What sets AvaTrade apart from the rest

When it comes to forex and CFD investing there are a massive number of options for investors, each with their own strengths and weaknesses. While many offer the same types of services, it is important to know which services fit your investing needs the most.

 

Leverage

 

For most investors, the amount of provided leverage is the most important factor to consider. Leverage allows investors to invest far more than their initial investment. Investment sites such as Avatrade offer 200 to 1 leverage, meaning any potential gain can be magnified by a factor of 200. This applies even to precious metals trading, meaning Avatrade account holders can invest in gold for as little as $6.50 per ounce.

 

Diversity of Investment Options

 

With cryptocurrency filling an increasingly greater role in global markets, it is absolutely vital for investors to have access to these markets. These markets tend to have far more viability than traditional currency markets, making them prime candidates for quick returns. Many Forex sites have sought to remain “pure” by only offering trades in traditional currency but this is not the case for more modern providers such as AvaTrade review. These offerings also extend to precious metals as well as commodities markets such as crude oil.

 

Negative Balance Protection

 

Investing always carries a risk, and in a highly leveraged position, these risks can become more pronounced. To make matters worse, some providers provide incredible amounts of leverage without any sort of protection against extreme market shocks. These traders end up being liable for the amount owed that is greater than their initial deposit.

 

Many traders choose to overlook this risk on the grounds that currency markets “aren’t too volatile” when in reality they can be subject to extreme drops. The largest recorded drop for a currency in a single day was 41% between the Euro and the Swiss Franc. This would mean a trader leveraged at 200 times leverage would owe 82 times their initial deposit.

 

Situations like this can happen, and it is why Avatrade has committed to its investors by guaranteeing that account balances cannot go negative, even in the most extreme circumstances.

 

Altogether, Avatrade offers many options to invest and find success while limiting the total downward risk. This combination of services makes them a top pick in their industry.

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