List of fx brokers

Regulation will continue to remain a key factor in broker selection. Regulation ensures that traders are protected and that the trading environment is transparent and secure.

Free forex bonuses

Best Forex Brokers for 2021, list of fx brokers.

The brokers presented on this site are regulated in their respective areas of operation, which ensures that traders who open accounts with them are assured of safety of their funds. The forex brokerage business has undergone a lot of evolution in the last decade. The global financial crisis of 2008 and the events that happened thereafter have reshaped the industry. At about the same time, new technologies came up and also contributed to the evolution of the forex market and forex brokerage business. It is important for traders to understand what forex brokerage is all about and how it will affect their trading ventures. Before we get to meet the best forex brokers for 2021, it is pertinent to identify the role that forex brokers play in a trader’s career and why it is important to go with a forex broker that can match your circumstances and aspirations.

Best forex brokers for 2021

Brokerage companies are scattered all over the world and have many differences in trading conditions, products and services. Some companies are regulated, others are not. Some have been around for decades, others are rather young. Certain brokers work as market makers and have fixed spreads, others provide STP or ECN accounts with direct market access and offer a much larger selection of underlying assets for trading. This site was created to help you find the best forex brokers for your specific needs and requirements. There are several sections and filters in the menu on the left. These can be used to create a custom list of entities with preferable parameters and characteristics. If you find a certain broker you are currently trading with or have used before, feel free to share your experience about it in the comments section meant for forex broker reviews.

The forex brokerage business has undergone a lot of evolution in the last decade. The global financial crisis of 2008 and the events that happened thereafter have reshaped the industry. At about the same time, new technologies came up and also contributed to the evolution of the forex market and forex brokerage business. It is important for traders to understand what forex brokerage is all about and how it will affect their trading ventures. Before we get to meet the best forex brokers for 2021, it is pertinent to identify the role that forex brokers play in a trader’s career and why it is important to go with a forex broker that can match your circumstances and aspirations.

Role of forex brokers

Forex brokers have several roles to play in the market. These roles have also evolved over time, as traders demand a lot more from their trading providers. Forex companies now perform the following roles:

A) access to the market

This is the core role of the forex broker. The forex market is a virtual market with no physical location. At the centre of forex market operations is the interbank market, where the big banks offer various currency pairs for sale. Professional and individual traders therefore do not have to proceed to a physical location to trade, but rather have to have a means of accessing the interbank market. They can only gain access to the interbank forex market using software known as platforms. These platforms are provided by the forex brokers. So without the brokers, nobody can get access to the forex interbank market to trade.

Access can be provided directly using the ECN/STP platforms (also known as direct market access platforms), or indirectly using the market maker platforms that route orders to the broker’s dealing desk. Traders should as much as possible, try to understand the implications of getting direct access to the FX market on one hand, and getting indirect access on the other. The type of access granted will determine factors such as amount of capital to start with, as well as the trading styles and processes to be adopted.

B) trader education

This is gradually but surely becoming a very important element of the forex broker’s functions. Research has shown that 90% of retail traders will lose 90% of their accounts in 90 days. This is a well-established market statistic. Majority of the losing traders (if not all) are traders who are uneducated about the market and who do not understand how to trade profitably. These will end falling by the wayside. No broker wants to spend money acquiring clients, only to have them quit the market after decimating their accounts in 90 days. With brokers realizing that such an arrangement is not good for business in the long run, many of them are now investing significantly into trader education. Videos, articles and webinars are the common means by which beginner traders are given an introduction into the forex market.

C) market research

Once traders get established on the platforms using trader educational resources, their trading activities can be sustained via the provision of market research tools, analysis and news feeds. Many brokers have incorporated this into their offerings as well. For the trader, this is a good thing.

Criteria to consider in choosing a forex broker

The criteria for choosing a forex broker have evolved over the years. While there are still some elements that are critical to the choice and which have remained constant over time, there are other parameters which have emerged and which will be considered below.

1. Spreads/commissions

Spreads are the primary cost to the trader. Lower costs mean that the trader will have a chance to retain more profits, or at least reduce the losses that may be incurred. Competitive spreads are now a factor used in broker selection. It may not be immediately obvious how much savings on spreads can translate to, but high volume traders such as scalpers know that when up to 300 trades are placed in a month, then savings from reduced spreads can be substantial.

2. Leverage

Leverage in forex is now a big deal. What started off in 2010 when leverage caps were introduced in the US by the commodities and futures trading commission (CFTC), has now been extended into the united kingdom and europe. Retail traders in the UK and EU have seen leverage caps reduced from as high as 1:500, to just 1:30 for major forex pairs. Minor pairs and cfds have even tighter leverage limits. This has increased margin requirements significantly. However, some brokers outside these jurisdictions have continued to maintain the high leverages, thus attracting traders who were caught out by ESMA’s decision. Some of the UK/EU brokers have also opened international divisions, where their international client accounts are being migrated to. So traders now have a choice of operating with the low leverage brokers, or the high leverage ones.

3. Regulation

Regulation will continue to remain a key factor in broker selection. Regulation ensures that traders are protected and that the trading environment is transparent and secure. The brokers presented on this site are regulated in their respective areas of operation, which ensures that traders who open accounts with them are assured of safety of their funds.

4. Broker type

A mention has earlier been made about direct and indirect access to the interbank market. As a trader, you need to know how each type of access will affect you. Market makers provide indirect access because they buy positions from the interbank market and resell them to their clients using a dealing desk. Market makers usually require smaller amounts of starting capital, provide fixed spreads, and tend to have more slippages and requotes. They provide a low barrier for market entry.

ECN brokers on the other hand, provide direct market access. They require large amounts as initial capital, provide variable spreads, but do not have slippages and requotes. However, they charge commissions on trades in addition to spreads. At the end of the day, the trader’s financial capacity will determine if a market maker or an ECN broker will be selected for the trading venture.

