Reviewing Purple Trading: Regulations, Platforms, Features, and More

Purple Trading stands as an avant-garde online brokerage, boasting cutting-edge technology to facilitate multi-asset trading. Within its offerings, clients can access two distinct execution models, namely Direct-to-Market STP and ECN, encompassing a wide array of CFDs. This review, set in the year 2023, delves into the realm of Purple Trading, elucidating its assets, platforms, minimum deposit prerequisites, sign-up and login procedures, ESMA-imposed leverage constraints, and more.

It is pivotal to note that this review bears no affiliation with Purple Trading Seychelles, for it operates as an autonomous entity under the auspices of AXSE Brokerage Ltd.

Unveiling the Essence of Purple Trading

Purple Trading's inception traces back to the year 2016. It is the brainchild of L.F. Investment Limited, a licensed investment company duly regulated by the Cyprus Securities and Exchange Commission (CySEC). Additionally, the brokerage adheres steadfastly to European MiFID regulations, thus bolstering transparency across the financial landscapes of the European Union. The core objective of the broker lies in providing a level playing field for traders, facilitated by state-of-the-art technological infrastructure.

The broker extends services via ECN or STP, promising rapid order execution and competitive terms, bereft of any dealing desk (NDD) intervention. Employing low-latency connectivity, Purple Trading leverages an array of liquidity providers and top-tier banks, ensuring an optimal connection experience replete with minimal slippage and expedited transaction times. The broker's trading server finds its locus in London, boasting an execution speed of a mere 100 milliseconds.

Navigating the Trading Platforms

In the realm of trading platforms, Purple Trading offers its clientele access to two formidable options: cTrader and MetaTrader 4 (MT4). It's worth noting that MT5 is not currently within their offering. Both of these platforms are seamlessly compatible with major web browsers and are available for download on desktop, mobile, and tablet devices. The features encapsulated within these platforms are as follows:

cTrader:

• 26 tick charts
• Intuitive design
• A rich tapestry of 60+ technical indicators
• Automated trading systems feature
• Direct STP/ECN market access

MetaTrader 4:

• Historical data
• Live news streams
• Customizable charts
• Support for 4 pending order types
• One-click order execution
• Automated trading via APIs
• A plethora of 50+ built-in technical indicators
• A user-friendly, multilingual interface

Exploring the Financial Landscape

Purple Trading bestows upon its clientele a diverse palette of investment and CFD trading prospects, encompassing the following markets:

• Commodities: Trade oil, gold, and silver.
• Forex: Access over 60 currency pairs, spanning majors, minors, and exotics.
• Stocks: Speculate on a dozen prominent Italian companies, including the likes of Ferrari and Generali.
• Indices: Engage in trading stock indices representing some of the world's largest economies, such as NASDAQ, US 30, and DAX 40.
• CFD Stocks: Invest in behemoth global corporations like Apple, Tesla, and Coca-Cola.
• CFD Futures: Speculate on the ebb and flow of various instruments, be it agriculture, government bonds, or the dollar index.

Delineating the Fee Structure

Our scrutiny of Purple Trading reveals that fees and commissions oscillate based on the chosen account type. Traders are encouraged to discern between STP and ECN accounts to align with their trading strategies, selecting the most apt fee and spread structure. In essence, traders can opt for lower spreads and volume-based commissions or opt for commission-free trading, albeit with higher spreads.

STP Account:

• Spreads commencing at 1.3 pips
• Suited for position traders
• No commission levied per traded volume

ECN Account:

• Commission of $10 per lot
• Tailored for intraday traders
• Spreads as low as 0.3 pips, stemming directly from liquidity providers and affording direct access to the interbank market

Furthermore, Purple Trading imposes non-trading fees, including inactivity charges. Dormant trading accounts, inactive for a span exceeding six months, incur a fee of $15 or its equivalent in other currencies. Swap fees are also applicable for positions held overnight.

Leverage

As a brokerage regulated by CySEC, Purple Trading diligently adheres to all ESMA regulations. These regulations impose a maximum leverage cap of 1:30 for novice retail clients. This translates into the following maximum leverage ratios:

• Equities: 1:5
• Commodities: 1:10
• Major forex pairs: 1:30
• Minor forex pairs & indices: 1:20

However, seasoned retail traders, boasting ample experience and knowledge, can access leverage ratios as high as 1:100. To attain this status, traders must meet specific criteria. Demonstrating proficiency entails holding relevant professional certifications, completing a minimum of 50 hours of derivatives training, or amassing a year's worth of experience in a role demanding expertise in derivatives trading. Additionally, Purple Trading outlines several tiers of trading requisites, attainable through significant-value CFD trades conducted within a two-year timeframe.

It is pertinent to acknowledge that Purple Trading extends professional accounts, which unlock leverage rates of up to 1:500. However, it is important to note that these accounts lack the protective cushion of negative balance protection, a feature enjoyed by both tiers of retail accounts.

However, it is imperative for traders to grasp that trading with leverage carries an inherent risk of amplifying losses. A thorough understanding of these risks is of paramount importance prior to engaging in leveraged trading.

