IG Markets Australia Review
On the review panel for today is IG Markets, formerly known as IG Markets Australia. IG Markets has been in operation sine 1974 and is now one of the largest and most recognised CFD and Forex providers in the world. As the company is listed as the world’s largest retail CFD provider as well as the leading FX provider in Australia, a review of the company has been provided below in order to identify what exactly the company is offering and in turn identify who these offerings may be best suited to.
IG Markets was established as the world’s first financial spread betting company with its aim being to become the number one choice for active traders across the world. As a leading brokerage firm, IG Markets are more than just a simple Forex broker, the assets available to trade include everything a professional trader would need including CFD’s, spreadbetting, stocks, shares, options, binary options, EFT’s and commodities.
IG Australia has won multiple awards in previous years, including:
- No.1 for Overall Satisfaction for CFDs and FX – Investment Trends 2015
- Australia’s best mobile trading offering – Investment Trends Australia CFD Report September 2014 and 2015
- Best Forex Provider – Winner at The Bull ‘Stockies’ Awards 2014
- Best CFD Provider – Winner at The Bull ‘Stockies’ Awards 2014
IG Markets Trading Platforms
IG Markets offers two platforms for traders to use that can accommodate for all skill levels.
IG Core Trading Platform
IG Markets core trading platform is available as a browser for desktop users as well as a downloadable app for mobile users. Standard features of the trading platform include one-click trading as well as the opportunity to trade directly from charts and the ability to share CFDs trading. The key advantages of the core platform is the customisation that is available to traders for the forex platforms layout which can be adjusted and saved to suit traders preferences. Advanced traders have the ability to add trailing stops, DMA prices, multiple deal tickets and advanced charts. In addition to these functions, all IG core platforms include Reuters news which provide traders with the ability to receive stories and news updates without delay. As an additional function, Autochartist can be installed in order to monitor market activity as well as inform forex traders of charting patterns that may yield opportunities. Trading central is also offered as a technical analysis centre which provides traders with charts, updates and daily emails.
|Web Based||Mobile & Tablet Apps|
|Brief Overview||Available online with no download required||Platform has been optimised for most smart phones including android, iPhone, Blackberry and Windows Phone, as well as iPad and Windows tablets|
IG Specialist Trading Platform
In addition to the core platforms offered by IG, the company also offers more mainstream platforms such as the MetaTrader4 (MT4), which is the most popular trading platform in the world. However, if you do wish to trade on the MT4 platform, IG Markets requires you to open a Meta Trader 4 account with the company which typically has higher fees.
|L2 Dealer||ProRealTime||Meta Trader4|
|Brief Overview||Level two platforms provides direct market access for traders||ProRealTime provides users with advanced charting packages that include advanced monitoring tools, flexible access and extensive analysis resources||Meta Trader 4 is a popular third party platform used for forex CFD trading. Advanced analysis tools and automated trading options are also available.|
|Suitability||Advanced traders||Advanced chart users||Advanced forex specialists|
|Platform Costs||Free (require min. $2,000 balance)||$40 per month (refunded for active traders)||Free|
Review: Why Choose IG Markets?
- IG Markets is a licensed CFD and Forex broker in Australia recognised by the Australian Securities and Investments Commission (ASIC).
- IG Markets ensures that all client money is held in a segregated bank account and is NOT used for hedging or other operational purposes. All money is held for clients in accounts with AA-rated top-tier banks.
- IG Markets has the largest variety of international markets to choose from including commodities, share CFD’s, popular indices, binary options, interest rates, bonds, as well as major, minor and exotic FOREX pairs. IG also offers CFD’s on very unique markets including IPO grey markets, Bitcoin, and exchange traded products (ETP’s).
- IG Markets allows clients to trade out-of-hours on Sundays with three of the most popularly traded indices (Wall Street, FTSE and Germany 30).
- CFD shares have the capability to run on a direct market access model (DMA). Direct market access trading (also known as Level 2, or ‘L2” trading) allows you to directly trade and interact with the order book of an exchange. This provides excellent transparency and greater flexibility than regular OTC trading.
- IG Markets is a part of IG Group Holding which is a parent company that has been in operations for over 40 years.
- Excellent in-house IT development team which provides clients with advanced charting, technical analysis alerts, price alerts available through most smartphones and the option of enabling a web API for those traders wishing to automate their trades.
IG Markets Summary
IG Markets is the longest established CFD provider in Australia, with their parent company operating for more than 40 years. The company’s biggest advantage is their extensive variety of international markets to trade from and would therefore best suit traders looking for the widest variety of instruments to trade with. IG also provides traders with the ability to place trades on the Germany 30, FTSE 100 and Wall Street in out-of-hours times on Sundays. Although this is not a common requirement for majority of CFD traders, it may be beneficial to some. IG also offer their clients great analytical charts as well as innovative mobile phone alerts that give traders up to date pricing information as it occurs throughout the trading day. Based on these distinct characteristics of IG Markets, the trading platforms would therefore better suit more advanced traders.
IG Markets generally have slightly higher brokerage rates than other brokers as well as higher spreads on typical indices and ASX share CFDs and therefore it is not recommended for those traders who are price sensitive in regards to their brokerage fees. Another limitation is that direct market access is only available for CFDs on equities and Forex, other index and commodities CFDs do not have this option. DMA pricing also requires manual activation by traders in order to have this option available to them.
In summary, IG Markets has shown that they are a credible, high quality, Australian regulated CFD broker that provides clients with the widest variety of instruments to trade as well as a range of trading platforms for traders to operate on. IG Markets do typically have high broker fees and higher standard spreads than other competitors which is important to take into account when assessing platform providers.