5. Trading resources

Trading resources are generally tools that are provided by a broker to enhance the trading experience and potentially improve a trader’s trading outcomes. More is not always better. In this case, it is about finding the broker that has the right mix of trading resources that cover analysis, news and market insight.

6. Customer support

Customer support can now be offered using a variety of means that were not in existence 10 years ago. Social media channels such as facebook and twitter, as well as messaging apps such as telegram can now serve as channels for receiving near-immediate responses from a broker’s customer support desk. Choose a broker with a diversified customer support structure which deploys these new means of communication.

Our list of forex brokers

The list below features best forex brokers selected by us for 2021 year. This list has been prepared after due consideration of all the factors mentioned above. In this list, you will find many brokers that are offshore brokerages with high leverage, or offshore divisions of EU/UK brokerages that can provide high leverage trading platforms to their clients. Feel free to read our forex broker reviews and make an informed choice based on the contents of this website.

25 best UK forex brokers for 2021

The forexbrokers.Com annual forex broker review (five years running) is the most cited in the industry. With over 50,000 words of research across the site, we spend hundreds of hours testing forex brokers each year. How we test.

Trading forex (currencies) in the united kingdom (UK) is popular among residents. Before any fx broker can accept UK forex and CFD traders as clients, they must become authorised by the financial conduct authority (FCA), which is the financial regulatory body in the UK. The FCA's website is FCA.Org.Uk. We recommend UK residents also follow the FCA on twitter, @thefca.

The FCA was formed out of the financial services act of 2012, effectively replacing its predecessor, the financial services authority (FSA). For a historical breakdown, here's a link to financial conduct authority webpage on wikipedia.

Best UK forex brokers for 2021

To find the best forex brokers in the UK, we created a list of all FCA authorised brokers, then ranked brokers by their trust score. Here is our list of the top UK forex brokers.

IG - best overall broker 2021, most trusted

Saxo bank - best for research, trusted global brand

CMC markets - best web platform, most currency pairs

Interactive brokers - great for professionals and institutions

City index - excellent all-round offering

XTB - best customer service, great trading platform

FOREX.Com - great all-round offering

Etoro - best copy trading platform

Best forex brokers UK comparison

Compare UK authorised forex and cfds brokers side by side using the forex broker comparison tool or the summary table below. This broker list is sorted by the firm's forexbrokers.Com trust score.

Forex broker	accepts GB residents	authorised or regulated by the FCA	average spread EUR/USD - standard	minimum initial deposit	trust score	overall	visit site
IG	yes	yes	0.745	£250.00	99	5 stars	visit site
saxo bank	yes	yes	0.800	$10,000.00	99	5 stars	visit site
CMC markets	yes	yes	0.740	$0.00	99	5 stars	N/A
interactive brokers	yes	yes	N/A	$0	94	4.5 stars	visit site
city index	yes	yes	1.100	£50.00	93	4.5 stars	visit site
XTB	yes	yes	0.860	$0.00	92	4.5 stars	visit site
FOREX.Com	yes	yes	1.400	$100.00	93	4.5 stars	visit site
etoro	yes	yes	1.00	$200	91	4 stars	visit site
swissquote	yes	yes	N/A	$1000.00	99	4 stars	N/A
FXCM	yes	yes	1.400	£300	92	4 stars	N/A
avatrade	yes	0.910	$100.00	93	4 stars	visit site
FP markets	yes	1.140	$100 AUD	81	4 stars	visit site
plus500	yes	yes	0.600	€100	98	4 stars	N/A
pepperstone	yes	yes	1.160	$200.00	90	4 stars	N/A
IC markets	yes	0.800	$200	83	4 stars	visit site
tickmill	yes	yes	0.530	$100.00	81	4 stars	visit site
fxpro	yes	yes	1.510	$100.00	89	4 stars	visit site
vantage FX	yes	yes	1.350	$200	79	3.5 stars	N/A
moneta markets	yes	yes	1.300	$200.00	79	3.5 stars	N/A
HYCM	yes	yes	2.00	$100	84	3.5 stars	visit site
eightcap	yes	$100	69	3.5 stars	N/A
VT markets	yes	1.30	$200	79	3.5 stars	N/A
blackbull markets	yes	0.76	$200	70	3.5 stars	N/A
octafx	yes	1.100	$5	59	3.5 stars	N/A
hotforex	yes	yes	1.20	$50	83	4 stars	N/A
easymarkets	yes	0.900	$100.00	81	3.5 stars	N/A

How to verfiy FCA authorisation

To identify if a forex broker is licensed to operate in the united kingdom (UK), the first step is to identify the register number from the disclosure text at the bottom of the broker's UK homepage. For example, here's the key disclosure text from IG's website,

Both IG markets ltd (register number 195355) and IG index ltd (register number 114059) are authorised and regulated by the financial conduct authority."

Next, look up the firm on the FCA website to validate the register number is, in fact, legitimate. Here is the official FCA page for IG markets limited.

Summary

To recap, here are the best UK online forex brokers.

More forex guides

Methodology

For our 2021 forex broker review we assessed, rated, and ranked 27 international forex brokers. Each broker was graded on 108 different variables and, in total, over 50,000 words of research were produced.

While encouraged, broker participation was optional. Each broker had the opportunity to complete an in-depth data profile and provide executive time (live in person or over the web) for an annual update meeting.

All data submitted by brokers is hand-checked for accuracy. Ultimately, our rigorous data validation process yields an error rate of less than .1% each year, providing site visitors quality data they can trust. Learn more about how we test.

Forex risk disclaimer

"there is a very high degree of risk involved in trading securities. With respect to margin-based foreign exchange trading, off-exchange derivatives, and cryptocurrencies, there is considerable exposure to risk, including but not limited to, leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price, or liquidity of a currency or related instrument. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable, or that they will not result in losses." learn more.

