Best Forex Brokers List for Online FX Trading – Reviews and Comparisons 2021

XM – The Best Forex Broker for Competitive Pricing and Overall Service Quality

XM is one of the best forex trading brokers, providing top-notch FX products, competitive pricing, and an excellent range of online forex trading tools. It is also one of the very few companies that are supervised by multiple regulators, making it a safe and secure brokerage for FX and CFD trading. There are several reasons why we chose XM over some of the other best forex trading brokers in the market. For instance, the minimum deposit is just $5, making the broker accessible to a wide category of retail forex traders.

Despite the low minimum deposit requirement, the company offers the most competitive spreads for its entire range of financial instruments, which helps keep costs down. The low spreads certainly contributed massively to XM being declared the overall winner in our best forex brokers list.

There are also many other appealing aspects of trading FX and CFDs with XM. Traders are provided with the option of using both the MT4 and MT5 platforms, along with a micro trading option and access to the widest array of asset classes from financial markets worldwide. They can also choose a high degree of leverage for FX pairs – as high as 1:888 for micro lot trading. However, XM does not offer access to ECN or DMA accounts, which may prevent traders from indulging in direct market access trading or enjoying a zero pip spread under live market conditions.

However, the company compensates for the absence of ECN accounts with an excellent pricing structure for its market maker accounts, allowing traders to benefit from cost-effective trading. There are also no restrictions on trading activities such as hedging or scalping, so traders can employ all kinds of strategies. Therefore, in our experts' opinion, XM is the perfect choice for retail online FX trading.

FXTM – The Top Forex Broker for Beginner Traders

FXTM is one of the best forex trading brokers for beginner and amateur traders since it offers the most stable trading conditions, thus helping new traders navigate the rough environment of a volatile FX market. FXTM is known for its low degree of slippage and requotes, which ensures that traders can enter and exit the markets at a reasonably constant set of price levels. The company offers a combination of market maker and ECN/NDD accounts, thereby allowing traders to choose a protocol that best suits their trading needs.

With a low initial deposit requirement of $10 and high leverage of 1:1000, smaller retail traders benefit from some of the best retail trading conditions at one of the best brokers for forex trading in the entire market. However, FXTM also offers advanced account options for professional traders, especially through its ECN/NDD account, which provides competitive pricing for commission-based and commission-free trading.

The company's copy trading program is even more exciting: it allows new traders and investors to copy the trades of well-established and profitable strategy managers through the FXTM Invest program. Therefore, it is relatively easy for traders to find an FXTM trading account that meets their exact trading requirements, irrespective of their experience.

There are 7 different account options granting access to five asset classes, but the actual number of tradeable instruments is lower. One of the best aspects of FXTM is that it is regulated by top-tier watchdogs and independently audited by PwC, which inspects elements such as client satisfaction, fund processing, order execution speed, slippages, requotes, and FXTM Invest Manager performance. Overall, beginners will certainly appreciate the trader-friendly conditions offered by FXTM as they can scale up their trading strategies by choosing the advanced account options in the future.

IG – Top Choice for Advanced and Professional Traders

IG is the largest FX and CFD broker globally, boasting over 4 decades of experience in the financial market. Given that the company is listed on the London Stock Exchange and supervised by some of the top EU regulators, there is no question as to its credibility and ability to weather market turbulence. IG is our preferred broker for professional trading, primarily due to the diverse range of financial instruments, trading platform options, and outstanding trading conditions. There are more than 17,000 assets to choose from, making this one of the most exhaustive collections of tradeable instruments offered by any broker.

Therefore, professional traders can access their preferred instrument from different financial markets across the world through a single FXTM account, without switching between multiple brokerage accounts.

Traders can also choose from three different trading platforms, each app offering some unique trading conditions. One of the key features of the FXTM trading platform is access to weekend trading, which allows users to indulge in meaningful trades even when the markets are closed. However, all of these features come at a price because the trading costs are higher than the industry standard. Furthermore, the company does not offer an ECN account, but all of these are minor concerns since the overall costs are quite manageable. All orders are filled at market price through an automated dealing desk protocol where the broker makes a market for its customers by working with multiple liquidity providers.

