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Best Forex Broker
How To Choose The Best Forex Broker
The foreign exchange market is one of the most exciting, fast-paced markets in the financial world. Unfortunately, it is also one of the most volatile, with large swings in currency values commonplace. As a result, choosing the best forex broker for your needs can take time and effort.
To start with forex trading, you just need to explore the best forex brokers and open an account with one that suits your trading style. However, you must do some initial research to find the best forex broker. You can easily find the most suitable broker according to your trading experience and needs.
In this guide, we will discuss how to choose the best forex brokers, why you should start forex trading, the pros and cons of forex, and more. Besides that, to help you choose the best broker, we will compare the features and benefits of some of the leading brokers in the industry to give you an overview of each offer. So, let’s get started.
When looking for the best forex brokers, there are several things you need to consider. These include:
#1 Regulatory Compliance
The first and foremost thing you need to check is whether a reputable body regulates the broker. A good way to check this is to see if the broker is listed on a major exchange. If they are, then they are most likely to be regulated. For example, a reputable forex broker in the USA will be an NFA member registered with the Commodity Futures Trading commission.
#2 Trading Platform
The first and foremost thing you need to check is whether a reputable body regulates the broker. A good way to check this is to see if the broker is listed on a major exchange. If they are, then they are most likely to be regulated. For example, a reputable forex broker in the USA will be an NFA member registered with the Commodity Futures Trading commission.
- Ease of Use
- Real-Time Quotes
- Technical Analysis Tools
- Charting Tools
- Order Management Tools
- Mobile Trading
#3 Account Features
When choosing a forex broker, you must consider the account features. Some of the things you might want to look for include:
- Minimum Deposit Requirements
- Leverage Ratios
- Commissions and Spreads
- Initial Deposit
- Commission Fees
- Leverage and Margin
- Ease of Deposits and Withdrawals
#4 Customer Support
A broker’s customer service should be accessible since Forex trading takes place 24 hours a day, seven days a week. In addition, think about whether it’s easy to get an actual person on the phone. A quick call to a forex broker can indicate their customer service and average wait periods.
What Is A Forex Broker?
A forex broker is an intermediary between traders and the foreign exchange market. They provide a platform where traders can buy and sell currencies and other services such as margin trading, which allows traders to borrow money to trade with.
The role of the forex brokers has become more important in recent years as the forex market has become more accessible to retail investors. Only large financial institutions and banks traded forex in the past, but now many online brokers allow retail investors to trade forex.
Generally, online forex brokers enable traders to largely use electronic trading platforms that the broker supports to execute forex deals. In addition to offering their own software for trading, many popular online forex brokers also support 3rd party MetaQuotes platforms, including MetaTrader 4 and 5 (MT4/5).
In addition, many forex brokers also provide extensive educational information for beginners, which may be utilized to improve their trading knowledge. They might also provide expert Forex market analysis and financial news feeds to assist you in making better trading decisions. Moreover, forex brokers make their money by charging commissions and spreads on the transactions they facilitate.
Why Trade Forex?
A forex transaction is the simultaneous purchase of one currency and the sale of another at a set exchange rate. Forex traders profit by selling one currency pair cheap and expensive or buying one pair high and selling it low.
A significant number of individuals trade forex because it’s a relatively easy process to get started. Once you open a trading account, download a free platform like MetaTrader. Trades can be executed quickly and easily, so traders have the flexibility to set their own pace. Plus, making money is another big motive for why people engage in forex trading.
This is usually where investors begin since they can gain a handle on the market without being overwhelmed by the asset they’re trading.
How Do I Know If My Forex Broker Is Regulated?
It is important to know if your forex broker is regulated. This will ensure that your broker is held accountable to a higher standard and that your funds are protected. The best way to find out is to check the broker’s website or contact them directly.
It is also good to check the regulator’s website to see if the broker is listed. For example, in the United States, you can check with the National Futures Association (NFA) or the Commodity Futures Trading Commission (CFTC). Moreover, check the reviews for your broker to see what other traders have to say about their experience.
Here is how you can determine if your forex broker is regulated:
👍 Check their license number
👍 Check Their Registration Status
👍 Find Their Membership Status
👍 Verify Details
👍 Global Availability
👍 Forex Brokers List
One must comprehend the currency pair offerings, account specifics (initial deposit, deposits/withdrawals, commissions/spreads, leverage, and margin), customer service, regulatory compliance, and trading platforms while thinking about how to select the finest Forex broker in 2022. Before choosing the finest Forex broker, take the time to read customer evaluations from both the broker’s past and present clients to get a sense of how well they performed when offering Forex services to individuals. Finding the best broker to trade with is essential for successful FX trading
The team at AsiaForexMentor.Com spent hours carefully compiling and curating the list of top brokers for this year’s edition of the best Forex brokers 2022. The flexible table below, in particular, offers a thorough comparison of Forex brokers that can be customized to a person’s preferences.
