Capital.com Review - Pros & Cons to explore

Capital.com Review - Pros & Cons to explore

Overview

1. Introduction

2. About Capital.com

3. Regulation

4. WikiFX Field Survey

5. Market Instruments

6. Account Types

7. Spreads, Commissions and Fees

8. Deposit & Withdrawal

9. Trading Platform

10. Customer Support

11. Educational Resources

12. Conclusion

A Brief Introduction

This article provides an unbiased review of the forex broker Capital.com, discussing pros and cons of several important aspects, including trading instruments, account, trading fees, deposit and withdrawal options, and customer support, to help you make an informed decision about whether or not to invest with this forex broker.

About Capital.com

Over 300,000 people have used Capital.com since its inception in 2016. Clients can trade CFDs and other derivatives on currency pairings, equities, commodities, and other indices through the broker, which has operations in more than 50 countries.

With Capital.com, Customer assistance is available 24 hours a day, seven days a week, minimum deposit required is as low as $20, numerous educational resources and tools available to help clients learn more about the financial markets.

Regulation

Trading with a regulated broker will reduce the risk of being a victim of fraud or malpractice. According to WikiFX, Capital.com is comprised of five entities, each of which is regulated in their own jurisdiction:

Regulatory Authorities	Entities	License No.
	CAPITAL COM AUSTRALIA PTY LTD	513393
	Capital Com SV Investments Ltd	319/17
	Capital Com (UK) Limited	793714
	Capital Com Bel	16
	Capital Com Stock and CFD Investing Ltd	SD101

WikiFX Field Survey

According to regulatory authorities, Capital Com SV Investments Limited Cyprus is registered at 8 Oktovriou, 237 LOPHITIS BUSINESS CENTRE,6FLOOR 3035 Limassol. WikiFX field surveyors visited this location to see it is true.

The surveyor, as per the company sign, rode the elevator to the company's door and discovered a company sign with Capital.com displayed on it. Staff at Capital Com's front desk greeted the WikiFX field survey team kindly as soon as they rang the doorbell. Surveyors discovered that the company's offices are well-decorated and well-lit, and that the company's operational conditions are well-equipped.

In other words, the company's address, Capital Com SV Investments Limited, matches the regulatory one, and its size is considerable. If you decide to invest with this broker, keep this information in mind as one of many variables to weigh as you make your final decision.

Market Instruments

At Capital.com, you'll find a wide range of trading options. It also has a lot of exposure to the Crypto and Forex markets, which isn't necessarily a good thing for online brokers to have. The broker offers exotic currency pairs such the Belarusian Ruble, Mexican Peso, Thai Baht, and Hungarian Forint. Capital.com has a wide selection of equities CFDs, including mid-cap and large-cap businesses, for most clients.

Account Types

Clients of Capital.com can choose from three different types of CFD trading accounts, all of which offer the same basic features. For accounts that demand a deposit of at least 3000 USD, the most significant difference is apparent (Plus and Premier accounts).

Although there is no minimum deposit required to register an account, you need to deposit at least 20 USD to begin trading.

The Standard Account- There is no minimum deposit for this account type, but it is recommended that you deposit at least 20 USD to get started, leverage up to 1:30, spreads from 0.6 pips.

The Plus Account - With a minimum deposit of $3000 USD, a maximum leverage of 1:30, and spreads starting at 0.6 pips, this account type is the most popular choice among traders.

The Premiere Account- This account type is suitable for professional traders who can accept its minimum deposit requirement of 10,000 USD, leverage up to 1:30 and spreads from 0.6 pips.

There are no Islamic accounts available at Capital.com. Retail accounts are protected from negative balances to the fullest extent possible, but are limited to 1:30 leverage at the most. However, experienced traders' negative balances are only protected up to a ratio of 1:50, meaning they could lose more than their initial deposits.

Spreads, Commissions and Fees

Capital.com does not charge a commission for trading and has tight spreads, therefore one has to wonder how they make money.

Profiting on the spread on a quoted price is standard practice for CFD brokers. To put it another way, the spread (bid-ask) is the difference between what a buyer is willing to pay and what a seller is willing to accept.

Spreads- A typical spread on the Capital.com platform is 0.6 pips, but the exact value will vary based on the traded asset.