Mobilizing for Trading On-The-Go

Both of Purple Trading's trading platforms are seamlessly accessible through mobile applications. MetaTrader 4 and the cTrader application are available for free download and are compatible with iOS and Android (APK) devices. MetaTrader Mobile empowers users to harness the power of the desktop platform's analytical tools, customizable charts, and real-time data while on the move. cTrader delivers a customized rendition of the web terminal, featuring:

cTrader Mobile:

• QuickTrade option
• Pinch-to-zoom charts
• An expansive repertoire of 50+ technical indicators
• Customizable notifications
• Market sentiment analysis

Financial Transactions

When it comes to deposits, Purple Trading stipulates minimum requirements based on the chosen account type. For ECN and STP accounts, certain bank transfers can initiate with a nominal sum of zero, while other methods necessitate a minimum deposit of $20/€20/£20/PLN 80. Importantly, Purple Trading refrains from imposing any fees for deposit methods, although third-party charges may be applicable. To complete deposits and withdrawals, clients must log into the personalized portal. The accepted payment options encompass:

• Domestic Bank Wire Transfer in PLN: Fee-free, processed within 1-2 business days, minimum deposit of PLN 80, maximum deposit capped at PLN 25,000.
• Credit Cards & Debit Cards: Fee-free, processed within minutes, minimum deposit of €20, maximum deposit ceiling of €15,000.
• Skrill & Neteller: Imposes a 2% fee, processed within minutes, minimum deposit of €20, maximum deposit ceiling of €5,000.
• International Bank Wire Transfer in PLN: Levies a 0.5% fee (capped at €100), processed within 3-5 days, with no stipulated minimum or maximum deposit.
• Domestic Bank Wire Transfer in CZK and SEPA in EUR: Fee-free, processed within 1-2 business days, with no minimum or maximum deposit constraints.
• International Bank Wire Transfer in Global Currencies: Imposes a 0.5% fee (capped at €100), processed within 3-5 days, with no minimum or maximum deposit stipulations.

It is worth noting that currency conversion charges may be applicable if funding accounts with different currencies. Bank wire transfers are accepted solely in EUR, USD, GBP, PLN, and CZK currencies.

When it comes to withdrawals, the original deposit method must be employed. Withdrawals incur fees that vary based on the payment type. The broker assures clients that withdrawal requests will be processed within one business day.

• Credit Cards & Debit Cards: Levies a $7 fee, processed within 2-4 days, with a minimum withdrawal threshold of €8.
• Skrill & Neteller: Imposes a 1-2% fee, processed within minutes, with a minimum withdrawal limit of $3.
• All International Bank Wire Transfers: Levies a 0.5% fee, processed within 3-5 days, with no specified minimum or maximum withdrawal limits.
• All Domestic Bank Wire Transfers: Entails no charges, processed within 1-2 days, with no specified minimum or maximum withdrawal limits.

It is crucial to acknowledge that Purple Trading does not grant approval for withdrawal requests that would plunge the margin level below 200%. This is instituted to safeguard the trader's capital. Consequently, if one seeks to withdraw the entire account balance, it is incumbent upon them to ensure that their trades are decoupled from all investment strategies through the account portal.

Demo Account

Purple Trading extends the courtesy of a complimentary demo account, accessible via its website. This demo account offers the choice of five base currencies. These accounts serve as an invaluable resource for traders looking to hone their skills, familiarize themselves with platform functionalities, or test strategies without any risk to their capital. Traders can access virtual funds of up to $10,000,000, all while experiencing real-time trading conditions and pricing. A straightforward online registration form suffices to open a demo account, with clients granted the liberty to select between trading platforms and account types (ECN or STP).

Deals and Promotions

Adherence to ESMA trading regulations restrains brokers like Purple Trading from offering financial incentives to entice new clients. Instead, the brokerage seeks to distinguish itself through competitive trading conditions. Our review, however, unearths a noteworthy facet: clients have the potential to earn tiered status recognition contingent upon their trading volumes. This translates to reduced commissions and spreads for the diligent trader.

Regulatory

Purple Trading operates under the aegis of the Cyprus Securities and Exchange Commission (CySEC), a highly esteemed regulator within the realm of retail financial speculation. Under this regulatory umbrella, retail clients are assured of their funds being held in segregated accounts with top-tier banks, accompanied by the safety net of negative balance protection. The broker subjects itself to routine external audits and carries additional global licenses with the Financial Conduct Authority (FCA) and CONSOB, enabling it to cater to clients in other jurisdictions.

Enhanced financial security is further bolstered by the broker's participation in the Investors Compensation Fund (ICF). This scheme serves to safeguard eligible clients' deposits, extending coverage up to the sum of €20,000 in the event of business insolvency.

Features

Purple Trading boasts a comprehensive educational enclave on its website, catering to a spectrum of learners, from novices to seasoned investors. The latest news, ebook posts, and trading tips receive weekly updates, complemented by supporting YouTube video content. Topics run the gamut, encompassing subjects such as chart interpretation, copy trading, Islamic account features, swap rates, and much more.