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10 Best Forex Brokers
#1 XM – Best Overall
XM Group is a forex and CFD broker founded in 2009. For over ten years, XM Broker has provided technology-based solutions to more than 10 million clients. The company is now experiencing significant growth and recognition in the industry, including awards for being the Fastest Growing Broker and Best Forex Service Provider.
XM Broker is ideal for trading professionals due to the high order processing speed and low level of commitment. Additionally, XM Broker has licenses from three leading international regulators: ASIC (Australia), FCS (Belize), FCA (UK), DFSA (Dubai), and CySEC (Cyprus). The broker offers a leverage of up to 1:1000 and a minimum deposit of $5.
XM is the best choice, especially for beginner traders. With its high-tech trading platforms, such as MetaTrader 4, MetaTrader 5, Webtrader 4, WebTrader, 5, and XM app, XM provides the perfect environment to learn and practice forex trading with virtual money before moving on to a live account.
Advantages
- XM Broker promises that all orders will go through, with 99.35% completed almost immediately.
- No additional fees on tight market margins
- Offers more than 1000 trading instruments and more than 55 currency pairs
- No commissions on money withdrawals
Disadvantages
- Filing claims with the regulator for small amounts is not practical due to the subsequent financial and time costs
#2 Roboforex
Avatrade is a regulated forex broker that offers online trading services in more than 250 instruments across multiple markets, including forex, indices, commodities, shares, and cryptos. In addition, it carries seven regulations on seven different continents, including UAE, South Africa, Japan, Australia, Europe, and the British Virgin Islands.
With Avatrade, you can start trading with a minimum deposit of $100 and leverage of up to 400:1. Traders can also take advantage of the broker’s numerous bonuses, including a welcome bonus of up to $10,000 and an Avapoints loyalty program to earn extra points.
In addition, traders can trade several instruments, including forex pairs, commodities, stocks, indices, bonds, ETFs, and Vanilla Options. Furthermore, AvaTrade is regulated by seven international commissions to ensure the safety of our customers: CBI (EU), B.V.I. FSC (British Virgin Islands), ASIC (Australia), FSCA (RSA), FRSA (UAE), FSA, and FFAJ (Japan).
Advantages
- Lots of account types with low minimum deposit requirements
- Leverage up to 1:2000
- Highest affiliate payments
- Instant payment withdrawals
Disadvantages
- A minimum deposit of $10 is required
- Lack of cryptocurrency trading tools
- For accounts Pro, Pro-Cent, ECN, and Prime, there are only 36 different currency pairs
#3 Exness
Exness is a global brokerage firm with two main offices in Seychelles and Cyprus. This company provides financial services, investment solutions, and mainly corporate partnerships to clients worldwide. The EU-based company in Cyprus, which is fully regulated, provides services to members within the EEA and other parts of the world.
Exness offers several assets, including stocks, cryptocurrency, over 120 currency pairs, and metals. The broker’s service is reliable, with low commission, instant execution of orders, and withdrawal of funds. With the leverage of 1:100 up to 1:2000, Exness is one of the best brokers for scalpers.
In addition, this broker includes a wide range of payment systems to deposit and withdraw money using any currency pair. Plus, with infinite leverage, traders have the ability to make profits on small deposits — something other platforms don’t offer.
Advantages
- Free of cost VPS hosting
- Instant money withdrawal
- Segregated accounts
- Narrow Spreads
- Several trading platforms (MT4, MT5, and mobile trading)
Disadvantages
- High minimum deposit requirements
- Although the Exness Training resource section is comprehensive, it would be more inclusive if offered in multiple languages.
#4 Alpari
Alpari is a global trading company founded in 1998 by three partners in Russia. The company has acquired extensive experience and expertise over the years of operation and has become one of the largest Forex brokers.
Alpari is committed to offering high-quality services for trading on the foreign exchange currency market. With over a million clients in 150 countries and offices around the globe, Alpari has a reputation for reliability and excellence.
With the leverage of Up to 1:3000 and spread from 0.2 pips, Alpari is suitable for scalpers as well as long-term traders. The company also provides a demo account to test strategies and get familiar with the trading platform.
Advantages
- A wide variety of account types with low minimum deposit requirements
- Leverage up to 1:3000
- Excellent customer support
- Several ways to deposit and withdraw quick funds
Disadvantages
- No trades on weekends
- Several perks are only available on VIP accounts.