Despite the absence of an ECN/NDD protocol, our in-house experts found the trading conditions remarkable, especially for high-volume traders. The company provides a few additional tools, such as trading signals, algo trading support, APIs, ProRealTime, and advanced analytics. As a result, IG was chosen as one of the best online forex brokers for professional FX trading, particularly when considering that traders&*apos; funds are always secure at IG.

eToro – Excellent Choice for Crypto and Social Trading

eToro is among the best FX brokers on this elite list of winners courtesy of its excellent crypto and social trading products. When the company launched its services in 2007, it had developed one of the most futuristic and trader-friendly platforms of the time. It is still renowned for its trading platform, especially in its new guise, where users are introduced to one of the most advanced social trading networks in the entire FX market. The broker's expansive community of online traders contributes to one of the most exciting, innovative, and admired social trading platforms. While the market is filled to bursting with social trading tools from numerous mainstream brokers and third-party service providers, we found eToro’s offering to be the best.

Another advantage of the eToro platform is access to the cryptocurrency market. Most brokers offer a few crypto instruments and their crosses for the namesake, but eToro is different. It has a comprehensive collection of 16 different cryptocurrencies and adds new ones to the list as and when they become available for trading. There are two options for trading cryptocurrencies at eToro: buying the crypto assets outright or trading cryptocurrency CFDs. Either way, traders are treated to remarkable crypto trading conditions, including the option to earn interest on crypto holdings through eToro's Staking service.

Therefore, if you are looking for a cryptocurrency account or simply prefer copying trades from other successful traders, eToro is certainly one of the best forex brokers in the market for you.

XTB – For Gaining Market Knowledge and Trading Experience

If you are new to FX trading or just looking to improve your market knowledge, XTB is one of the best brokers for mastering the underlying concepts of online forex trading. It has quite a sophisticated Trading Academy, with courses divided into 4 categories: basic, intermediate, expert, and premium. These courses are carefully crafted to reflect the needs of traders while taking into account their experience and learning capabilities. XTB also offers categorization by subject, making it quite simple to choose your preferred topic from the extensive Training Academy database. In addition, the broker supplements its training articles with extensive market analyses, all of which are offered to traders free of charge.

However, XTB is not only about gaining market knowledge: the company is also home to an excellent set of trading conditions. The broker facilitates low-cost trading by offering tight spreads even though it does not offer the ECN protocol. The market maker protocol enables traders to enjoy a more stable trading environment, which can help them hone their strategies and understand the fundamentals of the market without being exposed to the volatility of direct market access trading. They can even choose between two platforms, xStation and MT4, both of which are excellent apps for FX trading. With strong European regulation thrown into the mix, XTB should be your default choice if you want to gain experience.

Still, we should warn you that XTB is a European broker that is publicly traded on the Warsaw exchange, which means that it may not accept traders from all countries. Nevertheless, for those who can open an XTB account, this is one of the best FX brokers in the entire market.

AvaTrade – For an Outstanding Forex Trading App

There are some pretty amazing platforms out there, but in terms of sheer innovation and features, we could not find any broker to beat the choice of platforms offered by AvaTrade. It supports more than 5 different platforms, which gives traders great flexibility as it allows them to switch between platforms and select the one that perfectly suits their preferences. It is possible to trade with conventional MetaTrader terminals, such as MT4 and MT5, or choose the broker's proprietary platforms, such as the web trader, AvaTradeGo, AvaOptions, and the AvaSocial apps.

Professional traders will usually prefer the MT4 and MT5 terminals, but the company's proprietary apps offer several innovative features, for example, AvaProtect – a paid insurance option for traders to get out of losing trades if the markets move against their positions. The feature is available for a fee, but it can be an excellent tool for those who would like to be protected against market volatilities.

