Investous Review 2020
Investous is a regulated CFD and Forex trading broker that provides traders with a choice of powerful and sophisticated trading platforms for desktop, web and mobile devices (iOS and Android). The broker does offer Trading Central analysis and some useful educational resources. However, the trading brokers review team did not find them to be the cheapest and consider the account payment options to be lacking. Furthermore, the brokerage could benefit from social trading platform integration.
Investous Review 2020, Pros & Cons
- Regulated brokerage firm
- Intuitive trading platforms for multiple devices
- 270+ financial instruments
- Trading Central analysis
- European Economic Area (EEA) clients only
- Limited funding options
- Minimum $250 account deposit
- Restricted leverage for non-professional clients
- Not the lowest spreads
In this detailed Investous 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.
Investous 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 Investous.
Investous Review: Summary
Founded in 2018, Investous is a Forex/CFD trading broker offering over 270+ tradeable assets from different markets including forex, indices, stocks, commodities and cryptocurrency. The broker has won awards for “best trading platform 2018” and “best execution broker 2018” at the forex awards. It must be duly noted that we were unable to find any verification as to the validity of these awards.
Investous Review: Regulation
Investous is operated by F1Markets Limited who are authorized and regulated by the Cyprus Securities and Exchange Commission (CySEC). CySEC, is the financial regulatory agency of Cyprus. As an EU member state, CySEC’s financial regulations and operations comply with the European MiFID financial harmonization law. This regulation can help to give traders the peace of mind that they are using a broker who must abide by strict regulatory rules that are put in place to help protect investors interests.
Investous Review: Countries
Investous offers brokerage services within the European Economic Area (excluding Belgium) and Switzerland. They do not accept US traders. Some Investous broker features and products mentioned within this Investous review may not be available to traders from specific countries due to legal restrictions.
Investous Review: Trading Platforms
MetaTrader 4 (MT4)
MT4 is one of the most popular CFD trading platforms used by millions of traders all over the globe. It is well known for its user-friendly interface and quick learning curve that makes it a popular choice amongst beginners whilst it has enough advanced functionality to satisfy the more seasoned investors.
The Investous MT4 platform is fully customisable and displays real time bid/ask price quotes of all assets available to trade via the market watch window. MT4 offers traders three separate chart types, multiple timeframes, multiple order types, over 50 technical indicators, automated trading, traders’ community, price alert notifications and much more.
MT4 is available to download for free as a desktop application or it can run directly in the user’s web browser without any software needing to be downloaded and installed. There is the MT4 mobile application that is compatible for iOS and Android devices which can be useful for users who need to access their trading account and manage trades whilst on the go – provided there is an internet connection available.
Investous have their very own proprietary web-based platform that runs in most modern web browsers without needing to download or install any additional software. It has a very simple interface and is easy to use. Despite this, it is lacking in overall capabilities when compared to another more powerful and advanced trading platform such as MT4 or cTrader.
You can choose between multiple chart types and timeframes. There is a selection of trading tools built-in including common technical indicators that you can use to analyse charts. Users can place and manage trades from within the platform.
Investous Review: Trading Tools
Most of the trading tools this broker provides are already built-in to the trading platforms, including a range of technical indicators and drawing objects. This should be more than enough for the average retail trader although you can add tools to the platforms that are available online or create your own customised tools.
Investous have a basic assets calculator on their website where you can enter details and click on calculate to get a breakdown of fees for your trade.
Investous Review: Education
Investous have teamed up with Trading Central to offer all account holders access to their advanced market analysis alerts. These alerts provide you with an additional layer of intelligence to inform your Forex / CFD trading decisions. You will need to contact your account manager to gain access to this service.
Trading Central is a dynamic product suite that combines awarded analyst research with patented pattern recognition to offer insight at the point of action. Collectively, Trading Central solutions offer continual multi-asset coverage of global markets, to engage investors and help optimize their trading strategies.
Trading Central offers a variety of technical and fundamental analytics to help investors participate in financial markets. They provide real-time data on live charts along with back tested strategies and research on global assets.