- Swap-free Islamic accounts just for MetaTrader 4.
#5 InstaForex
InstaForex, established in 2007, is a globally recognized forex broker offering a wide range of trading instruments, including forex, commodities, indices, and cryptocurrencies. The broker provides access to popular trading platforms such as MetaTrader 4 and MetaTrader 5, catering to both beginners and experienced traders. InstaForex operates under the regulation of the British Virgin Islands Financial Services Commission (BVIFSC), ensuring a secure trading environment.
InstaForex offers competitive trading fees, with spreads starting from 0.0 pips on certain account types, though commissions may apply. The broker provides various account options, including Insta.Standard and Insta.Eurica, each designed to meet different trading needs. InstaForex also offers a free demo account for traders to practice their strategies without risking real money.
InstaForex is known for its comprehensive educational resources, including tutorials, webinars, and market analysis, supporting traders in enhancing their skills and knowledge. The broker also offers responsive customer support, available 24/7, to assist clients with any inquiries or issues. With its commitment to providing a seamless trading experience and a wide range of services, InstaForex remains a preferred choice for traders worldwide.
Advantages
- Wide range of trading instruments
- Multiple account types available
- Comprehensive educational resources
- 24/7 customer support
Disadvantages
- High withdrawal fees
- Outdated website interface
#6 FXTM
FXTM (FXTM) is another forex broker that began operations in 2011. It enables investors to profit by executing active trading or investment strategies. The organization is governed by the CySEC (Cyprus Securities and Exchange Commission), South African FSCA (Financial Sector Supervision Authority), UK FCA (Financial Conduct Authority), and FSC (Mauritius Financial Supervisory Commission).
The Micro account requires a minimum deposit of $10, allowing novices to grasp the basics of trading and study the market’s operational principles without risk or major investments. However, the Standard account requires a $100 deposit with 0.01 lots and spreads from 1.3 pips.
In addition, FXTM offers a leverage of up to 1:2000, which is significantly higher than the industry average. You can also open swap-free accounts and use powerful trading platforms like MetaTrader 4, MetaTrader 5, and cTrader.
Advantages
- 1:2000 leverage ratio
- Segregated accounts
- Negative Balance Protection
- Ultra-low spreads are from 0.0 pips
Disadvantages
- Only copy trading is offered for investment
- Brokers are not available on weekends
#7 JustMarkets
JustMarkets is an online broker that offers a wide range of assets, including currency pairs, precious metals, cryptocurrency, and stock indices. The company was founded in 2012 and is headquartered in St. Vincent and the Grenadines. JustMarkets provides services to clients from over 100 countries.
JustMarkets offers several account types with leverage of up to 1:3000 and spreads starting from 0.0 pips. The minimum deposit is $1, making it accessible to beginner traders with a small budget.
This brokerage company is ideal for traders who use various trading strategies. You’re allowed to utilize expert advisors, trade news, and copy trades. The broker is also great for clients who prefer long-term and medium-term trading styles and those adhering to Islamic principles.
Advantages
- Negative balance protection for traders’ deposit protection
- EA trading to trade automatically
- Hedging to prevent risk chances
- Allows traders to trade cryptos
- Automated copy trading for copying successful trades
Disadvantages
- No PAMM accounts
- A small selection of trading instruments
- Traders may experience delays in withdrawals, and there are withdrawal fees
#8 HTFX
HTFX is a global forex broker offering a diverse range of trading instruments, including forex pairs, commodities, indices, cryptocurrencies, shares, and metals. Established with offices in the UK, Cyprus, Indonesia, Thailand, Malaysia, Vietnam, Taiwan, Hong Kong, and Vanuatu, HTFX operates under the regulation of the Financial Conduct Authority (FCA) in the UK and the Cyprus Securities and Exchange Commission (CySEC), ensuring a secure trading environment.
HTFX provides multiple account types, such as Standard, Cent, and ECN accounts, catering to both novice and experienced traders. The broker offers access to popular trading platforms like MetaTrader 4 (MT4) and MetaTrader 5 (MT5), known for their user-friendly interfaces and advanced analytical tools. With a minimum deposit of $50 and maximum leverage up to 1:500, HTFX accommodates various trading strategies and risk appetites.
In addition to competitive spreads starting from 1.4 pips on Standard accounts, HTFX provides a range of deposit and withdrawal options, including RediPay, THAI QR PAYMENT, RPNpay, helpay2, credit cards, ChipPay, teleport, PAYOK, Tether, and Alipay. The broker also offers a 20% deposit bonus up to $10,000, enhancing trading potential for its clients. However, it’s important to note that HTFX does not accept clients from certain regions, including Belarus, Crimea, Cuba, Iran, Iraq, Japan, North Korea, Russia, Sudan, Syria, Turkey, the United States, and Ukraine.
