Canada’s regional regulator, the British Columbia Securities Commission (BCSC) has issued a warning that the forex broker AvaTrade is not registered to trade in, or advise on, securities or exchange contracts in the province.
According to BCSC, however, AvaTrade has recently placed an advertisement in British Columbia. “We urge BC residents to exercise caution when dealing with firms that are not registered to trade or advise in BC,” the BCSC said.
AvaTrade is based in Ireland. It was founded in 2006 under the name AvaFx and was renamed in 2010. It is regulated in the EU via the Central Bank of Ireland, Australia by the Australian Securities & Investments Commission, South Africa and Japan by the Financial Services Agency and the Financial Futures Association of Japan. It is also a registered financial services company in the British Virgin Islands and is fully licensed and regulated by the British Virgin Islands Financial Services Commission.
By Canadian law, however, it also needs licenses from the provincial regulators in order to operate in each province.
AvaTrade offers trading in forex, CFDs on stocks, bonds, commodities and indices. The leverage on forex trading is up to 1:400 and on CFDs is up to 1:200. AvaTrade also offers trading in ETFs, stocks, oil, bitcoin, gold and spreadbetting (only in UK and Ireland). There is the option for a demo account. The minimum required deposit for a live account is $100. The available trading platforms are the popular MetaTrader4 and the broker’s proprietary platform AvaTrader, mobile apps, as well as automated trading platforms. The company offers 24-hour customer support in 15 languages.
Recently Ava Trade set up a unit in Israel. Earlier this year it announced its expansion in South Africa via the locally regulated subsidiary Ava Capital Markets Pty Ltd.