Nextmarkets: Test and Honest Review

Nextmarkets user-ratings: $250
  • Asset varierity - 0/10
    0/10
  • Trading platform - 0/10
    0/10
  • Support - 0/10
    0/10
  • Fees - 0/10
    0/10
  • Deposit/Withdrawal - 0/10
    0/10

Facts about the company:

  • Type: CFD Broker
  • Regulation: MFSA (Malta)
  • Minimum deposit: $250
  • Demo account: Free
  • Markets: 8000+ Shares, Indices, Cryptocurrencies, Commodities, Bonds, Forex, ETFs
9.2/10
Comments Rating 9.2/10 (1 review)

Pros

  • No commissions and fees
  • Customer deposit protection
  • 14 experienced and professional analysis coaches
  • Regulated by the MFSA
  • Multilingual customer care

Cons

  • Only two payment methods (credit card and bank transfer)

what is nextmarkets

The number of online brokers on the market has increased significantly in recent years. Since the services and fees offered are often similar, it is often difficult, especially for newcomers, to get an overview. In this article, the provider Nextmarkets will be examined in more detail.

The company behind it, called Nextmarkets GmbH, was founded in 2014 by Manuel Heyden and Dominic Heyden. The headquarters of the online broker is located in Cologne. At the current point in time, the FinTech company has 32 employees in two European locations.

In principle, the declared aim of Nextmarkets is to offer newcomers to the stock market the opportunity to learn from a wide range of professional analysts. To this end, the online broker provides its customers with 14 analysis coaches who have many years of experience in the financial markets.

Since the beginning of 2018, Nextmarkets GmbH has also operated a subsidiary (Nextmarkets Trading Limited) with a licence as a securities trading bank. This also enables the provision of all necessary financial services in the European Economic Area.

Screenshot of the Nextmarkets landing page

The nextmarkets concept

In contrast to customer consulting at conventional banks, the analysts of Nextmarkets advise their clients independently with regard to specific financial markets. This is intended to exclude conflicts of interest. This is not investment advice in the true sense of the word, but independent investment ideas.

While banks often charge high fees for recommending certain financial products, at Nextmarkets such recommendations can be transferred to the free demo account with no problem at all by clicking on the link. Trading fees are only incurred when using a real money account.

Nextmarkets thus acts as an exchange coach, analyst, and trading platform at the same time, giving customers all the tools they need to trade successfully on the exchange in the long term.

Regulation and Customer Safety at Nextmarkets

Before going into more detail about the offers and services of the Online Broker, we will first take a closer look at the regulation. The provider is regulated by the Malta Financial Services Authority (MFSA).

And the aspect of deposit insurance always plays an important role in the assessment of an online broker. At Nextmarkets, deposited customer funds are held in separate trust accounts at regulated banks; mixing with company assets is therefore impossible.

In the event of insolvency, customers thus receive back in full the capital contributions stored in the segregated accounts. As a member of the Investor Compensation Scheme (ICS), customer deposits are also protected up to an amount of $100,000.

Deposit and withdrawal options

In contrast to many other online brokers on the market, the possibilities of depositing at Nextmarkets are relatively limited. A deposit is basically only possible by bank transfer or credit card. The name of the bank account or credit card must match the Nextmarkets account name. Deposits on weekends and public holidays are only possible by credit or debit card.

Credit card deposits are usually processed immediately thereafter, for bank transfers the process may take up to two business days. There are no fees for both deposits and withdrawals at Nextmarkets.

The minimum withdrawal amount is $150. As a rule, a payout is processed on the same day, but it can take about 3-5 days before the payment is credited to the corresponding account. The minimum deposit amount is currently $250 or the equivalent in another currency.

Tradable markets and conditions

Let us now turn to the actual range of services offered by the Online Broker. This comprises a number of tradable markets, which will be examined in more detail below. In principle, Nextmarkets offers its customers trading in equity, index, commodity, bond, and precious metal CFDs as well as currency pairs. In the meantime, the range of products already comprises more than 1,000 tradable assets that can be traded with or without leverage.

Shares
Clients can trade hundreds of CFDs on shares from all major stock indices, both long and short, on Nextmarkets.

When trading on Nextmarkets there is no commission in principle, the online broker earns his money mainly with spreads. These are subject to daily fluctuations and may therefore in some cases differ from the information provided on the Nextmarkets website.

