T4Trade Review 2024

Trust

T4Trade Regulations

In our reviews, we examine the licenses and regulations of each entity operated by a broker. This allows us to compare their different levels of protection. We rank licenses by various regulatory bodies on a three-tier system, where Tier-1 licensing indicates the highest level of regulation.

This is what I discovered about the single entity operating under the T4Trade trade name:

• Tradeco Limited is licensed and regulated by the Financial Services Authority (FSA) in Seychelles under license number SD029. We rate the FSA as a Tier-3 regulator.

We have summarized the most essential aspects of T4Trade in terms of regulation and safety in the table below:

Why is it Important to Know Where Your Broker’s Subsidiaries are Regulated?

Brokers operate multiple entities because it allows them to serve clients worldwide. However, licenses obtained by regulators in different jurisdictions do not always entail the same degree of protection. Some regulators mandate compliance with the strictest financial frameworks, whereas others are less rigid. That is why traders need to familiarize themselves with the safety mechanisms ensured by the entity they want to open an account with beforehand.

Here is what you need to be looking for in a broker in terms of safety mechanisms:

• Segregation of client funds. Keeping client funds in segregated bank accounts from the ones used for the broker’s corporate capital negates the risk of accounting errors. T4Trade ensures the segregation of client funds.
• Negative balance protection. This safety mechanism removes the risk of trading losses exceeding the account balance. In other words, the losses you incur from trading are capped at the amount you have put in your trading account. This is especially important in volatile markets. T4Trade ensures negative balance protection.
• Compensation scheme. A compensation scheme protects traders against the broker’s liabilities in the unlikely event that the company becomes insolvent. Clients of Tradeco Limited are not protected by such a compensation scheme.
• Maximum leverage. Capping the maximum leverage restricts the extent of market exposure to retail traders. The higher the leverage, the higher the potential profits and potential losses. The maximum retail leverage with T4Trade is 1:1000.

Is T4Trade Safe to Trade With?

T4Trade is still a relatively new broker, having been established just a couple of years ago. Hence, the company is still working on developing a strong brand name that is trusted internationally. It is currently licensed and regulated by a single regulatory body – the FSA of Seychelles, which requires brokers to ensure segregated funds and negative balance protection. However, there is no cap on the maximum retail leverage, and no compensation scheme has been put in place.

Stability and Transparency

In our tests for the Trust category, we also cover factors relating to stability and transparency. Here, we focus on how long the broker has been in business, how big the company is, and how transparent it is in terms of readily available information.

I tested T4Trade’s transparency by checking the availability of essential information on the website. Its Client Agreement is easily accessible and pretty exhaustive. All essential safety information is present and written in an easy-to-understand way.

I found out that the live spreads listed on the website correlate to the actual price quotes on the platform, underpinning T4Trade’s high level of fee transparency. I also discovered that the broker has a ‘best execution policy’, guaranteeing that traders’ orders will be filled under the most favorable price quotes under the prevailing market sentiment.

In summary, my research indicates that T4Trade can be regarded as having a sufficient level of trust and stability due to the following factors:

• Regulated by the FSA Seychelles
• Has issued a ‘best execution policy’
• Adheres to most safety requirements
• Has easily accessible legal documents

Fees

T4Trade’s Trading Fees

T4Trade’s Spreads

I tested T4Trade’s spreads during the most actively traded times – the London open at 8:00 a.m. GMT and just after the U.S. open at 2:45 p.m. GMT. The test was conducted on 15 December 2023. The results are shown in the table below:

Broken down by asset class and compared to the broader industry, T4Trade offers low spreads on cryptocurrencies and share CFDs, average spreads on commodities, average-to-high spreads on indices, and high spreads on currency pairs.

T4Trade’s Swaps

A swap fee is a trader’s cost for holding an open position overnight because of changing interest rates. Swap long refers to the charge deductible or credit receivable for holding a buy position open overnight. In turn, swap short relates to the charges/credits deductible or receivable for holding a selling position open overnight.

The values listed below are for one full contract (100,000 units) of the base currency.

My tests indicate that T4Trade’s swap charges meet the industry average. They are thus suitable for the execution of longer-term trading strategies, such as day and position trading.

