ETX Capital is a global FX and CFD broker domiciled in the UK. The parent company called Monecor (London) Ltd. was established in 1965, and offers multi-market and multi-asset derivatives through spread betting and CFD products to institutions and individuals based in the UK, Europe, and other regions. Monecor are also listed in the London Stock Exchange and regulated by the Financial Conduct Authority (FCA).
At first glance, due to the company’s long track record, ETX Capital can generally be considered safe, considering that it’s also regulated by a top-tier regulator and is listed on a stock exchange. The company has over 50 years of providing trading services and products in the marketplace. Anyone looking for a well-regulated, reliable broker with access to many different kinds of derivatives products should seriously consider ETX Capital.
In this ETX Capital Review, we will cover all the important aspects of the broker, share its pros and cons, and then give our final verdict. Let’s jump right in!
ETX Capital History and Overview
As already mentioned, ETX Capital is owner and operated by Monecor (London) Ltd. The group was acquired by the BXR Group and the PE firm JRG Group, in 2007, through a joint venture. While the parent company has a history dating back to 1965, ETX Capital has only been in business since 2002, and is relatively unknown. This is because the owners and board of directors first chose to focus their attention on high net worth individuals and institutional traders.
Nonetheless, the directors and owners have seen a significant success from opening their doors to the every day traders. For starters, they officially got FCA regulation, and in 2014 the brokerage went online, and then hit the news in 2015 with the acquisition of the Alpari Network.
Overall, ETX Capital was able to facilitate a smooth and fast transition for the existing Alpari customers with the installation of MT4 (MetaTrader 4) servers. This was followed by lots of glowing user ratings, along with a rising share price and turnover.
In case you’re wondering, the ETX acronym stands for Electronic trading, Telephone trading, and Execution services.
ETX Capital offers two trading platforms: the popular MT4 and the proprietary TraderPro. These platforms are available on both Apple and Android devices. With them, traders can access a variety of trading assets and markets.
The ETX Capital trading platforms offer access to a range of CFD Trading opportunities, which include indices from all around the world, such as the UK100, Wall Street, Germany 30, Japan 225, France 40, Australia 200, Hong Kong 40, Switzerland Market Index, Poland 20, and Greece 20. There is also a wide range of commodity CFDs, including Metals (Platinum, Gold, Silver, Copper, and Palladium); energy (Heating oil, Brent Crude, Nymex Crude, Natural Gas, RBOB); Soft commodities (Cotton, corn, coffee, cocoa, orange juice, wheat, soy beans, oats, and sugar); equities from the 18 different European Markets, along with FX in more than 50 different currency pairs.
The ETX website is responsive and user friendly, and it can be viewed in over 20 different languages. The company also boasts competitive commission rates, and offers fixed and variable spreads. Spread betting is a huge part of the company, and they include a video explaining what spread betting is all about, and can be accessed via a unique spread betting page.
ETX Capital provides three kinds of live trading accounts, which ideally equate to the different platforms that the broker has. If you’re wondering, you can open a demo account for each kind of account. The minimum deposit for live accounts is $100, and there is no maximum trade. The payout can reach up to 85%.
There are tight spreads on the range of instruments that the brokerage offers. With FX, spreads start at 0.7 pips (EUR/USD) while with equities 0.08% indicative spreads apply for some stocks. Commodities get minimum spreads starting at 3 pips, while the minimum spreads for the major indices start from 1 pip.
Additionally, ETX Capital offers leverage rates from 1:100 for lots of products, and the leverage can go as high as 400:1 on some products on MT4 for the non-EU citizens. EU citizens get leverage based on the ESMA guidelines.
Fees and Spreads
The spreads traders pay to ETX Capital will depend on the underlying financial instrument and the kind of account they hold. The broker obtains data from reputable 3rd party source that get the data live from the exchange feeds. ETX Capital is compensated through the market ask/bid spread.
• Deposit fees: No Charges
• Commission Fees: Charged to clients on CFD Equity trades, not on spread betting equity trades.
