Eurotrader is the trade name of the Cypriot fintech company Eurotrade Investments RGB Ltd. It was founded in 2015 and currently is authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC). Eurotrader expresses itself as a fintech firm that provides the best possible trading conditions through the best possible technology. Customers can trade CFDs on currency pairs, commodities, indices, and cryptocurrencies via the well-known MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms. The minimum initial deposit is USD250.
Checking the regulation of the brokerage company is definitely a good thing you can do before you start any relationship. Eurotrader is a brand of Eurotrade Investments RGB Ltd, a Cyprus Investment Firm (CIF), authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC) under license number 279/15. As an investment firm authorized by a regulator of an EU Member State, Eurotrader can offer its services on a cross-border basis to the European Economic Area (EEA) countries. Eurotrader complies with EU and local regulations such as the European Markets in Financial Instruments Directive II (MiFID II).
In addition, there is a global website eurotrader.com, which is operated by Eurotrade Global Ltd. It is a Marshall Island company with registration number 92512.
There are five types of live accounts you can open with Eurotrader. They differ mainly in the spreads offered and the Min/Max trade sizes.
Micro Account – The typical spread for major currency pairs is 1.0-1.2 pips. The minimum trade size is 0.01 lots and the maximum one is 10 lots. Forex trading is commission free. The company has created this account for less experienced traders who deal with smaller volumes.
Elite Account – The typical spread for major currency pairs is 0.6-0.7 pips. The minimum trade size is 0.01 lots and the maximum one is 50 lots. Forex trading is commission free. The company says that this account has been designed for traders with advanced know-how who deal with a wider portfolio.
Zero Account – As the name says – the typical spread for major currency pairs is 0.0-0.3 pips. The minimum trade size is 0.01 lots and the maximum one is 50 lots. You will be charged a commission of USD2.75 per lot traded. This account is intended for high frequency traders and scalpers.
VIP Account – The typical spread for major currency pairs is 0.0-0.3 pips. The minimum trade size is 1 lot and the maximum one is 1000 lots. You will be charged a commission of USD2 per lot traded. An account for “high-end” traders, the company claims.
Swap-Free Account – The typical spread for major currency pairs is 0.7-0.9 pips. The minimum trade size is 0.01 lots and the maximum one is 50 lots. There is no commission when you trade currency pairs. There are no swaps and interest charges here.
Market Maker or STP Brokerage?
We looked through the legal section of the website and the Order Execution Policy shows that for the purpose of transmitting orders for execution, the company acts as an agent on behalf of the client. It transmits every client’s order for fulfillment to its execution venues. Currently, the sole execution venue for the company is LMAX. The company is not the execution venue but arranges client orders for execution with the execution venue. In other words, Eurotrader uses the Straight Through Processing (STP) model to execute client orders, hedging all risk with its liquidity providers. Therefore, there is no conflict of interest, and the company earns money only from the spread and commissions, the documents claim.
The Terms and Conditions document explains that under certain trading conditions, the company might not be able to execute the order placed by the client at the client’s requested price. Then the company has the right to execute the order at the first available price. This means that all types of orders are subject to slippage. Therefore, stop loss orders are not guaranteed.
Although it is not mentioned anywhere, the CySEC license guarantees that the company must apply a Negative Balance Protection Policy according to which clients may not lose more than the amount deposited on the platform.
Of course, the basic fees such as spreads, swaps, rollovers, and commissions are applicable but there also is an inactivity fee. The company explains that the platform is constantly provided to clients for trading, regardless of its actual use. If there are no transactions (deposits, withdrawals, or trading activity) on a client’s account for a period of at least three months or more, the company will charge a monthly inactivity fee on the client’s account. However, the company does not specify anywhere the actual size of this fee.
Deposits and Withdrawals
There are five payment methods that you can use for deposits. They include bank transfer, credit or debit cards, and e-Wallets such as Neteller and Skrill. The minimum first deposit is USD250. The company covers any deposit fees, except for the payment made by bank transfer.
Withdrawals must be made by the same payment method with which the customer’s trading account is credited. The minimum withdrawal amount is USD50. As with deposits, the company covers all deposit fees, except for the payments made by bank transfer. There are withdrawal fees for each payment method. The company aims to process withdrawal requests as quickly as possible and to complete transactions within three business days.
The company provides two of the most universal platforms for online trading – MetaTrader 4 (MT4) and MetaTrader 5 (MT5). The terminal has easy-to-use and flexible interface. There are lots of features and many charting tools. If you prefer to place orders using automated trading, you can use the built-in expert advisors (EAs) or to download custom made ones.
The next version of the platform – MT5 provides all the features of the MT4 terminal and offers some additional trading features. You can use upgraded charting tools, more technical indicators, and graphical objects. There are more timeframes on charts and the terminal has a built-in economic calendar.
The company compares both platforms in detail.
You can trade the following asset groups with Eurotrader:
Currency Pairs – 60 major, minor, and exotic currency pairs are available for trading. Spreads depend on the account type and for example the typical spread for the EUR/USD pair is 1.2 pips for the Micro account, 0.7 pips for the Elite account, 0.2 pips for the Zero and VIP accounts where a commission is applied.
Indices – Clients can trade CFDs on 9 indices, such as AUS200, DAX (DE30), HK50, FTSE100 (UK100), etc. Spreads are equal for all types of accounts and the typical value for the DAX index is 35 points and for the DJIA index it is 80 points.
Commodities – CFDs on 5 commodities are available for trading. They include Gold, Silver, Brent Oil and Crude Oil. Spreads are equal for all types of accounts and the typical value for Gold is USD0.25 and the one for the Crude Oil it is USD0.06.
Cryptocurrencies – Customers can trade CFDs on 4 cryptocurrencies – Bitcoin, Litecoin, Ethereum, and Ripple. The spread for Bitcoin starts at USD50.
Eurotrader is a trade name of Eurotrade Investments RGB Ltd, a CySEC regulated Cyprus Investment Firm (CIF), which provides financial services across European Union. The documents confirm that Eurotrader is the STP brokerage company, which acts as an agent and transmits each of client orders to its liquidity providers for execution. Mostly currency pairs are available for trading via the popular MT4 and MT5 platforms. There are 4 different types of accounts that differ in the spread offered and commissions. You can open a real account with at least USD250.