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Oanda Review

  • Regulated by: Financial Conduct Authority and ASIC
  • Used by: 23,000+ traders
  • Trust Rating: A
Open Oanda's Website

Losses can exceed deposits

Overview

Oanda is a forex and CFD trading broker. They give traders access to a wide variety of instruments in several markets like currencies, indices, commodities and bonds. For commodity traders, they offer a range of energies, metals and agriculturals.

To open a live account, you’ll need a minimum deposit of at least $1. Alternatively, Oanda offers a demo account that you can use to practice and familiarise yourself with their platform.

Regulated by the Financial Conduct Authority, UK (FRN: 542574), and ASIC (AFSL #AFSL No. 412981, ABN 26 152 088 349). Oanda puts all client funds in a segregated bank account and uses tier-1 banks for this. Oanda has been established since 1996, and have a head office in United States, Canada.

Before we dive into some of the more detailed aspects of Oanda’s spreads, fees, platforms and trading features, you may want to open Oanda’s website in a new tab by clicking the button below in order to see the latest information directly from Oanda.

Open a demo account Visit Oanda

Full disclosure: We may receive a commission if you sign up with a broker using one of our links. Your capital is at risk. CFDs are leveraged products & 73% of traders lose money when trading CFDs.

Oanda screenshot

PROS

  • Used by 23,000+ traders
  • Established in 1996
  • Regulated by Financial Conduct Authority and ASIC
  • Min. deposit from $1

CONS

What are Oanda's spreads & fees?

Like most brokers, Oanda takes a fee from the spread, which is the difference between the buy and sell price of an instrument.

The spreads displayed below are based on the minimum spreads listed on Oanda’s website. The colour bars show how competitive Oanda' spreads are in comparison to other popular brokers featured on BrokerNotes.

Spreads are dynamic and are for informational purposes only. Last updated: June 06, 2018.

As you can see, Oanda's minimum spread for trading EUR/USD is 1.1 pips - which is relatively high compared to average EUR/USD spread of 0.82 pips. Below is a breakdown of how much it would cost you to trade one lot of EUR/USD with Oanda vs. similar brokers.

See all Spreads
Losses can exceed deposits

How much does Oanda charge to trade 1 lot of EUR/USD?

If you were to buy one standard lot of EUR/USD (100k units) with Oanda at an exchange rate of 1.1719 and then sell it the next day at the same price you would likely pay $N/A. Here’s a rough breakdown of the fees and how this compares against XTB & City Index.

Oanda XTB City Index
Spread from: N/A $ 2.00 $ 5.00
Typical overnight fee: N/A $ 7.94 $ 20.60
Commission: N/A 0 0
Total cost of a 100k trade: N/A $ 9.94 $ 25.6
Visit Oanda Visit XTB Visit City Index

All fees/prices are for informational purposes and are subject to change. Last updated: 09/03/2018. Losses can exceed deposits

General Fees

  • Oanda doesn’t charge inactivity fees*
  • Oanda withdrawal fees varies on payment method

Overnight fees & swap rates

When you hold a position overnight, it is usually subject to overnight interest which you must pay to your brokerage (sometimes called a rollover fee or swap rate).

  • The rollover fee for long positions on EUR/USD is -$6.14
  • The rollover fee for short positions on EUR/USD is $0.16

Commissions

  • Oanda doesn’t charge commission on CFD shares

What can you trade with Oanda?

Oanda offers over 100 different instruments to trade, including over 55 currency pairs. We’ve summarised all of the different types of instruments offered by Oanda below, along with the instruments offered by XTB and City Index for comparison.

FX / Currencies Oanda XTB City Index
# of forex pairs offered 55 48 84
Major forex pairs Yes Yes Yes
Minor forex pairs Yes Yes Yes
Exotic forex pairs Yes Yes Yes
Cryptocurrencies No Yes Yes
Commodity CFDs Oanda XTB City Index
# of commodities offered 0 21 26
Metals Yes Yes Yes
Energies Yes Yes Yes
Agricultural Yes Yes Yes
Index & Stock CFDs Oanda XTB City Index
# of Stocks offered 0 1606 4500
UK Shares No Yes Yes
US Shares No Yes Yes
German Shares Yes Yes Yes
Japanese Shares Yes Yes Yes
See Oanda's InstrumentsSee XTB's InstrumentsSee City Index's Instruments
Losses can exceed deposits

What’s the Oanda trading experience like?

1) Platforms and apps

Oanda offers the popular MT4 forex trading platform. To see a list of the top MT4 brokers, see our comparison of MT4 brokers.

Oanda Screenshot See Oanda 's Platforms

Oanda also offer mobile apps for Android and iOS, making it easier to keep an eye on and execute your trades while you are on the move.

See Oanda 's platforms
Losses can exceed deposits

Trading Features:

  • Allows scalping
  • Allows hedging
  • Low min deposit

Accounts offered:

  • Demo account
  • Mini account
  • Standard account

Still not sure?

Open a practice account & learn to trade

2) Executing Trades

With Oanda, the minimum and maximum trade requirements vary depending on the trader and the instrument.

As a market maker, Oanda may have lower entry requirements compared to an ECN broker who benefits from a higher volume of trades and typically has larger capital and minimum trade requirements. Market makers typically have a lower minimum deposit, smaller minimum trades requirements and no commission on trades.

As a nice bonus, Oanda are one of very few brokers that claim to have no requotes, so you don’t have to worry about slippage (your trades being ordered at a different price to what you executed them at).

As with most brokers, margin requirements do vary depending on the trader, accounts and instruments. You can see the latest margin requirements on their website.

Finally, we’ve listed some of the popular funding methods that Oanda offers its traders on the right.

Funding methods:

  • Bank Transfer
  • Payoneer

3) Client support

Oanda support a wide range of languages including English, Chinese, French, German, Japanese, Korean, Russian, and Spanish.

Oanda has a BrokerNotes double AA support rating because Oanda offer over three languages

4) What you’ll need to open an account with Oanda

As Oanda is regulated by Financial Conduct Authority and ASIC, every new client must pass a few basic compliance checks to ensure that you understand the risks of trading and are allowed to trade. When you open an account, you’ll likely be asked for the following, so it’s good to have these handy:

  • A scanned colour copy of your passport, driving license or national ID
  • A utility bill or bank statement from the past three months showing your address

You’ll also need to answer a few basic compliance questions to confirm how much trading experience you have, so it’s best to put aside at least 10 minutes or so to complete the account opening process.

While you might be able to explore Oanda’s platform straight away, it’s important to note that you won’t be able to make any trades until you pass compliance, which can take up to several days, depending on your situation.

To start the process of opening an account with Oanda you can visit their website here.

CFDs are leveraged products and can result in the loss of your capital. All trading involves risk. Only risk capital you’re prepared to lose. Past performance does not guarantee future results.
This post is for educational purposes and should not be considered as investment advice. All information collected from www.oanda.co.uk on August 23, 2018.

Between 54-87% of retail CFD accounts lose money. Based on 69 brokers who display this data.