• Withdrawal Fees: Each client gets 5 free withdrawals (no processing fees) for any amount over £100 per calendar month. Every subsequent withdrawal is charged £10. Any withdraw for amounts below £100 will be charged £10.
• Inactivity Fee: When funds are available, a dormant account will be charged a monthly inactivity charge. ETX Capital considers an account dormant is there has been no trading activity for a continuous 365 days or more. The fees charged will vary by currency. Nonetheless, if you do reactivate your account and start trading again, the inactivity charge will be refunded for up to 3 previous months where it has been deducted.
• Overnight funding fees: This fee is either subtracted or added to a trader’s account when a position remains open past a given amount of time. See their official website for their breakdown on overnight fees.
Deposit and Withdrawal Options
Aside from credit/debit cards and bank transfers, you can use a wide selection of electronic wallets to fund your ETX Capital account. These include:
• China Union Pay
• Giro Pay
Bank transfers can take up to 3 business days, while funds transfers from electronic wallets and debit/credit cards are instant.
How long does it take to withdraw your money from ETX Capital? We tested it for you! We found that the debit withdrawal option took 2 business days.
ETX Capital Trading Platforms
This platform is generally geared towards professional and experienced traders. They provide you with a range of advanced features along with a more comprehensive access to the financial markets. TraderPro also features sophisticated charting tools, which allow you to simultaneously view several charts in different time frames. You can also view Heiken-Ashi, Ichimoku, and line charts at once.
Furthermore, once you log in to the platform, you straight away get access to volume indicators, historical data, guaranteed stops, and a lot more. The platform also features a news feed so that you don’t have to leave the platform to stay in the know.
TraderPro is available on both Android and iOS.
Traders also have the option to download the popular MT4 platform. This is great for those who are already familiar with the platform and prefer not to change. The MT4 platform offers a range of features backed by a superb security. You can use the platform to trade anything from oil to bitcoin to the Swiss Franc and the FTSE 100.
MetaTrader 4 is available on both Android and iOS.
In the face of changes commissioned by the ESMA, a key European regulator, ETX Capital withdrew their binary options trading products. The new changes prohibited the supply of binary options to European retail investors.
Pros of ETX Capital
• No dealing desk, meaning direct and straightforward access to trades with minimal costs
• Demo account: prospective traders can access a demo account to test out the different features and build trading confidence
• Possible rebates – traders might be eligible for cash rebates on every trade they make
• Competitive spreads: ETX has very attractive prices for the active traders
• Rich selection of trading tools: many customers praise the availability of tools, such as one-click trading, advanced charts, and a range of technical indicators
• Free education: there a huge library of learning material available on ETX capital, including tutorial videos, manuals and guides, seminars, etc.
• Market choice: there’s no shortage of instruments and products to choose from on ETX Capital platforms.
Cons of ETX Capital
• Limited account type options
• Complex navigation for their website (for some users)
• Lacks live chat for customer support
• Lack localized telephone support for their customers
We liked that ETX Capital is regulated by FCA, a top-tier financial regulator; and everything about the brokerage looks and feels very legit. We also like that the account opening process is hassle free and seamless, and that there are many great educational tools to help new traders.
So, if you’re are looking for a reliable broker with great quality service, wide selection of instruments and advanced tools; and one that offers a safe, regulated trading environment, ETX Capital is a serious contender
Please Note: As Of 2nd July 2018 Binary Options Are Prohibited Within The European Economic Area (EEA) For Retail Traders. If You Live Within The EU And Are Not A Professional Trader You Will Not Be Allowed To Trade Binary Options.
CFDs Are Complex Instruments And Come With A High Risk Of Losing Money Rapidly Due To Leverage. Between 74-89% Of Retail Investor Accounts Lose Money When Trading CFDs. You Should Consider Whether You Can Afford To Take The High Risk Of Losing Your Money
General Risk Warning:
The financial products offered by the company carry a high level of risk and can result in the loss of all your funds. You should never invest money that you cannot afford to lose
Platform Ease of Use - 95%
Available Countries - 90%
Number of Assets - 95%
Regulation - 95%
Fees - 90%
- Free Demo Account
- Simple to use
- Good Leverage
- Good Education Available
- No live chat