The company even allows its clients to trade the cryptocurrency market 24X7 through its proprietary app, which is a bonus for those who prefer to trade crypto assets over the weekend. However, the standard instruments are available only during their regular market hours. The broker offers 8 different asset classes through its trading platforms, both on the desktop and mobile versions of the AvaTrade apps. Furthermore, AvaTrade is committed to providing an excellent social trading platform where users are given access to its proprietary offering, DupliTrade, and several third-party copy trading tools.

For MetaTrader terminals, the broker fully supports third-party EA trading and even provides multi-terminal support for fund managers. Therefore, we have ranked the AvaTrade apps among the best platforms for online forex trading.

Interactive Brokers – One of the Best Forex Brokers for US Clients

Our best forex brokers list will be incomplete if we fail to mention the best forex brokers for US clients since most global brokerages do not cater to the US market. There are several reasons for this, among them the stringent regulatory and high minimum capital requirements imposed by US watchdogs. As a result, overseas brokers tend to avoid the US market, concentrating instead on other lucrative jurisdictions, such as the EU member states. In our hunt for the best brokers for forex trading in the US, we found Interactive Brokers to be the pick of the lot.

An exciting facet of the company is that it caters to the global retail trading market through subsidiary brokerages, but its main operations are based out of the United States. Several positive aspects to Interactive Brokers ultimately made it a winner in this category.

The largest brokerage in the US, this company offers 11 different asset classes, including forex, stocks, ETFs, fixed income, and mutual fund markets. The broker has developed proprietary apps for web, desktop, and mobile, along with an API option for advanced traders. These platforms provide access to the entire range of financial instruments, allowing users to reach the global markets through a single interface.

The broker also promises the lowest costs among US peers, along with ancillary services such as integrated cash management and portfolio analysis. Traders can also enjoy benefits that include advanced analytical tools and trader education, which enable professional trading at the next level. These services are supplemented with excellent regulatory supervision, and it certainly helps that the broker is publicly traded on the NASDAQ exchange. Therefore, if you are looking for one of the best regulated forex brokers in the US that also accepts international clients, Interactive Brokers is a perfect choice.

HYCM – One of the Best Regulated Forex Brokers for Non-US Traders

HYCM is one of the oldest financial companies in the market and certainly one of the best regulated forex brokers for online forex trading. The UK Financial Conduct Authority (FCA) has overseen the broker for more than 20 years, which is clear evidence of its long-standing reputation as one of the world's safest financial companies. HYCM is also supervised by other top regulators, such as the CySEC of Cyprus and the DIFC of Dubai, while the Cayman Islands Monetary Authority (CIMA) and the St. Vincent & the Grenadines Financial Services Authority (SVGSFA) regulate its international operations. Given this robust regulatory oversight, traders using HYCM can enjoy some of the best trading conditions without worrying about the safety of their investment.

HYCM provides three different types of accounts: fixed, classic, and raw. The raw account offers ECN conditions with tight spreads, while the classic and fixed accounts enable variable and fixed spread trading. The asset classes include forex, stocks, indices, cryptocurrencies, commodities, and ETFs, taking the total tally to more than 300 financial instruments. The company always ensures that its financial transactions are audited to the best industry standards, which allows traders to withdraw their funds without any hassle. Therefore, HYCM has indeed done enough to be declared one of the best regulated forex brokers for traders outside the US.

Plus500 – A Solid Option for Professional Traders

Plus500 is a leading broker under the supervision of top regulators such as the Financial Conduct Authority of the UK, Cyprus Securities and Exchange Commission, Australian Securities and Investments Commission (ASIC), and the Monetary Authority of Singapore (MAS). The company does not have a presence in the Americas, but it does cater to global retail traders through its brokerage in the Seychelles. Plus500 had the potential to make it into our best forex brokers list as it offers the widest range of financial instruments, a transparent fee structure, and a professional account option for high-volume traders. However, the broker is very restrictive in its acceptance of clients from all countries despite having a global presence.

