CapTrader Review 2020
CapTrader is a regulated broker offering a large selection of financial trading instruments with competitive fees. The broker provides clients with a choice of powerful and flexible trading platforms alongside a range of advanced trading tools. However, they have limited CFD trading instruments and require a minimum deposit of $2,000. The account funding options are also limited and there are no social trading platforms integrated but managed accounts are available.
CapTrader Review 2020, Pros & Cons
- Regulated brokerage
- Powerful & intuitive trading platforms
- Advanced trading tools
- Competitive fees
- Managed accounts
- Charitable work
- Minimum $2,000 deposit
- No MetaTrader platforms
- Limited account funding options
- Limited CFD trading instruments
- Limited educational resources
- No social trading platforms
- No daily market analysis
- Account inactivity fees
- Demo accounts expire after 30 days
In this detailed CapTrader review, our online broker research team have covered some of the most important aspects for you to consider when choosing the best broker for your online trading needs.
CapTrader is not ranked in our best forex brokers, best stock brokers, best cfd brokers, best crypto brokers or best online brokers categories. You can use our free broker comparison tool to compare online brokers including CapTrader.
CapTrader Review: Summary
Founded in 1997, CapTrader is an online broker that provides clients with direct market access (DMA) to more than 1.2 million financial instruments in 31 countries and 24 currencies, covering more than 125 global exchanges including Stocks, Futures, Options, CFDs, ETFs, Bonds, Forex and more.
CapTrader are an introducing broker for Interactive Brokers who are one of the largest online brokerages. They offer most of the important global exchanges with competitive price commissions. The brokers award winning SMART infrastructure executes over one million trades daily. Using this very technology, your orders are automatically directed to some of best execution venues.
CapTrader have a choice of powerful and flexible trading platforms to choose from for desktop, web and mobile devices. You can open a trading account with them from an initial deposit of $2,000 or you can transfer your current portfolio. Clients can get professional coaching including webinars and trainings to help familiarise themselves with the brokers products and software.
CapTrader is also a socially responsible broker that supports and makes donations to charitable projects. The trading brokers team find this to be highly commendable and shows us that they are an ethical brokerage who are willing to help those in need.
The broker has won numerous industry awards over the years including the Handelsblatt: Top Online Broker 2016, 2017, 2019 and Wirtschaftswoche: Top Online Broker 2017.
CapTrader Review: Regulation
CapTrader is a brand of FXFlat Wertpapierhandelsbank GmbH and is registered with the German Financial Supervisory Authority BaFin and thus subject to German supervisory law.
They are an introducing broker for the established Interactive Brokers who are authorised and regulated by the Financial Conduct Authority (FCA).
Client deposits are held in segregated accounts with some of the biggest banks worldwide. In addition to this, they are secured by several protection schemes initiated by Interactive Brokers (SIPC, LLOYDS).
CapTrader Review: Countries
CapTrader welcome clients from all over the globe although there are some countries in which they are unable to accept applications from due to legal restrictions.
Some CapTrader broker features and products mentioned within this CapTrader review may not be available to traders from specific countries due to legal restrictions.
CapTrader Review: Trading Platforms
CapTrader have a decent selection of powerful yet versatile trading platforms. Traders have the choice between the highly-developed and award-winning trading platform Trader Workstation (TWS) (available for Windows/Mac/Linux), the WebTrader (accessible via a web browser) or the Mobile Trader (smartphone application), depending on personal preferences. Furthermore, active customers are granted access to the AgenaTrader platform for optimizing their trading.
Trader Workstation (TWS)
The Trader Workstation (TWS) is the brokers most powerful trading platform and is characterized by its high reliability and stability. It provides advanced features and applications, which makes global trading across diverse classes of securities with countless order types (over 50 supported), algorithms and many efficiency-enhancing trading tools possible. The impressive range of order types was established to support all kinds of trading styles.
TWS has a plethora of add-on software including Book Trader, Option Trader, Basket Trader, ScaleTrader, Integrated Stock Window, FX Trader, Spread Trader, Chart Trader, Accumulate & Distribute Algorithms.