It aims to find actionable, customized investment strategies across all asset classes, validate investment decisions, and manage risk all while providing a transparent and intuitive experience.
Trading Central has been around since 1999 and has a global research team that comprises of senior technical analysts with STA, MsTA or CMT qualifications. Located in Ottawa, Paris, and Hong Kong, they can provide around-the-clock coverage of various markets.
There is a trading glossary on the brokers website where you can explore some of the most commonly used terminology associated with trading forex and CFDs online.
Investous provide an economic calendar to users which can be a useful tool as part of the fundamental analysis of a trading strategy. The calendar shows the dates/times of various financial news releases from around the globe along with the forecasted, expected and actual impact of these publications. The calendar can be filtered to display only the news that is relevant to you whilst it is often used to spot potential market movements following news releases.
Investous offer some educational guides that are scattered around the site. They cover a range of topics such as technical analysis, fundamental analysis, margin and leverage.
There is a video on demand section available from the brokers website where they share a reasonable collection of tutorial videos for beginner and intermediate traders. They cover a variety of trading topics such as market analysis, trading psychology, money management and more.
Investous Review: Trading Instruments
Investous provides contract for difference (CFD) trading on a vast array of different assets. Traders who open an account with them can choose to trade from over 270+ financial instruments, across multiple different asset classes such as; Forex (FX), Stocks, Indices and Commodities, all available from one trading platform.
A contract for difference (CFD) is a popular form of derivative trading. CFD trading enables you to speculate on the rising or falling prices of fast-moving global financial markets without needing to actually physically own the underlying asset.
Forex is short for foreign exchange, but a more exact definition is to trade one currency for another. Practically, this means that you’re buying one currency and selling another simultaneously in anticipation that you can generate returns from the changing values between the two.
Values between any two currencies are constantly changing, for several reasons that mostly concern the economic conditions between the countries in question. Traders can look towards economic reports that are released periodically to determine which way the relationship between two currencies might move.
Alongside stocks, bonds, currencies and other underlying assets, commodities are another asset class that traders can trade CFDs on. A commodity is any raw material that can be removed from the Earth or grown on it, such as wheat, corn, livestock, precious metals, oil, and countless others.
Numerous factors impact the prices of commodities around the world because they’re used for just about everything. Oil, for example, is connected to the automotive sector, global weather patterns, the US dollar, military conflicts, economic sanctions, and the shifting relationships between countries that represent its biggest producers and refiners. Overall, however, it is supply and demand that can influence the market most.
A stock is the term used to describe equity in publicly-listed companies. These are companies that have completed an Initial Public Offering (IPO) and allow retail traders to become shareholders in them. Equity is denominated in shares, and the moving price of one share of any company reflects its performance in the market alongside expectations of future performance.
When a company demonstrates that it is doing well, with quarterly reports that highlight revenues, profits, and earnings alongside other indicators of success, it can push up the price of its shares and generates returns for shareholders but however, poor performance can be accompanied by the opposite scenario in which prices fall. However, strong performance reports can also result in a downturn in a company’s share price if the future outlook has dimmed.
An index is a measure of change that shows how a group of underlying assets collectively move. In finance, an index is typically made up of several stocks grouped together due to common features between them, such as industry grouping or geographic location.
An index can be created to track the changing price direction or momentum of shares in a group of companies in the technology sector, for example, and it is illustrated as a single number. This number is also the price of the index for trading purposes, so that people can speculate on the value of groups of different assets.
Investous Review: Trading Accounts & Fees
Investous have a selection of different account types to cater to different trader’s investment size and trading strategy requirements. These are the basic, gold, platinum and VIP accounts.
The minimum deposit starts from $250 which is actually a lot more than other brokers, some of whom require a minimum deposit of just $1. Leverage of up to 1:30 is offered to non-professional clients. The bigger the account size, the lower the spreads – the VIP account has spreads starting from 1.1 pips on the EURUSD. The trading brokers review team found the spreads to be quite high considering some of the best trading brokers have spreads starting from just 0 pips.
Those who qualify as professional clients can apply for the professional account which gives increased leverage of up to 1:400 for certain instruments and a reduction on current margin rates, allowing you to trade with more leverage, as opposed to the limitations imposed by ESMA on retail clients.
