Pepperstone vs. IC Markets — Straight Answer
Two of the most mature ECN brokers for Expert Advisors — and a very close race. Pepperstone is one of the most broadly regulated brokers anywhere (ASIC, FCA, CySEC, DFSA, BaFin, CMA, SCB), offers the Razor account with raw spreads from 0.0 pips and five platforms including cTrader and TradingView. IC Markets shines with disclosed server locations (Equinix NY4 (MT4/MT5) · Equinix LD5 (cTrader)), comparable raw spreads from 0.0 pips, a free VPS for active accounts and an explicitly unrestricted EA policy. In short: if you prioritise maximum Tier-1 regulatory breadth (including BaFin for German clients), take Pepperstone; if you bet on demonstrable latency infrastructure, an easier-to-reach free VPS and, outside the EU, higher leverage, IC Markets is the home. Both are first class for EAs — the table below shows the profiles side by side.
Execution & Infrastructure
Both are genuine no-dealing-desk ECN/STP brokers with direct liquidity access — the baseline for reliable EA fills. IC Markets discloses its server locations (Equinix NY4 (MT4/MT5) · Equinix LD5 (cTrader)), an edge for latency-sensitive scalping (execution score 5.0 in our review). Pepperstone also delivers first-class execution (execution score 4.5) and ranks among the strongest-executing houses in the comparison, but does not name a data centre itself; our current record: Equinix NY4 (VPS measurement).
Costs: Raw Spread + Commission
- Pepperstone Razor: raw spread from 0.0 pips (Razor) + 3.50 USD/lot/side (Razor MT4/MT5/TradingView, 7 USD RT) or 3.00 USD/side (cTrader, 6 USD RT).
- IC Markets: raw spread from 0.0 pips (Raw, avg EUR/USD 0.1) + 3.50 USD/lot/side (MT, 7 USD round turn) · 3.00 USD/side (cTrader, 6 USD RT); globally also Raw Pro at 1.50 USD/side from a 5,000 USD deposit.
On the standard raw accounts the cost base is identical (~0.6–0.7 pips effective on EUR/USD), and both charge the same rate on cTrader. The full breakdown is in our spread comparison.
Regulation & Leverage
- Pepperstone: ASIC (Australia, AFSL 414530), FCA (UK, 684312), CySEC (Cyprus/EU, 388/20), DFSA (Dubai, F004356), BaFin (Germany, 151148), CMA (Kenya, licence 128), SCB (Bahamas, SIA-F217). Leverage: 1:30 retail (ASIC/FCA/CySEC/BaFin) · 1:200 retail (SCB) · 1:500 pro clients only.
- IC Markets: ASIC (Australia, AFSL 335692), CySEC (EU, 362/18), FSA (Seychelles, SD018). Leverage: up to 1:5000 dynamic (Global/FSA, MT) · 1:1000 (cTrader) · EU/CySEC & ASIC: 1:30.
Pepperstone is the regulation champion here — the BaFin licence is a genuine plus for German traders. IC Markets offers the higher offshore leverage via its Seychelles entity. The sister brand IC Trading, by contrast, is licensed solely by the FSC Mauritius (leverage 1:500).
Platforms & VPS
- Pepperstone: MT4, MT5, cTrader, TradingView, Pepperstone platform; free VPS for pro clients with minimum volume only (EU/DE: ≥ 1M USD notional in 60 days).
- IC Markets: MT4, MT5, cTrader, TradingView; free VPS: yes (IC VPS from 15 lots FX/metals per month, Global entity).
Both cover the key algo platforms (including cTrader). Pepperstone adds its own in-house platform, IC Markets the lower VPS threshold for retail clients. More in our VPS comparison and the VPS guide.
EA, Scalping & Hedging Policy
Both allow EAs, scalping and hedging without restriction. Not a differentiator — both are uncompromisingly EA-friendly.
Verdict: Who Wins?
- Choose Pepperstone if maximum Tier-1 regulatory breadth matters to you (especially the BaFin licence for German clients) and you value a broad platform line-up including a proprietary app.
- Choose IC Markets if disclosed latency infrastructure (Equinix NY4 (MT4/MT5) · Equinix LD5 (cTrader)), an easier-to-reach free VPS and — outside the EU — higher offshore leverage come first.
IC Markets sits on the recommendation list of our overall comparison Best Broker for EA / Algo Trading; you will find Pepperstone in the ECN brokers list and the scalping comparison, among others. Individual reviews: Pepperstone and IC Markets.