Pepperstone vs IC Markets: which has tighter spreads in Australia?
Verdict
- IC Markets publishes the tighter raw spreads, but Pepperstone remains our pick for Australians: on cTrader its lower commission makes a lot of EUR/USD slightly cheaper all-in, and it publishes far more detail on index, share and perpetual CFD pricing.
- Published averages: EUR/USD 0.01 pips at IC Markets (Raw Spread) vs 0.1 at Pepperstone (Razor); gold 0.09 vs 0.12.
- Commission: IC Markets charges $3.50 per side; Pepperstone charges $3.50 per side on MT5 and TradingView but $3.00 per side on cTrader for forex.
- Both are ASIC-licensed: Pepperstone Group Limited (AFSL 414530) and International Capital Markets Pty Ltd (AFSL 335692).
The spread alone favours IC Markets. The bill you actually pay depends on which platform you use, because commission differs by platform at Pepperstone but not at IC Markets. Here is the pair-by-pair picture and the per-lot arithmetic for an Australian account.
Short answer: IC Markets on spread, Pepperstone on the cTrader bill
Compare raw accounts and IC Markets' published EUR/USD average of 0.01 pips is a tenth of Pepperstone Razor's 0.1. Add commission and the picture narrows: a round-turn standard lot costs about $7.10 at IC Markets and $7.00 on Pepperstone cTrader, because Pepperstone charges $3.00 per side there instead of $3.50. On MT5 Pepperstone costs about $0.90 more per lot. We still put Pepperstone first in Australia because it publishes its index CFD spreads, 0.07% Australian share CFD commission and a perpetual CFD range, lets you fund by PayID or BPAY from $10, and lists card withdrawals within 2 business days.
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Raw-account averages side by side
Both firms label these figures as averages, so they are comparable. One caution: IC Markets' table sits on its global site (ic.com), run by its Seychelles company. Australian clients contract with its ASIC-licensed company, whose own price table we have not checked, so compare both live platforms before committing.
| Instrument | Pepperstone Razor | IC Markets Raw Spread |
|---|---|---|
| EUR/USD | 0.1 | 0.01 |
| GBP/USD | 0.2 | 0.04 |
| USD/JPY | 0.3 | 0.03 |
| Gold (XAU/USD) | 0.12 | 0.09 |
| Commission per side, FX | $3.50 (MT5, TradingView); $3.00 (cTrader) | $3.50 |
Are CFD trading fees cheaper with IC Markets or Pepperstone?
It depends on the platform and the market. Worked per standard lot, opened and closed in a USD account, with a pip worth $10:
- EUR/USD on cTrader: Pepperstone $1 spread + $6 commission = $7.00; IC Markets $0.10 + $7 = $7.10.
- EUR/USD on MT5: Pepperstone $1 + $7 = $8.00; IC Markets $7.10.
- Gold, 100 oz: Pepperstone $12 + $7 = $19; IC Markets $9 + $7 = $16. IC Markets wins here on every platform.
- Commission-free accounts: Pepperstone Standard averages 1.1 pips on EUR/USD; IC Markets' Standard is quoted as 'from 0.8', a minimum, so the two are not like for like.
- Holding costs: both charge overnight swaps on ordinary CFDs; compare the swap columns in each platform's contract specifications for the pairs you hold.
Beyond forex: what only one side publishes
If you trade more than currency pairs, Pepperstone's published detail is the stronger case. Its Australian index fee table lists AUS200 at a 1.5-point average and US500 at 0.4, with no commission on index CFDs. It charges 0.07% per side on Australian share CFDs and $0.02 per share on US shares, and it lists perpetual CFDs on assets such as NAS100, gold and Nvidia. Our fact files hold no comparable index, share or perpetual pricing for IC Markets, so we cannot say it is cheaper there.
Sources
Pricing as each broker publishes it.
Is IC Markets regulated in Australia?
Yes. International Capital Markets Pty Ltd holds AFSL 335692 from ASIC. Pepperstone Group Limited holds AFSL 414530.
Which is cheaper for scalping EUR/USD?
On cTrader, Pepperstone by about $0.10 per round-turn lot on published figures; on MT4 or MT5, IC Markets by about $0.90. Live spreads during your trading hours matter more than either average.
Do both offer TradingView?
Yes. Pepperstone offers TradingView on its Razor account, and IC Markets lists TradingView among its platforms.
CFDs are complex, leveraged products and carry a high risk of losing money rapidly. Read the broker's PDS and TMD and consider whether you can afford the risk. This page compares published broker terms and is not investment advice.