About the author: steven hatzakis steven hatzakis is the global director of research for forexbrokers.Com. Steven previously served as an editor for finance magnates, where he authored over 1,000 published articles about the online finance industry. Steven is an active fintech and crypto industry researcher and advises blockchain companies at the board level. Over the past 20 years, steven has held numerous positions within the international forex markets, from writing to consulting to serving as a registered commodity futures representative.

Trading cfds, FX, and cryptocurrencies involve a high degree of risk. All providers have a percentage of retail investor accounts that lose money when trading cfds with their company. You should consider whether you can afford to take the high risk of losing your money and whether you understand how cfds, FX, and cryptocurrencies work. All data was obtained from a published website as of 12/14/2020 and is believed to be accurate, but is not guaranteed. The forexbrokers.Com staff is constantly working with its online broker representatives to obtain the latest data. If you believe any data listed above is inaccurate, please contact us using the link at the bottom of this page.

The names, products, services, branding/logos, and other trademarks or images featured or cited within this website (www.Forexbrokers.Com) are the property of their respective owners and the owners retain all legal rights therein. These trademark holders are not affiliated with forexbrokers.Com and the use or display of names, trademarks or service marks of another is not a representation that the other is affiliated with, sponsors, or endorses forexbrokers.Com or any of its reviews, products, or services. Forexbrokers.Com declares no affiliation, sponsorship, nor any partnership with any trademark holders unless otherwise stated.

IG - 76% of retail investor accounts lose money when trading cfds with this provider. You should consider whether you can afford to take the high risk of losing your money.

OANDA - cfds are complex instruments and come with a high risk of losing money rapidly due to leverage. 77% of retail investor accounts lose money when trading cfds with this provider. You should consider whether you understand how cfds work and whether you can afford to take the high risk of losing your money.

Plus500uk ltd is authorised and regulated by the financial conduct authority (FRN 509909).

Advertiser disclosure: forexbrokers.Com helps investors across the globe by spending over 1,000 hours each year testing and researching online brokers. How do we make money? Our partners compensate us through paid advertising. While partners may pay to provide offers or be featured, e.G. Exclusive offers, they cannot pay to alter our recommendations, advice, ratings, or any other content throughout the site. Furthermore, our content and research teams do not participate in any advertising planning nor are they permitted access to advertising campaign data. Here is a list of our partners.

Disclaimer: it is our organization's primary mission to provide reviews, commentary, and analysis that are unbiased and objective. While forexbrokers.Com has some data verified by industry participants, it can vary from time to time. Operating as an online business, this site may be compensated through third party advertisers. Our receipt of such compensation shall not be construed as an endorsement or recommendation by forexbrokers.Com, nor shall it bias our reviews, analysis, and opinions. Please see our general disclaimers for more information.

Fxdailyreport.Com

Till about a decade ago, you had to make use of the telephone if you wanted to invest in the financial markets. You had to call up your broker for placing as well as closing orders. Introduction of online trading has, however, simplified every aspect of the investment process. You can carry out trades from the convenience of your home or on-the-go using the platform provided by brokers. Sounds simple, but the problem is there are umpteen number of forex brokers that offer trading platforms out there in the market. And, you need to work with the best forex broker if you want to achieve your financial goals. So, it all boils down to identifying the right broker to work with and it is definitely not an easy task. Read on to find out as to how you can identify the best forex brokers. In this post, various aspects you need to take into consideration when choosing a forex broker are discussed in detail so that the selection process becomes simpler and easier for you.

Top recommended and the best forex brokers for 2021

info	bonus	open account
min deposit: $5 spread: from 0.2 pips leverage: 500:1 regulation: FSA (saint vincent and the grenadines), cysec	50% deposit bonus, real contest 1st prize luxury car BMW X5 M, copy trading, trade&win.	Visit broker
min deposit: $1 spread: from 0 pips leverage: 3000:1 regulation: cysec, IFSC	$100 no-deposit bonus, 100% deposit bonus	visit broker
min deposit: $5 spread: from 0 pips leverage: 888:1 “*this leverage does not apply to all the entities of XM group.” regulation: ASIC, cysec, IFSC belize	“50% +20% deposit bonus up to $5,000, loyalty program bonus “*clients registered under the EU regulated entity of the group are not eligible for the bonus and the loyalty program”	visit broker
min deposit: $1 spread: from 0 pips leverage: 2000:1 regulation: FCA UK, cysec, FSP, bafin, CRFIN	35% of the account deposit	visit broker
min deposit: $100 spread: starting 0 pips leverage: up to 400:1 regulation: FCA UK, NFA, CFTC, ASIC, IIROC, FSA, CIMA	visit broker
min deposit: $300 spread: floating, from 0 pips leverage: 500:1 regulation: FCA UK reference number 579202	visit broker
min deposit: $200 spread: starting 0 pips leverage: 500:1 regulation: ASIC australia, FCA UK	visit broker
min deposit: no minimum deposit spread: 1.2 pips leverage: 50:1 regulation: CFTC, NFA, FCA, MAS, ASIC, IIROC	visit broker
min deposit: $10 spread: leverage: regulation: cysec	-	visit broker
min deposit: $200 spread: from 3 pips leverage: 400:1 regulation: NFA, FCA, cysec	visit broker
min deposit: $100 spread: starting 0 pips leverage: up to 500:1 regulation: FCA UK, ASIC australia, MAS singapore	visit broker
min deposit: $1 spread: fixed spread from 3 pips leverage: up to 1:1000 regulation: CBR, cysec and FFMS	30% forex deposit bonus	visit broker
min deposit: $250 spread: as low as 0.1 pips leverage: up to 400:1 regulation: ASIC australia and FCA UK	visit broker
min deposit: €100 spread: the spread can be as low as 0.01%” (0.01% = spread for EUR/USD) leverage: 1:294 regulation: ASIC, cysec, FCA (UK)	visit broker
min deposit: $100 spread: starting from 0.9 pips leverage: 400:1 regulation: MIFID, FSB & ASIC	visit broker

Risk warning: cfds are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.4% of retail investor accounts lose money when trading cfds with this provider. You should consider whether you understand how cfds work and whether you can afford to take the high risk of losing your money.

