At TradingPlatforms.co.uk, we aim to assess the overall quality of a given brokerage and what distinguishes it from the competition. With this goal in mind, our team developed an extensive methodology, which focuses on the various key factors that can make or break the trading experience of UK-based traders. The characteristics we examine in each of our reviews include:
- Customer reviews and experience
- Execution speed
- Available trading instruments
- Withdrawal processing speed
- Trading platforms
- Available educational materials
- Regulation and licensing
- Trading costs
Customer Reviews and Experience
One of the first aspects we examine is the reputation a broker has among traders. A major indicator is its performance on platforms like Trustpilot, which allow users to share their experiences and how they feel about the services of a given company.
We focus on both positive and negative feedback, along with how representatives of the broker’s support staff respond to clients who are facing problems. Brokers with high trust scores and whose support team exhibits a willingness to provide further assistance to users who have shared grievances about unresolved issues are evaluated accordingly.
Execution Speed
In online trading, execution speed has to do with how fast you can complete orders. If execution lags and causes delays, traders can be exposed to slippage, meaning their orders will not be executed at the prices they had requested. Slippage can have an adverse effect on a trader’s profitability, especially in the fast-paced forex market. This is why our team strictly focuses on brokers that strive to avoid delays and perform well in terms of execution speed.
Available Trading Instruments
The selection of trading instruments is among the fundamental factors that will affect our evaluation of a broker’s performance. The preferences of trading enthusiasts across the UK can vary significantly in terms of the products they are interested in trading. While some would rather stick to forex, others may be interested in traditional stocks or more speculative instruments like cryptocurrency CFDs.
With this in mind, we typically prioritise platforms offering a wide range of financial instruments to their clients. The markets that should be included in a trading brand’s catalogue include forex, commodities (including energies, metals, and soft commodities), stocks, and indices. Additional options like ETFs and crypto CFDs for professionals may earn the broker a higher spot in our rankings.
Withdrawal Processing Speed
Withdrawals that are both reliable and carried out within a reasonable timeframe of up to 72 hours are an absolute must. In fact, UK traders tend to view withdrawal issues as a deal breaker. We therefore strive to feature brokers that offer withdrawals with excellent processing speeds.
Additional considerations include the costs associated with cashing out and the available financial solutions. Apart from withdrawals, our team also examines how the broker handles deposits, particularly whether it attaches any fees to such transactions and the variety of methods it supports. Ideally, a broker will allow its clients to deposit and withdraw via credit/debit cards, bank transfers, digital wallets, and cryptocurrencies.
Trading Platforms
Aspiring and seasoned traders alike need a user-friendly platform that suits their respective preferences in order to participate in online trading. We rank brokers that feature multiple trading platforms higher, as this way, they can cater to a wide audience.
Platforms that UK traders typically use include MetaTrader 4 (MT4), MetaTrader 5 (MT5), and TradingView. cTrader is another piece of software that has been gaining traction among online trading enthusiasts.
We also examine the proprietary platforms that certain brokerages have developed, along with whether or not they are suitable for trading on the go. Extra features, such as a complimentary Virtual Private Server (VPS), economic calendars, alerts, and the like, are also taken into consideration.
Last but not least, we examine what trading accounts are associated with each of the broker’s trading platforms. At the bare minimum, a broker needs to offer a commission-free account option that incorporates all trading costs into the spread, along with an account that involves commissions and lower spreads.
Demo accounts are a must as well. They feature risk-free trading with virtual funds, which is useful to both beginners who need to practice before they move on to live trading and seasoned traders who would like to test out their trading strategies.
Available Educational Materials
Online trading has become more accessible than ever, and an increasing number of individuals in the UK see it as a potential source of additional income. Given this near-constant influx of novices, a broker should be well-equipped to help such traders grow and offer a glossary, numerous educational articles, and plenty of video guides. We also take note of brokers that go the extra mile and host webinars for their users. As established, beginners should also be granted the opportunity to partake in paper trading through demo accounts.
Regulation and Licensing
Brokers that seek to target a UK audience must adhere to strict regulatory standards for us to consider them trustworthy. This is why our team only selects platforms that are regulated by the UK’s Financial Conduct Authority (FCA) or other trusted supervisory entities like the Australian Securities and Investments Commission (ASIC) and the Cyprus Securities and Exchange Commission (CySEC). We check if the license that a broker claims to have is still valid and whether the brand has a history of misconduct by paying a visit to the respective regulator’s register of licensees.
Trading Costs
Trading costs play a major role in determining how profitable a trader will be. We thus prioritise brokers that feature narrow spreads, low commissions, and reasonable swap rates. Another factor we consider is the fees a broker may attach to deposits and withdrawals, along with whether they charge clients for inactivity. Brands that offer fee-free transactions and do not levy dormancy fees rank higher on our shortlists.