Review sections
Investor Protection & Regulations
“ETFinance is a brand name of Magnum FX (Cyprus) Ltd which is regulated by the Cyprus Securities and Exchange Commission (CySEC).”
Magnum FX (Cyprus) Ltd operates several different brand names which offer trading services of which ETFinance is just one. The ETFinance domain (www.ETfinance.eu) is classed as an approved domain of the company as confirmed on the CySEC website, as shown below:
Magnum FX (Cyprus) Ltd and its brand name ETFinance are licenced in a variety of controlled functions related to investment and trading services of CFDs. These are listed on the CySEC website under the Regulated Entities page. The company does not provide services to the United States and a host of other countries but are registered to provide cross border services to other European nations as shown below:
According to the ETFinance website, the business also offers further protection to clients by:
- Holding client funds in segregated accounts within reliable Cyprus or EEA credit institutions.
- Being a member of the Investor Compensation Fund in case the company cannot fulfil its financial obligations.
It is also worth noting that in the company’s Order Execution Policy, under bullet point seven, it states the sole execution venue of client orders is with just one liquidity provider called OBR Investments Ltd which is also regulated by CySEC. This means the liquidity provider acts as the counterparty to your trades.
Tradable Products
“ETFinance offers a wide range of tradable assets across Forex, Stocks, Indices, Commodities and Cryptocurrencies via CFDs.”
ETFinance offers a wide range of tradable assets via CFDs. Below is a list of just some of the markets that are available:
| Instrument Class |
No. of Instruments |
Example instruments |
| Forex |
50+ |
EURUSD, EURDKK AUDCHF, GBPJPY, USDZAR and more… |
| Metals |
4+ |
XAUUSD, XAGUSD, COPPER, PLATINUM and more… |
| Indices |
20+ |
CAC, FTSE, DAX, DOW, IBEX, AEX, VIX and more… |
| Commodities |
17+ |
SUGAR 11, CORN, COFFEE, NATURAL GAS, BRENT CRUDE OIL and more… |
| Stocks |
150+ |
APPLE, AMAZON, FACEBOOK, BMW, DAIMLER, BARCLAYS, VODAFONE and more… |
According to the broker’s website, trading with ETFinance is commission-free on all the instruments offered. However, spreads are floating and therefore variable. Other trading costs such as swaps also vary depending on the instrument being traded. More details on trading costs can be found further down this review.
While ETFinance does not offer average spread information, the spread on EURUSD – at the time of writing – is 2 pips (9.30pm BST).
* Details regarding the available assets are taken from ETFinance’s website and are correct at the time of this review.
Account Opening
“ETFinance offers one type of trading account where traders can access all of their tradable instruments on the MetaTrader 4 platform. They also offer a free demo trading account, making it ideal for beginner traders.”
Opening a live account, or a demo trading account is fairly quick and easy. Clicking on the ‘Open Account’ tab on ETFinance’s website opens a registration page, as shown below:
Users are then asked to fill in their Address and Date of Birth information, as shown below:
After this, users are then presented with a Part 1, Part 2 and Part 3 questionnaire which asks for details such as education, employment status, net worth, source of funds for trading, investing experience, questions to test the user’s knowledge of financial trading, tax information, etc:
After this step, users can upload relevant documents for Proof of Identity and Proof of Address, as shown below:
After this is completed, users can deposit funds straight away or login to their My Account area using their registered information. From the My Account area users can add new trading accounts, open a demo account, download relevant trading platforms, as well as deposit and withdraw funds, as the screenshot below shows:
The My Account area is a useful page where users can access all services related to their live trading account or practice account. Currently, it seems live accounts can only be funded in GBP or EUR.
As there is just one type of account on offer, users can get started pretty quickly making ETFinance ideal for beginner traders.
Deposit & Withdrawals options
“ETFinance offers several ways to deposit and withdraw funds through credit and debit cards as well as the Pay by Bank app and Trustly Instant Bank Transfer.”
When depositing funds with ETFinance, there are various funding methods available. The methods are detailed in the user’s My Account -> Deposit Funds area, as shown below:
Withdrawal of funds must be made through the My Account area and the following information/documentation is required before submitting a request:
- Full name (including first and last name) on the beneficiary account matches the name on the trading account.
- There is at least 100% free margin available. This requirement is in place to reduce the likelihood of a margin call.
- The withdrawal amount is less than or equal to the account balance.
- Full details about the method used to deposit, including the supporting documentation needed to process the withdrawal according to the method used to deposit i.e.
- IBAN number or bank reference or bank statement including the IBAN, for bank transfers
- Copy of credit card for deposits made by credit card
- Account statement by the clearing company for eWallets and deposits made through Payment Service Provides (PSPs)
Withdrawal requests made after 11 am GMT on a working day are processed the following business day. According to the broker’s Withdrawal and Refund Policy, they reserve the right to charge a withdrawal fee of 50 EUR if there is insignificant (one single position placed on the trading account) or no trading activity prior to the submission of the withdrawal request.