T4Trade’s Non-Trading Fees

T4Trade does not charge a handling fee for deposits and withdrawals, though third-party banking fees may apply. The broker has also issued a 3% inactivity fee that is charged whenever a client has deposited funds and then requested a withdrawal without having executed a single trade.

Are T4Trade’s Fees Competitive?

The competitiveness of T4Trade’s fees depends on the asset classes traded. For instance, I found the combination of commission-free trading and generally low spreads on share CFDs extremely favorable. However, the broker’s spreads on currency pairs are quite elevated.

Accounts Comparison

I have compiled the table below to help you better understand the difference between the trading fees on T4Trade’s several account types. It illustrates the spreads and commissions I have recorded on the EUR/USD pair for each account type. The table shows how much you will have to pay to trade 1 full lot (100,000 units) on the EUR/USD with a pip value of $10.

To calculate the cost of such a full-sized trade, I used this formula: Spread x pip value+commission

My tests indicate that T4Trade’s trading fees exceed the industry average. Such a full-sized EURUSD position usually costs around $10. Only the Privilege account type comes close to the average, but to qualify for this account type, you need to deposit at least $10,000.

Platforms and Tools

MetaTrader 4 has many essential features, such as one-click trading, an alarm setting option, and a depth of markets tool. Because of its simplistic and straightforward design, I would say that MT4 is a good stepping stone for beginner traders wishing to learn essential charting skills on a platform with an easy learning curve.

MT4 is suitable for copy trading. It also supports automated trading via its Expert Advisors (EAs) feature. Meanwhile, the mobile app version of the platform supports trading on the go.

However, as a trader who relies heavily on precise technical analysis, I am highly skeptical of MetaTrader 4. While it is true that MT4 has earned its reputation for being the first majorly successful retail platform, pretty much setting the standard for what such a platform must offer, its rugged design and mostly outdated charting tools make it obsolete. At least when it comes to executing penetrating technical analysis.

T4Trade’s Desktop MetaTrader 4 Platform

General Ease of Use

MetaTrader 4 is easy to navigate because of its simplistic design. It could be argued that MetaTrader set the standard for how retail platforms should be organized. Account info is displayed at the bottom of the screen; charts occupy the middle portion of the window; a watch list of selected instruments and tools screen is positioned on the left side of the window; and a panel with various settings and configurations can be found at the top of the window.

Charts

I consider the chart screen a platform’s most important feature. It aids technical analysis by providing an overview of price action behavior and allows traders access to a number of analytical tools and chart configuration possibilities. In my view, a good chart should afford easy scaling up and down of price action.

I have broken down the available analytical tools and chart configurations below:

• 30 technical indicators. The platform supports trend-based, volume-based indicators, oscillators, and more. These can be applied to study price action behavior and determine the underlying market sentiment. In general, technical indicators are used to gauge where the market is likely to head next. The problem with MetaTrader 4, in my opinion, is that applying 2 or more indicators to the chart obscures price action rather than contextualizing it. This is due to the ruggedness of MT4.
• 24 drawing tools. Drawing tools, such as Fibonacci retracement levels and Elliott waves, are used to study repeatable price patterns. Additionally, they can be applied to determine key support and resistance levels and potential breakout or breakdown levels. Despite the rather big collection of drawing tools, the ruggedness of MT4 makes it difficult to discern price action behavior.
• 9 timeframes. MT4 allows multi-timeframe analysis of price action behavior. The greater the number of timeframes, the more intricate examinations that can be carried out across the short-term and long-term.
• 3 chart types. Price action can be represented as a line, bars, or candlesticks. This diversity makes it possible to examine potential trading opportunities from different angles.

Orders

I have broken down the available order types on the MetaTrader 4 platform below:

• Market orders. Market orders are used for immediate entry at the best possible price. If triggered, they guarantee volume filling, though there could be a discrepancy between the requested price and the price where the order gets filled.
• Limit orders. Unlike market orders, limit orders guarantee exact price execution. However, a limit order will not be filled if the price action does not reach the pre-determined execution price.
• Stop orders. They are used to support open positions by limiting the maximum loss that can be incurred if the market turns in the opposite direction. A stop-loss order is placed at a fixed price below or above the spot price. If the market does indeed turn and triggers the stop-loss, it will transform into a market order and get filled at the best possible price.

