LCG.com web trading review - Table of contents
Forex trading can be safe, secure, and profitable - London Capital Group. The broker was founded in 1996 and is a financial holding company but they quickly got a leading position in online forex trading and brokerage. Today this is one of the most experienced brokers in the UK.
Overall LCG has a good reputation, despite recent criticism. Still, the company is one of the most praised and used brokers, offering excellent experiences at low prices.
What is Web Trading
Before looking at LCG in detail let's look at online trading and what it is. Forex trading happens online in a trading environment provided by the forex broker. The forex web trading platform can be hosted on a mobile app or it can be a web-based or downloadable solution.
Usually, the online trading platform comes with additional features like calendars, educational resources, graphs, and online forex trading updates.
Web Trading Platform
With this online broker, traders can choose between two web trading platforms. Of course, both of them have pros and cons, so before picking one it's important to evaluate users' needs, preferences and expectations. Let’s look at both platforms in more detail.
This is a branded cTrader platform, which has many benefits such as 5000 instruments from 7 asset classes, customizable charts, good prices, and a web-based version applicable for mobile devices. This is a platform tailored to the needs of professionals.
Meta Trader 4
Known for its top performance and reliability the MT4 platform has been on the market for a very long. This is the standard in online brokerage and also a popular choice for any experienced web trader.
The MT4 has some advantages compared to the LCG branded platform for example it is very user-friendly, great for beginners, and works with all account types.
Traders can download a user-friendly mobile app and use it on Android and iOS devices.
The mobile trading platform works smoothly and offers different functions such as analytics tools. However, the apps are not intended for desktop versions. They are additional tools that can help with investments regardless of the location. The app is known for its excellent user interface.
Markets and Products
This broker gives traders access to the impressive 7000 global markets and all this across 9 asset classes. There is something for every level of experience and need.
With this online broker, traders can choose between shares, currency trading, bonds, ETFs, Indices, Cryptocurrencies, Interest rates, etc.
Depending on the type of account, traders get access to different markets.
Spreads & Fees
One of the main reasons behind LCG’s low commissions and spreads is the fact that the broker connects directly with the liquidity providers. Forex trading starts from a 0.8 pip spread for major currency trading pairs and can get up to 1.6 pips for other pairs.
The charges vary per platform and account. Traders using the branded forex web trading platform will pay much lower commissions compared to the users of the MT4 platform.
The maximum leverage for foreign currency trading majors is up to 1:500 and for other minors, it can be anywhere from 1:50 to 1:200, for commodities it is 1:100, and for shares and indices 1:40. The conditions may vary for EU traders where the leverage is up to 1:30 and for cryptocurrencies it is 1:2.
This forex broker offers three types of accounts to choose from ECN, Classic, and Islamic. The choice of forex account depends on traders' needs and strategies.
Here is a breakdown of the main account types:
This is a popular choice among day traders because of the favorable pricing and good connections with liquidity providers. This account is a good option for larger deposits of at least $10.000. Some of the pros of this type of account are the fast order execution, no market markers, low spreads and charges compared to other account types.
The Classic or Standard account has almost the same functionality as the ECN but has higher average spreads. The commission is included in the spread, so there are no hidden fees. This is an excellent option for traders who are not eligible for the ECN account.
An Islamic account is a swap-free option following the Sheria Law. With this account there are no overnight charges, up-front commissions of widening spreads, the conditions for foreign currency trading are the same as with the other accounts.
Deals and Promotions
One thing that this broker is going to amaze you with is their welcome bonus which is $5000. Not bad even for a forex bonus! A new web trader will get a bonus of 10% from their first deposit. Unfortunately, due to the regulations, this bonus is not available in all locations. Also, there is a restriction when it comes to the forex bonus.
Deposits and Withdrawals
Less restriction usually means a better trading experience and more satisfied customers. LCG is excellent in this area - they offer a variety of safe payment methods from free bank transfers, e-wallets, payments with all major debit and credit cards as well as free withdrawals.
A great advantage of this broker is the free demo forex account. It is an excellent option for beginners because it allows them to test a live environment and get to know the forex web trading platform before starting their trade.
This is a great way to gain skills and learn about trading and platforms in the process. Only the classic account is available in the demo mode and getting access to it is very simple, takes a few steps.
This broker has committed to providing brokers with the newest ways to invest and trade on the financial markets. Of course with the introduction of cryptocurrencies, the broker also started offering them. The main cryptocurrencies can be traded as pairs against flat currencies.
Social trading is only part of the broker’s support for the MT4s trading service. The social trading network consists of a community of experienced traders that allow others to copy their transactions automatically. The fees for this service may vary.
New traders can enjoy a variety of learning resources with this broker. There are basic-level videos, articles, and other materials. Also, beginners will find some helpful background information that can help with the first steps in using a forex web trading platform.
Regulation and Licensing
The LCA is regulated in both UK and Cyprus. This means that regulatory guidelines are adhered to among them negative balance protection, leverage limits, and custom protocols.
A web trader with proven trading experience and capital could be eligible for increased leverage and more investment types.
The support team at LCG is fast and helpful; also they are quite polite and knowledgeable. The team can be contacted via phone or mail. The company has offices in the UK and also Cyprus.