Additionally, the company only offers users its proprietary trading platform and does not support third-party apps such as MetaTrader or cTrader. It also does not provide access to social trading tools, nor does it offer the option of custom indicators, automated trading, or advanced analytical tools for professional traders. These factors ultimately spoiled the broker's chances of making it into our list of winners. Nevertheless, Plus500 is truly one of the best regulated forex brokers in the market and certainly worth your time and investment if you are not overly worried about the few minor drawbacks.

OctaFX – Trader-Focused Broker with Excellent Customer Satisfaction

OctaFX is the fastest-growing forex broker in the world and enjoys a stellar reputation among retail traders. The company appears committed to improving customer satisfaction, which explains the positive feedback we see in online customer testimonials. OctaFX provides a wide range of dealing protocols, including STP and ECN accounts, as well as access to the top trading terminals, such as MT4, MT5, and cTrader. Traders can also sign up for amazing bonuses via the broker's different promotional programs. However, the best feature might be the availability of live trading contests, which promise real cash prizes for winners of the broker's numerous competitions.

While OctaFX may appear to be the best option for smaller retail traders, the lack of some elements prevents it from being featured in our list of the best FX brokers. For instance, the company is supervised only by a couple of tier-2 regulators, which does not generate a great deal of trust in its operations. Besides, it has higher costs for its forex and CFD products, especially its cTrader accounts, resulting in an expensive trading environment for high-volume traders. The broker also focuses more on the Asian and Middle Eastern markets, which may deter traders from other regions from signing up. Nonetheless, if you are looking for the ultimate in customer satisfaction, OctaFX is undoubtedly one of the top forex brokers in the industry.

Alpari – A Commendable Copy Trading Platform

With more than 2 million clients and over 20 years of experience in the industry, Alpari is another huge name in the forex market and one that is tough to ignore. The broker used to be among the top players from 2000 to 2015 and continues to be a household name in many countries. However, it has been on somewhat of a downward spiral in recent years, partly due to regulatory restrictions and competition from some of the other best forex trading brokers in the industry. So, what did the company do that pushed it down the overall rankings?

One of the pressing concerns with Alpari is the lack of regulation by any top watchdogs, such as the FCA or the CySEC. The FCA did supervise the company in the past, but the UK division filed for insolvency and was put in administration. Therefore, it is normal for traders to feel insecure about the broker's overall safety. Regardless, Alpari operates from its international office in Saint Vincent and the Grenadines and has developed an excellent FX platform that boasts one of the most advanced copy trading systems in the market. The broker offers both the ECN and market maker protocols, which adds to the appeal of signing up for an Alpari account.

CMC Markets – Low-Cost Trading for Beginner Traders

CMC Markets is one of the best online forex brokers for beginner traders, who get access to some of the most advanced research and educational tools through the company's website. The broker offers 6 different asset classes and low-cost trading through an automated dealing desk protocol. The CFD trading conditions ensure that beginners can access a relatively stable trading environment while building their way to advanced trader status through the broker's learning resources. However, there are a couple of reasons why our expert reviewers did not choose CMC Markets as the outright winner in the best forex brokers for beginners category.

With CFDs, there is a conflict of interest between the broker and the trader. An ECN, STP, or DMA account could minimize the risk for advanced traders, and such an option can also help beginners when they are ready to move to advanced trading. The absence of direct market access trading was a huge deterrent for our reviewers. Additionally, the broker does not offer automated or social trading platforms. Most peers offer some form of social trading tools to their users, and such an absence may disadvantage new traders. Regardless, the impressive number of tradeable assets, lower spreads, and strong regulatory compliance should help beginners enjoy a safe trading experience.

Saxo Bank – Excellent Option for Corporate and Institutional Traders

Saxo Bank is an investment bank that provides advanced brokerage services for professional trading. It delivered consistently solid results in our live performance tests and scored great points in our best forex brokers review. The company has the best platforms, competitive spreads, and remarkable trading conditions. Why then did Saxo Bank fail to secure a spot on the winners' list? Despite the numerous advantages, the minimum investment required for opening a basic Saxo Bank account is $10,000.

