IMPORTANT: For our 2018 Forex Broker Review we assessed, rated, and ranked 43 international forex brokers. Over seven months, we spent hundreds of hours collecting over series 7 review investopedia forex,000 data points.
Each FX broker was graded on 148 variables. Trading with the right forex broker is critical to success in the international currency markets. As a currency investor, you may have specific platform, tool, or research needs that should be met. Understanding your investment style can help determine which FX broker may serve as the best forex broker for you. In each individual FX broker summary, we highlight where each broker stands overall and against its competitors. Best FX Brokers for Forex Trading Here’s a breakdown of some of the best foreign exchange brokers available for online fx trading.
Saxo Bank finished 1st in our 2018 Annual Review of 43 brokers. Its competitive pricing, access to a wide range of markets, multiple regulatory licenses, and innovative trading platforms provide forex traders around the glove an all-around excellent offering. Rated as our Most Trusted Broker of 2018, IG Received 5 Stars and second overall in our 2018 Review. In total, IG placed Best in Class for seven of the eight review categories.
Swissquote is a trusted, global multi-asset broker and bank offering traders access to over two million products, from forex to CFDs, exchange-traded securities, wealth advisory services, underlying cryptocurrencies, and more. Through its offices regulated in major financial centers, CMC Markets offers traders a wide range of offerings across global markets with its Next Generation trading platform, which is packed with innovative trading tools and charting. 5 stars Overall and finished Best in Class in seven main categories. The firm’s parent company, GAIN Capital, remains one of the largest forex brokers in the United States and caters to global forex traders of all experience levels. 1 for Mobile Trading in 2018. The innovative JForex platform suite and competitive commission structure give traders access to extensive resources for a growing range of forex pairs and CFDs. 1 for Professional traders, Interactive Brokers is known for its diverse offering of investments.
Founded nearly 40 years ago, clients can trade on more than 120 market centers in 26 different countries, and deal in forex, CFDs, stocks, options, ETFs, futures, bonds, and more. 1 for Customer Service and Platform Technology in our 2018 Review. The broker’s thinkorswim platform provides one of the most powerful charting applications, offering nearly 400 technical indicators. Choosing the Best Forex Brokerage Here are some of the most important factors to keep in mind when choosing the best online forex brokerage for currency trading. Regulation: Not all regulatory jurisdictions and licenses are created equal for international forex and CFD Brokers. Investors should know which country their broker is based in and which country’s laws apply to their account.
To avoid fraud, it is critical to use a broker that is well-known and well-regulated. To quickly identify brokers you can trust, reference the Trust Score we provide on each broker’s review page. Company Policies and History: As part of every investors due diligence process, steps to help ensure account security should include verifying a firm’s regulatory licenses and its legal obligations in safeguarding client monies. Also check to make sure the products you want to trade are available in your region.
Platforms: Which platforms and trading tools are available for the products you are considering? FX Analysis and Global Market Research: Available research tools for scanning, analyzing, and overall conducting technical and fundamental analysis will vary from broker to broker. Order Type and Execution: Some execution methods or order-types may incur negative or positive slippage. This means orders will fill but the fill price could be better or worse than requested. Customer Service: Customer service is important.
The scope and quality of support can be a major differentiator across online FX brokerages, ranging from the speed and overall quality of assistance to the availability across global trading hours and international markets. Education: Currency trading can be complex. Even seasoned investors are constantly learning to expand their breadth of currency markets. The disparity between currency brokers that provide thorough, high quality education, and those who do not is vast. Forex trading costs are not easy to break down.
Forex spreads may include a round-turn commission. While the all-in cost to trade can be critical for many traders, it is important to look at the whole picture in terms of how a broker’s overall offering could best suit your needs. We then calculated the all-in cost by including any round-turn commission that was added to prevailing spreads. When it comes to competitive all around pricing, CMC Markets took first place as the best broker in the commissions and fees category. With an average spread of just 0. USD using November 2017 data, CMC Markets offered the most competitive all-in cost to trade.
Also, the broker lowered the barrier for entry into its active trader rebate program, helping to boost its ranking. In second place was Saxo Bank. The broker revamped its commission structure with the roll-out of additional tiers for both entry-level and active traders from its Asia offices. Previously, entry level traders only had the commission-free options where spreads were wider, yet with Saxo Bank’s new volume-based structure, even entry-level traders with low volumes now enjoy competitive commissions. 5 pip equivalent added to low average spreads of 0. Rounding out the top three on the podium in 2018 was IG. The broker averaged spreads of 0.
USD for the 12 weeks ending February 24th 2017, and offers Forex Direct as part of its commission-based active trader offering. USD using spread data provided by the broker for the US Session during December 2017. Following closely in fifth place was GAIN Capital, with its Forex. 20,000 see an all-in cost of 1. TD Ameritrade and City Index rounded out the top seven for 2018.