OANDA and Pepperstone are global forex brokers with ASIC and FCA regulation and the MetaTrader 4 forex trading platform. Overall, Pepperstone offers lower EUR/USD from 0.0 pips, more CFDs including cryptocurrencies and superior customer service.
Our forex comparisons and broker reviews are reader supported and we may receive payment when you click on a link to a partner site.
The most important quality you should look for when choosing a forex broker is the transaction costs. In this section, we’re going to examine which forex broker between Pepperstone and OANDA can help you minimise the cost of doing business in the forex exchange market.
When assessing which forex broker has the lowest spreads and fees between Pepperstone and OANDA, we took into consideration the different account types that both forex brokers offer. For our Pepperstone vs OANDA
transaction costs review, we evaluated the following:
Pepperstone has been recognised as offering market-leading spreads and fees. The Australian forex broker offers the most affordable and cheapest transaction costs when compared to OANDA’s pricing model. The table below highlights the Pepperstone and OANDA head-to-head spreads for the EUR/USD and other major currency pairs.
|
|
|||||
|---|---|---|---|---|---|
|
1.10 | 1.20 | 1.40 | 2.00 | 1.50 |
|
0.70 | 2.20 | 1.10 | 1.60 | 1.60 |
|
1.90 | 2.00 | 2.40 | 2.30 | 2.50 |
|
1.40 | 2.50 | 2.50 | 2.60 | 2.60 |
|
1.20 | 1.80 | 1.90 | 2.30 | 2.30 |
|
1.32 | 1.95 | 1.37 | 1.87 | 1.73 |
|
1.30 | 1.70 | 2.10 | 1.70 | 2.10 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 01/09/2023
Compare Standard Account Spreads
Pepperstone and Oanda both offer two types of pricing models:
For an accurate review process, our team of industry experts compared head-to-head the Pepperstone and OANDA spreads for each individual pricing model.
Pepperstone is able to keep the spreads low due to its ECN trading environment, which allows the Australian-based forex broker to offer the best possible spreads. On the other hand, OANDA’s dealing desk solution comes with higher spreads. Pepperstone’s Razor account (commission-based model) can give forex traders access to competitive spreads that can go as low as 0 pips on the EUR/USD (during liquid hours). The average EUR/USD spread is 0.09 pips.
In comparison, OANDA doesn’t offer information on its average spread for its core pricing + commission model. OANDA’s live spread revealed the EUR/USD spread of 1.2 pips, but they advertise spreads going as low as 0.1 pips.
Our review process revealed that Pepperstone’s spread pricing model is slightly better than OANDA has to offer. Pepperstone’s average EUR/USD spread is 0.69 pips, while the minimum spread is 1.0 pips pip on the EUR/USD. In comparison, since OANDA has variable spreads during periods of illiquidity and high volatility spreads can widen as much as 10 to 20 pips.
OANDA advertises itself as having the spread going to as low as 0.9 pips on the EUR/USD for its spread-only pricing model. However, OANDA’s average spreads are higher compared to the industry standards of what is considered low spread.
Below is a summary of Pepperstone commissions across different trading platforms per 100,000 units traded (1 standard lot) per side:
In contrast, OANDA charges a $5 commission per 100,000 unit traded (1 standard lot) per side.
Overall, Pepperstone comes ahead of OANDA with its low transaction costs. Clients with Pepperstone can benefit from lower trading costs, which is great for scalping. Pepperstone offers competitive average spreads and commissions with its transparent pricing model. If you want to take advantage of the ultra-tight spreads, make sure you open a Pepperstone demo account first, to test it with your own hands. To learn more about Pepperstone charges view the full fee Pepperstone analysis.
Our team of industry experts filtered all the main trading features and tools that must come with an online broker platform to establish which forex broker has the best trading platform. When comparing Pepperstone vs OANDA trading platforms we took into account multiple factors such as:
After meticulously examining the entire above trading platform features, we concluded that the winner in this category is forex broker Pepperstone. The most powerful technological feature of a forex broker is its trading platform, so before choosing the right FX broker, you need to make sure it includes all the trading tools to suit your trading style.
Pepperstone took a bigger score than OANDA in terms of the selection of trading platforms. Pepperstone offers the most popular trading platform, the MetaTrader 4 along with the upgraded MetaTrader 5 and the multi-asset trading platform cTrader. In contrast, OANDA traders only have available forex trading through the MT4 platform and the proprietary trading platform fxTrade.
The trading software solution offered by Pepperstone and OANDA is available through:
Pepperstone is a true ECN + STP forex broker that offers Direct Market Access (DMA) via multiple liquidity providers. In comparison, OANDA is a market maker that executes client orders through their own dealing desk. Without any question, Pepperstone has proven its superiority over OANDA’s market maker model.
