Choosing the Best Forex Broker

Want to trade forex? You’re going to need an online forex broker, and that broker should offer a reasonable investment minimum, high-quality trading tools, robust access to
customer service and no hidden account fees.

As with evaluating any vendor, To find a suitable online forex broker — whether you’re a new investor or a seasoned active trader - do your homework. To maintain maximum objectivity, we will neither recommend brokers nor specific reviews or websites that provide them. To speed your search, however, we offer the following guidance. 

Suggested search terms to find broker reviews

Search for reviews using the obvious combinations of keywords like:

  • “Forex brokers” AND (reviews OR comparisons)
  • “Forex trading” AND “recommended brokers”
  • “Online forex trading” AND “broker reviews”

If you’re curious about a specific broker, try searching for specific reviews about them. For example,

Continue reading for more information or start trading and test a forex broker in real-time.

Criteria to Consider a Forex Broker

Once you’ve seen some reviews and have a list of possible brokers, consider how they compare on the following criteria.

For example, for active traders, we note providers offering volume discounts on trade commissions and robust mobile trading platforms. For people venturing into investing for the first time, we call out brokers that provide educational support and on-call chat or phone support.

1. Overall good reviews 

While there are many forums you can find online, anyone can post anything to many of these, making them great spots for any loser seeking to vent frustration at a broker. Unhappy customers are more likely to post than satisfied ones. You may well do better sticking to websites like that do their own independent reviews. When visiting these sites, look for evidence credibility. Does the site reveal weaknesses as well as strengths, or do the reviews sound like they were written by the broker’s marketing writers? Also, take note if the same brokers that get to previews are running advertisements or have links on the site to open an account, which creates potential conflicts of interest. Check other sites and forums and try to pick up the overall level of satisfaction. Sites dedicated to industry news and can also be a source of who’s doing well and who’s in trouble.

Look for what traders and reviewers say in regard to information about:

  • Transaction costs: commissions (if any), spreads, rollover rates, quality of execution.
  • Trading platforms: Many offer a choice, from simple platforms to more advanced and complex ones.
  • Regulation: Where are they located and who regulates them?
  • Support: Customer service and trading support.

2. The overall feel of the site

If the site lacks a professional look and feel, if it feels cheap, is hard to navigate, or behaves poorly, there’s no reason to expect that your impression will improve with time. Does it look more like a gambling site (gaudy animation, loaded with promises of returns that seem too good to be true, etc.) than a serious investing site?

3. Check out the “About” page

The longer the company has been in business, and the more impressive the management team (their profiles are often available at, the more likely they have a reputation and investment to protect.

4. Clear Links to Quality Analysis and Training

Content quality is key, and an excellent way to tell who the quality brokers are. Brokers that don’t offer a variety of quality analysis and training that actually helps you find and execute trades (versus just having generic news items) either don’t have the financial resources and stability to help you or don’t care enough to do so. These sites are probably run by gambling-site types. Their business model is to offer minimal content, just for show, while investing heavily in marketing campaigns to provide a needed steady supply of new suckers, gambler sheep, to be fleeced and slaughtered within a matter of months. Remember, unless they’re providing useful guidance that helps you survive and succeed, they’re probably assuming you’ll fail quickly. Move on.

Note: Often a broker will have a content site separate from the main site. As long as the content site is easy to access from the main site’s homepage and offers quality content, that’s fine. That content should ideally include:

  • The analysis that guides you to successful long- and short-term trades. Big picture fundamental and technical analysis over long and short terms (daily, weekly, and, ideally, quarterly outlooks).
  • Trader training: on the full gamut of topics covered in this article, aimed at a variety of levels. If the material is superficial, then it’s more likely serving as a way to fool the gullible into thinking they’re ready to succeed, when instead they’re just ready to be exploited.

5. The range of assets offered to trade

The wider the variety, the greater your chances of finding a reliable trend in one or more of them.

When you’re a beginner investor, the right forex account can be so much more than simply a platform for placing trades. It can help you build a solid investing foundation — functioning as a teacher, advisor, and investment analyst — and serve as a lifelong portfolio co-pilot as your skills and strategy mature. 

More guidance to help you pick the right forex broker

How much money do I need to get started forex trading?

Not much. Note that many of the forex brokers have no account minimums for standard forex accounts. Once you open an account, all it takes to get started is enough money to cover the cost of a single trade. However, to increase the odds of success avoid starting with less than $1.000 (See also What is forex and how does it work)

Shouldn’t I just choose the cheapest forex broker?

Trading costs definitely matter to active and high-volume traders. If you’re a high-volume trader — buying bundles of 100 to 500 lots at a time, for example — brokers offering an ECN Account with zero spread are cost-effective options. Spreads are less of a factor for buy-and-hold traders, a strategy we recommend for the investors (See How to Trade Forex to succeed right from the start).

Most brokers do not charge a commission per trade, spread and swap are the only costs. But other factors — access to a range of investments or training tools — may be more valuable than saving a few bucks when you purchase shares (See How to seek professional support).

Is my money insured? What kind of forex account? How quickly can I start forex trading in Kenya? The short answers are:

  • Your money is indeed insured, but only against the unlikely event, a brokerage firm goes under. A broker’s coverage doesn’t cover any loss in the value of your investments.
  • Usually, you have to choose between a standard or retail, professional and institutional account. Our guide to brokerage accounts goes into more detail about what’s involved in setting up a forex trading account.
  • After you’ve opened the account, you’ll need to initiate a deposit or funds transfer, which can take anywhere from a few minutes to a day. Once that is complete, it’s off to the trading races! And by that, we mean taking a thoughtful and disciplined approach to investing your money! ​

Understanding how to choose a forex broker is important, but if you want some help, sign-up and our trainers will provide you step-by-step guidance to get started. Start trading and test a forex broker in real-time with a 20$ welcome bonus. Use code WELCOME20 at registration.

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Categories:  Forex