The TWS platform supports multiple analytical methods such as Price/Risk-Analysis including the IB Risk Navigator, technical analysis including charts, news and market scanners and comprehensive global basic analysis.
TWS is a high-performance trading platform where functionality comes first. When compared to other trading platforms such as MetaTrader, TWS tends to have a steeper learning curve. Thus, we consider this to be a platform more suited towards experienced traders.
If you do not always work on the same computer or travel often for business and leisure, you can use the WebTrader platform which runs directly in most modern web browsers without the need to download or install any additional software.
With the intuitive WebTrader platform, CapTrader offer you a fast trading platform which you can use to access your account and trade the markets from anywhere in the world provided you have an internet connection.
The WebTrader platform has limited functionality compared to the desktop platform including less add-on software, supported orders and analytical tools. The WebTrader platform could however be considered easier to use with a shorter learning curve than the more in-depth TWS platform.
Mobile Trader Apps
CapTrader provide a range of mobile solutions that allows for online trading from your CapTrader account whilst on the go from iOS and Android mobile devices. You can choose from the Trader Workstation (TWS) mobile application and WebTrader platform.
AgenaTrader is a top spec trading platform for professional traders, which goes one step further than analogous trading tools. It has an abundance of features ranging from chart trading and integrated market scanners.
AgenaTrader aims to save valuable time for traders and provide all the necessary functionality for various trading styles and strategies. In addition to discretional and fully automated trading the semi-automated trading approach is also completely integrated.
CapTrader Review: Trading Tools
CapTrader has partnered with some of the most well known software providers in the financial industry to deliver a selection of powerful trading tools to enhance the overall trading experience for their clients. You can choose from a variety of trading platforms to find the perfect software that fits your trading style.
MultiCharts is an award-winning and professional charting and trading platform that is compatible with EasyLanguage. It offers advanced analysis functions, back testing, optimization and strategic connections to leading market data feeds and brokers.
AutoChartist automatically detects thousands of chart patterns, such as triangles, wedges, tops-bottoms and channels that are continuously identified on trading instruments throughout the day. This means that investors can spend less time searching for qualitative trading opportunities whilst they can expand their own technical analysis. Patterns are displayed with quality analysis and alert notifications are supported.
NinjaTrader is a chart program and market analysis application. The software has been designed for systems development, back testing and trading simulation.
Tradesignal Online Terminal
The TradeSignal Online portal offers business news and a large community along with free trading tools and different quotes for conducting interactive chart analysis. Through the simple symbolic language Equilla, investors can individually program their own trading systems and users can subscribe at any time for paid services and international stock exchanges in real-time. TradeSignal Online is available in English and German.
OptionCube is a support tool that aims to simplify decisions for investors, asset managers and risk managers. It includes a management tool and an instrument for risk management concerning portfolios composed by stocks, options, futures, funds and bonds.
The software is available in two versions: one version for private investors and another version for professional traders. It can be integrated in the trading platform via an API connection.
Price Action Lab
Price Action Lab™ (PAL) is a software-program that analyses market prices on the basis of user-defined performance statistics and risk/yield parameters. As for regards stocks, futures or currencies, the software can scan automatically historical or intraday data.
The program offers you three functions: search by price patterns, scan by price patterns and P-Indicator calculations. No programming knowledge is required in order to use the functions of Price Action Lab™. The search algorithm of Price Action Lab™ has been developed on data mining and data snooping bias. In addition, the software offers a proofing function in order to minimize any kind of distortions.
MTPredictor™ is a software for Elliott waves and Fibonacci trading. It has been developed for private investors, professional traders, hedge funds, investors, financial brokers and asset management companies. The software is specialized in helping worldwide traders to find potential trading opportunities based on complex analysis.
Option Analyse-Software of Asio Investment-Tools gives you the possibility to test current market data on the basis of historical data. You can analyse several instruments at the same time (“Cross Market Trading”) with real-time charts.
