Oanda Vs Dukascopy

Category: Broker Guides | Author: Trading Brokers | Date: June 4, 2024

Online trading platforms have become increasingly popular and accessible in recent years, offering investors and traders a variety of features, tools, and services to help them navigate the financial markets. However, not all platforms are created equal, and choosing the right one for your needs and goals can be challenging. In this article, we will compare two of the most well-known and widely used online trading platforms: Oanda and Dukascopy. We will look at their backgrounds, pros and cons, and how they differ in terms of regulation, trading platform, pricing and fees, leverage, asset selection, social trading, minimum deposit, and withdrawal and deposit methods. By the end of this article, you should have a better idea of which platform suits you better: Oanda or Dukascopy.

Overview of Oanda

Oanda

Oanda

Oanda is a global forex broker that was founded in 1996 and has offices in Canada, the US, the UK, Japan, Singapore, and Australia. Oanda is regulated by several authorities, including the Investment Industry Regulatory Organization of Canada (IIROC), the US Commodity Futures Trading Commission (CFTC), the UK Financial Conduct Authority (FCA), the Japanese Financial Services Agency (FSA), and the Australian Securities and Investments Commission (ASIC). Oanda offers over 68 forex pairs, as well as CFDs on indices, commodities, metals, bonds, and crypto through its partnership with Paxos. Oanda has a proprietary web-based trading platform called OANDA Trade, as well as the popular MetaTrader 4 (MT4) platform. Oanda also provides powerful analysis tools, such as advanced charts powered by TradingView, technical analysis from Autochartist, and an economic overlay. Oanda has a currency converter tool that allows you to check the latest foreign exchange rates and convert all major world currencies. Oanda also offers FX data API for developers who want to integrate Forex data into their applications.


Pros of Oanda

  • Commission-free trading on forex and cryptos
  • Low spreads on some assets
  • Wide range of assets to trade
  • Powerful trading technology and tools
  • Dedicated customer service

Cons of Oanda

  • High fees for some services
  • Limited asset selection
  • No social trading features
  • No direct customer support phone line
Oanda Logo

Oanda is a multi-regulated and established online broker offering an excellent range of financial instruments via powerful and user-friendly trading platforms with industry leading trading conditions and a superb selection of premium trading tools for comprehensive market analysis.

Leveraged trading in foreign currency contracts or other off-exchange products on margin carries a high level of risk and may not be suitable for everyone.

Overview of Dukascopy

Dukascopy

Dukascopy

Dukascopy is a Swiss-based online trading platform that was founded in 2004 by Andre Duka. It is one of the leading providers of online forex trading and banking services. Dukascopy offers access to over 600 markets, including forex, cryptocurrencies, stocks, indices, commodities, and more. Dukascopy provides traders with diverse investment opportunities to suit their trading preferences. Dukascopy is distinguished by its innovative social trading features, including Dukascopy TV, a platform that offers market news and analysis, and Dukascopy Community, which facilitates interaction and collaboration among traders.

Additionally, the JForex platform provides advanced trading functionality, further enhancing the trading experience for users. Dukascopy places great importance on regulatory compliance and operates under the oversight of various authoritative bodies worldwide. Notable regulatory bodies overseeing its operations include the Swiss Financial Market Supervisory Authority (FINMA) in Switzerland, the Japanese Financial Services Agency (JFSA) in Japan, the Financial Services Commission (FSC) in Mauritius, and the Securities Commission (SCB) in the Bahamas.

Pros of Dukascopy

  • Commission-free trading on forex
  • Low spreads on some assets
  • Wide range of assets to trade
  • Social trading features
  • Direct customer support phone line

Cons of Dukascopy

  • High fees on some services
  • Complex pricing structure for some assets
  • Limited leverage on some products
  • High minimum deposit requirement
  • No access to US clients
Dukascopy Logo

Dukascopy is a licensed bank and online broker that provides a great selection of over 500+ trading instruments on user-friendly platforms along with all of the trading tools, analysis and research that you need to find trading signals and make informed decisions.

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

Comparison between Oanda and Dukascopy

In this section, we will compare Oanda and Dukascopy based on their features:

Regulation

Oanda and Dukascopy are both well-regulated forex brokers with multiple top-tier licenses. Oanda is regulated by 7 global Tier-1 regulators and holds additional registrations as an FCM and RFED with the CFTC in the US. On the other hand, Dukascopy is regulated by the FINMA in Switzerland as a bank and securities dealer, and its subsidiaries are licensed by local authorities. Oanda offers compensation schemes for clients in different regions, while Dukascopy does not provide such a scheme but emphasizes its high capital adequacy and liquidity exceeding Swiss regulatory requirements. Notably, Oanda lacks a banking license and stock exchange listing, while Dukascopy has a banking license from FINMA and is a member of the Swiss Bankers Association, allowing it to offer banking services to clients.

