Commissions & Fees
Education and Research
Have you been interested in trying out the forex broker, CapTrader? CapTrader is a forex broker with more than 20 years experience in the industry. With competitive fees and a large amount of offered trading markets, CapTrader is on many forex traders radars. So, is CapTrader right for you? Before you buy, read our thorough review of CapTrader and decide for yourself.
CapTrader is a forex broker founded in Germany in 1997. They still retain a base in Germany but have grown to become operational around the world. They predominantly offer broker-related trading services and that will be the focus of this CapTrader broker review.
Over the two-decades they have been in operation, the broker has garnered a lot of feedback of all kinds from the industry. Our mission with this CapTrader review is to present the offering as objectively as possible allowing you to make the final decision on whether or not the broker fits your trading style.
Opening a CapTrader account is a process which you can complete with relative ease. This is even true for newcomers to the industry. The first decision that you have to make here is whether you should opt for a demo account or a live account.
Opening a CapTrader demo account can be a convenient and wise first move particularly for new traders in the industry or those who are new to the broker. In order to do this, you simply need to complete a couple of basic steps requiring rudimentary personal information. You will then be able to trade on your CapTrader demo account.
Opening a CapTrader live account comes with a slight degree of increased complexity in that you have to provide more personal information, and verify your documents such as proof of identity and address. This though, can all be completed without undue stress and you should be set up and ready to trade within the hour provided that your documents are up to standard.
The minimum deposit with CapTrader is 2,000 EUR, USD, or GBP whichever currency happens to be your base. This is very high when compared with some in the industry and is likely to immediately rule out many new traders.
Account Availability and Account Types
When it comes to CapTrader account availability, it would appear to our review team that there are only two types of standard trading accounts available at the broker. With that being said, our review team has noted that CapTrader operates as an introducing broker for Interactive Brokers. This also opens up the opportunity of many more account types and markets from a well-known broker that has been operating since 1978.
Within the standard account type made available by CapTrader, you can though trade across a huge range of diverse markets. You can select from a cash account or a margin account. The latter allows for trading on margin but you must be over the age of 21.
Interestingly, CapTrader is also one of only a few brokers who accept US traders.
At CapTrader, it can be difficult to get to grips with exactly what markets and products are offered. There are references made to a number of figures including hundreds of “exchanges” or indexes that are available around the world. This fluctuating number of instruments and available markets may be related to the CapTrader role as an IB in an ever-evolving world.
The most concrete data we can find however points to there being 120 current markets available to trade with CapTrader. This offering encompasses a total of 22 major, minor, and exotic forex currency pairs, stocks, options, and futures contract trading as well as CFDs through a selection of trading platforms.
In all, as a trader, you have an extensive choice when trading through this broker even though the main focus of currency markets is a little limited by today’s standard.
CapTrader Commissions and Fees
The fees and commission structure of CapTrader can be seemingly competitive in some aspects, yet very expensive in others. When it comes to fees, these are generally reasonable with a lot of services like deposits available at no cost. Withdrawals start to incur fees after 2 per month and these will be charged at up to 8 Euro for payouts by bank transfers.
An inactivity fee is also applied to every trader with an equity below $1,000 although the exact fee is unclear in this case.
The commission charged by the platform is clear and also less competitive at 0.3 base points and upwards on most assets. This is expensive when compared with any others in the industry who are also offering limited spread accounts in many cases.
Platforms and Tools
This is one area where CapTrader performs better than others, they do offer a wide range of platforms and support for these. You can avail of desktop, web-based and mobile platforms through CapTrader as well as APIs to assist you customizations where required. Naturally, as an introducing broker, these platforms are all compatible with Interactive Brokers trading.
The major flagship platform of both IB and CapTrader is the Trader Work Station (TWS). This platform is robust in nature and possesses all the tools needed to facilitate your every step in the forex trading world.
Here you can benefit from fast, efficient ordering and access to a wide range of professional charts and analytical data to assist you. The platform is quite intuitive and user-friendly as well as being highly customizable to perfectly suit your trading style.
The CapTrader Webtrader also makes trading within your browser very accessible with a great degree of professionalism attached.
As a CapTrader customer, you will also have access to the useful AgenaTrader platform which can help with fully automating your trading process if this is something that appeals to you.
Mobile Trading Platform
When it comes to mobile trading platforms the IBKR mobile trading application is available. This is a comprehensive mobile trading platform with a range of charting capabilities that is full functional for trading at all times.
It is easy to download on your Android or Apple device and ultimately means that you never have to miss a trade on the go. The app is well laid out and in terms of interface and the overall user experience from our team has been a positive one.
Education and Research
We have reviewed some of top forex education platforms in the past. Given that, our standards are rather stringent when it comes to education.
The first thing to note here is that with such a high minimum deposit requirement in the first place, many of those who would benefit from a positive educational environment have already been alienated. With that said, they do offer a basic range of videos through their training database along with webinars on occasion from some recognized speakers in the industry. Trading signals are also offered if required, though these would have a long way to go to match up with services like ForexSignals.
One of the major factors that traders may look at when deciding how CapTrader can fit them better than another broker is the length of time they have been in the industry. This can lend well to the credibility of the organization.
Another thing we must remember is that as an IB for Interactive Brokers, the two are inextricably linked. This is a positive for CapTrader in the sense that Interactive Brokers is a well-respected player and top forex broker in the industry. It also brings us to a final point of differentiation in that the broker can offer so many trading platforms and markets that there must be something to fit every style of trading.
CapTrader support services are available through a few mediums. The first of these is the web-based chat service they offer. This displayed a fast and efficient resolution to any questions posed by our team. Next is the numerous EU based hotline numbers which are available between 8:30 am – 7 pm EU time when the markets are open. Again these displayed a sufficient degree of professionalism when contacted.
Finally, the company also provides an FAQ section on their website to help with any questions which you may have without having to make direct contact with the support team.
Having been around the industry since 1997, CapTrader has been operating for longer than some of the other major forex brokers we have reviewed. It should also be said that as an IB, the broker are linking you up with Interactive Brokers who are well regulated and trusted around the world through regulatory bodies such as the FCA, ASIC, and others.
The bottom line is that although fees may be high through CapTrader and there certainly are other issues, trust should not be one.
Conclusions For CapTrader
Overall, what we have seen from CapTrader is a mixed bag. They have been in the business for a very long time, but do not appear to have changed or adapted their approach to an evolving trader-base. This is somewhat evident through the high minimum deposit and lack of quality education or research tools. Information throughout the site is also fundamentally disjointed.
There are positives in the sense that you are being connected with a top-quality broker, but overall it is difficult to recommend dealing with CapTrader when there are so many other, more well-rounded services to choose from as a trader.
- Vast experience in the industry of more than 20 years means they have established a strong user base.
- Fees can be competitive in some instances compared to others.
- A substantial degree of trading markets are offered in options and futures as well as CFDs trading.
- The commissions charged by CapTrader are very high when compared with others in the industry.
- The selection of available markets is OK although there could certainly be a stronger offering when it comes to forex pairs.
- The high minimum deposit is prohibitive for many new traders.