How investfox rating methodology helped our team to craft better reviews?
We were evaluating online brokers for the last 5 years. In 2023, we noticed that our methodology needed improvement and started to search for a reliable methodology that could guide us to improve our research methods. This is where we found investfox and its well-established broker evaluation guidelines and approaches.
Well-established rating methodology is key to properly evaluating brokers. It is crucial to include the most important factors that define if the broker is worthy of trading with. investfox has an advanced rating methodology that not only makes it easier for our team to evaluate brokers, but to sort all categories by importance and conclude the final score with the weighted average method. More important metrics have higher coefficients and affect the final score greatly. Let’s discuss the most important facts about rating methodology and how investfox offers one of the best solutions, below.
How investfox reviews brokers
investfox offers comprehensive FX broker reviews and ratings that can shorten the time needed to research any broker. investfox website rates the eight most crucial aspects of the broker for final score
- Account opening
- Trading software
- Mobile Experience
When evaluating a broker’s score, security and user fund safety come first. Here we evaluate if the broker is regulated and how many regulatory bodies are overseeing its affairs. This affects the final score the most and has a coefficient of 2. The broker may have all perfect services and offers, but it will be scored very low if there are no regulators. This guarantees that the broker with the high overall score is the most trustworthy one. For example, brokers that are not regulated at all will receive the lowest score possible by investfox, while brokers regulated by the CySEC will get a higher score, and the brokers that are regulated by the CySEC and the FCA will get even a higher one.
Available assets have a coefficient of 1.5 and are the second most important metric. It defines how many instruments there are available on the broker’s platform. This is important because many traders are trading instruments in multiple asset classes and if the broker has a fewer number of assets it becomes inconvenient to open multiple accounts with different brokers only to trade two different instruments. But this aspect is not as important as the broker’s safety, that’s why it has a 1.5 coefficient.
Fees can change the outcome of trading results, with high fees rendering even a profitable strategy a loser in the long term. That’s why it has 1 point in the coefficient. Although security, assets, and trading software are more important, fees are crucial in defining how profitable a trading strategy will be. However, fees are mostly important for those trading on large accounts rather than everyone, this is why it has got a coefficient of 1.
Most brokers handle account opening with ease, and it is not as important as other aspects of trading. This metric only has a coefficient of 0.5 not to affect more important factors. Security has to have the most effect on the overall broker’s score. Still, the experience of easily opening a trading account has not to be underestimated.
Software is important as it offers tools to analyze markets and open trades. The software can define how comfortable it is to open a trade or to analyze markets with various indicators. This has a 1.5 coefficient on par with available assets, as they both define if traders can trade comfortably. Many modern platforms like cTrader, MetaTrader 4 or 5, and Tradingview have inbuilt features like alerts, indicators, and trading bots support. More points to brokers who offer these platforms.
Sometimes there are some unexpected issues or important questions, and it is crucial to get answers to what you are searching for, also this metric is not as important as others on the list, still a formidable metric with a coefficient of 0.5.
The Internet is full of educational materials and tutorial videos, but it is also important to find good resources on the broker’s page for more convenience. Having a coefficient of 0.5 this aspect also can slightly improve brokers’ ratings.
With a coefficient of 0.5 this metric makes sure that the broker’s ability to offer a decent mobile experience gets rewarded by improving the overall score slightly.
How have these metrics helped us craft honest and real reviews?
There are two major advantages to this approach when evaluating the broker, first, it offers well-defined guidelines and models on how to conduct research and what to look for when researching a broker. And the second is with these metrics and their impact on the final score, we were able to critically evaluate all brokers and make the most honest rating possible. Regulations, assets, client fund protection, platforms, and withdrawals all affect the trading experience greatly. If a broker wants to be rated higher they will have to offer the best services and tools for trading. These metrics are so well-defined that it makes our team feel proud to offer well-researched overviews, with the final score calculated comprehensively.
Where does investfox fail?
While we were quite excited to become familiar with the investfox broker rating methodology, we still felt that there is a space for improvement when it comes to its other content. Since we are a predominantly Forex bonus offer reviews website, we simply could not miss updated info on XM no deposit bonus prepared by Armand from investfox editorial team. While the guide does an excellent job explaining how the bonus promotion can be obtained, it does fail in terms of providing the reader with all the details that promotion involves and how it works exactly.