Trading Platform

Both Oanda and Dukascopy have web-based and mobile platforms that are easy to use and navigate. Oanda’s platform is more user-friendly and intuitive for beginners or casual traders who want to access a variety of assets with simple clicks or taps. It also has powerful trading technology and tools that allow users to perform sophisticated analysis and optimization. Dukascopy’s platform is more suited for social traders who want to access various social trading features such as Dukascopy TV, Dukascopy Community, and the JForex platform. It also has a proprietary programming language that allows users to create their own indicators and automated trading strategies.

Pricing and Fees

Oanda charges no deposit and account fees but has costly bank transfer withdrawals. They offer two pricing models: spread-only with no commission but higher spreads, and core pricing with lower spreads and a $5 per $100,000 commission. Oanda applies holding charges for open positions and has an inactivity fee after 12 months.

Dukascopy charges no deposit and account fees but may charge withdrawal fees for some methods. They have an account maintenance fee and an inactivity fee. Dukascopy’s single pricing model is volume-based, with low spreads and a commission ranging from $35 to $10 per million traded based on monthly volume. They apply a swap rate for overnight positions.

Broker Type

Oanda is a market maker broker, which means it executes trades internally and acts as a counterparty to its clients. This may create a conflict of interest and affect the quality of execution. Dukascopy is an agency broker, which means it routes trades to third-party liquidity providers and does not trade against its clients. This may result in better execution quality and reduced slippage.


Leverage

Oanda offers leverage up to 50:1 for major currency pairs and up to 20:1 for minor currency pairs, commodities, and indices. Dukascopy provides its clients with maximum leverage of 1:100, which is considered a low ratio for the market. However, the use of leverage and margin requirements are agreed upon during account opening, with a maximum leverage of 1:200 available.

Asset Selection

Both Oanda and Dukascopy offer a wide range of assets to trade across various markets. Oanda has more than 150 markets available, including forex, cryptocurrencies, stocks, indices, commodities, and more. Dukascopy has more than 600 markets available, including forex, cryptocurrencies, stocks, indices, commodities, and more. However, Oanda has a limited asset selection compared to Dukascopy, as it does not offer some products such as options, futures, and bonds.

Social Trading

Oanda does not have any social trading features, except for a blog where users can read articles and tips on trading. Dukascopy has various social trading features such as Dukascopy TV, Dukascopy Community, and JForex platform. Dukascopy TV is a web-based TV channel that provides market news and analysis from experts and influencers. Dukascopy Community is an online platform where users can interact with each other, share ideas and strategies, participate in contests, and win prizes.

Minimum Deposit

Another difference between Oanda and Dukascopy is their minimum deposit requirements. Oanda does not have any minimum deposit requirement for most countries (except for some regions where it is higher), which makes it accessible for beginners or small traders. Dukascopy has a high minimum deposit requirement of $100 for most countries (except for some regions where it is lower), which may be prohibitive for some traders.

Withdrawal and Deposit Methods

Both Oanda and Dukascopy offer various withdrawal and deposit methods. Oanda supports credit/debit cards, bank transfers, PayPal, Skrill, Neteller, and more, but has a $25 withdrawal fee for wire transfers and specific withdrawal limits. Dukascopy supports bank transfers, credit/debit cards, Skrill, Neteller, and more, but charges fees for some methods like withdrawal, account maintenance, and inactivity. Dukascopy has a minimum deposit amount of $100 for all methods and a minimum withdrawal amount of $50 for bank transfers.


Which Should You Choose: Oanda or Dukascopy?

The answer to this question depends on your personal preferences, goals and needs as a trader or investor. There is no one-size-fits-all solution when it comes to online trading platforms. However, here are some general guidelines that may help you make an informed decision: If you are a beginner or casual trader seeking access to a variety of assets with simple clicks or taps, commission-free trading on forex and cryptocurrencies, powerful trading technology and tools, and no minimum deposit requirement, Oanda may be the preferred option for you. Oanda offers a user-friendly platform that simplifies trading execution and provides access to a wide range of assets. Additionally, it offers powerful trading technology and tools to assist traders in their analysis and decision-making processes.

On the other hand, if you are a social trader looking to access various social trading features such as Dukascopy TV, Dukascopy Community, and the JForex platform, benefit from commission-free trading on forex, access a wide range of assets to trade, and have a direct customer support phone line, Dukascopy might be a better fit. Dukascopy emphasizes social trading, providing traders with a platform that incorporates social features and allows them to interact with other traders. It also offers a wide range of assets and a dedicated customer support phone line.

Conclusion

So, that’s it for our comparison of Oanda and Dukascopy, two of the most popular and trusted online trading platforms out there. We have covered a lot of ground, from their histories, strengths and weaknesses, to how they stack up against each other in various aspects like regulation, trading platform, pricing and fees, leverage, asset selection, social trading, minimum deposit, and withdrawal and deposit methods. We have also given you some tips on which platform might be a better fit for you depending on what you are looking for, what you want to achieve and what you need. But remember, this is just our opinion and you should always do your own homework and research before making any decisions. We hope you found this article useful and interesting. Happy trading!


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