Founded in 1974, IG has grown over the years to become a top player in the Forex brokerage industry. Currently, by ranking, it is one of the biggest providers of CFD (Certificates of Difference) trading all over the world. In July 2000, the shares of the IG Group commenced trading on the London Stock Exchange. The company launched its new US subsidiary in January 2019 thereby becoming the first new entrant into the US market since 2009. Its headquarters is in London.
Regulation and Safety
- IG is under regulation by the top-tiered American regulatory authority, the Commodity Futures Trading Commission (CFTC). Also, it is a member of the National Futures Association (NFA).
- IG is safe. It is listed on the London and Australian stock exchanges and makes available its financial statements regularly.
Customer Support Service
- IG has a robust customer support service which is currently available to its American clients in two forms:
- They are a live chat which is on 24 hours every day and a customer grievance documentation resource through email and social media.
- The customer support services are available almost 24/7.
Account Types and Opening
- Forex and equity accounts only. The company cannot currently provide CFD accounts in the U.S.
- CFDs are not available for trading in the United States.
- Notwithstanding the account type, leverage is high with this provider. It has a fixed leverage policy, the maximum outlined by regulatory bodies.
- No matter the account type you settle for, IG account opening is a smooth process.
- All you have to do is log on to its website. Registration only takes a few minutes.
- You may just be requested to upload some KYC (Know Your Customer) documents. These may be a means of identification such as ID/Passport/driver’s license, and utility bill.
- A $250 account minimum which can be too high for if you are a retail investor wishing to start trading with a small account.
- Therefore, newbie traders may find IG prohibitive because of its high minimum (many brokers offer lesser!).
Charges and Rates
Generally, there are three major types of fees brokers charge: trading fees, financing rates, and non-trading fees.
- Trading fees are the fees you incur on your trades and are commissions or spreads or both.
- IG’s trading fees are high especially for small accounts and during off-market hours. Thus, this broker is not recommended for new traders with small accounts.
- The average spread on EUR/USD, however, is .75 pips. Therefore, IG’s Forex fees are one of the best.
- IG’s trading fees vary with products.
- Financing rates are your charges when you keep leveraged positions overnight
- IG’s financing rates are reasonable.
- Non-trading fees, for instance, are the fees you incur when your account is inactive or when you deposit or withdraw.
- With this broker, there is no withdrawal or deposit fee, but there is an inactivity fee.
- Also, it charges a currency conversion fee on accounts that trade in currencies different from the ones they are denominated in.
Even with its Forex Direct Stream (FDS), IG adds a commission to each trade placed. The Forex Direct Stream links interbank liquidity providers with traders while IG only serves as the agency broker.
Markets, Products, and Investments
- IG covers thousands of markets – from shares to commodities and indices. But because of regulatory restrictions, participation is limited for the American trader.
- IG offers a comprehensive range of currency pairs. You have more than 90 currency/Forex pairs and 15,000 CFDs to choose from with this broker. However, as an American trader, you cannot trade CFDs with this broker because they are currently illegal.
Trading Platform, Educational Resources, and Research Tools
- IG provides both web-based and mobile trading experiences. It has a mobile app which is available in both Android and Apple iOs versions.
- Besides, IG’s clients can also use the MetaTrader (MT4) platform and its Level 2 Dealer platform which offers the Forex Direct Stream resource.
- Clients can use MT4 and Level 2 Platform to trade stock and forex through its Forex Direct Stream resource.
- IG offers learning resources for beginner traders and market professionals alike. It does so through its IG Academy which has materials that cover forex trading in the three segments: beginner, intermediate, and advanced.
- Educational resources are made available to clients in the form of online courses, educational videos, and webinar.
- Its DailyFxForex University courses cover a broad range of technical, sentiment, and fundamental forex analyses
- Included in IG’s mobile apps are features such as economic calendar, news, alerts, watch lists, and advanced charting techniques with nearly 100 indicators and real-time data feed.
- AutoChartist and PIA First are integrations of the platform to enable social/copy trading.
Methods of Payment (Deposit and Withdrawal)
With IG, depositing and withdrawing funds is easy. However, IG will charge a conversion fee when you fund your dollar-denominated account with another currency.
You can fund your IG account via the following deposit options:
- Bank transfer
- Credit/Debit card
- Neteller, and
Bank transfer takes about three days, while the other options are usually instant.
- Same deposit options, except PayPal, can be used for withdrawing, too.
- However, you must note that any deposit or withdrawal option you choose must be in your name.
Bonuses, Promotions, and Prospect
- With over 16,000 markets covered, IG provides its clients with a wide range of asset classes from which to choose.
- A notable advantage of using IG is the negative account protection it offers.
- The broker also provides a free demo account.
- Whether you are a retail trader or an institutional investor, you can get quality Forex brokerage services with IG.
- Its robust regulatory and public listing status easily gives it a high score on trust. Thus, the company has reliability as its forte.
- IG is a highly-rated Forex broker. Being in the industry since 1974 and with over 195,000 clients worldwide, IG is one of the oldest and biggest CFD brokers.
- However, amidst all, its most notable drawback is its unduly expensive price structure which may make it appealing only to institutional investors.