FP Markets is a regulated online broker that offers FX and CFD trading on a variety of assets, including indices, equities, commodities, and crypto. The broker has been in business since 2005 and is owned/operated by First Prudential Markets Pty Ltd. The company is regulated by ASIC under ABN 16 112 600 281 since 2005.
More recently, First Prudential Markets Ltd became regulated by the Cyprus Securities and Exchange Commission (CySEC), with licence number 371/18.
Editor’s Note: Why FP Markets Doesn’t Suck In 50 Words
This is a broker with ASIC and CySEC licenses, which means that Australian and European Union clients will be protected by these financial watchdogs. And what’s better than regulation? Regulation from two authorities!
Apart from that, FP Markets has received 36 industry awards including the Highest Overall Client Satisfaction and Best Trade Execution. I know a lot of brokers simply list their awards but you have no way of knowing if they actually received those or who awarded them. As opposed to that, FP Markets offers enough information about the entities that granted the awards, thus legitimizing them.
Why FP Markets Sucks In 50 Words
Unfortunately FP Markets doesn’t accept clients from the United States, Japan and New Zealand. Although this definitely sucks for people in those regions, it shows that this broker is looking to abide by strict rules imposed by financial authority bodies.
Is FP Markets A Scam?
After being in business for over 14 years and being regulated during all that period, I think it’s safe to say they are not a scam. We’ve seen many times before that scam brokers usually survive 1 or 2 years (some even a bit more) and then disappear either because they cannot get any new clients (and the old ones leave) or because the authorities are closing them down. In some cases, they change names and re-emerge as a “new” broker.
This is definitely not the case with FP Markets as they’ve been active since 2005 and I’m sure that a scam would have been uncovered until now. That being said, there’s no 100% guarantee for the future so for all I know, they could turn bad tomorrow. Always prepare for the worst and hope for the best.
Should I Open An Account With FP Markets
From the start it’s pretty clear this is a serious broker that covers all the bases: regulation, platform, trading conditions and banking (deposits and withdrawals). We’ve already covered their regulation so we will talk about the platform: Meta Trader 4. As you probably know, this is one of the most popular choices among FX/CFD brokers and the reason for its popularity is the fact that traders love it. FP Markets also offers WebTrader (web version of MT4) but also Meta Trader 5, mobile versions and a less known platform called IRESS. The latter is a paid product ($55 per month) but the fee will be waivered if a certain commission is generated from the client’s trades.
Education is comprehensive and includes e-books, trading tutorials, platform guides, video courses, and Daily Market research/analysis.
Forex accounts start at $200 AUD for the Standard and at $1,000 AUD for the ECN Raw. Differences between the two account types include the pricing model (Straight Through Processing and ECN respectively), and the way commissions are calculated: on the Standard account you will pay a higher spread, while the ECN Raw has zero spreads and instead charges a commission per lot traded (AUD 3.5 per 100,000).
CFD accounts start at $1,000 (Professional), followed by $25,000 (Platinum) and $50,000 for Premier. Needless to say, this is pretty steep, considering that most brokers have the same requirements for CFD and FX accounts and minimum deposits are around 100 – 200 bucks.
Overall this looks to be a trustworthy broker but could use some improvements, especially in the minimum deposit area. Regulation is a great feature but it only applies to Australian citizens, so keep that in mind if you want to open an account.
The registered address for the Head Office is Level 5, Exchange House 10 Bridge St, Sydney NSW 2000 but they also have offices in Beijing and Shanghai. Contact can be made via phone +61 (0)2 8252 6800 email: [email protected] or the old fashioned visit to one of their offices.
Their Cyprus address is Aigeo Court 2nd floor, 109 Griva Digeni, 3101, Limassol.
FP Markets Complaints
This broker enjoys a stellar reputation among traders and we couldn’t find any major complaints, except one about slow order execution and delayed payments. However, that’s just one complaint and the user doesn’t actually give any other details.
The majority of clients are very content with the broker’s services, judging from all the positive comments and the 4.3 out of 5 stars rating on Forexpeacearmy.com but it must be noted there are only 7 posts in the FPA thread and that’s very few for a broker launched in 2005.
FP Markets Regulatory Warnings And Announcements
So far we couldn’t find any warnings or fines issued by the ASIC against FP Markets. If the situation changes, we will update it as necessary.
FP Markets Bonus
For an initial deposit between $200 and $50,000, clients will receive a 10% Bonus in trading credits. Terms and Conditions apply. Very low percentage but at least it won’t tie your money on the platform.
FP Markets Withdrawal
The methods for withdrawal are credit/debit cards, wire transfers, BPay, FasaPay, Poli, Skrill, Neteller and more (these may vary depending on region). The processing time is 2 – 5 business days and the minimum amount is not specified.
FP Markets Extras
A paid trading platform (IRESS) is a first among the brokers we’ve reviewed and is definitely considered an extra but we haven’t used this platform and cannot attest to its functionality. For most traders, MT4 should be more than enough, and thankfully that’s free.
FP Markets Ratings
User Friendliness 17/20
The website is translated into 12 languages, information is relatively easy to find and they have lots of tutorials to help you get started. The trading platforms are not very easy if you are a new trader so expect a learning curve but nothing out of the ordinary. Mobile apps are available as well as demo accounts.
Range Of Markets, Leverage And Spreads 17/20
The tradable assets are satisfactory, with over 50 Forex pairs but not a huge selection of CFDs and Bitcoin is the only mentioned cryptocurrency. The leverage goes up to 1:500 but this will only be available for a $500 deposit (lower deposits will come with lower leverage). Bitcoin goes up to 1:10 in leverage. The spreads are floating and depend on market conditions and the type of account you have.
Deposits And Withdrawals 16/20
The minimum deposit for an FX account is $100 (AUD) but if you want to trade CFDs you will have to deposit a minimum of $1,000, which is extremely high. However, it must be noted that some text on their website mentions only $100 for CFD accounts so all this is pretty foggy. Withdrawals take up to 5 business days to process and more for the money to reach you, which adds up to quite a long time.
Fees And Support 17/20
The IRESS platform comes with some interesting fees like a $55 charge each month just to use the software. This will be waived if the client generates $150 in commissions per month. There’s also an ASX Live Data fee of $22 per month, which is waived if the client generates $50 in commission each month. Live support was reasonably helpful and fast enough to answer.
Regulation and Meta Trader 4 are great but paying for the IRESS trading platform is not something I like. Maybe it’s a great platform that’s worth the fee, but honestly, I haven’t heard of it and not a single broker from the hundreds we’ve reviewed uses it. Thus, paying for the trading platform qualifies as an extra but not the good kind.
FP Markets Ratings (86) + Regulated ASIC,CySEC (+3): 89/100