IG Australia (formally known as IG Markets) is the words largest CFD provider (retail) and based on Investment Trends 2015 report is the largest currency broker in Australia. Our IG trading review compared to CMC Markets analyses how this global CFD broker has created a produce that Australian traders should consider.
Why choose IG As Your Forex Broker?
1) Segregated accounts
IG Markets segregates all clients funds in separate bank accounts. This isn’t true for all other CFD providers that Australian currency traders use with many other online traders using clients funds for hedging purposes. All funds from clients including unrealised clients is held in AA-rated bank accounts on their behalf. This is beyond the requirements of their Australian certification for which they hold all the adequate documentation.
2) Range Of Financial Products
There are over 10,000 international markets and products to choose from. While there are standard products such as IG currency trading and share CFD trading, there are also more exotic options. This includes the ability to trade on major indices, bonds, bitcoin and even binary options. Leverage through CFDs is available on many markets that other brokers don’t offer from Exchange Traded Products, ETPs to Bitcoin. This is a unique element when compared to other brokers like Axitrader, IC Markets and Plus500.
3) eCN Option
IG Markets has a Direct Market Access model option for all traders. This allows share CFDs and IG currency trading directly with order books of the worlds largest equity exchanges. The benefits are improved flexibility and transparency compared to OTC trading (over-the-counter).
DMA trading it not the default within the IG forex trading platform settings. Australian forex traders need to engage ‘DMA Equities’ within the IG we-based platform. DMA prices are not always better then the standard setting but the transparency feature is why many advanced traders choose this option.
4) Forex Trading Platform Capabilities
With IG currency trading been the most popular firm worldwide, it’s no surprise it has the most advanced IT team. The IT infrastructure can cope with huge trading volumes and four forex trading platforms including MetaTrader 4. Their forex trading platform features includes technical analysis and price alerts as well as a web API for automation.
5) Multi-Award Winner
Globally IG Markets has operated for 40+ years and won multiple awards for the best forex trading platform to service and features. Within Australia, their subsidiary IG Markets Limited has also won awards with ‘The Bull’ in recent years including:
- The 2015 Stockies Best CFD Trader
- The 2015 Stockies Best Forex Broker
- 2016 Best Forex Broker (provisional with 34.67% of the vote)
They have also won the following awards within 2015 Investment Trends:
- Best Mobile Forex Broker Trading Platform
- Best CFD Forex Broker Trading Platform
Overall Advantages Found In Our IG Review
– Australia’s largest range of financial products from indices trading, binary options, forex markets to CFDs share trading
– Charting options and features such as real-time alters
– Direct Market Access pricing on currency markets and share CFDs
– Reputation based on their market size and world-wide reach
Disadvantages Found In Our IG Review
– Spreads and fees are higher in some cases, especially when selecting to use the MT4 forex trading trading platform
– Direct Market Access is not available on all financial products and isn’t standard on forex and CFDs (you need to activate it)
– No ‘minimum balance guarantee’ ensuring you don’t go into negative balance
Summary Of IG Currency Trading
IG is ideal for Australian’s looking for a range of financial products compared to Pepperstone, Saxo Capital Markets and easyMarkets. Not only can you trade a plethora of financial products from Bitcoin, shares to currency markets, you can also trade the most products internationally including exotic currency pairings.
Indices trading is another feature that may be ideal for some Australian forex traders with the ability to trade on Wall Street, the FTSE and other major markets. You can also trade on Sunday night which can be critical if market sensitive events occur over the weekend which may impact your existing positions within the market.
Those looking for low spreads and fees should view our forex trading platform as IG has average scores in this area.
Within Australia they have operated since 2012 while internationally, they have been trading for 40+ years.