Main parameters to be checked for identifying the best forex brokers:

#1: regulations and licenses

It is highly recommended that you choose only forex brokers that are regulated or authorized by leading regulatory bodies such as commodity futures trading commission (CFTC), national futures association (NFA) and financial conduct authority (FCA in UK), among many others. This is because regulated brokers are more reliable than their non-regulated counterparts. Further, your hard earned money remains safe with such brokers for two reasons: they will be appropriately capitalized and they maintain segregated accounts for theirs as well as traders’ funds.

#2: forex trading platform

The online trading platforms that recommended forex brokers provide would not only be simple, but also intuitive and easy to operate or navigate. It, therefore, makes sense to try out a few online forex platforms and see for yourself as to which one has a better user interface and is easily navigable.

#3: customer support services

Customer support is a key aspect that you need to evaluate. Best fx brokers would often be aware of the needs of the traders and provide good, efficient and responsive customer support services. During the course of trading forex on an online broker’s platform, there will be times when you need certain time sensitive clarifications. If the customer support service of the broker you are planning to work with is not good enough, you could end up losing money. It is, therefore, recommended that you evaluate the brokers’ customer support service both by speaking to their representatives on telephone and by communicating with them through email.

Leverage offered for forex trading varies from one broker to another. If the leverage is high, the trader can make more profits. However, the risk of accumulating losses is also equally higher. Therefore, you should choose a broker that offers leverage suiting to your needs and based on your style of trading.

Brokers often try to attract you by offering high capital bonuses when you make your first deposit. This is good because you get more money for trading. You can choose the broker that offers the highest first deposit bonus, but you should make sure other aspects discussed above and those that are discussed below suit your needs.

#6: deposits and withdrawals

It is important that you understand the brokers’ policies related to deposits and withdrawals. The features to be evaluated when choosing top forex brokers are minimum amount to be deposited to start trading, deposit methods offered, currency options provided, minimum withdrawal amount specified and waiting time for withdrawals, among others. Further, it makes sense to go through all other written policies in detail.

Brokers make money by charging a fee for each of the trading transactions that you execute on the forex trading platform provided by them. As far as the broker and you are concerned, the significant source of revenue would be the spread, the difference between ask and bid prices. It pays, therefore, to check as to how the brokers you have shortlisted handle spreads:

Do they offer fixed or variable spreads?
What is the average and maximum spread for the currency pairs that you are planning to trade?
What spreads are offered when the volatility is very high?
Do you have to pay any commission for each trade apart from the spread?

Before buying a car, you always go for a test drive. Similarly, look for forex brokers that offer demo accounts. This helps you to open a practice account. You can try out their platform and find out for yourself as to which of the shortlisted brokers is best suited to your requirements. Most brokers offer practice accounts these days. So, it is easy for you to get a feel of the brokers’ platform before committing to depositing money and trading.

#9: other parameters for identifying the best forex brokers

The forex brokerages that offer very low account minimums can be considered for evaluation under the category “best forex brokers”. This is good because you don’t have to deposit large amounts of money in order to trade forex. Minimum account balance can be as low as $5 in the case of some of the reliable forex brokers.

Online forex brokers often try to snatch business through promotions. Do not fall prey to their sales gimmicks. Best forex brokers would never make unbelievable and unachievable promotional offers. It is true that cash and prizes form part of the game, but they should be reasonable.

Another aspect to look for when evaluating online forex brokers is the educational services offered by them. This helps you to master the art of forex trading. Brokers that provide you with a variety of educational tools for assisting you in assessing the forex market are the best forex brokers to work with.

Why expert traders trade with regulated forex brokers

If you’re looking to become a successful forex trader, then working with a skilled and trustworthy broker is very crucial. In the forex market, the two main types of brokers you’ll get include the regulated and the non-regulated brokers. Obviously, the former typically operates under regulations stipulated by a forex regulator. Regulated forex brokers must also be fully licensed and registered in their country of operation, unlike their non-regulated counterparts.

Role of regulation

Of course, the role of regulation in forex market cannot be underestimated. Regulation ensures that all players in this booming industry are strictly supervised. This way, merchants are protected from the many unscrupulous traders out there looking to swindle them off their hard earned money. Another thing, regulation also builds trust between merchants and their brokers, since most merchants don’t have enough time to monitor every investment.
Let’s take a quick look at some of the leading regulatory agencies:

CFTC and NFA: commodity futures trading commission and national futures association, regulate the financial services sector in united states of america (USA).

Cysec: the cyprus securities and exchange commission is the regulatory watchdog within the cysec domain. It offers services to the EU member states.

FCA: the financial conduct authority regulates the operations of over 56,000 financial services and companies in the UK.

ASIC: the australian securities and investment commission regulate the financial services sector in australia.

FSB: the financial services board is a south african agency which oversees functioning, regulation, and licensing of south african forex brokers.

Bafin: bafin is a financial supervisory authority providing its services to forex companies in germany.

Advantages of regulated forex brokers

With regulated brokers, you’ll always have some peace of mind when carrying out your real-money transactions. To expound more, here are the main reasons why expert traders prefer regulated brokers:

1. Credibility

It’s an open secret that most of us like to deal with trusted organizations, especially when money is involved. That being said, the credibility of any forex broker is greatly enhanced if the company is regulated by the relevant agencies. Remember that all regulated forex brokers are mandated to follow some strict rules put in place by their respective regulatory bodies. Furthermore, their regulatory bodies expect them to regularly present a copy of their audit report. Therefore, if a broker is listed on its regulatory body list, then it’s safe to say that the forex broker has fully complied.