Additionally, Purple Trading plays host to the Purple Trading Club, a membership academy designed to foster peer-to-peer interaction among traders. This social platform equips traders with the tools and opportunities to share trading strategies, insights, and ideas. The club extends an open invitation to all clients, affording them access to exclusive webinar sessions, insights into FTMO trading discipline, opportunities to cultivate relationships with kindred spirits in the investment world, and the prospect of learning from seasoned professional traders.

The broker employs a trader status program that doles out benefits contingent upon one's trading volumes. The program awards lowered commissions once eligibility prerequisites are met. Trading volumes are reviewed automatically on a monthly basis, with subsequent updates to the trader's status and corresponding rewards.

• Starter:
• Deposit: €100 to €1,000
• Commission: $10 per lot
• Account Balance: €100 to €1,000

• Standard:
• StrategyQuant discount
• Commission: $10 per lot
• Deposit: €100 to €20,000
• Account Balance: €100 to €20,000
• Active Trading Period: More than 6 months
• Additional trading tools for the MT4 platform, including a dividend calculator and 'drag and drop' functionality

• Prime:
• StrategyQuant discount
• Commission: $8 per lot
• Dedicated account manager
• Deposit: €20,000 to €60,000
• Active Trading Period: More than 12 months
• Account Balance: €20,000 to €60,000
• Additional trading tools for the MT4 platform, including a dividend calculator and 'drag and drop' functionality

• VIP:
• Deposit: €60,000+
• StrategyQuant discount
• Commission: $5 per lot
• Dedicated account manager
• Account Balance: €60,000+
• Individual algorithmic strategy
• Active Trading Period: More than 14 months
• Additional trading tools for the MT4 platform, including a dividend calculator and 'drag and drop' functionality

Account Types

Retail clients are bestowed with a choice between two distinct account options, categorized as per the STP and ECN execution models. These accounts can be seamlessly utilized across both trading platforms. It is of note that the ECN account serves as the default account type for all new registrations. Should a client wish to trade on the STP account, they may contact the customer service team to facilitate the transition. Accepted account currencies encompass EUR, USD, CZK, GBP, and PLN. Here is an overview of the live trading accounts:

STP Account:

• Suited for traders with a preference for maintaining positions over extended durations
• Offers spreads exclusively
• No commission fees
• Enjoys direct market access
• Executions influenced by market volatility, with volume routed to the interbank

ECN Account:

• Tailored for intraday trading
• Direct market access
• Spreads derive directly from liquidity providers
• Commission applicable for each trade's opening and closing

Registration of an account can be seamlessly accomplished online, facilitating the opening of a live account within minutes. It is worth noting that clients may be required to furnish identification verification documents as per the Know Your Customer (KYC) compliance protocol.

Navigating the Trading Hours

Purple Trading adheres to standard office hours, offering trading availability on a 24-hour basis from Monday through Friday. However, it is imperative to recognize that the availability of trading during this time frame may fluctuate based on the instrument under consideration.

Client- Support

The broker affords its clients various avenues of customer support, all accessible from Monday through Friday. These support channels encompass:

• Frequently Asked Questions (FAQs)
• Telephone: +44 14 46 506 711
• Email: support@purpletrading.com
• Social Media Presence: LinkedIn, Facebook, and Twitter
• Physical Address: L.F Investment Limited, 11, Louki Akrita, CY-4044, Limassol, Cyprus

Safety and Security

Purple Trading safeguards the Purple Trading member zone with password protection, ensuring that all personal data transmitted between client terminals and platforms remains encrypted. Both trading platforms incorporate secure login features, encompassing two-factor authentication (2FA) and adherence to industry-standard data privacy protocols. Furthermore, the broker aligns itself with all European Union standards pertaining to client protection, which encompasses data privacy, fund segregation, and insurance.

Pros and Cons:

Pros:

• Trustworthy and regulated by the Cyprus Securities and Exchange Commission (CySEC)
• Access to both MetaTrader 4 and cTrader, two industry-leading platforms
• A wide range of deposit and withdrawal methods, including bank cards
• Currency indices offering broader exposure to the forex market
• Loyalty program for active traders, featuring fee discounts
• Tailored indicators to support forex trading on MT4
• Robust educational resources for beginners, including ebooks
• Provision of a free demo account

Cons:

• Absence of MetaTrader 5 compatibility
• Lack of cryptocurrency trading options, including Bitcoin
• Average customer support channels and waiting times

Our 2023 exploration of Purple Trading reveals a brokerage that offers competitive trading opportunities across a vast spectrum of instruments, facilitated by industry-established MT4 and cTrader terminals. Clients can access direct-to-market execution through ECN and STP models, all while enjoying competitive trading conditions. The broker's unwavering focus on technology ensures that services are intuitive, catering to both newcomers and seasoned investors. As traders increase their volume, they unlock progressively competitive trading conditions. The broker augments its offerings with an educational platform, an exclusive membership club, and a trader status program, further enriching the trading experience.

Purple Trading Broker Details

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