ZuluTrade, is a great social trading platform however many people complain that they often experience heavy slippage when copy some of the signal providers on ZuluTrade. This slippage can sometimes seriously eat into a traders profits. So I undertook an investigation to establish which brokerages experienced the worst rates of slippage. To do this I looked through a selection of ZuluTrades most sucessful signal providers and averaged out the slippage each brokerage had over the past year.
The Top Ten Brokerages
| Rank | Broker | Slippage (Pips) |
|---|---|---|
| 1 | AAAFx | 0.27 |
| 2 | GO Forex | 0.43 |
| 3 | Weltrade | 0.61 |
| 4 | Gain Australia | 0.67 |
| 5 | Gain UK | 0.7 |
| 6 | COLMEX | 0.73 |
| 7 | FX Primus | 0.83 |
| 8 | FXDD MT | 0.88 |
| 9 | FXCM UK | 0.94 |
| 10 | Xemarkets | 0.95 |
Unsurprisingly, AAAFx had the leas slippage out of the all brokerages offered on the ZuluTrade platform. As AAAFx is totally integrated with the platform this is what you would expect. However, much of the rest of the list is quite shocking for instance I do not think that many people would expect that some small players in the world of Forex would suffer as little as they do. Slippage of under a single Pip would still allow most people to make money from copying ZuluTrade’s better signal providers. Both Gain Australia and Gain UK did pretty well (for those not in the know Gain operates Forex.com). Lagging back in 10th place with Slippage of less than 1 Pip is xemarkets of Cysec. So it does appear that there are a number decent regulated alternatives to trading with AAAFx, however none of the alternatives come close to AAAFx in terms of slippage. However a number of these brokerages listed offer spreads that are considerably tighter than the Spreads offered on AAAFx. This means that AAAFx may not be the best choice for those wishing to use the ZuluTrade platform.
Now for the naming and shaming of the brokerages that suffer the most slippage on the ZuluTrade platform.
Now for the naming and shaming of the brokerages that suffer the most slippage on the ZuluTrade platform.
| Rank | Broker | Slippage Pips |
|---|---|---|
| 34 | FXTG | 2.24 |
| 35 | IKON NZ | 2.36 |
| 36 | ACM GOLD | 2.72 |
| 37 | YouTradeFX | 3.29 |
| 38 | KVB KUNLUN | 4.28 |
Some of the slippage experienced with these brokerages is completely outrageous. KVB KUNLUN customers suffered average of 4.28 Pips of Slippage which would seriously eat into a traders profits. Again things aren’t much better for customers of YouTradeFX who suffer an average of 3.29 Pips of Slippage. Whats worse is that some of these brokerages featured on our shame list aren’t particularly competitive when it comes to the Spreads on offer. If you are currently trading with one these brokerages I suggest that you move to a different provider.
My study of Slippage on ZuluTrade only featured 38 brokerages, this due to the fact that for some of the less commonly used brokerages didn’t have large enough data sets for me to be able to compare them to the properly to the 38 brokerages which did feature in the study. What the study does show is that those using ZuluTrade should ensure they pick a competitive brokerage in terms of both slippage and spreads.