2. Compensation

Getting compensated in case of any unfortunate scenario is arguably the best reason why most expert traders opt for regulated brokers. With most regulated brokers, you can rest assured that all your hard earned money will be refunded in case your brokerage firm goes down. For example, brokers operating under cysec are required to remit their contribution to the ICF (investor compensation fund). This pool of funds is to help settle any form of customer claims in case of any eventuality.

3. Effective customer service

Before choosing a forex broker, it’s always recommended that you settle for one who can effectively and immediately resolve all customer issues. In this case, most regulated brokers are always competent enough when dealing with technical support or account issues. In addition, they are very helpful and kind during the whole account opening process.

4. Quick deposits and withdrawals

Any reputable forex broker will allow their merchants to make deposits and withdrawals without any hassle. A regulated broker should have no reason whatsoever to make your earnings process difficult because they don’t have control over your funds. All they have to do is to facilitate the platform to make it convenient enough for you to trade.

5. Updated trading platform

Most regulated brokers are mandated by their respective regulatory authorities to provide their clients with the latest, powerful, and easy-to-use trading platforms. In fact, most of their platforms will readily provide you with all that you need to begin trading immediately. You’ll get a lot of educational materials including webinars, videos, articles, seminars, and e-courses at no extra charge. It goes without saying that regulated brokers also offer their clients free demo accounts to help them sharpen their skills before going live.

6. Legality

All over the world, governments are struggling to deal with issues concerning money laundering. Some of them have even gone ahead to pass very strict anti-money laundering laws. So to be on the safe side, you should always trade with a regulated broker. Most regulated forex brokers will ask you to provide some of your personal identification documents such as proof of address and photo ID. This might sound tedious to you but it’s always safe to be part of a regulated organization that can prove your money is being used in a legal way.

To sum it up, regulated forex brokers are always the best as well as the safest option to trade with. This is because they are always ahead in terms of legality, security, and safety of your funds. All in all, you can manage your risks better if you opt for a regulated forex broker.

Understanding true ECN vs STP broker

The foreign exchange market, also known as currency market, is a universal decentralized market that provides traders an opportunity to trade currencies. It is a market which incorporates all aspects of buying, selling, and exchanging currencies at the present-day or determined rates.

There are different kinds of forex brokers that you can choose to trade forex with. However, though all the brokers in forex are intended to provide a similar basic solution, the way they operate behind the scenes is different. Different types of brokers have varying techniques of operation, and the specific broker you cooperate with can significantly determine your success rate as a forex trader. Here are some crucial factors that will enable you determine which broker between a true ECN and STP broker is the best one to trade forex with:

Understanding true ECN vs STP broker

True ECN i.E. Electronic communications network brokers operate without their individual dealing desk. These brokers provide an electronic trading platform where professional market makers at monetary organizations such as banks, and other online trading participants including traders can enter bids and offers through their particular systems.

STP i.E. Straight through processing brokers are brokers without a dealing desk also. These brokers apply some of the techniques utilized by market makers to provide their particular clients with trading conditions which are more flexible. By STP brokers hiring some of the tactics of market makers, they are able to bypass the limitations connected to trading exclusively within the interbank market.

General overview of true ECN and STP brokers

Use of scalping techniques

True ECN and STP forex brokers do not care about how much their particular traders make. Therefore, these types of brokers allow traders to utilize scalping techniques to close their respective positions. Note that false ECN and STP brokers cannot allow you to use scalping techniques as a trader since they will be disadvantaged anytime you make small profits.

True ECN and STP brokers are types of forex brokers without a say when it comes to control on spread provided. These brokers have no control on spread offered since it’s the liquidity provider that determines the spread which is to be provided.

Though true ECN and STP brokers can add markups when necessary, they cannot in any way take it further down than the amount provided.

Difference between true ECN and STP brokers

Commission charged

On true ECN accounts, as a trader you will be required to pay a fixed commission to open and close trades. The spreads offered on true ECN accounts are determined by the rates of liquidity providers.

When using STP accounts as a trader, you will not be required to pay any commissions.

Pros of trading forex with a true STP broker

Cannot bankrupt themselves

True ECN brokers cannot trade against their specific clients to bankrupts themselves.

Similar price rates

If you are a forex trader, trading with a true ECN broker means you are guaranteed of price rates that are similar to those of the interbank market.

Negative balance protection

As a trader utilizing the trading account of a true ECN broker, the broker will be accountable for any dues with liquidity providers should your account read negative as a result of any reason beyond their control.

Cons of choosing a true ECN broker

Dealing with a true ECN broker will require you to pay rollover fees and commission at times.

Pros of trading forex with an STP broker

Their rates and the interbank prices are same

They provide their clients low entry capital requirements

Cons of choosing an STP broker

Choosing an STP forex broker means when you enter a trade you’ll not be informed what spread to expect.

Most true ECN and STP brokers are linked to several liquidity providers at the same time period. Despite both true ECN and STP brokers having incredible trading solutions which can meet your needs as a trader, their terms of operation vary. Whether you will choose a true ECN or STP broker, the rule of thumb is always ensuring you minimize losses and maximize profits as much as you can when trading forex. Ensure you compare carefully the terms of service of both a true ECN and STP broker before you choose one to handle your trading needs.

Forex brokers list

Finding the best online forex broker isn't an easy task.

Forexbrokerz offers you hundreds of forex brokers sorted by country, regulation, dealing, trading platfrom, payment methods and trading conditions.

Every single forex broker listed on forexbrokerz.Com is reviewed and rated by experienced traders.

