In this Pepperstone review, we will look at the main features of the Pepperstone broker. We will review the types of accounts offered, Pepperstone account funding and withdrawal. We will also take a closer look at the regulations under which the Pepperstone broker falls.
Pepperstone broker was founded in 2010 by traders for traders with a focus on global outreach. In the 10 years that they have been operating, Pepperstone broker has grown to be one of the largest MetaTrader brokers in the world.
They have over 57 000 clients, and their daily average transaction size is 12.55 billion dollars. Bellow, you will find all the information you need to decide if Pepperstone broker is the right broker for you.
General Information About Pepperstone Broker
We cover a lot of information in this Pepperstone review. Below you will find a concise summary of all the general information you may want to consider. You will also find the name of the section where can read more information about the said topic.
- Pepperstone Regulation and Security: Pepperstone broker is regulated by two tier-1 regulators and two tier-2 regulators. This makes them an extremely secure and trustworthy Forex broker.
- Pepperstone Fees: Pepperstone’s fees depend on whether you open a Standard or a Razor account. With a Razor account, you can be eligible for their Active Trader Program, which can further lower your trading cost.
- Pepperstone Trading Possibilities: Pepperstone trading platform offers over 150 different trading instruments, including 61 Forex currency pairs.
- Pepperstone Account Types: There are two main Pepperstone account types; they offer all the same features but differ in relation to fees.
- Trading Platform: Pepperstones Broker allows traders to trade with both MetaTrader 4 and MetaTrader 5 in addition to cTrader.
- Features: There are three main features that Pepperstone broker offers: Smart Trader Tools, cTrader automate, and social trading partnerships.
- Research and Education: Through both in-house sources and partnerships. Pepperstone broker offers relatively extensive research and basic education for new traders.
- Customer Support: Pepperstone has 24/5 customer service, through email, live chat, phone, or webform.
- Promotions: You can become a premium trader if your trade volume is high enough. This gives you access to even more features and benefits.
- Beginning with Pepperstone: They have four-step account creation and verification process that will also take you through funding your account.
- Deposit and Pepperstone Withdrawal: Their deposit and withdrawal process is streamlined. Pepperstone broker offers a wide range of options for you to choose from when it comes to methods of withdrawal.
Pepperstone Regulation and Security
One of the most important factors for most traders is security and regulation. Part of Forex trading is investing your money. You need to trust that the company you invest in will keep your money and information safe. And that it will give you your profits in a secure and timely fashion.
One of the best ways to guarantee that your trading broker is a secure one is by looking into the regulator groups that they are a part of. Now, just because a group is not a part of a regulatory group does not mean that it is not safe, but the regulators do offer extra security.
Pepeprstone Group LTD (the parent company of Pepperstone Broker) is based out of Australia. Therefore it falls under regulation by the Australian Securities and Investments Commission of the ASIC. This is a tier-one regulation – the highest level of regulation that there is.
In addition to the ASIC, the Pepperstone Broker is also regulated by the tier-1 group, the Financial Conduct Authority. It also falls under regulation by two other tier-2 regulators. Being apart of these different groups means that they have to adhere to certain standards. This includes strict AML (anti-money laundering) requirements, KYC (know-your-client) procedures, and completing intensive audits. Due to all this, Pepperstone broker is considered to be a low-risk broker.
Pepperstone Review – Fees
Brokers are in the business of making money, so there is always some form of fees. The type of fees you end up paying depends a lot on what sort of account you open up. There is more information on the different types of accounts in the Account Options sections. No matter which account you end up with, the Pepperstone fees are competitive.
The Razor accounts use a commission-based pricing structure along with prevailing spreads. In the Razor Account, the average EUR/USD spreads are 0.16 pips. Even with the 0.70 pips commission, the all-in cost of 0.86 pips on both MetaTrader 5 and cTrader is comparable to the industry average.
Standard accounts are commission-free, but their spreads are higher and therefore not as competitive as the Razor account. With the standard accounts, average spreads (EUR/USD) are 1.16 pips, which is higher than the Razor account all-in cost.
Pepperstone has what is known as their active trader program, which rebates portions of the spreads. Based on your monthly trading volume and the tier you are a part of, you may be eligible for rebates.
- United Kingdom: If you are in the UK, you must trade at least 15M dollars per month or 150 standard lots to be a premium client. If you meet those requirements, you may be able to receive tier-1 rebates (10% per lot). On the other hand, if you do more than 500 lots monthly, tier-3 rebates can be negotiated.
- Australia: If you live in Australia, you must trade a minimum of 200 lots to qualify for the lowest tier or rebates. Tier-1 qualifies you for rebates of 1 dollar per lot, effectively reducing a spread to 0.65 pips from 0.75 pips. Furthermore, if you trade more than 200 lots monthly, you may be eligible for tier-2 rebates of 15% or more. This can reduce a spread to at least 0.638 pips.
Pepperstone Trading Possibilities
During this Pepperstone review, we found that the broker has an extremely wide range of trading possibilities. They offer over 150 different instruments in Forex, equality and index CFDs, cryptocurrencies, and commodities.
