Oanda Canada - Is It a Good Broker in 2024?
At least 2.4 million new retail brokerage accounts were opened in Canada in 2021. This gradual growth in forex trading pushed the monthly turnover in the traditional foreign exchange products to close to an average of $ 3.30 trillion. As a forex trader, it's paramount that you put your money where your mouth is! And finding the right broker to walk with you through this journey is the first surest step towards becoming a successful investor.
If you're a resident of Canada, Oanda.com is probably among the household names you'll likely encounter in the forex markets. But before you commit your hard-earned money to Oanda, you might need to conduct a comprehensive background check. Fake or legit? Each time you're about to engage a broker, this question will probably ring in your head.
OANDA is among the leading forex brokers in the Canadian FX market currently. Even then, every trader is keen on all the nitty-gritty about a broker before partnering with them. This article explores the prospects of working with Oanda.com as your investment vehicle. Legit or a scam? Read on for substantiated insights.
Read more about Best Forex BrokersIs OANDA a Good Broker in 2021?
OANDA FX is a licensed brokerage firm with a low-risk rating. Based on recent reviews, the broker has a general trust score of 91 out of 99. The forex broker currently operates with authority from at least 6 tier-1 regulators. The fact that tier-1 regulators have licensed this broker confirms the high trust attached to OANDA.
The primary regulators governing OANDA include the Australian Securities & Investment Commission (ASIC) and Canada's Investment Industry Regulatory Organization (IIROC). This means that Australian and Canadian citizens can be admissible as traders on the platform. Other regulators include the Japanese Financial Services Authority (JFSA) and the Monetary Authority of Singapore (MAS). OANDA also operates within the regulations of the Financial Conduct Authority in the United Kingdom. The commodity Futures Trading Commission (CFTC) is the other central tier-1 regulator governing the trading practice by OANDA. OANDA is also a registered broker in the United States with the Forex Dealer Member (FDM). These tier-1 regulators confirm OANDA's credibility as a good broker in 2023.
Oanda Canada - General Information
OANDA has been in operation since the year 1996. Although the broker's interests in Canada and other European countries have come much later. CVC Capital Partners (CVC) recently expressed interest in acquiring all the outstanding equity of OANDA, which could further strengthen the broker's grasp of the market.
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💰 Account currency:
USD, EUR, HKD, SGD
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🚀 Minimum deposit:
No minimum
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⚖️ Leverage:
Up to 1:40
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💱 Spread:
From 0 p for currency pairs
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🔧 Instruments:
FX, Indices, CFDs, Bullion, Commodities
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💹 Margin Call / Stop Out:
Stop Out - 50%
OANDA currently trades with four leading currencies. The USD, EUR, HKD, and SGD represent OANDA's main currencies that often trade within the forex markets. The company doesn't have a minimum deposit for traders, even first-timers. Currently, the broker enjoys a 91% trust score compared to other brokers offering similar services. The broker has 124 tradable symbols and a market leverage of up to 1:40. Apart from trading in FX, OANDA also has a variety of other investment portfolios. They include Indices, CFDs, Bullion, and commodities.
Oanda Canada Pros and Cons
When sourcing for An FX broker, it's safe to consider the tradeoffs before making a final decision. OANDA has a wide array of pros, but it also has an equal share of cons.
👍 Pros
• Offers insightful education on forex or CFDs. The broker provides client webinars, trading videos for beginners, and an investor dictionary
• OANDA has friendly mobile trading solutions. The broker is available on platforms such as the Android app, Apple Ios app, and an active digital forex calendar.
• OANDA has a robust research culture and market news. The culture incorporates an updated economic calendar, daily market commentary, and reliable forex news from top-tier sources.
• OANDA has a Superior Trading Platform. Compared to other brokers, this platform offers greater user-friendliness and control. Some of the unique features include a virtual trading demo. Users also get to enjoy a unique social trading/copy trading experience.
• OANDA offers a robust offering for investments. Traders choose between forex trading, CDF trading, cryptocurrency, and social trading. Everyone can agree on an alternative that suits their investment objective with such options.
• OANDA has a great Application Programming Interface.
👎 Cons
• Only FX and CFD available in most countries
• OANDA doesn't have a stock exchange listing. The broker also lacks a founded backing background.
• The broker lacks a 24/7 customer care support system.
• High withdrawal fee for bank withdrawal fees charged to traders.
• No price alerts for clients using the web trading platform.
• Poorly organized research tools
OANDA Canada Review
OANDA has a rare feather in the hat for being among the strongly regulated brokers. Having six tier-1 regulators to back the company's credibility isn't mean fete. This makes the broker one of Canada's safety options to trade through. Whether you're a casual investor or a sophisticated trader, this option guarantees your safety and timely investment returns. Further, OANDA has a 91% trust score and four stars. Such a record confirms the broker's positive reviews in the forex market. With such a track record, OANDA comfortably passes the legitimacy test.