Platform	country	payment
metatrader 4 brokers	US brokers	paypal brokers
metatrader 5 brokers	UK brokers	skrill brokers
custom platfrorm brokers	swiss brokers	neteller brokers
dealing model	australian brokers	bitcoin brokers
ECN brokers	canadian brokers	spread
market makers	singapore brokers	fixed spread brokers

broker	country	regulation	platform	min deposit	review
	cyprus, UK, mauritius	cysec, FCA, FSC, FSCA	MT4, MT5, web	$10	review website
	cyprus, SVG	cysec	MT5, web, ctrader	$100	review website
	australia, cyprus	ASIC, cysec	MT4, MT5, iress	$100	review website
	cyprus,belize, australia	cysec, IFSC, ASIC	MT4, MT5	$5	review website
	UK, australia, south africa	FCA, ASIC, FSCA, cysec	MT4, trading station, ninjatrader	$50	review website
	UK, cyprus, UAE, south africa	FCA, cysec, DFSA, FSB	MT4, MT5, fxpro markets, ctrader	$100	review website
	belize	IFSC	MT4, MT5	$100	review website
	cyprus, UK, south africa, UAE	cysec, FCA, FSCA, DFSA	MT4, MT5, web	$5	review website
	UK	FCA	MT5	$5	review
	cyprus	cysec	MT4	$500	review
	switzerland	FINMA	MT4, web, jforex	$5000	review
	australia, cyprus	ASIC, cysec	MT4, MT5, ctrader	$200	review
	US, UK, canada, australia, japan, singapore	CFTC/NFA, FCA, ASIC	MT4, web, fxtrade	$1	review
	australia	ASIC	web	$1	review
	UK, cyprus	FCA, cysec	MT4	-	review
	UK	FCA	MT4	$2000	review
	UK	FCA	MT4, MT5	N/A	review
	australia	ASIC	web	review
	UK, cyprus	cysec, FCA	MT4, AFX fast	$100	review
	UK	FCA	MT4	$0	review
	UK	FCA	MT4	$200	review
	germany, uk	FCA, bafin	web, tradehub	€100	review
	cyprus, UK, russia	cysec, FCA	web	$100	review
	UK	N/A	MT4, web, LMAX mobile	$1000	review
	USA	FINRA/SEC	web, thinkorswim	$2000	review
	UK	FCA	MT4	£100	review
	cyprus	cysec	MT4, colmex pro trader/expert	$400	review
	UK, autralia, belarus	FCA, ASIC, NBRB	MT4, web, fortrader	$100	review
	UK	FCA	MT4, MT5, darwinex	$500	review
	UK	FCA	MT4	$200	review
	UK, australia	FCA, ASIC	MT4, MT5, web, mirror trader	$1	review
	denmark, UK	FSA, FCA, ASIC	web, saxotrader	$10 000	review
	australia	ASIC	MT4	$500	review
	cyprus	cysec	sirix	$200	review
	cyprus, UK	cysec, FCA	etoro webtrader, etoro openbook	$200	review

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Forex trading carries a high level of risk and may not be suitable for all investors. Before you engage in trading foreign exchange, please make yourself acquainted with its specifics and all the risks associated with it. All information on forexbrokerz.Com is only published for general information purposes. We do not present any guarantees for the accuracy and reliability of this information. Any action you take upon the information you find on this website is strictly at your own risk and we will not be liable for any losses and/or damages in connection with the use of our website.

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Brokers to avoid

The forex market currently is the largest offering worldwide with hundreds of opportunities and high potential gains, while investors from around the globe seeking the most convenient platforms with access to trade. Among the market proposals, there is a huge number of brokerage firms while some of the companies are regulated, means hold a license or authorized by the industry regulator and some companies are not regulated by any or are just licensed by offshore.

The whole concept of regulation is the client’s protection, which ensures the safe trading environment and investment itself. The regulated brokers have to comply with various rules and criteria set by the recognized international authority with the purpose to provide secure trading and remain licensed. In addition, authorities protecting clients by the compensation schemes that recover the client’s investment in case of the company insolvency. And of course, the regulatory body overseeing constantly how exactly the broker delivers its operation to the clients thus can detect if the things going wrong and take necessary action.

Thereof, there are a few reasons why the brokerage house may decide not to be regulated:

Either the company saving operational cost since the licensing requires strict capital maintenance, follow of best practices, protective measures and so, which can be very costly.

Alternatively, the company might be a deceptive broker with allegedly professional services seeking the frauds.

Most often the new brokers choosing to provide their service under the offshore licenses that brings partition regulation and saves total provisional cost yet does not bring the necessary protective guarantees.

Security of funds is always first in forex trading. Therefore, we always recommend and it is better to choose a regulated forex broker, thus open an account with proper security of investments and follow of protective guidelines. The following list of brokers are unregulated brokers reviews or the brokers to avoid companies, which we do not recommend trading with, due to their unlicensed operations.

UK forex brokers

broker	country	regulation	platforms	min.Deposit	review
	cyprus, UK, mauritius	cysec, FCA, FSC, FSCA	MT4, MT5, web	$10	review website
	UK, australia, south africa	FCA, ASIC, FSCA, cysec	MT4, trading station, ninjatrader	$50	review website
	UK, cyprus, UAE, south africa	FCA, cysec, DFSA, FSB	MT4, MT5, fxpro markets, ctrader	$100	review website
	cyprus, UK, south africa, UAE	cysec, FCA, FSCA, DFSA	MT4, MT5, web	$5	review website

UK is a global financial hub and is home to some of the top brokers in the forex industry. To mention just a few FXTM, FXCM, fxpro, hotforex, tickmill and trading.Com have all offices there and are regulated by the local financial conduct authority (FCA), which supervises over 59 000 financial services firms, ensuring that consumers get a fair deal while trading the financial markets.

Is forex trading legal in the UK?

Trading in the UK is perfectly legal and as we already noted the market is pretty well regulated.

The financial conduct authority, established back in 2013 as a successor the financial services authority, is an independent public body funded entirely by the fees paid by the supervised firms, and accountable to the UK treasury and the parliament.

€730 000 minimum capital requirement

Тhe requirements set by the authority are comprehensive and are even tougher compared to many other jurisdictions. For example UK forex brokers have to maintain net tangible assets of no less than 730 000 EUR, with which to ensure all outstanding payments towards clients.