MotiveWave is a professional collection of tools that has been developed to try and make trading and analysing the markets easier. Advanced but easy to use charts, support of various technical analysis, like for instance: Elliot waves – Fibonacci – Gann – linear regressions – advanced comments – general analysis (channels, trend lines, ranges) – more than 80 different analysis components – more than 50 integrated studies and overlays – support for several monitors – compact charts for multiple screens. Tools for trading and order management allow to trade directly from the chart – to manage all instruments in just one place – to track the trading history directly from the chart – to manage visually parent & contingent orders.
CapTrader Review: Education
CapTrader offers clients a selection of exclusive free webinars and seminars. If you would like to stay informed automatically as soon as a new date will be set up, you can register for the free CapTrader newsletter.
The broker also has some useful tutorial videos which can help teach users how to use the provided trading platforms. The support team are also happy to give you a tour of the platforms. We would have liked to have seen a dedicated traders academy with trading guides, videos, quizzes, etc.
CapTrader Review: Trading Instruments
CapTrader offer traders direct access to more than 100 markets around the world, with competitive trading conditions and reasonable prices, for trading in shares, ETFs, futures, options, warrants and many other exchange-traded securities and derivatives. With CapTrader you can join these various markets from 26 countries around the clock.
It must be said, the broker has a very limited selection of contract for differences (CFDs) to choose from. Thus, if you are looking to trade CFDs with leverage and speculate on price movements without owning the underlying asset then you may wish to consider an alternative online broker.
- Shares & ETFs
- Options & Futures
- Stocks & Indices
- Warrants & Certificates
CapTrader Review: Trading Accounts & Fees
CapTrader offer cash and margin accounts. The cash account is limited to trading long on stocks. The minimum deposit is $2,000 or the equivalent in another foreign currency. This is quite a high requirement when compared to some other brokers who allow you to open a trading account with just $1. The margin for stock CFDs is 10%, for index CFDs 5%. Investors can leverage their own equity capital through CapTrader by up to 40 times when trading forex currency pairs.
In general, all CapTrader accounts are multi-currency-accounts. Irrespective of the choice between a cash or margin account, you can simultaneously have various currencies in your account and trade them. The base currency does not matter, but merely indicates the currency of your account holdings and statements.
CapTrader comply with pattern day trading (PDT) rules for the intraday stock trading of US securities. Day trading requires an account with at least $25,000 in net liquidation value (incl. cash, stocks, options and futures P&L, excl. options and warrants). This means that you if you trade multiple positions each day, you will be considered a day trader and thus need to meet the minimum requirements.
Trading with CapTrader generally involves order fees. There are not any custody account management fees or other commissions. The order fees differ depending on the exchange that you are trading.
Clients can trade futures from 1 EUR and options from only 2 EUR per contract incl. exchange fees. There are European stocks from as low as 2 EUR and US stocks from as low as 2 USD per order.
The broker has a commissions page that shows all of the latest prices that will be relevant to your orders, including the relevant stock exchange fees. This makes the trading costs transparent with no hidden costs to catch you out.
Optional costs: If you subscribe to live quotes / market data for your trading, different fees will apply depending on the type of security and stock exchange. CapTrader forwards these fees charged by the stock exchanges to its customers.
An inactivity fee of $1 per calendar month will only be charged if your total value of your account-balance is less than $1,000 (or equivalent) and you are not trading actively.
CapTrader has managed account options. You can currently choose from different managed accounts that differ according to the investment strategy, instruments and minimum deposit amounts. As the account holder, you have complete transparency over all transactions and capital movements throughout the investment phase.
You can view the current and historical transactions at any time via the TWS platform (Trader Workstation). The performance fee is 10% -20% depending on your chosen strategy. It should be strongly emphasised that there are absolutely no guarantees with the performance of managed accounts and there is significant risks involved that you should be fully aware of.
The broker offers demo trading accounts which you can use to test their brokerage service without any obligations and practice your trading strategies using virtual funds. It is worth noting that the demo accounts do expire after 30 days and access to a demo trading account is only possible once your live account has been confirmed and credited.