Web & Desktop Trading Platforms
“ETFinance offers the globally recognised MetaTrader 4 trading platform for Desktop, Web and Mobile.”
Once logged into the Client Area, users can access the ETFinance trading platforms of MetaTrader 4, Web Trader or the ETFinance Mobile Trading App which is the MetaTrader 4 Forex Trading App. This can be accessed under ‘Platform Downloads’ on the left side options:
Once logged into the Client Area, users can choose between two languages: English and Spanish. The MetaTrader 4 trading platform offers multiple language choices once logged into a trading account.
The MetaTrader 4 desktop trading platform offers a variety of features and benefits for traders. According to the broker’s website, these include:
- Analytical and technical indicators
- Security and protection through cutting-edge encryption
However, there are many more options available with the MetaTrader 4 desktop trading platform which is shown below:
Users can access a wide variety of free trading indicators such as the Average True Range, MACD and Stochastic Oscillator. Through the ‘Market’ tab in the Trade Terminal shown above users can also access custom made indicators from other traders and programmers – some for free and some paid for. Unfortunately, no news comes through on the desktop trading platform.
Programmers and algo traders can create their own trading scripts and algorithms through the MQL4 editor, or by using other Expert Advisors from the large community of MetaTrader 4 traders in the world.
Advanced traders will also enjoy the one-click trading option where traders can simply click the sell or buy quote in the individual chart to enter a trade live. From here, traders can easily move stop losses or target levels using the drag and drop function on the chart or through modifying an order in the Trade Terminal window.
The ETFinance MetaTrader 4 Web Trader platform offers some of the same key trading features as the desktop version such as:
- One click trading
- A wide variety of free trading indicators
- Multiple asset classes
However, the viewing of different charts is slightly different and in a tile form rather than the cascade form shown in the desktop screenshot further above. Some of the features which cannot be accessed through the Web Trader platform are the options found in the Trade Terminal window at the bottom. For example, users cannot access the ‘Market’ tab in the Trade Terminal to find custom indicators and strategies.
For beginner traders the Web Trader is a good place to start. For more advanced traders who like to customise their chart views and use Expert Advisors and algo trading then the desktop version is better suited.
Mobile Trading Platforms
“ETFinance offers the MetaTrader 4 Forex trading app for both Android and iOS operating systems.”
Once logged into the Client Area, users can access the ETFinance mobile trading platforms by selecting ‘ETFinance Mobile’ on the left sidebar options under ‘Platform Downloads’. Clicking on this provides options for Android or iOS users:
Users can download the ETFinance mobile trading app for free and enjoy benefits such as real-time trade monitoring and one-tap actions for fast and efficient trading.
The MetaTrader 4 Forex Trading App offers:
- Multiple order types
- Bars, Candlesticks and Line chart views
- A wide range of trading indicators
Users can access multiple markets by selecting the plus button at the top as well as access multiple charting options such as free trading indicators and multiple timeframes, as shown below:
Overall, the ETFinance MetaTrader 4 mobile trading app offers the ability to check trades, as well as initiate new trades on the move. Functionality is more limited as less trading indicators are available than the desktop or web trading platform. However, traders can access multiple asset classes such as Forex, Stocks, Commodities, Indices and Cryptocurrencies all from the ETFinance mobile trading app.
Trading Features
“ETFinance offers no advanced trading features beyond the MetaTrader 4 trading platform on Desktop, Web and Mobile.”
While clients of ETFinance can enjoy commission-free trading on the MetaTrader 4 trading platform, the broker’s offering is more geared to beginner traders as there no advanced trading features advertised.
Commissions & Spreads
“ETFinance offers commission-free trading with variable, floating spreads across a wide range of asset classes.”
Trading is commission-free with ETFinance with variable, floating spreads across a wide range of asset classes such as Forex, Stocks, Commodities, Indices and Cryptocurrencies. As spreads are variable and based on their liquidity provider, there is no ‘typical spread’ information available for individual asset classes.
However, below are just some examples of ETFinance’s typical spreads during market hours, taken from their Web Trader platform:
| Market |
Typical Spread |
| EUR/USD, GBP/USD, USD/CHF |
From 2 pips |
| USD/JPY, NZD/USD, EUR/JPY |
From 3 pips |
| CAD/JPY, EUR/CAD, GBP/CHF |
From 4 pips |
| Gold (XAU/USD), DAX 30 Index |
From 6 pips |
| Dow Jones 30 Index (DOW) |
From 2 points |
| HSBC, Daimler, BNP |
From 20 points |
| XRPUSD, ETHUSD |
From 200 points |
It’s important to note that while ETFinance is a commission-free broker, spreads vary on an instrument throughout the day based on market liquidity. Below is a screenshot of the ETFinance MetaTrader 4 platform which shows the spreads for a variety of markets on Friday 5 July 2019 at 3:40 pm BST:
Spreads vary depending on the day of time and market liquidity. From the above, the average spread on the major US dollar currency pairs is around 2 to 3 pips.