Pepperstone’s ECN trading style can provide forex traders with:
Pepperstone clients can have their order execute in less than 30 milliseconds with one of the 22 banks and liquidity providers available through Pepperstone. On the other hand, OANDA advertises itself of filling your order in 0.012 seconds, but its in-house trading platform took a lower score because of:
Pepperstone is a respected forex trading broker that provides its clients with powerful technical analysis tools to assist forex traders with all their trading needs. OANDA fxTrader only comes with some basic technical tools and indicators. In this category, Pepperstone’s trading platforms took again the highest score as it’s more sophisticated and includes the following main technical tools:
OANDA fxTrader lacks technical analysis tools and only offers a limited range of technical features. This limitation can hinder forex traders’ ability to properly execute their trading strategies. However, both Pepperstone and OANDA MetaTrader 4 platforms offer access to Autochartist advanced tools.
The only tool that makes OANDA stand out is the CFTC’s Commitments of Traders (COT) graph tool, which is more suitable for sentiment-based traders.
Pepperstone took extra points due to its cTrader platform easy-to-use interface, which has the following advantages over the OANDA’s fxTrader platform:
In terms of social and copy trading features, Pepperstone tops OANDA as it has partnered with multiple third-party providers like MyFxBook’s AutoTrade, MetaTrader signals, DupliTrade, Mirror Trader and RoboX. The lack of features related to social trading and copy trading makes OANDA not compatible with beginner traders.
At Pepperstone, social trading is combined with risk management tools to offer a complete solution for the highly volatile markets. On the downside, the copy trading platform Zulutrade is not offered by either of the two brokers.
Our review process discovered that the Pepperstone range of trading platforms is superior to OANDA’s technological solution. Overall, after evaluating Pepperstone vs OANDA trading platforms, including the available technical tools, the quality of order executions, security and functionality, our team of industry experts awarded Pepperstone with the big prize.
When choosing your forex broker you also need to consider the range of markets offered by your favourite forex broker. The variety of financial instruments offered by Pepperstone and OANDA are rich in CFDs offerings, which means they can accommodate all types of traders.
The table below shows head-to-head the range of CFDs offered by Pepperstone and OANDA.
| Pepperstone | Oanda | |
|---|---|---|
| Forex Currency Pairs | 80+ | +71 |
| Index CFDs | 23 | 15 |
| Share CFDs | 700+ | NO |
| Commodities | 16 | 7 |
| Cryptocurrencies | 12 | NO |
| Currency Index CFDs | 1 | NO |
| Metal | 5 | 23 |
| Bonds | NO | 6 |
Pepperstone range of markets can give forex traders access to a multitude of asset classes including:
By comparison, after we carried out our research, we found out that OANDA is offering a limited number of instruments available for trading. If you want to start trading with OANDA, be aware that you will NOT be able to trade:
In terms of the range of available assets to trade, OANDA has a bit of advantage over Pepperstone by offering Bonds CFDs trading, which can’t be found over on the Australian-based forex broker. Overall, Pepperstone is the winner in this category because it’s offering a larger number of CFD trading instruments. More than 700 instruments are powered by Pepperstone’s low spreads trading conditions.
Another measure we took into consideration in our review process is the different types of trading accounts. Both forex brokers Pepperstone and OANDA offer their clients the option to choose between two main types of trading accounts. Which type of forex account is the best fit for your trading needs depends on factors such as:
Our team of industry experts will give you a brief overview of the options available to FX traders through Pepperstone and Oanda. Pepperstone offers two types of trading accounts that cater to scalpers and algorithmic traders and the second one is designed for beginner traders:
In the past Pepperstone had a minimum deposit of $200, this has since been removed, nevertheless, a deposit will still need to be made to meet initial margin requirements to open a position.
Most clients with OANDA will use the OANDA ‘Spread Only Pricing’ account. This account is very similar to the Pepperstone standard account.
Likewise the OANDAhas a ‘Core Pricing’ Account which is similar to Pepperstone’s Razor Account for MetaTrader. This account is only available to clients of OANDA in Australia, Singapore and the USA. Round-trip commission costs for each standard lot in Australia are AUD 7.00 (3.50 side ways), In Singapore is SGD 7.00 (3.50 side ways) and USA is USD 10.00 (side ways 5.00).
Our Pepperstone review process discovered that the Australian-based forex broker also offers PAMM and MAM trading solution for professional money managers. By comparison, OANDA doesn’t offer managed accounts. Pepperstone scores extra points again and comes ahead of OANDA, by offering accounts packages for professional fund managers.
Note* Unfortunately, only Pepperstone offers tailored services for Muslim traders by offering an Islamic trading account. Pepperstone offers the Swap-free account (Islamic account) to their clients in specific regions by default and at their discretion.
Additionally, both brokers offer subaccounts for tax-free spread betting, but only available for UK traders.