To qualify as a professional client requires meeting 2 out of the 3 following guidelines, 1) Have a portfolio of greater than $500k (not including property or cash) 2) Have a verified history of placing significant sized positions (down to broker discretion) 3) Have worked in the capacity of a professional position related to derivatives / speculation / trading. Match any two of these requirements to qualify as a professional client.
It is important to note that negative balance protection, Investor Compensation Fund and recourse to the Financial Ombudsman Service is removed should you qualify for a professional account as you are then classified as professional trader under ESMA regulation.
Investous Review: Customer Service
Investous customer support can be reached via email, telephone and live chat. There is also a contact form on the website should you wish to send the broker a direct message.
Investous Review: Deposit & Withdrawal
Investous offer bank wire, credit/debit card and Skrill for depositing and withdrawing funds from your trading account. Please note that some methods may only be available to specific countries and not all are available for both deposit and withdrawal. The minimum deposit for wire transfer is $1,000 whilst it is $250 for the other methods. The minimum amount of money you can withdraw is the equivalent of $10.00.
Some fees may be charged when using certain payment methods. Withdrawal requests are processed within the same day or next if outside working hours. The withdrawal time can vary depending on the payment provider and method. Bank transfers may take up to 10 business days to clear whilst some methods can be instant.
Withdrawal charges vary with the type of account you have. For VIP account holders every withdrawal is free. Platinum account holders can make 3 withdrawals for free each month. Gold account members can make one withdrawal for free each month. Basic account holders can make one withdrawal for free, with charges each time you withdraw from then on.
Fees for Withdrawal:
- Debit/Credit Card: 3.5%
- Neteller: 3.5%
- Moneybookers (Skrill): 2.0%
- Wire Transfer: $30, €30, ₤30, ₣30, ₽1,800
Some payment systems may have transaction limits, restrictions, and requirements which are indicated on their respective websites. You may need to verify your account to remove limits on particular methods in some countries. Investous strictly do not accept third-party payments. All funds deposited into your trading account must be under the same name as your Investous trading account.
Traders are only able to withdraw funds to the source of funding that they had originally deposited from. For example, if funds came from a bank account, they cannot be withdrawn to a different account. If the funds that you’re attempting to withdraw exceed the amount originally deposited via credit card, then the remainder will be transferred by wire transfer.
Accounts can be opened USD, EUR, GBP, RUB and JPY. The different currency options are beneficial as currency conversion fees do not apply when using an account in your own currency.
As broker fees can vary and change, there may be additional fees that are not listed in this Investous review. It is imperative to ensure that you check and understand all of the latest information before you open an Investous broker account for online trading.
Investous Review: Account Opening
To sign-up with Investous for a demo or real trading account you will need to complete a short online form that is available on the brokers website. Make sure that you carefully read and understand all of the brokers terms and conditions before proceeding.
They require proof of identity and other personal information to prove that you’re the owner of the bank account you’ve linked to Investous. They must do this to comply with international Anti Money Laundering (AML) and Know Your Customer (KYC) regulations and to provide the safest trading experience possible. Here’s what you’ll need:
- Official government-issued ID (passport, driver’s license, or another government ID) with your picture that is not expired
- Proof of address (recent mail addressed to you where you currently live, such as a utility bill or bank statement) from the last 6 months
- Image or scan of the front and back of your credit card (showing only the last four digits) is required if you used your CC to deposit funds
Once you have provided the required documentation, you will be able to fund your account and start trading online with Investous.
Investous Review: Conclusion
Investous is a regulated trading broker with a good selection of trading instruments and user-friendly trading platforms. They also provide the very useful Trading Central signal software and have a generous selection of educational materials. Despite this, we feel that the account payment options are lacking whilst the spreads and fees are not the lowest when compared to some of the best online brokers.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81.66% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Before deciding to trade, you should carefully consider your investment objectives, level of experience and risk tolerance. You should not deposit more than you are prepared to lose. Please ensure you fully understand the risk associated with the product envisaged and seek independent advice, if necessary.