When it comes to trading online, choosing the right broker is crucial. Two brokers that often come up in comparison are Deriv.com and FXPesa. Both platforms offer a variety of trading options, but they cater to different types of traders. In this article, we’ll compare Deriv.com and FXPesa to help you make an informed decision.
Before we jump into our full review, let’s take a quick look at the table below which provides a clear side-by-side comparison of the key features of both Deriv.com and FXPesa to help you quickly see the differences.
| Feature | Deriv.com | FXPesa |
|---|---|---|
| Trading Platforms | DTrader, DBot, MT5 | MT4, Mobile App |
| Market Range | Forex, Indices, Commodities, Cryptocurrencies, Synthetic Indices | Forex, Indices, Commodities, Shares |
| Regulation | MFSA, BVIFSC | CMA (Kenya) |
| Spreads | From 0.5 pips | From 1.4 pips |
| Fees | Low or no commissions, competitive spreads | Some commissions on Executive Accounts |
| Customer Support | 24/7 via live chat, email, phone | Business hours via phone, email, live chat |
| Payment Methods | Bank transfers, Credit cards, E-wallets, Cryptocurrencies | Mpesa, Bank transfers, Credit cards |
| Withdrawal Time | 1-2 days | Typically within 1-2 days |
| Target Audience | Global traders, especially those interested in synthetic indices | Traders in Kenya and East Africa |
Overview of Deriv.com and FXPesa
Deriv.com is a global online trading platform that provides access to forex, commodities, indices, cryptocurrencies, and synthetic indices. It is well-known for its simplicity and beginner-friendly interface, making it suitable for both new and experienced traders.
FXPesa, on the other hand, is a Kenyan-based broker that primarily focuses on forex and CFD trading. It offers a wide range of currency pairs and also supports commodities, indices, and shares. FXPesa aims to provide transparent and reliable trading services to traders, especially in Africa.
Trading Platforms
- Deriv.com:
- Deriv offers multiple trading platforms, including DTrader, DBot, and MT5 (MetaTrader 5).
- DTrader is a user-friendly web-based platform, allowing traders to create custom contracts with ease. DBot is an automated trading platform that doesn’t require coding knowledge.
- MT5 is a more advanced platform with powerful charting tools and technical analysis, suitable for professional traders.
- FXPesa:
- FXPesa primarily operates on MetaTrader 4 (MT4), a platform known for its flexibility and ease of use. MT4 has been the industry standard for years and offers robust tools for charting, technical analysis, and automated trading through expert advisors.
- FXPesa also provides a mobile app for traders who prefer to trade on the go.
Verdict: If you’re looking for more trading platform options, Deriv.com has the edge with its multiple platform offerings, including MT5. FXPesa, however, is strong with its trusted MT4 platform.
Range of Markets
- Deriv.com:
- Deriv offers a broad range of assets including forex, indices, commodities, cryptocurrencies, and unique synthetic indices that mimic real-world market conditions but are not affected by global events.
- Synthetic indices are a distinctive feature of Deriv, attracting traders who prefer a non-stop market that runs 24/7.
- FXPesa:
- FXPesa offers trading in forex, indices, commodities, and shares. However, compared to Deriv, its market coverage is slightly narrower, particularly due to the lack of synthetic indices.
- FXPesa’s focus is on traditional markets, making it a solid choice for forex and CFD traders who are looking for straightforward assets.
Verdict: Deriv.com offers a wider selection of markets, including synthetic indices, which can be a game-changer for traders looking for something beyond conventional markets.
Regulation and Safety
- Deriv.com:
- Deriv.com is licensed and regulated in multiple jurisdictions, including the Malta Financial Services Authority (MFSA) and the British Virgin Islands Financial Services Commission (BVIFSC). These regulations ensure that Deriv adheres to strict industry standards, offering a secure trading environment.
- FXPesa:
- FXPesa is regulated by the Capital Markets Authority (CMA) of Kenya, which makes it a trusted and reliable option for traders in East Africa. The CMA ensures that brokers maintain high standards of transparency and security.
Verdict: Both platforms are regulated and offer secure environments. However, if you’re in Africa, FXPesa might be a more localized option with its CMA regulation.
Fees and Spreads
- Deriv.com:
- Deriv.com is known for offering competitive spreads, especially on forex and synthetic indices. They charge low or no commissions on most trades, and their platform has no hidden fees.
- The spreads start from as low as 0.5 pips on major forex pairs.
- FXPesa:
- FXPesa also offers competitive spreads, but the spreads tend to be slightly higher compared to Deriv. For example, spreads on major currency pairs typically start from 1.4 pips.
- FXPesa charges commissions on certain types of accounts, such as the Executive Account, which is designed for high-volume traders.
Verdict: Deriv.com wins in terms of lower spreads and fees, making it a better option for cost-conscious traders.
Customer Support
- Deriv.com:
- Deriv offers 24/7 customer support via live chat, email, and phone. Their support is known for being quick and responsive. In addition, they have a comprehensive help center with tutorials and FAQs.
- FXPesa:
- FXPesa provides customer support during standard business hours, with phone, email, and live chat options. They are highly responsive to local traders, especially in Kenya, and offer support in both English and Kiswahili.
Verdict: Deriv.com edges ahead with its 24/7 customer support, while FXPesa is more region-specific in its support hours.
Deposit and Withdrawal Methods
- Deriv.com:
- Deriv supports a wide range of payment methods, including bank transfers, credit cards, e-wallets like Skrill and Neteller, and even cryptocurrencies. Withdrawals are generally processed within 1-2 days.
- FXPesa:
- FXPesa supports local payment methods such as Mpesa, as well as bank transfers and credit cards. The platform is ideal for traders in Kenya who prefer using Mpesa for instant deposits and withdrawals.
Verdict: Deriv.com offers more global payment options, but FXPesa shines with its local Mpesa integration, making it a favorite among Kenyan traders.
Final Thoughts
The choice between Deriv.com and FXPesa boils down to your trading needs and location.
- If you’re looking for a global platform with diverse market options, including synthetic indices, and lower trading fees, then Deriv.com might be the better choice.
- However, if you’re a Kenyan trader or prefer a locally regulated broker with convenient payment methods like Mpesa, then FXPesa could be the perfect fit.
Both brokers are reliable and offer solid trading services, so your decision should reflect your personal preferences and trading goals.
Frequently Asked Questions (FAQs)
- Which platform is better for beginners?
- Deriv.com is more beginner-friendly due to its simple interface and educational resources.
- Can I trade on mobile with these brokers?
- Yes, both Deriv.com and FXPesa have mobile trading options available.
- Is Deriv.com regulated?
- Yes, Deriv.com is regulated by several international bodies, including MFSA and BVIFSC.
- Does FXPesa support Mpesa payments?
- Yes, FXPesa supports Mpesa for deposits and withdrawals, making it convenient for Kenyan traders.
Editorial Staff at Chweya is a team of financial experts led by Vincent Nyagaka, with over 9 years of experience in finance, commerce, forex, crypto, and marketing. Started in 2014, Chweya is now among the largest free financial resource sites in the industry and is often referred to as Wikipedia for business.