How to use AvaTrade: a beginners guide to the investing app
AvaTrade is a global CFD and forex broker. It offers various deposit and withdrawal options, all of which are free of charge. It also has diverse and user-friendly research and education tools. The product portfolio is, however, limited as it offers only forex, various CFDs (for stocks, indexes, commodities, etc.) and cryptos. Inactivity fees are high, and forex trading fees are not the most competitive on the market.
Step one: setting up your AvaTrade account
- Open AvaTrade.com
- Account opening at AvaTrade is fully digital, so you can go through the entire identification process on the company's web platform
- You are required to provide proof of identity and proof of residency
- You will need to transfer the minimum deposit to your brokerage account from your bank account to be able to start trading
Step two: Understanding your investment options
AvaTrade only offers forex, various CFDs (for stocks, indexes, commodities, etc.) and cryptos.
Forex on AvaTrade
AvaTrade is a forex broker but it also offers some CFDs. AvaTrade's currency pair selection is OK, in the same ballpark as its closest competitors.
CFDs on AvaTrade
CFD coverage of individual stocks and ETFs is rather average. Bond CFDs include Japanese and European government bonds. Unlike at many brokers, at AvaTrade you can also trade the VIX index.
Cyuptocurrencies on AvaTrade
AvaTrade offers to trade a selection of leading cryptocurrencies, you can speculate on their prices and you can also trade cryptos.
Step three: Understand the fees
AvaTrade trading fees are average. The fee structure is very transparent and trading costs are easy to calculate. However, if fee levels are your most important factor, then there are better alternatives. On the negative side, AvaTrade has an inactivity fee of $50 per quarter after 3 straight months of inactivity.
Step four: Start trading
- Complete the registration process
- Transfer the minimum deposit to your brokerage account from your bank account to be able to start trading, which is minimum $100
- Take a position and start trading