From our extensive research, the majority of other online brokers will provide a non-expiring demo account without you needing a funded real account. Although the demo trading account simulates most aspects of a production real account, you may encounter some differences due to its construction as a simulator with no execution or clearing abilities.
As broker fees can vary and change, there may be additional fees that are not listed in this CapTrader review. It is imperative to ensure that you check and understand all of the latest information before you open a CapTrader broker account for online trading.
CapTrader Review: Customer Service
CapTrader customer support is available Monday to Friday via live chat, telephone and email. There is an online form where you can directly send the broker any of your general, technical or account related queries. You can also request a call back at a date and time that suits you. Support is available in German and English.
There is a very comprehensive FAQ section on the brokers website that covers a wide range of frequently asked questions so that you can get instant answers to some of the most common questions.
CapTrader Review: Deposit & Withdrawal
CapTrader account funding is limited to wire transfer only. There is no option to fund via debit/credit card or online payment processors such as PayPal, Skrill and Neteller. They also do not support cryptocurrency funding.
To make a wire deposit to your account you will first need to provide a deposit notification through Client Portal. Once logged in to Client Portal, select the Transfer & Pay and then Transfer Funds menu options. From there you will select the Transaction Type of “Deposit Funds” and the Deposit Method of “Bank Wire”.
You will then be prompted to input your delivering bank details including deposit amount, currency of denomination and sending institution. Once that information has been input you will be provided with all the details (e.g., ABA number, Swift BIC Code and bank account number) in a printable form which you, in turn, can provide to your bank in order for it to initiate the wire transfer.
Please note that creation of this notification is essential as the details necessary for your bank to wire funds vary by the currency in which the wire is denominated. In addition, this notification also serves to ensure that the funds are properly matched to your account immediately upon arrival.
Wire transfers are accepted in 22 different currencies. The wire transfer is processed through the Federal Reserve Bank’s FedWire system, which allows same-day crediting to the destination account.
The wire transfer needs to be initiated at the sending bank institution. It is required to announce the receipt of payment in the CapTrader Client Portal to allocate the funds. There, the deposit notification form will need to be filled in.
The first bank transfer in the current calendar month is free, every additional bank transfer in the current month costs 8.00 Euro. SEPA transfers however, always cost 1.00 Euro. Therefore, ensure that you select the desired method (WIRE or SEPA) when paying out.
Traders also have the possibility to transfer accounts, and to deposit from banks or online brokers to CapTrader. The duration of a transfer depends on several factors and varies from one broker to another.
CapTrader Review: Account Opening
To open an account with CapTrader, you will need to complete an online application form that is accessible from the brokers website. Alternatively, you can email the account application form to them. During the application process you will need to enter your personal and financial information. They require a proof of identity such as a passport or drivers license and proof of address such as a bank statement or utility bill.
There are some terms and conditions that you will need to read in great detail and make sure that you have a clear understanding of them before proceeding.
It must be said that CapTrade have a rather long application process when compared to some other brokerages who do not request so much information. However, we respect the brokers procedures and understand that this is to ensure that they comply with KYC rules and that their services are suitable for the client who is making the application.
CapTrader Review: Conclusion
Overall, primarily due to being an introducing broker for Interactive Brokers, CapTrader are able to offer a professional online brokerage solution with competitive fees to cater for a range of different trading styles. They are regulated and provide powerful yet intuitive trading platforms alongside a selection of advanced trading tools. The charitable work that they have done over the years is commendable whilst the customer support team are readily available.
Despite the fact the broker offers a wide range of trading instruments, CFDs are limited. The primary account funding option is wire transfer with no cards or e-wallets supported. The educational resources could be improved although they seem to be targeted more towards experienced traders. The minimum deposit of $2,000 is high and they do not offer the popular MetaTrader platforms. There are however managed accounts but no social trading platform integration. Daily market analysis from the brokers research team could also be beneficial.
The risk of loss in online trading of stocks, options, futures, forex, foreign equities, and bonds can be substantial. Trading profits of Managed Accounts in the past do not guarantee a positive development in the future. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.