£85 000 guaranteed by FSCS

All clients’ funds should be kept in a segregated, protected from creditors, trust account and to be covered by the financial services compensation scheme, which basically insures the first 85 000 GBP in your trading account, so that even if your brokers happens to be insolvent you will still be paid back.

For example, the FSCS paid a total of £527 million in compensation to 258,119 clients of firms who went bankrupt during 2019/20 fiscal year. The statutory lifeboat fund is trying, where possible, to recover the funds directly from the failed companies in order to reduce the burden on the industry.

Negative balance protection

On top of that clients of UK regulated brokers get a negative balance protection, meaning that they can not lose more money than they have deposited.

Also, the requirements of the markets in financial instruments directive (mifid) of the european union, apply to all UK brokers and will remain in place even after the UK finally leaves the EU.

UK forex brokers	EU forex brokers
client funds segregation	✓	✓
compensation scheme	up to £85 000	up to €20 000
leverage restriction	up to 1:30	up to 1:30
minimum capital requirement	€730 000	€730 000
client orders reporting	✓	✓
negative balance protection	✓	✓
bonuses	banned	banned

Globally, the FCA has also been highly influential in setting standards, through the european securities and markets authority (ESMA), and through its chairing and co-chairing of the international organisation of securities commissions (IOSCO) and financial stability board (FSB) committees.

Which are the best forex brokers in the UK?

As we noted, UK is home to some of the top brands in the forex industry. Those are state of the art brokers, offering exceptional trading conditions and top notch trading platforms. Here are some details about the most popular UK brokers.

Owned by forextime UK limited, FXTM is regulated by the financial conduct authority and offers UK traders tight spreads, fast execution and cash rebates, with a comprehensive selection of forex pairs, crypto currencies, indices, oil, gold and stocks, professional trading platforms like the metatrader4 and the metatarder5 and a choice between a standard, ECN and a cent account, where the minimum deposit is just 10 USD, and which is particularly beneficial to traders who use capital demanding strategies like martingale or grid trading.

FXTM accepts credit cards like VISA and mastercard, and some popular e-wallets like skrill, neteller, perfect money and webmoney. For retail clients in the UK leverage is capped at 1:30, as is the requirement in the broader EU as well. If you are a professional traders, however, and you can prove it, FXTM will offer you leverage as high as 1:1000.

On top of that, to its UK clients FXTM offers a loyalty program, where the trading cost of each trade is reduced in accordance to the account balance and the size of the trade.

With over 20 years of experience FXCM is one of the most popular brands in the UK. It has an office in london and offers traders lots of stocks, forex pairs, crypto currencies, indices, oil and gold with zero commissions and tight spreads.

What is more, FXCM is an award winning brokers, which offers a choice between several trading platforms – the industry standard metatrader4, and two proprietary platforms - ninjatrader and trading station – a highly customizable platform, with intuitive design and the option to place and manage trades directly from the charts.

Ninjatrader on the other hand is specialized in custom system development through a specially designed strategy builder and a proprietary ninjascript programming language.

Take a note as well that FXCM accepts payments with all popular credit and debit cards, as well as skrill, neteller and china union pay. For professional traders FXCM offers leverage as high as 1:400, while for retail traders the leverage levels are caped at 1:30 to limit the associated risks.

Fxpro is yet another top broker with an office in london and over 70 international and UK awards. Apart from their FCA license fxpro is also regulated in cyprus, south africa and UAE.

Fxpro are proud of their ultrafast execution – 99,9% of all trades are said to take place within 50 ms and their no dealing deck trading environment.

Payment methods include VISA, mastercard, paypal, neteller, skrill and china union pay, and while there is no specified minimum deposit requirement, fxpro advices their clients to deposit at least 500 USD to ensure better flexibility of their trading strategies.

And fxpro offers three professional trading platforms - metatrader4, metatrader5 and ctrader, which is especially suited for NDD environment as offered by fxpro. Professional traders at fxpro can enjoy leverage as high as 1:500, while retail traders will have to do with 1:30.

Trading.Com is a brand of trading point group, especially tailored for the UK market. (trading point group also operates XM - one of the leading brokers in the forex industry.)

With their ultra-low account, trading.Com grants you easy access to over 1250 markets, including precious metals, energy and agricultural commodities, stocks, indices and over 60 forex pairs, all in one place. The trading conditions are rather attractive, with spreads starting as low as 0,6 pips and no trading commission applied. Leverage is capped at 1:30 in accordance with the regulatory policy of the financial conduct authority.

Trading.Com will let you start trading with as little as 5 USD and you can open your trading account in a number of currencies - EUR, USD, GBP, CHF,‎ AUD, PLN and HUF.

Your payment options are credit cards like VISA and mastercard, neteller, skrill and bank wire transfer. The broker offers metatrader5, equipped with over 80 analytical tools and available both as a web trader and as an app for PC, iphone and android.

Hotforex is another award winning forex broker with a presence in the UK. Their london office was opened in january 2019, when they acquired their FCA license. Apart from that hotforex is authorized to operate across the european union, south africa and UAE.

Hotforex offers four account types with attractive spreads, access to over 150 trading instruments and the metatrader4, available for PC, ipad, iphone, android, a web terminal and a multi terminal, which allows traders to manage multiple accounts simultaneously.

The minimum deposit requirement is 100 USD and the payment methods include VISA, mastercard, sofort, ideal, neteller and skrill.

And hotforex also offers weekly webinars in english, covering a wide range of strategies, which can greatly enhance your trading skills.

As with other UK brokers leverage is capped at 1:30, except for professional traders, who can enjoy higher leverage.

Tickmill is an award winning UK broker, based in london and regulated by the financial conduct authority. They offer exceptional trading conditions with three account types and leverage as high as 1:500 available for professional traders – as a matter of fact this year they have been awarded in the best trading experience category of the annual forex brokers awards.