CFD Trading- The spread and non-trading expenses, such as overnight charges and currency conversion, must be paid even if CFD trading is commission-free. CFD is issued by a financial institution and is a time-bound contract, the trading platform imposes an overnight charge, which is essentially an interest fee.

Non-Trading Fees- All such brokers incur overnight interest fees when they keep open positions on margin for their clients. Capital.com charges less for this part. For every hour that a position remains available after the Overnight Funding Time, a fee is calculated. Each instrument has its own unique set of fees.

In the case of Capital.com, the fee is based on leverage rather than the total outstanding value of the position. Calculating Capital.com's overnight funding costs is as follows:

Trade leverage size * opening rate *daily overnight funding percentage

Deposit & Withdrawal

There are five currencies to choose from at Capital.com, which include the USD, the GBP, the EUR, and the AUD. If you fund your trading account in the same currency as your bank account, or if you trade products in the same currency as your trading account base currency, you don't have to pay a conversion fee.

The very minimum required to open an account is only $20. With the Capital.com platform, deposits and withdrawals can be made using a wide range of methods, including credit/debit cards, wire transfer, Neteller, Skrill, GiroPay, UnionPay, Apple Pay, and WorldPay, iDeal, Multibanco, Sofort, Asian online banking, Qiwi, Przelewy24, and WebMoney.

However, it is necessary to focus on the following items:

• Deposits and withdrawals are free of charge, however third-party processing fees may apply.

• The currency conversion cost is not listed on Capital.com.

• All withdrawals are processed within 24 hours, but it may take up to five business days for funds to arrive, depending on the payment processor.

• Most foreign traders can only deposit via expensive bank transfers or credit/debit cards.

Trading Platforms

Capital.com provides a technologically advanced web trading platform, a mobile trading app, and the popular MetaTrader4 platform, which is available in a web-based platform, a desktop version, and a mobile app version.

WebTrader

Capital.com's web-based platform offers trading ideas, in-depth technical analysis, multi-chart toggling, AI-powered post-trade behavioral analysis, financial articles, customised watchlists, and risk management tools.

You can access the web-based trading platform in a number of languages, and it has all the main tools a trader may want, such as search and portfolio reports.

While negatives include the lack of MT4 add-ons, VPS hosting, and API trading. In addition, the platform cannot be tailored to your tastes nor can you establish price alerts and notifications.

Mobile App

In contrast to the web-based platform, this mobile-based platform allows you to set alerts and notifications. Just choose the asset and the price level at which you wish to receive notifications.

As a mobile app, you won't have a hard time learning all its features and capabilities.

MT4 Trading Platform

Capital.com employs the widespread MetaTrader4 (MT4). The desktop software enables Expert Advisors for algorithmic trading and is extremely customizable. Unfortunately, it does not offer a two-step login procedure, which is rather dangerous. The platform is also obsolete, making it difficult to locate all of its features in comparison to the web-based and mobile platforms.

Customer Support

Capital.com appears to provide a dedicated and quality customer support. Traders and clients who have questions or concerns about trading can contact this brokerage's customer service department 24 hours a day, seven days a week, by live chat, email, eight different phone lines, or a webform. The Capital.com website may be accessed in 28 different languages, making it accessible to investors all around the world.

Prior to contacting Capital.com, it is always a good idea to review their extensive FAQs section; nevertheless, in the event of an emergency, we recommend using their phone numbers. However, they may occasionally redirect your phone call to live chat and email assistance, which can frustrate impatient customers.

Educational Resources

When it comes to supplying its clients with informative and helpful instructional information, such as video lessons for the platform, educational articles, webinars, and a glossary, Capital.com is unrivaled in its ability to meet their needs.

Another great educational resource on Capital.com is the official YouTube channel run by the broker. You will have access to over 650 instructional films, all of which are brought up to date on a monthly basis. In addition, David Jones will host free webinars that last for 30 minutes.

Conclusion

To sum it up, Capital.com is a relative newcomer when compared to other long-established peers. More than a few obvious advantages for this broker include a wide variety of trading instruments and minimal trading costs, as well as high-quality training resources. There are some significant disadvantages as well, such as the high expenses of stock index CFD trading, overnight fees, and the absence of an Islamic account. Anyway, investors should conduct a thorough investigation of a brokers strengths and weaknesses before making an investment with it.