Swap rates for holding positions overnight vary and can be found only in the desktop version of the ETFinance MetaTrader 4 trading platform. From viewing these in the platform, ETFinance adjusts their swap rates based on their own model, as the EURUSD specification shows below with the swap long and swap short value both at -20:
Bonus & Promotions
“Currently, there are no bonuses or promotions available with ETFinance.”
Currently, there are no bonuses or promotions available with ETFinance. However, this may change over time.
Customer Support
“ETFinance offers 24 hours a day, 5 days a week Live Chat support, as well as email and phone in English and Spanish.”
ETFinance offers customer support in English and Spanish across a variety of mediums, including:
- Live Chat: Monday – Friday, 7am – 7pm GMT
- Email: support@etfinance.eu
- Phone: +8006 003 7004 or +357 25359939
- Web: Contact Us page web form
- Address: Magnum FX (Cyprus) Ltd, 79 Spyro Kyprianou Avenue, Limassol 3076 Cyprus
After connecting to the Live Chat facility the customer support agents were helpful and responsive. Advanced trading questions were referred to account managers who offered to call back to discuss them which can be helpful for beginner traders.
Research
“ETFinance offers a basic economic calendar on their website but no other research tools.”
ETFinance offers a basic economic calendar section on their website but no other research tools are available:
Trader Education
“ETFinance offers an impressive library of educational videos covering beginner and advanced trading concepts.”
On ETFinance’s homepage, users can visit their Education page which hosts an online trading education library packed full of high-quality videos covering a host of topics including:
- Basic Forex Education
- Fibonacci
- Candlesticks
- Chart formation patterns
- Forex indicators
- Timing in Forex
- MT4
- Cryptocurrencies
Trading Experience
“ETFinance offers unique features for beginner traders, as well as a strong educational video library covering a variety of topics.”
From our observations, ETFinance offers unique features for beginner traders such as commission-free trading and the ability to trade on the globally recognised MetaTrader 4 platform. The Client Area is simple to use and it is easy for the user to navigate to different areas such as opening a new live or demo account, depositing and withdrawing monies and accessing trading platforms.
While customer support is only offered in English or Spanish, agents in the Live Chat feature have been helpful and responsive. The online educational video library is also a useful feature for beginner traders and advanced traders alike.
FAQ
Is ETFinance regulated?
Yes, Magnum FX (Cyprus) Ltd – who owns the brand name ETFinance – are regulated by the Cyprus Securities and Exchange Commission (CySEC).
Where is ETFinance based?
ETFinance is based at the headquarters of Magnum FX (Cyprus) Ltd in Limassol, Cyprus.
How does ETFinance make money?
While ETFinance offers commission-free trading, they make money through marked-up spreads and swaps.
How do I deposit in ETFinance account?
Funds can be deposited into a trading account through a variety of mediums from the Client Area and include credit and debit cards as well as the Pay by Bank app and Trustly Instant Bank Transfer.
What is the min. deposit for ETFinance?
The minimum deposit to open a trading account is $250.
How do I withdraw money from ETFinance?
Withdrawals can be made from logging into the ETFinance website and selecting ‘Withdraw Funds’ in the Client Area.
What is the max leverage in ETFinance?
The maximum leverage offered by ETFinance is 1:30 as per the ESMA regulations
How do I open an account with ETFinance?
An account can be opened at the click of a button on the ETFinance website, through clicking the ‘Open Account’ tab on their homepage.
Does ETFinance use MetaTrader?
Yes, ETFinance does offer MetaTrader 4 for Desktop, Web and Mobile.
Conclusion
“ETFinance offers a unique and simple commission-free trading account that is ideal for beginner traders, as well as an impressive educational video library covering a variety of topics.”
ETFinance offers a unique and simple commission-free trading account covering a wide range of asset classes such as Forex, Stocks, Indices, Commodities and Cryptocurrencies on the globally recognised MetaTrader 4 trading platform.
While the research tools are very limited, users have access to a demo trading account as well as a strong library of educational videos covering beginner and advanced trading topics. The Client Area is also simple to use, helping users navigate between opening live and demo trading accounts, depositing and withdrawing funds and accessing the trading platforms for desktop, web and mobile.
While ETFinance operates with just one liquidity provider, according to their website, they hold client funds in segregated accounts within reliable Cyprus or EEA credit institutions and are a member of the Investor Compensation Fund.
- ETFinance is a brand name of Magnum FX (Cyprus) Ltd which is regulated by CySEC.
- A wide range of asset classes are available to trade commission-free.
- Trade on the globally recognised MetaTrader 4 trading platform on Desktop, Web and Mobile.