The primary focus of Pepperstone broker is Forex trading, with 61 currency pairs in that field alone.
This means that if you focus on Forex trading, you should be able to easily diversify your portfolio and find all the opportunities you are looking for.
If you are interested in CFDs in addition to Forex trading, there are fifteen different commodity CFDs (soft and hard) that will allow you to branch out. But if you are really wanting to explore this field, you may find yourself limited with Pepperstone broker. Especially if you are interested in metals beyond gold, silver, platinum, and palladium.
Even their additional 64 equity CFDs and 15 index CFDs may feel limiting to advanced traders but perfect for traders simply looking to expand a little.
Finally, you can trade all of the five major cryptocurrencies through the Pepperstone platform. This is typically what most people look for unless they have strong experience or they are devoted cryptocurrency traders and enthusiasts.
Pepperstone Account Options
This Peppestone review will cover the two main account options at Pepperstone broker – the Standard account and the Razor account. It is important to recognize that the fundamental features of these two accounts are the same. So you are not really choosing between features. Rather, when you are making your decision between accounts, you need to focus more on the fee structures.
The Standard accounts have more prominent spreads, but they remain commission-free. On the other hand, Razor accounts offer you narrower spreads (by a significant margin); however, they do require a commission (seven currency units of the account currency per lot).
Both the accounts are competitively cost-effective. The Razor account, despite having the commission, is definitely the most competitive out of the two account options at Pepperstone broker. Additionally, there is no minimum deposit.
As far as the leverage, that depends on where you are trading. If you are a part of the Australian branch, the maximum leverage available to you is 500 to 1. On the other hand, if you are a part of the United Kingdom branch, the maximum leverage available to you is 30 to 1.
Pepperstone Trading Platforms Review
Pepperstone broker offers three of the most popular trading platforms that there are. First, they offer MetaTrader 4, the most popular trading platform at the moment. Some traders are moving on to the newer platform known as MetaTrader 5, which Pepperstone also offers.
Finally, Pepperstone broker offers cTrader, which is the ECN trading platform. You will be able to access all three of these platforms through a desktop, a webtrader, or a mobile application, which does set it apart from some of its competitors if you want access to your trading from your mobile device.
There is some important information considering which Pepperstone broker trading platform you want to use. First of all, it is worth noting that while all three trading platforms do support automated trading, Pepperstone MetaTrader 4 is far better than the other two options in that category.
Pepperstone MetaTrader 4 also stands out with back-testing and other useful add-ons that. It is also worth noting that the Pepperstone cTrader platform does outshine both the Pepperstone MetaTrader 4 and Pepperstone MetaTrader 5 platforms if you are looking at the fundamental models, but the upgraded Pepperstone MetaTrader 4 is competitive.
When you are choosing between trading platforms with Pepperstone broker, you will not have to choose between features and tools offered by Pepperstone broker in addition to the trading platforms. Pepperstone broker offers its Smart Trade Tools with MetaTrader 4, MetaTrader 5, and cTrader Automate.
Pepperstone Review – Features
What can really make the best Forex trading brokers stand out from the rest is what sort of unique features they offer. And Pepeprstone broker does offer three main features. The Smart Trader Tools mentioned earlier, the cTrader Automate, and social trading partnerships.
Smart Trader Tools
Smart Trader Tools: Pepperstone’s Smart Trader Tools is an upgrade package with 28 different plugins. They are compatible with both the Pepperstone MetaTrader 4 and Pepperstone MetaTrader 5 platforms.
This upgrade set really takes the standard MetaTrader 4 platforms and turns it into one of the best trading platforms there is. It creates a more solid trade execution, allows retail traders to manage their portfolios with tools that the professionals use, and enhances risk management.
It is not uncommon for brokers to claim that they are offering traders cutting edge technology. What most are really offering is the basic version. In this Pepperstone review, we found that the Pepperstone broker really does deliver on their promise.
Just like it sounds, this feature correlates with Pepperstone cTrader platforms. This feature provides traders with the opportunity to customize indicators and automate their trading solutions. This is really great for traders (individual and company) who do not already have an existing solution on another platform, such as the MetaTrader5 platform. The cTrader Automate is also great for both optimizing strategies and back-testing.
In addition to automated trading solutions that Smart Trader Tools upgrade and cTrader automate provide, Pepperstone broker has a lot to offer when it comes to social trading. This happens through their partnership with five of the most popular social trading platforms – Myfxbook, Mirror Trader, MetaTrader Signals, ZuluTrade, and DupliTrade. It is worth noting that some of these services may require a minimum deposit, so make sure you investigate which option is best for you.
Research and Education
No matter what is your experience, there is almost always more to learn when it comes to Forex trading. Forex education is a really key component of the industry. Therefore, it is important to consider what kind of research and education opportunities your broker offers.
With Pepperstone broker, you will find research opportunities both with in-house analytics and through their partnerships with different third-party firms.
The in-house research provides traders with market news and trading opportunities on trading days. Every time they release new information, they send it to their users in a very professional and thorough way. This is beneficial to both traders looking for new ideas and those just looking for something to look into while taking a trading break. Traders will also have access to research by leading groups FX Evolution and BK Forex.