My Key Takeaways After Testing the MetaTrader 4 Platform

One of the best things about MT4 is its simplified order execution. However, the platform is quite old, and its rugged design is outclassed by newer and sleeker platforms. The absence of an instrument search bar illustrates this.

As a chart artist, I have always preferred trading platforms with charts that allow me to scale price action up and down easily. But MT4 is not such a platform. I found its charting capabilities quite rigid and ineffective. The one thing that MT4 is quite suitable for is automated trading because it is not dependent on the execution of precise technical analysis.

T4Trade’s MT4 Mobile App

T4Trade’s mobile app affords traders quick and easy access to the market on the go. It is very useful for making snap adjustments to any open trades. The market is volatile and ever-changing, and staying on top of the latest developments is made easy with the mobile app version of MT4. You can also use the app to place market, limit, and stop orders, as well as to adjust the exposure of your open trades.

My Key Takeaways After Testing MT4’s Mobile App

MT4’s app suffers from the same underlying problem inherent to other mobile apps. Analyzing price action behavior on low-resolution devices is extremely difficult. That is why I recommend using the mobile app only to monitor your positions’ development and make changes if needed.

Tradable Instruments

What Are CFDs?

Contracts for difference (CFDs) are derivatives used to speculate on the underlying asset’s price without physical delivery. For example, a long position on gold would generate profit as the price rises or incur a loss as it falls, all without the need to purchase actual gold bars. One of the biggest advantages of trading CFDs is that traders can get in and out of the market almost instantaneously, thereby catching even minute changes in the price of the derivative.

What Can You Trade With T4Trade?

I have broken down the available instruments with T4Trade below:

• 84 Currency Pairs
  Major, Minor, Exotic
• 18 Commodities
  Metals, Agriculture, Energy, Futures
• 146 Share CFDs
  US (93), UK (20), EU (33)
• 19 Indices
  US, UK, EU, Asia
• 35 Cryptocurrencies
  Major and Minor
• 9 Futures
  Indices, Currencies

Compared to the broader industry, T4Trade offers an average amount of share CFDs, and a high amount of FX pairs, commodities, indices, and cryptocurrencies.

My Key Takeaways After Exploring T4Trade’s Tradable Instruments

T4Trade has an attractive offering of high-yield/risk instruments, such as share CFDs and cryptocurrencies. This caters to the needs of speculative traders looking to exploit sudden outbursts of volatility in the price action. However, there are no lower-risk securities like bonds and ETFs to be used for hedging one’s overall market exposure.

Customer Support

The easiest way to get in touch with T4Trade is live chat, which is available from the bottom-right corner of the main page. The website also has a dedicated FAQ section intended to help with more general queries about the broker’s services.

Customer Support Test

When we test a broker’s customer support team, we evaluate the agent’s knowledge of their own website, how long it takes them to respond to questions, and how detailed their answers are.

I conducted my test on 18 December at around 9.50 am CET via live chat. I requested additional information about T4Trade’s execution model, average execution speed, and general trading conditions. An agent connected almost instantaneously to the chat, but they did not introduce themselves. They responded fairly quickly to my question about the inactivity fee policy but struggled to explain their execution model.

Deposit and Withdrawal

T4Trade’s Deposit Methods

T4Trade’s Withdrawal Methods

Most deposit and withdrawal requests are processed by T4Trade within 24 hours. Transaction times may, however, vary. In most cases, payments to and from T4Trade accounts are free of charge, though third-party banking fees may apply. The only time the broker may charge a $55 handling fee is for withdrawals below $300. Withdrawal requests above this amount are free of charge.

Account Types and Terms

Why is Choosing the Right Account Type Important?

Your account should reflect your goals, needs, and ambitions on the market. You should take into consideration several factors, such as whether the account type has a minimum deposit requirement, its spreads and commissions, the execution method, and more.

What Account Types Does T4Trade Offer?

I have broken down the features of T4Trade’s account types below:

I consider the Standard account as the most accessible option due to its minimum deposit requirement of $100 (when there are no accompanying bonuses). However, the combination of commission-free trading and floating spreads from 1.8 pips exceeds the industry average. The Privilege account, as the name suggests, features the most favorable trading conditions, but the minimum deposit requirement is quite elevated.