While this is a negligible amount for professional, corporate, and institutional traders, smaller retail traders may find it hard to cough it up. Higher account categories are even more expensive, with the platinum and VIP accounts requiring at least $200,000 and $1 million, respectively.

The broker has a proprietary trading platform that is far more advanced than any other proprietary apps in the market. It offers excellent features, such as workspace management, algorithmic trading, advanced charting, and API support. Still, we could not find the MetaTrader or cTrader option, which would be more familiar to retail traders. Regardless, we recommend Saxo Bank to those of our readers who can invest at least $10,000 and endorse it for corporate or institutional investors.

Forex.com – Great Choice of Trading Platforms for Active Traders

Forex.com is an excellent choice if you are looking for the best collection of trading platforms, superior trade execution speeds, competitive pricing, and ECN/STP protocol options. The broker supports more than 4,500 markets, offering access to 7 different asset classes along with transparent pricing, competitive spreads, and impressive cashback rebates. There are multiple platform choices, starting with the standard MetaTrader terminal in both the MT4 and MT5 versions. However, Forex.com has also developed a proprietary app, the Advanced Trading Platform, which is available for desktop and web-based trading. All of these features contribute to an extraordinary trading environment for active traders.

In general, we could not find any profoundly consequential drawbacks with Forex.com, but there are a few minor inconsistencies in the broker's service portfolio that relegated it to a lower spot in our best forex broker comparison rankings. The company does not accept clients from several major markets. Its international operations are overseen by a branch located in the Cayman Islands, which is not an ideal jurisdiction for financial companies that value a good reputation in the market. We also found the website to provide outdated information, possibly due to a lack of proper maintenance. Nevertheless, the overall services are impressive, and we determined the choice of platforms and ECN/STP conditions to be excellent for active traders.

FP Markets – Raw Spread Trading with Minimum Investment

Australian brokers such as FP Markets provide a competitive trading environment that promises raw spreads, low minimum investment, and outstanding regulatory compliance. The broker offers the standard and ECN protocols with a minimum deposit requirement of $100. Both protocols connect traders directly to the liquidity pool, thereby ensuring no conflict of interest. Traders have a choice between the MT4 and the MT5 terminals, which ensures fast order execution, direct market access, and lack of restrictions on the use of EAs or other custom tools.

FP Markets has the necessary attributes to emerge as a winner in a highly competitive marketplace. In spite of this, we could not include it in our winners' list due to some pressing concerns. ASIC regulatory protection extends only to traders in Australia, while global clients are redirected to the company's international brokerage division, which operates out of Saint Vincent and the Grenadines. Another major concern is that the broker does not guarantee negative balance protection, implying that traders can lose more money than deposited. This feature is mostly standard across the industry, and its absence does detract from the appeal of FP Markets.

Nevertheless, the raw spread access and the low barrier to entry make FP Markets a highly reliable option for retail traders.

Markets.com – Honorable Mention for Overall Services

Markets.com had all the makings of an overall winner in our best forex trading brokers review list, but we found some pressing concerns that need to be addressed. We were surprised to discover that the spreads were a little higher than the usual.

The company has also failed to introduce a social trading or a copy trading platform, which are nowadays a permanent fixture of online brokerages. There is no ECN or STP account on offer since the broker acts as a market maker with an automated dealing desk protocol. It does work with global liquidity providers for passing trades to the interbank liquidity pool, but if needed, it may match orders internally and take the opposite position to its traders. Therefore, there might be a conflict of interest when dealing with the broker.

Despite these slight inconveniences, we found Markets.com to be one of the best brokers for forex trading. Traders can access more than 2,000 financial instruments, including shares, bonds, crypto, and indices. Traders can choose from a wide range of platforms, including the conventional MT4 and MT5 terminals, and the broker's proprietary apps, for example, marketsx and marketsi. The company also provides complete mobile trading support through the MetaTrader and proprietary platforms, which are available for Android and iOS devices. When it comes to overall services, Markets.com is undoubtedly a robust option for retail traders.