By Steven Hatzakis
February 18th, 2019
Last Updated: April 16th, 2019
The ForexBrokers.com Annual Review (3 years running) is among the most cited in the industry. Our Head of Research, Steven Hatzakis, is frequently referenced as a leading analyst covering forex brokers and cryptocurrency. Learn more.
Founded in 1996, London Capital Group Holdings Plc (LCG) was an early pioneer in the online trading industry.
In 2006, the company was listed on the AIM section of the London Stock Exchange (LSE), and at the end of 2017, the trading of its shares moved to the NEX exchange where it continues to trade today under the ticker symbol LCG. Unfortunately for shareholders, the stock has continued to struggle and currently trades for less than £1, market capitalization of just £1.2 million as of March 2019.
LCG offers traders access to multiple asset classes, including 62 forex pairs and over 4,000 CFDs on its MetaTrader 4 (MT4) and LCGTrader (cTrader) platforms, providing a multi-asset solution to traders via its UK-based FCA-regulated entity, LCG Ltd.
While a shaky status on the publicly traded markets doesn’t help LCG’s credibility, the broker does offer great customer service and competitive pricing, specifically with its LCGTrader (cTrader) ECN account offering.
- LCGTrader (cTrader) web and mobile platforms are a good alternative to MT4.
- Excellent customer service.
- Respectable range of tradeable instruments beyond forex.
- Competitive pricing with specifically the commission-based ECN account through LCGTrader.
- High minimum account balance required for ECN account.
- Commission is twice as high on MT4 than LCGTrader.
- Lack of resources for advanced research tools.
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|Publicly-Traded Company (Listed)||Yes|
|Regulated in Major Hub||Yes|
|Regulated in Emerging Hub||No|
|Authorised in the European Union||Yes|
Commissions & Fees
For traders that can afford the $10,000 minimum deposit, LCG’s LCGTrader (cTrader) ECN account type offers, hands down, the best pricing at LCG. Trading through MT4 is very expensive.
- Alongside far better pricing, the ECN account also provides more favorable margin rates in terms of maximum trade sizes than the Classic account, where the tiered margin levels are more restricted.
- In addition, the option to add a guaranteed stop-loss order for an extra three pip charge is only available on LCGTrader.
- Furthermore, premium services are available to traders with at least £25,000 on deposit at LCG, along with a rebate program for active traders. Rebates range from £4 to as much as £9 per million depending on the volume-based tier.
- LCG’s spreads on its forex pairs vary widely, depending on whether you open a Classic or ECN account.
- For example, on the Classic account type, average spreads on the EUR/USD are 1.45 pips, while traders needing a more competitive spread can establish an ECN account with a $10 K deposit and have their all-in cost drop to 0.65 pips (0.2 average spread + 0.45 pip commission) after factoring the round turn commission of $4.5 per standard lot using the LCGTrader platform.
- Meanwhile, the round-turn commission on MT4 is more than double at $10.00 per 100K, and not as competitive as the rate on LCGTrader when it comes to the ECN account.
|Minimum Initial Deposit||$0.00|
|Average Spread EUR/USD - Standard||1.60|
|All-in Cost EUR/USD - Active||0.85|
|Active Trader or Premium/VIP||Yes|
Platforms & Tools
LCG offers traders access to both MetaTrader 4 (MT4) and cTrader (branded as LCGTrader). Given the pricing difference (see Commissions above) and ease of use advantages of LCGTrader, it is the best choice.
- LCG offers both MT4 desktop and MT4 WebTrader, which is the best-based version of MT4.
- LCGTrader is the branded version of the cTrader platform for LCG, which also comes as both a web-based version and desktop download. Compared to MT4, cTrader is easier to use and comes packaged with more charting indicators (64 vs 51).
- The cTrader suite includes related trading applications from the developer, such as the cAlgo and cMirror platforms, where cAlgo is used for automated trading and cMirror is a social copy-trading platform.
- LCG is at an advantage by being able to provide traders both MT4 and cTrader. That said, it’s LCGTrader (cTrader) platform boasts several advantages, including more favorable pricing and features such as the Guaranteed Stop Loss Order (GSLO), making LCGTrader our recommended platform choice.
