One of the best way to make money is in trading CFDs, but it is crucial to choose the best CFD broker. Although they are located in different locations, Pepperstone and Dukascopy are two of the most trusted brokers in the world. If you find yourself torn between them, it’s time to look at their services in more detail.
Pepperstone was started in 2010 in Australia and has grown to become the CFD broker of choice for over 73,000 clients and over AUD$200 in client funds. First, they had to be licensed by ASIC and were given the AFSL number 414530 to provide their services. Later on in 2017, this CFD broker would acquire 123FX that was already licensed by the FCA and rebranded it into Pepperstone UK with the registration number 684312.
On the other hand, Dukascopy has a longer history since it was launched in 2004 in Geneva, Switzerland and licensed by the Swiss Financial Markets Supervisory Authority (FINMA). Forex and CFD online trading services are provided by Swiss FX Marketplace (SWFX). At the same time, Dukascopy Europe is regulated by the Financial and Capital Market Commission (FCMC) in Latvia. Plus, the company acquired Alpari Japan to become regulated in Japan as well. Add to all these, they have offices in Dubai, Shanghai, Kuala Lumpur, Kiev, Riga, Moscow and Hong Kong.
Winner is Dukascopy for a more global presence and regulation.
Deposit and withdrawal methods
It is important for a CFD broker to provide multiple methods of funding their account, an area that Pepperstone has gone above and beyond. Conventional methods like wire transfers and credit/debit card are available as well as e-wallets such as PayPal, Neteller, Skrill and more localized payment service providers (PSPs) such as China Union Pay, Fasapay, Bpay, Poli and Broker to Broker transfer. However, Dukascopy CFD broker only allows for deposits in credit/debit card and wire transfers. Furthermore, deposits by credit/debit card aren’t instant with Dukascopy as it is with Pepperstone.
Winner is clearly Pepperstone.
As a CFD broker, a company has the option to include any number of CFDs. Pepperstone has CFDs for commodities, stocks, indices and cryptocurrencies in addition to Forex pairs. Meanwhile, Dukascopy has CFDs for commodities, indices, stocks, bonds, ETFs and cryptocurrencies in addition to their Forex pairs and binary options. However, leverage is higher with Pepperstone as they aren’t limited by European regulations.
Winner is Dukascopy for offering more CFDs and assets for trade.
Trading fees on Pepperstone depends mostly on the type of account chosen. Standard and swap-free accounts only incur a spread that varies depending on the asset while Razor accounts have a commission and an additional small spread. Dukascopy only charges commissions that vary by trade volume and net deposit. For trade volume below $5 million, for example, will incur $35 commission per $1 million traded. In general, though, commissions with Dukascopy are higher than those of Pepperstone.
Winner is Pepperstone for lower fees.
Pepperstone has more trading platforms for their clients because they have MetaTrader 4 and 5 and cTrader while Dukascopy has only MetaTrader 4 and JForex. Nevertheless, some people may find JForex features to be more useful.
Winner is Pepperstone for having MetaTrader 5.
Which is the ultimate CFD broker?
All things considered, Pepperstone seems to be better CFD broker among the two.
If anyone has a specific question about these brokers, feel free to ask in the comments section below.