For an in-depth comparison of the Pepperstone Razor vs. Standard account make sure you read our full Pepperstone Trading Accounts Review, which will outline the key point of difference between the two types of trading accounts
The head-to-head customer service comparison once again revealed that Pepperstone’s customer support experience is far superior to what OANDA has to offer. Pepperstone has multi-award-winning customer service that has gained industry recognition. Pepperstone won numerous industry awards for its excellent 24-hour customer service.
Here are our findings in terms of the similarities that can be found on both forex brokers:
OANDA clients can contact the support team in several languages, including English, Spanish, German, Mandarin, and Russian. Compared with Pepperstone, OANDA falls behind, as again the Australian-based forex broker supports 12 different languages offering a much better experience to traders from around the world.
The only feature that OANDA managed to gain some extra points was with its 24/6 customer support compared to Pepperstone’s 24/5 customer service.
OANDA’s customer support service stands out in the forex industry only when compared to forex brokers like FXCM, Forex.com or AvaTrade, as OANDA can be proud to offer far better customer service. However, OANDA has been recognised in the United States by winning the Highest Overall Client Satisfaction offered by Investment Trends – US Foreign Exchange Report.
Overall, both OANDA and Pepperstone reviews of customer service were positive, as our review process found the Australian forex broker offered the best enhancing customer support experience. Get your free demo account with up to $100,000 in virtual money and test the forex exchange market.
Forex traders can fund Pepperstone and OANDA trading account using a variety of deposit methods including:
The head-to-head comparison revealed that Pepperstone offers 9 funding and withdrawal methods including Visa, Mastercard, POLi, Bank transfer, BPay, PayPal, Neteller, Skrill, and Union Pay. On the other hand, OANDA has a much more limited range of deposit methods and only offers:
With OANDA, you can only withdraw funds via the same method used for depositing the funds. Secondly, to deposit funds via credit and debit card there is a maximum deposit limit. With OANDA, you can only deposit $10,000 or equivalent in local currency per calendar month. On the other hand, OANDA PayPal deposit has no limits, but it only supports GBP, USD and EUR transfers.
OANDA doesn’t charge any deposit fees, but OANDA charges a withdrawal fee for credit card and bank transfer. While the first withdrawal processed within a calendar month is free, any subsequent withdrawals are subject to withdrawal fees.
Below you have an overview of the types of withdrawal fees traders can expect from OANDA.
| First withdrawal processed within calendar month | Additional withdrawals processed within calendar month | |
|---|---|---|
| CAD | CAD $20 | CAD $40 |
| AUD | AUD $20 | AUD $40 |
| EUR | EUR 20 | EUR 35 |
| CHF | CHF 20 | CHF 40 |
| GBP | GBP 10 | GBP 20 |
| HKD | HKD $150 | HKD $300 |
| JPY | JPY 2,000 | JPY 4,000 |
| SGD | No Fee | No Fee |
| USD | USD $20 | USD $35 |
On the other hand, Pepperstone offers convenient and fast withdrawal methods, providing you with first-class trading services. Unlike OANDA, Pepperstone doesn’t charge deposit and withdrawal fees. In our Pepperstone review process, the Australian forex trading broker took an extra point in this category and won our recognition.
Both Pepperstone and OANDA offer multi-currency deposit solutions:
OANDA supports the following 9 currencies: CAD, AUD, EUR, CHF, GBP, HKD, JPY, SGD, and USD. On the other hand, Pepperstone offers 10 different base currencies for their two trading account types. With Pepperstone, you can make a deposit in your local currency using your preferred deposit method with zero transaction fees.
Our team of industry experts, views Pepperstone as the overall winner in this section. But, OANDA also came closer to the high standard imposed by the Australian based FX broker by supporting almost the same range of currencies. Before making a deposit you can open a demo account with virtual money in your local currency.
The Pepperstone vs. OANDA comparison conducted by our forex experts in ranking online brokers revealed that Melbourne-based FX broker Pepperstone offers superior trading services for its clients. Pepperstone has a global presence, and it is regulated by major financial centres:
The regulatory bodies ensure that your money is safe and protected while forex traders can engage in high-risk leverage products. On the other hand, as a US-based forex broker, OANDA is governed and supervised by the National Futures Association (NFA). In other jurisdictions, OANDA has licenses from ASIC, FCA, IIROC and FSA. Both brokers are well-regulated and comply with the high standards imposed by the major regulatory bodies.
After evaluating all the major features including the range of trading platforms, available instruments, the trading costs, trading account types and other products available through each of these two forex brokers, we established that the net winner in our scoring system is Pepperstone. It will be wise to first test out both brokers by opening a practice or demo account.
Ask an Expert
Does Pepperstone have a huge advantage over OANDA for scalping?
Unlike OANDA, Pepperstone has a RAW spread account which has lower spreads compared to a spread-only account. Such accounts tend to be popular with scalpers due to their lower cost. Scalpers also tend to prefer automated trading and while both allow automation with EAs on MetaTrader signals, Pepeprstone has other options such as Capitalise.ai an social trading,