Advantages
- Regulated by FCA and CySEC
- User-friendly trading platforms
- Diverse range of tradable assets
- Competitive maximum leverage up to 1:500
Disadvantages
- Limited features compared to some competitors
- No weekend customer support
#9 Doo Prime
Doo Prime is an international online broker offering a wide range of trading products, including forex, securities, futures, metals, commodities, and indices. The company operates under the umbrella of Doo Group, with operations centers in Dallas, Sydney, Singapore, Hong Kong, Dubai, and Kuala Lumpur. Doo Prime is regulated by multiple financial authorities, including the U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) in the U.S., the Financial Conduct Authority (FCA) in the UK, the Australian Securities and Investments Commission (ASIC) in Australia, the Financial Services Authority (FSA) in Seychelles, the Financial Services Commission (FSC) in Mauritius, and the Financial Services Commission (FSC) in Vanuatu.
The broker provides access to over 10,000 CFD products through various account types tailored to different trading needs and preferences. Clients can trade on popular platforms such as MetaTrader 4 (MT4) and MetaTrader 5 (MT5), benefiting from flexible leverage, low spreads, and fast execution. Doo Prime also offers a community-based copy trading platform with flexible profit-sharing functionality, allowing traders to follow and replicate the strategies of experienced investors.
To ensure the safety of client funds, Doo Prime separates client funds from corporate funds in strict compliance with regulatory requirements, hosting them with reputable banks like Standard Chartered, Bison, and Barclays. The broker’s robust IT infrastructure and network, supported by Equinix, enable 99.5% of trade transactions to be completed within 50 milliseconds, providing a stable and efficient trading environment. With a global presence and a commitment to technological innovation, Doo Prime strives to offer professional investors a comprehensive and reliable trading experience.
Advantages
- Regulated by multiple authorities
- Supports MetaTrader 4 and MetaTrader 5 platforms
- Access to over 10,000 CFD products
- Offers community-based copy trading platform
Disadvantages
- Limited educational resources for beginners
- Filing claims with the regulator for small amounts is not practical due to the subsequent financial and time costs
#10 DBG Markets
DBG Markets is a global online broker established in 2007, offering a diverse range of financial instruments, including forex, precious metals, shares, indices, commodities, and cryptocurrencies. The broker provides access to popular trading platforms such as MetaTrader 4 (MT4) and MetaTrader 5 (MT5), catering to both novice and experienced traders. DBG Markets operates under multiple regulatory authorities, including the Australian Securities and Investments Commission (ASIC) and the South African Financial Sector Conduct Authority (FSCA), ensuring a secure trading environment.
DBG Markets offers various account types, including Standard, ECN, and VIP accounts, each designed to meet different trading needs. The broker provides competitive trading conditions with spreads starting from 0.0 pips and leverage up to 1:500. Clients can fund their accounts through multiple payment methods, including bank transfers, credit cards, and cryptocurrencies, with a minimum deposit requirement of $100.
In addition to its trading services, DBG Markets provides comprehensive educational resources, including tutorials, webinars, and market analysis, supporting traders in enhancing their skills and knowledge. The broker also offers responsive customer support, available 24/7, to assist clients with any inquiries or issues. With its commitment to providing a seamless trading experience and a wide range of services, DBG Markets remains a preferred choice for traders worldwide.
Advantages
- Regulated by ASIC and FSCA
- Offers MetaTrader 4 and MetaTrader 5 platforms
- Provides a variety of account types
- Supports multiple payment methods
Disadvantages
- Limited educational resources
- No cryptocurrency trading options
How We Rank The Best Forex Brokers
To choose the best forex brokers, we focused on identifying mobile-friendly platforms with competitive spreads and trading fees, a wide range of currency pairs, and robust customer support. We also looked for regulated brokers who have been in operation for at least five years.
At Asia Forex Mentor, we consider reviews on popular forex forums. However, we only go by what other traders say. We conduct our due diligence, gathering as much information as possible to ensure that our list is as accurate and up-to-date as possible. As a result, according to our evaluation criteria, we calculate the overall score of each broker and choose the top-rated forex brokers to recommend to our readers.
Conclusion
Now that you know the ins and outs of some of the best forex trading platforms, it’s time to find the best forex broker. The brokers on this list have been carefully selected based on their fees, features, and regulation. So no matter what your trading style is, you should be able to find a forex broker that suits your needs.
Take a test drive of some of these best forex broker platforms and see which is the right fit. Happy trading!