As far as education, Pepperstone broker provides traders with a wide selection of both written content and video lessons. This is really beneficial for new traders.
Their information is broken down into seven main categories. While very thorough for the most part, the CFD section does focus solely on gold. Their educational content does focus mainly on the basics. More experienced traders wanting to further their education may want to consider another source for education.
As you are trusting your broker with money, good customer support is important in case there ever is a problem. Pepeprstone broker does offer customer support for 24 hours five days a week through email, live chat, phone, or through a webform they offer. Customer support through live chat and phone are obviously dealt with right away. All written requests are handled within 24 hours.
While their customer support is good, you should not find yourself having to deal with them all that often. This is because the Pepperstone broker takes pride in being extremely well-managed and transparent. This means that you should not regularly run into all that many problems.
For any of the more common problems or questions traders have, they do have a thorough FAQ section. There you can browse a variety of topics – funding and Pepperstone withdrawal; managing your Pepperstone account; opening an account; new to trading; platforms and tools; and understanding trading conditions.
Pepperstone Review – Promotions
If you become a premium client through Pepperstone broker, you will have access to additional bonuses and promotions. Such promotions include more advanced trading tools, a premium rebate program, and VPS hosting.
You will not even be pressured to make a bigger despite becoming a premium client. This is rather based on your trading volume. If you trade around 15 lots (it varies slightly based on the assets traded), you can become a premium client.
Furthermore, once you become a premium client, you can become a member of their Active Trader Program if you are also a Razor account holder. There is more information about this program under the fees section, but it essentially awards traders rebates based on their trading volume, which further lowers their cost of trading.
That is one of the nice things about Pepperstone broker – the more you trade, the less you pay to trade.
Beginning with Pepperstone
When you are first beginning with Pepperstone broker, you will need to open an account. You do those through an online application, which is fairly standard in the industry.
The application will take you through a four-step process that is very clear and easy to follow. The four steps take you from opening and verifying your account through funding it.
It is an extremely simple process. Though it is worth noting that you will need a copy of both your ID and a proof of residency document so that Pepperstone can meet their regulator’s requirements.
You do not need to feel concerned about giving Pepperstone broker your information and documents. They are extremely well-regulated and trustworthy.
Their account creating process includes funding your account. This means you will be able to start trading very soon after you verify your Pepperstone account.
However, it is worth noting that if you are new to trading, it is a good idea to go through some, if not all, of their educational content pertaining to the types of trading you are planning to do before getting started as education, is key to successful Forex trading.
Pepperstone Deposit and Pepperstone Withdrawal
Deposits and withdrawals are two key components to any Forex trading broker. The process by which you do so is often a deciding factor for traders. If the process is too complicated, a trader may not feel confident that they will get their money.
Pepperstone supports a relatively wide range of different deposit and withdrawal options, including bank wires, credit and debit cards, Neteller, Union Pay, Bpay, PayPal, and POLi. The Pepperstone deposits are instant except for bank wires, which can take up to five business days to go through.
Pepperstone only has withdrawal fees with bank wires, though any of the third-party options may have separate fees.
It is important to note that the name on your trading account has to match the name on the account of the payment option you use.
Pepperstone withdrawal and Pepperstone deposit process are extremely streamlined and simple to use. Their range of different options along with their fast turnaround and low to no withdrawal fees makes it easy for every trader to access their earnings.
And, as mentioned in the customer support section, if you do happen to run into any problems, their customer support is available and ready to help you sort it out.
Pepperstone Broker Review – Conclusion
In this Pepperstone review, we found that this is a very good broker when it comes to Forex trading. They fall under many regulations and they are very transparent with their traders. Everything Peppersotne offers should be enough for both novices and more experienced traders.
The main reason why Pepperstone broker may not be for you is if you are really interested in expanding your CFD portfolio, especially with metals. Other than that, Pepperstone broker really is one of the best trading brokers available today.
Is Pepperstone an ECN Broker?
Yes, Pepperstone is an ECN Broker. While they only offer one ECN trading platform, it is the most popular one there is, cTrader, which will fit most ECN trader’s needs.
Is There a Minimum Deposit for Pepperstone?
Many Forex trading brokers require a minimum deposit ranging all the way from 100 dollars to a thousand or more. One of the benefits to Pepperstone is that there is no formal minimum deposit, which is good for new traders who are just interested in trying it out. It is important to understand, however, that how much you put in limits how much you can trade and therefore how much you can make.
Is Scalping Allowed with Pepperstone?
Yes. Many brokers do not allow scalping, which is entering and exiting trades extremely quickly, but doing so is allowed with Pepeprstone. In fact, there is no minimum time that a trade has to be kept open.
How Does Pepperstone Make A Profit?
Some companies are not very transparent with how they are making money, but Pepperstone is a very transparent broker. They make money from overnight swap fees, commissions, and charging spreads.
What is The Minimum Lot Size at Pepperstone?
You have a lot of freedom when it comes to lot size with Pepperstone. Clients may even trade in micro-lots if they want, which is 0.01 lot. However, trading more may make you eligible to be a premium client.