Their spreads look rather attractive, starting as low as 0,6 pips, if we add up the minimal trading commission of 4 USD per lot. And their selection of forex pairs is also comprehensive – well over 60, complementing the numerous cfds on indices, precious metals and bonds, available on a metatrader4 platform.

The minimum deposit at tickmill is just 100 USD and you have the option to pay with VISA, mastercard, bank wire, skrill, neteller, dotpay, paysafe card, SOFORT and rapido.

How much do I need to start trading forex in UK?

Most UK brokers will ask for an initial deposit of about 250 USD, but as we already discussed many of the big players like FXTM, trading 212, trading.Com and fxpro will allow you to start trading with virtually a few pounds.

And some UK brokers will allow you to trade with micro lots – 1000 base currency units – an option, which is rather convenient if your deposit is relatively small. Others, like FXTM are offering cent accounts, where all deposits, profit and loss are measured in cents, instead of dollars, which works pretty well if you are using the grid trading or the martingale strategy, where traders double the trading amount after each loss.

What are the most popular payment methods in the UK?

One of the most popular payment methods in the UK is paypal and a number of UK brokers like trading 212 and fxpro do work with it. Other e-wallets like neteller and skrill, which are particularly popular in europe, are also offered by many brokers, as are credit cards like VISA, mastercard and american express.

And some brokers might even suggest that you pay with bitcoins or other digital currencies. Our advice however, is to stick with more conventional payment methods like credit cards, paypal and skrill, because that way you have the option to reverse the payment if you realize you are dealing with scammers. Crypto currency payments on the other hand are irreversible and are more or less anonymous.

Certainly you can use a bank wire transfer as well, which usually takes up to 3 working days if it is an international transfer and between 2 and 4 hours if it is domestic for the UK. All other payment methods are instant.

We should note as well that all brokers in the UK offer accounts in british pounds.

What leverage is available in the UK?

Back in 2018 the european securities and markets authority (ESMA) capped the maximum leverage allowed for retail traders to 1:30 and so did the financial conduct authority in the UK. The move was a coordinated attempt to minimize the risks for the trading community. Remember, the higher the leverage the higher the risk for your funds when the market happens to be volatile.

Similar steps are made by the regulatory authorities in the canada, japan and the U.S., where the leverage cap is set at 1:50.

Which are the best forex trading platforms in the UK?

Benchmark platforms like metatrader4 and metatrader5 are offered by most brokers in the UK like FXTM and fxpro, but others like FXCM offer proprietary trading solutions as well.

Metatrader5 and metatrader4

Developed by metaquotes, metatrader5 is a state of the art trading platform equipped with a built- in editor and compiler, which allows trader to easily modify their market indicators and trading robots to better fit their automated trading sessions. On top of that, traders have a free access to a software library contributed by other users, which graetly increases your options for custimisation.

The same features are available with metatrader4, but there is a difference – on a MT4 all market indicators and trading robots, also known as expert advisors, are developed on a proprietary scripting languages called MQL4, while for the metatrader5 all the software is written on MQL5, which makes the MT4 trading bots incompatible with metatrader5.

That is the reason why metatrader4 is still more popular of the two platforms, and also why some brokers like hotforex offer metatrader4 instead of metatrader5 – the huge quantity of expert advisors developed especially for metatrader4.

And while both the platforms come with an excellent set of advanced charting tools, metatrader5 is the more powerful of the two, as it allows the execution of orders in a number of different financial markets and stock exchanges through a single trading account.

Ctrader is another great platform, which is offered by some brokers like fxpro, as it is especially suitable for a no dealing desk (NDD) trading environment. Similarly to metatrader5 and metatrade4, ctrader has its own market indicators and trading robots called cbots, which will also enable you run algorithmic trading sessions. Another ctrader perk is that the take- profit and stop- loss options can be adjusted directly on your chart using drag and drop boxes.

Here you can find a list of more brokers, based in the UK.

Crypto CFD trading in UK

In its latest move to curb potential loses for retail investors in october 2020 FCA banned the sale of crypto currency derivatives, arguing that they are ill-suited for retail traders and have no value when it comes to ordinary investors.

According to the estimates of the institution, after the ban comes into force on 6th of january 2021, it will prevent some 53 million pounds in losses for retail investors annually.

FCA introduced leverage limits for all cfds on crypto assets back in 2018 and proposed a full ban on crypto derivatives back in july 2019. The current ban, however will not apply to trading crypto currencies like bitcoin and ethereum themselves, because they are not regulated by the FCA.

Over £78 million lost to clone firm scams in 2020, FCA warns

The UK’s financial conduct authority has recently issued a press release detailing a troubling trend, noticed in figures from 2020 – the rise of clone firms. UK citizens have reportedly lost over £78 million to the scammers. Read more

UK’s FCA warns crypto investors to prepare to lose everything

The financial conduct authority (FCA) in the UK said in a stark warning to crypt investors that they should be prepared to lose all of their money. Read more

FCA UK crypto CFD ban now in effect

Cryptocurrency derivatives – crypto cfds for example - are now not accessible to retail traders on the UK markets, as a ban introduced by the country’s financial conduct authority (FCA) in october 2020 went into effect yesterday, on the 6th of january. Read more

FCA allows crypto companies pending approval extension of grace period

The UK, which recently banned the provision of cryptocurrency cfds to retail clients, has allowed crypto-dealing companies that have submitted documentation for the acquisition of a license and are pending approval to continue providing their services well into next year – up to the 9th . Read more

UK treasury department sets plan for financial services’ future

On monday the UK’s treasury department announced that they are “starting a new chapter in the history of financial services”, as well as reestablishing the leading role of UK markets. Read more

so, let's see, what we have: list of the best forex brokers for 2021 providing access to foreign exchange markets. Explore forex broker reviews, ratings, and trading conditions. At list of fx brokers