Pepperstone vs IG
Pepperstone offers tight spreads and MetaTrader flexibility for active forex and CFD trading, while IG provides broader product coverage including shares, ISAs, and SIPPs.
Our Verdict
Choose Pepperstone for pricing efficiency and platform flexibility. Choose IG for product breadth and integrated investing tools. There is no universal winner — the right choice depends on how you trade.
Quick Verdict
Choose Pepperstone if…
- You want tight spreads and flexible execution for active forex or CFD trading
- You need MetaTrader 4, MetaTrader 5, or cTrader
- You are a day trader, scalper, or algorithmic trader
Choose IG if…
- You want a broad UK broker that supports trading and longer-term investing
- You need shares, ISA, or SIPP accounts
- You are a beginner looking for a gentler onboarding experience
At a Glance
Detailed Comparison
| Broker | Fees | Platforms | Markets | Regulation | Minimum Deposit |
|---|---|---|---|---|---|
| commission+spread | MT4, MT5 | forex, indices, commodities, stocks, crypto | FCA | £0 | |
2IG | spread-only | Web, Mobile, MT4 | forex, indices, commodities, stocks | FCA | £0 |
Regulation & Safety
Pepperstone
- FCA regulated (UK entity)
- Segregated client funds and negative balance protection
- Eligible FSCS coverage
IG
- FCA regulated with segregated client funds
- Negative balance protection and eligible FSCS coverage
- Publicly listed company
Verdict: From a UK retail protection perspective, safety is comparable.
Pricing & Trading Costs
Pepperstone
- Standard Account: spread-only pricing
- Razor Account: raw spreads + commission — often lower all-in costs for active FX traders
IG
- Spread-based pricing for CFDs & spread betting
- Commission-free share trading (with custody/FX fees)
- Financing charges on leveraged positions
- No raw-spread + commission model like Pepperstone
Verdict: Pepperstone is generally more cost-efficient for short-term FX trading. IG is more versatile but not typically the cheapest for pure execution.
Platforms & Execution
Pepperstone
- MetaTrader 4 and MetaTrader 5
- cTrader
- TradingView integration
- Strong for algorithmic trading, Expert Advisors, scalping, and advanced charting
IG
- Proprietary web platform and mobile trading app
- ProRealTime (advanced charting)
- Limited MT4 access
- Strong for multi-asset management, integrated research, and long-term usage
Verdict: If you rely on MT5 → Pepperstone. If you want an all-in-one ecosystem → IG.
Product Coverage
Pepperstone
- Forex CFDs, Indices, Commodities, Share CFDs
- No real shares — no ISA / SIPP
- Focuses on trading efficiency
IG
- Forex CFDs, Indices, Commodities, Share CFDs
- Real Shares available with direct ownership
- ISA / SIPP accounts available
Verdict: IG clearly wins on product breadth. Pepperstone focuses on trading efficiency.
Fees Beyond Spreads
- Overnight financing on leveraged positions
- Currency conversion fees
- Possible inactivity fees
Verdict: Pepperstone's cost structure is more transparent for FX-focused traders. IG's structure is broader due to investing features.
Risks & Considerations
- CFDs are leveraged — losses can exceed deposits
- Spread widening can occur in volatile markets
- Financing costs accumulate on longer positions
Verdict: IG's investing accounts reduce leverage risk for direct share purchases. Pepperstone is more derivative-focused.
Trading Style Suitability
| Trader Type | Better Choice |
|---|---|
| Beginner | IG |
| Casual trader | IG |
| Day trader | Pepperstone |
| Scalper | Pepperstone |
| Algorithmic trader | Pepperstone |
| Long-term investor | IG |
| Mixed trading + investing | IG |
Strengths & Weaknesses
Pepperstone
Strengths
- FCA-regulated with segregated client funds and negative balance protection
- Razor account with low raw spreads for active traders
- MT4, MT5 and cTrader platform support
- Suitable for algorithmic and scalping strategies
Weaknesses
- Primarily CFD-focused — no traditional investing or share ownership
- No proprietary beginner-style simplified platform
- Financing costs apply to overnight leveraged positions
IG
Strengths
- Broad market access — forex, indices, CFDs, shares, ETFs
- FCA regulation with segregated client funds and potential FSCS protection
- ISA, GIA and SIPP support for long-term investing alongside derivatives
- Advanced platforms with charting, research tools and demo account
Weaknesses
- Customer service wait times and mixed support experiences reported
- Costs for some products are not the lowest on the market
- Platform complexity can feel overwhelming for absolute beginners
Frequently Asked Questions
Which is cheaper: Pepperstone or IG?
For active FX traders, Pepperstone (Razor) is typically cheaper.
Which is better for beginners?
IG's broader ecosystem and investing options make it easier for new users.
Is Pepperstone safer than IG?
Both are FCA regulated in the UK with similar protections.
Can I open an ISA with Pepperstone?
No. IG offers ISA accounts.
Which supports MT5?
Pepperstone does. IG generally does not focus on MT5 in the UK.
Methodology & Disclosure
This comparison is based on FCA regulatory status, public pricing schedules, platform capabilities, product coverage, and user feedback patterns. It is not financial advice. Affiliate partnerships do not influence ranking logic.
Affiliate Disclosure: We may receive compensation when you click on links to brokers and products featured on this site. This compensation does not influence our rankings, reviews, or recommendations. We maintain editorial independence and provide objective comparisons. Read our full disclosure policy.
Risk Warning: This website does not provide financial, investment, or trading advice. All information is for educational purposes only. Trading and investing involve substantial risk of loss. You should carefully consider your financial situation and consult with qualified professionals before making any financial decisions.
Last updated: 2026-01-15