensure that this broker is known for its value. It also offers platforms for traders looking for STP/ECN solutions. It also has a broad range of third-party social copy trading platforms. Additionally, the account holders are offered AutoChartist, with automated pattern recognition and trading signals. Additionally, there is a Smart Trader Tools with sentiment indicators, though it is only available to those with AUD 500 or more account balance. Fundamental and technical analysis and economic calendars apart, there is room for growth when it comes to research and educational tools provided by Pepperstone. Additionally, the Pepperstone Mobile trader lacks key features.
There are two kinds of accounts – Standard and Razor. While the former has features from 1 pips and no commissions, offering execution through 22 banks and ECNs, it needs a minimum deposit of AUD 200 only. The same minimum amount is needed for the Razor account, but it allows scalping, hedging, expert advisors and features commissions plus better spreads. The Pepperstone Islamic account is Sharia complaint further.
How does Pepperstone compare to eToro?
Pepperstone cannot match up to eToro because its trading platforms and account options are limited. Onfees as well, this broker is below average. Negative balance protection is the only factor it scores on. On, therefore, the traders are offered limited options. The broker lacks access to adequate research and educational tools. Though its customer support is award-winning, the fees and methods of withdrawal are not so advanced.
Swap free accounts are there for Islamic traders and there’s also the presence of third-party copy trading platforms. But with limited account types, and failure to create a sophisticated platform, Pepperstone Ethereum trading or any other cryptocurrency trading is a big disappointment. Pepperstone leverage also ranges around 1:1 to 1:500.
eToro, in contrast, runs its OpenBook and WebTrader platforms and offers one-click trading as well as Trailing stop loss. It has extremely user-friendly app versions too. The eToro clients further can benefit from inbuilt free copy trading.
How to sign up in 5 quick steps
Step 1: Register the mail and password ID. Then confirm the email and advance to the Secure Client Area Step 2: Fill out personal data and set the currency and leverage of the account, which ranges from 1:1 to 1:500. Step 3: Complete a short trading survey to judge your expertise from beginner to intermediate and expertStep 4: Upload the passport ID and utility bill or proof of address. Step 5: Your application will be considered and account details sent.
Pepperstone advantages & disadvantages
✓Demo Accounts Allowed
✓Minimum deposit of AUD 200
✓MT4 and MT5 trading platforms offered
✓Social copy trading available
✓A wide range of payment methods
✓ Limited joining bonus
✓Only three types of currency trading orders
✓No share trading
✓Limited Range of Cryptocurrencies
Pepperstone offers a minimum deposit of only AUD 200 for its highest accounts. Additionally, it has inbuilt MT4 and MT5 trading platforms, apart from the cTrader platform. Fees and commissions are within reasonable limits and leverage ranges across 1:500.
Pepperstone does not offer monetary joining bonus as against forex brokers who match initial deposits. Additionally, it has limited risk management features. It offers only three types of currency trading orders including stop-loss, limit and trailing stop. Pepperstone does not offer a guaranteed stop loss order. Maximum loss, in this case, is guaranteed at designate level. The Razor account is suited only for those looking for intermediate and expert traders. This trading platform does not offer much for beginners.
Conclusion: Is Pepperstone a good place to buy cryptocurrencies?
Pepperstone bitcoin trading is a huge letdown. This altcoin forex broker offers only 5 key cryptocurrencies as against eToro which offers over 13. It goes beyond the usual choices like Ethereum, Dash, Litecoin, and Bitcoin to include XLM and ADA.
Since 2007, this trading platform has offered robust CFD and forex broking for the best outcomes. Additionally, eToro offers inbuilt, free social trading. With 1000 assets in 5 categories, it is way more advanced than the 80 odd trading instruments offered by Pepperstone. One of the lowest minimum deposits are another of the forex broker’s strengths, as against a minimum deposit of AUD 200 for Pepperstone. Pepperstone is limited in terms of its mobile trading platform.
For example, the cTrader app version does not allow push notifications for iOS devices. With advanced trading platforms and diverse account types, eToro offers benefits Pepperstone cannot equal.