I did not find any specific feature in T4Trade’s offering to say that the broker is better suited for high-frequency or longer-term trading.

What is CFD Leverage?

The leverage determines a trader’s overall market exposure. When trading Contracts for Difference (CFDs), positions can be opened for a fraction of their value because of the leverage. Essentially, the broker lends the trader money so that the latter can open bigger positions. The leverage multiplies the profits a trader generates from winning positions but also the losses incurred from failed trades.

T4Trade’s Execution Model

T4Trade utilizes market execution. The broker operates on a Straight-Through-Processing (STP) basis without a dealing desk. Order requests are transmitted to the interbank level, where T4Trade’s liquidity providers fill them. As long as there is enough liquidity in the market, all order requests will be filled at varying speeds.

T4Trade’s Account Opening Process

The account creation process with T4Trade is straightforward and quick. You can go at your own pace, though realistically, you will be done with everything within an hour. I have summarized the step-by-step process below:

• Step 1. Click the ‘Sign Up’ button at the top-right corner of the main page.
• Step 2. Fill in your personal details, such as your name, date of birth, and phone number.
• Step 3. Choose your trading account type, base currency, and maximum leverage.
• Step 4. Upload proof of ID and proof of address to verify your account.

Why is a Demo Account Important?

T4Trade offers demo accounts that introduce traders to the broker’s services and allow them to tweak their strategies in a risk-free environment. The market is continually evolving and never static, so it is important to hone your skills in a safe environment. You can set up a demo account for yourself alongside your live CFD account.

T4Trade’s Restricted Countries

T4Trade does not target residents of the EU where it is not authorized. T4Trade does not offer its services to residents of certain jurisdictions such as the USA, Iran, Cuba, Sudan, Syria, and North Korea.

Research

Research Tools

I have broken down the several types of research content below:

• Economic Calendar. The economic calendar is an essential tool in a trader’s arsenal. It informs traders of upcoming market events and releases that have the potential to stir price action, thereby creating viable trading opportunities. T4Trade’s calendar is available from the client portal.
• Daily Video Breakdowns. These cover the day’s most important trading events. Videos usually last between 2-3 minutes and provide traders with a breakdown of the day’s highlights, such as inflation numbers releases, interest rate and policy decisions by central banks, and more.
• Podcast. I appreciated T4Trade’s podcast for covering a wide array of trading topics, ranging from the ABCs of trading to more complex topics about the psychology of trading.

My Key Takeaways After Exploring T4Trade’s Research Content

While I appreciated T4Trade for having invested time and energy to develop proprietary research content, such as its highly informative video breakdowns, a notable drawback is the lack of third-party content. The availability of more than one perspective is advantageous to the trader, who can compare the different vantage points. There is also a lack of a news screener, which traders usually use to stay on top of the latest market developments.

Education

I quite enjoyed T4Trade’s educational guides covering very basic trading topics that novice traders are likely to ask. They do not delve particularly deep into the subject matter or examine more complex topics but are quite useful as a starting point. I also appreciated the vast amount of over 150 written articles that are available from T4Trade’s blog section of the website. Traders also have access to the broker’s four educational e-books.

In my estimation, T4Trade’s most useful type of educational content is its webinars. They are held frequently in several languages – English, Chinese, Arabic, and Malay. The webinars are geared towards beginners, intermediate-level, and advanced traders. Unfortunately, there is no database of past webinars. At the time of my review, there were 5 upcoming webinars, all in Arabic. I quite appreciated that there is detailed personal info about market experts who lead the webinars.

The Bottom Line

T4Trade is a Seychelles CFD broker that was founded in 2021. It is regulated locally by the Financial Services Authority (FSA) of Seychelles and adheres to some of the main safety requirements in the trading industry.

The broker provides over 300 trading instruments across most major asset classes, offers diverse trading accounts, and incorporates the popular MetaTrader 4 platform.

Traders can also benefit from T4Trade’s wide range of educational materials, covering the basics of trading, and well-informed research content. The broker also stands out for its advanced copy trading capabilities

On the other hand, T4Trade does not offer any alternative trading platforms and does not incorporate any third-party tools. Moreover, I evaluated its trading fees to exceed the industry average.

My overall impression of T4Trade is that its offering is sufficient for the needs of beginners but may fall short for seasoned traders.

FAQ