The table below shows the conditions of the shares of some large companies:

SharesSpreadMarginLeverage
adidas0.320%1:5
Apple0.220%1:5
Bayer0.220%1:5
Microsoft0.120%1:5
Siemens0.220%1:5

Indices


For trading CFDs on indices, the most popular trading conditions are as follows: No commissions are charged to the trade.

Cryptocurrencies


In the field of cryptocurrencies, the Online Broker enables its customers to trade (long or short) CFDs on Bitcoin and Ethereum. The following table shows the conditions for trading the digital currencies.

CryptocurrencyMinimum quantitySpreadMargin
Bitcoin0.1$1050%
Ethereum1$250%

Raw Materials


The range of tradable instruments on Nextmarkets also includes commodities and precious metals. Here, too, the corresponding CFDs can be traded long and short.

Bonds


The German Federal Bond (BUND) can be traded from a minimum amount of $10 and with a spread from 0.02.

Currency Pairs


The CFDs on currency pairs that can be traded on Nextmarkets also make up a large part of the range of products on offer at Nextmarkets. Both main and secondary currency pairs can be traded from a minimum quantity of 1,000 and a minimum amount of $10. The spread and margin requirements depend on the currency pair selected:

Currency pairsMinimum quantitySpread (Pips)Margin
AUD/USD1,0000.75%
EUR/USD1,0000.63.4%
GBP/USD1,0000.63.4%
USD/CAD1,0000.73.4%
USD/CHF1,0000.73.4%
USD/JPY1,0000.33.4%

ETFs


And last but not least, trading CFDs on ETFs is also possible on Nextmarkets. From a minimum quantity of 0.1 and a minimum amount of $10, the most important ETFs can be traded from a spread of 0.01 and a margin of 20%.

For a more detailed insight into the trading conditions of the various assets, the online broker provides a more detailed list of prices and services on his website, which can be viewed at any time if you are interested in more details.

Which trading platform is available at Nextmarkets?

In order to be able to combine its functions as an exchange coach, analyst, and trading platform in the best possible way, it also requires appropriate software. The Nextmarkets trading platform can be called up directly on the web and offers traders an intuitive and easy-to-use user interface.

nextmarkets trading platform

The central functions of the platform are composed as follows:

Overview of all coaches

As can be seen in the graphic, the 14 coaches are located in the upper bar. There, users can learn about the experts’ strategies and implement them in their own trading processes (both in the demo and real money accounts).

Full-screen mode trading


Selected markets can be opened at any time in individual tabs and in full-screen mode.

Trading in the chart

Platform users can easily trade directly in the individual charts by setting the levels for Limit, Stop Loss, and Take Profit in the appropriate direction.

Expert analysis directly in the charts


The transactions of the above-mentioned coaches can be directly transferred to the charts on the demo account.

In addition, Nextmarkets customers also have a wide range of tools and indicators available to them in the trading platform.

Further offers of Nextmarkets

Curated Investing


Curated Investing is an interesting option for Nextmarkets as an alternative to classic CFD trading. According to its own statements, this is the unique selling point of the online broker.

As already briefly mentioned earlier, customers have the opportunity here to follow selected experts and take their trades into their own accounts. In addition to detailed considerations, the experts also provide information on the respective entry points as well as their stop loss and take profit.

The process is simple: First, a specific analysis by one of the 14 coaches is selected under the Curated Investing tab. Then the corresponding “amount to follow” and the desired leverage is determined. After the input has been confirmed, the followed analysis appears in the coaching portfolio. Here it can be edited or deleted at any time.

Curated Investing thus represents a form of social trading. In contrast to other social trading providers, however, Nextmarkets signals centrally. Signals can only be generated by the selected coaches and not by other traders.

However, there are no direct forecasts as yet that would indicate the hit rates or the quality of the signals emitted by the experts. However, since the actions of the coaches are kept quite transparent, users can see at any time whether the forecasts made in the past proved to be correct.

Save CFD


With the so-called Spar CFD, the online broker offers its customers another product that is designed to exploit the interest rate differences between the USA and the Eurozone. It is a financial product created by Nextmarkets, which can be traded in principle in the same way as a share.

