Best Low Cost Brokers in Ecuador
Top 3 Low-Cost Platforms for Traders in Ecuador
AvaTrade is regulated in multiple jurisdictions worldwide, which makes the company a reliable, trustworthy, and transparent brokerage services provider.
AvaTrade allows you to optimize your strategy with excellent trading conditions such as low spreads, transparent pricing of assets, and fast execution on all entry and exit orders. Also, AvaTrade has a variety of trading platforms that are seamlessly accessible on both mobile and desktop devices.
eToro operates as a commission-free broker for stock trading, meaning that users can buy and sell stocks without incurring traditional commission fees.
Additionally, eToro offered relatively low spreads for stock trading. This contributes to eToro's reputation as a low-cost broker.
Furthermore, eToro's platform provided a user-friendly and intuitive interface, making it accessible to both beginners and experienced traders. The platform also allows social trading, enabling users to follow and copy the trades of successful investors on the platform, known as "Popular Investors."
How to categorize a Broker as cheap?
Below are the main criteria that we have considered when making this ranking:
The minimum deposit must be low (or null). A low minimum deposit means that operating the platform does not require a lot of capital.
The Broker should not charge a fixed commission per trade. The Broker must charge commissions because that is what they do, but when they set a fixed rate, it implies that a buy and sell order must have a minimum amount to generate any profit. As an example, if you open a trade for a total value of 20 dollars and the Broker charges a fixed commission of 10 dollars to complete the operation (Opening and Closing), then the trade must generate at least 10 dollars, that is, it must grow 50%. Brokers that do not charge a fixed commission tend to charge high spreads.
Spreads and Overnight Financing should be as low as possible. Related to the previous, if a broker does not charge fixed commissions, the only way to earn money is through margins and overnight financing. Overnight financing costs are levied when a trade is left open until the next day; Brokers charge this cost as if it was a loan, which, indeed, it is. To be considered low, these trading costs should be as low as possible.
Last but not least, the Broker has to be available to clients in Ecuador.
Above we present our Top 3 of the best Trading platforms that we consider as 'Low Cost'.
XM is one of the largest MT4 and MT5 Forex brokers, and has been a popular choice among traders. XM offers an Ultra Low Spread account type, providing raw spreads (starting from 0.1 pips).
Some stats: XM had a 100% execution rate (no rejection of orders), and 99.35% of all orders were executed in less than 1 sec, with a strict no re-quotes policy.
Generally speaking, clients of trading platforms want to pay fewer and smaller commissions. Therefore, we present the top 3 of the cheapest Brokers.