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|Virtual Trading (Demo)||Yes|
|Desktop Platform (Windows)||Yes|
|Social Trading / Copy-Trading||Yes|
|MetaTrader 4 (MT4)||Yes|
|MetaTrader 5 (MT5)||No|
|Charting - Indicators / Studies (Total)||51|
|Charting - Drawing Tools (Total)||31|
|Charting - Trade From Chart||Yes|
|Watchlists - Total Fields||7|
|Order Type - Trailing Stop||Yes|
To score Customer Service, ForexBrokers.com partnered with customer experience research group Customerwise to conduct phone tests from locations throughout the UK. For our 2019 Review, 229 customer service tests were conducted over six weeks.
- Average Connection Time: <1 minute
- Average Net Promoter Score: 8 / 10
- Average Professionalism Score: 5 / 10
- Overall Score: 7.2 / 10
- Ranking: 4th (23 brokers)
- View Infographic
Overall, LCG’s research is respectable, providing an experience that is slightly above the industry standard.
- LCG’s research offering includes content from an in-house team of analysts that provides technical and fundamental analysis in the form of videos and written articles covering multiple asset classes. There are also weekly webinars in which LCG staff conduct market analysis, helping to keep traders up to date on developments.
- Complementing LCG’s own research is content from third-party providers such as FXStreet to help power its economic calendar, and for traders with Premium Client status, LCG offers Trading Central, which provides technical analysis, chart patterns, trade recommendations, and signals.
- It is worth noting that aside from the Week Ahead weekly posts, the LCG Play and Market Insight section are not very active.
- Integrating tools such as a screener, heatmapping, and more technical analysis posts about forex would help boost the LCG’s research offering.
|Daily Market Commentary||Yes|
|Forex News (Top-Tier Sources)||Yes|
|Trading Central (Recognia)||Yes|
|Social Trading / Copy-Trading||Yes|
|Social Sentiment - Currency Pairs||Yes|
LCG offers both MT4 and cTrader for mobile trading. With no proprietary mobile app offered, the mobile experience is just average.
- At LCG, MetaTrader mobile can be used with either Classic or ECN accounts.
- The LCGTrader (cTrader) mobile app is highly versatile and brings a consistent theme with the web-version, thanks to its responsive design. This means nearly all the features available in the web version of the platform are in the mobile app too, including syncing watch lists.
- No proprietary mobile app offered.
|Apple iOS App||Yes|
|Trading - Forex||Yes|
|Trading - CFDs||Yes|
|Alerts - Basic Fields||Yes|
|Watch List Syncing||Yes|
|Charting - Indicators / Studies||30|
|Charting - Draw Trend Lines||Yes|
|Charting - Trend Lines Moveable||Yes|
|Charting - Multiple Time Frames||Yes|
|Charting - Drawings Autosave||No|
Offering of Investments
The following table summarizes the different investment products available to LCG clients.
|Currency Pairs (Total Forex pairs)||82|
|CFDs - Total Offered||4759|
|Cryptocurrency traded as actual||No|
|Cryptocurrency traded as CFD||Yes|
LCG brings two decades of experience as an online broker rooted in the UK with EU-passports from its FCA-regulated entity. That said, the firm’s future is on rocky grounds as the company barely maintains its publicly-traded listing.
Overall, traders looking for a multi-asset solution, including 62 forex pairs and over 4,000 CFDs, will find more competitive pricing on the firm’s ECN account offering which requires at least $10,000 to be established, compared to the Classic account where spreads are higher but can be opened with any amount (no minimum).
Forex Risk Disclaimer
"There is a very high degree of risk involved in trading securities. With respect to margin-based foreign exchange trading, off-exchange derivatives, and cryptocurrencies, there is considerable exposure to risk, including but not limited to, leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price, or liquidity of a currency or related instrument. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable, or that they will not result in losses." Learn more.
About the author: Steven Hatzakis Steven Hatzakis is the Global Director of Research for ForexBrokers.com. Steven previously served as an Editor for Finance Magnates, where he authored over 1,000 published articles about the online finance industry. Steven is an active fintech and crypto industry researcher and advises blockchain companies at the board level. Over the past 20 years, Steven has held numerous positions within the international forex markets, from writing to consulting to serving as a registered commodity futures representative.