There are no fees for managing the account or for transactions made. Customers can benefit from around 1.25 % per year. Currently, Spar CFD is only tradable without leverage and can also be tested on the demo account.

Real Estate CFD


A relatively new product of the online broker is also the Real Estate CFD. This is an index-based financial product, which is intended to offer customers an opportunity to profit from the development of the real estate market.

The trading instrument is composed of ten of the largest real estate companies worldwide:

  • ICADE
  • Vonovia
  • German living
  • Segro
  • Country Securities
  • Unibail-Rodamco
  • Gecina
  • TAG Real Estate
  • British Land
  • LEG Real Estate

As an index-based financial product, the Real Estate CFD can also be traded similarly to the S&P 500 or the DAX. And again, there are no account management, management, or transaction fees. Trading with leverage is possible here.

The mobile app of nextmarkets

For interested investors and traders who prefer to trade while on the move, there is also a corresponding application for mobile devices. The Nextmarkets App is available for Android as well as for iOS.

The operation of the application is simple and all functions of the web-based platform are also available in the app. Access to the analyses of the experts is also possible here, although charts cannot be recalled on the mobile phone at present. According to the results of the ratings given (4.7 of 5 stars), most customers are very satisfied with the mobile application.

The nextmarkets learning videos

Although Nextmarkets does not have its own area for training and further education, there are some learning videos. However, these videos only show the correct use of the Nextmarkets trading platform. This includes instructions on opening or modifying a trade as well as closing and viewing closed positions.

It also shows how customers can insert indicators and use them correctly for themselves. In addition to the tutorials, the online broker also provides a trading guide on his website. Here, for example, simple basics and tips in the trading area are given.

The nextmarkets demo account

The offers and services of the Online Broker can initially also be tested free of charge and without financial risk via a demo account. This can also be used for an unlimited period after a successful setup. With a fictitious credit balance of $10,000, users can also try out curated investing or test their own strategies risk-free.

The spreads in the demo account are generally identical to the spreads of the live account; switching between the two accounts is possible at any time with just one click.

The Online Broker’s customer service

When evaluating an online broker, customer service should always be taken into account. If questions or problems arise, Nextmarkets initially offers an extensive FAQ area, in which a large number of questions can usually be clarified in advance. However, if this does not yet lead to a solution, it is also possible to contact the Online Broker’s service team directly.

On the one hand, there is the option to fill out a corresponding contact form, stating your own e-mail address and telephone number. On the other hand, it is also possible to contact the support team directly by telephone. Service team members can be reached at the telephone number provided there Monday to Friday from 9 am to 6 pm.

Support available:Monday to Friday from 9 am to 6 pm (CET)
Telephone:+49 221 98259 007
Adress:service@nextmarkets.com
Languages:2

Conclusion

Finally, a brief look at previous experiences with Nextmarkets on the Internet is to be taken. In principle, the online broker is a provider with competitive trading conditions. The majority of customers are satisfied with the spreads and the fees in general. In particular, the offer of Curated Investing represents an interesting option in the trading area for many beginners and advanced traders. According to some users, however, evaluation options with regard to the hit rate of the coaches and the corresponding profit or loss profile would be desirable.


Most asked questions:

What trading platform is available at nextmarkets?

With its Nextmarkets Trading Platform, the Broker offers a wide range of tools and indicators. It is intuitive and easy-to-use and the trader can use following tools: An overview of all coaches, full-screen trading mode, direct trading in the chart plus expert analysis directly in the charts.

What can i trade with Nextmarkets?

Nextmarkets offers a total of over 8,000 assets. These include following markets: Shares, Incides, Cryptocurrencies, Commodities, Bonds, Currency Pairs (Forex) as well as ETFs.

Is Nextmarkets a safe broker?

Yes – not only is Nextmarkets regulated by the Malta Financial Services Authority (MFSA). Nextmarkets is also a member of the Investor Compensation Scheme (ICS), so customer deposits are additionally protected and insured up to an amount of $100,000.

How do i withdraw money from Nextmarkets?

In comparison to other Online Brokers, Nextmarkets only offers two different payment methods: credit card and bank transfer. The minimum withdrawal amount is $150 and it can take three to five days before the payment is credited.Therefore, traders do not have to pay any fees.

One Response

  1. Andre Witzel September 21, 2020

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