OANDA Canada – Fees
OANDA has a slight edge over most other brokers when considering pricing. You can rate OANDA's spreads as comparable to FXPro. Even then, OANDA's minimum spread cost is slightly higher than other firms. In the first quarter of 2021, OANDA's average non-core pricing was 1.2 pips on the EUR/USD pair. When comparing Micro lots, OANDA'S current minimum trade size is 0.001 micro-unit. This rate is way lower than the smallest contract size for for trading forex, which is currently one micro lot.
OANDA Canada Trading Assets
Forex traders are keen to know all the dynamics surrounding a broker's trading assets. OANDA doesn't deal with US stock trading (Non-CFD) nor physical cryptocurrency. However, the broker specializes in copy trading, CFD cryptocurrency, Forex trading, and CFD trading. This is a broad portfolio offering.
Is Oanda Canada Regulated? Is This Company Safe?
It's essential to feel safe when dealing with a broker. One of the most critical indicators of a trustworthy broker is a verifiable license number. OANDA has all the requisite license numbers that support the broker's operations.
In the United States, the broker operates under the Commodity Futures Trading Commission with license number NFA #0325821
Within the Asia Pacific region, OANDA operates under License No: CMS100122-4 under the Monetary Authority of Singapore.
The broker also operates in Europe within the regulatory framework of the Financial Conduct Authority. The license number for OANDA's operations in Europe and the UK is 542574.
OANDA also operates in Japan. The broker's operations in Japan under the regulatory framework of the Japanese Financial Services Agency. Kanto Finance Bureau governs these operations under license number #2137.
OANDA also has exclusive rights to operate in Australia within the Australian Securities and Investment Commission regulations. The license number for these operations is 412981.
You have the sole mandate to verify every forex broker's regulatory credential before engaging them. This summary of OANDA's regulatory framework confirms the broker's credibility in all operational undertakings. The broker has direct interests in more than 196 countries, with traders drawn from six continents.
Oanda Canada - Best for invest in forex markets
Based on the primary research on OANDA, it would be safe to give the broker a clean bill of health. You need a safe pair of hands to drive your investment vehicle! OANDA has sufficient regulatory backing to be a verified, reputable, reliable broker to invest in forex markets.
Summary
Oanda is among the few brokers with a reputable track record in the forex markets. Apart from being among the few brokers regulated by six top tier-1 regulators, the broker doesn't have a minimum deposit. OANDA also has one of the most user-friendly platforms in the Canadian FX market. In Canada, you guarantee that this broker is a reputable middleman in your trading endeavor. OANDA has some of the most positive reviews across the different public platforms. The reviews underscore your safety as you invest with Oanda. However, undertaking due diligence is your greatest shield when dealing with forex brokers.
FAQ
Is OANDA a good broker?
Based on recent reviews and the 91% trust score associated with the broker, it to conclude that OANDA is a good broker. The broker’s track record and the amount of capital investment both by the company and the traders confirms the company’s legitimacy.
Is OANDA a regulated broker?
OANDA is among the most regulated brokers. The broker operates with the blessings of at least 6 top tire-1 regulators.
Does OANDA have minimum deposits?
No! OANDA doesn't insist on minimum deposits.
Does OANDA support the use of debit cards?
Yes! You can use debit and credit cards to withdraw funds from your trading account.
Team that worked on the article
Glory is a professional writer for the Traders Union website with over 5 years of experience in creating content in the areas of NFT, Crypto, Metaverse, Blockchain, or Web3 in general. Over the last couple of years, Glory has also traded on different cryptocurrency and NFT platforms including Binance, Coinbase, Opensea, and others.
“I understand a lot about this space, being familiar with CEX, DeFi, and DEX, as well as operating across the Ethereum, Binance, and Polygon networks. Also, I know the intricacies and subtleties of NFTs and crypto, thus I am able to bring to table the best content and help connect with the audience better.”
Olga Shendetskaya has been a part of the Traders Union team as an author, editor and proofreader since 2017. Since 2020, Shendetskaya has been the assistant chief editor of the website of Traders Union, an international association of traders. She has over 10 years of experience of working with economic and financial texts. In the period of 2017-2020, Olga has worked as a journalist and editor of laftNews news agency, economic and financial news sections. At the moment, Olga is a part of the team of top industry experts involved in creation of educational articles in finance and investment, overseeing their writing and publication on the Traders Union website.
Olga has extensive experience in writing and editing articles about the specifics of working in the Forex market, cryptocurrency market, stock exchanges and also in the segment of financial investment in general. This level of expertise allows Olga to create unique and comprehensive articles, describing complex investment mechanisms in a simple and accessible way for traders of any level.
Olga’s motto: Do well and you’ll be well!
Mirjan Hipolito is a journalist and news editor at Traders Union. She is an expert crypto writer with five years of experience in the financial markets. Her specialties are daily market news, price predictions, and Initial Coin Offerings (ICO). Mirjan is a cryptocurrency and stock trader. This deep understanding of the finance sector allows her to create informative and engaging content that helps readers easily navigate the complexities of the crypto world.