Best Online Brokerages for Forex Trading 2024
Finding the best online trading platform can be a complicated process. To make this process easier, our researchers conducted a thorough analysis of the best online brokerages for foreign exchange trading based on FX spreads, commission fees and market access.
Table of Contents
Best Overall Forex Trading Platform: Interactive Brokers
Interactive Brokers is the best platform for forex trading due to its low spreads, wide market access and minimal fees. The platforms fees are typically far lower than the market average and its commission fees are negligible. Furthermore, Interactive Brokers offers traders access to 22 trading currencies. On top of its competitive offerings, Interactive Brokers provides a wealth of educational materials to its users.
Currency | Min. Spread | Industry Average |
|---|---|---|
| EUR USD | 0.1 | 0.7 |
| USD JPY | 0.1 | 0.7 |
| GBP USD | 0.3 | 0.9 |
| AUD USD | 0.1 | 0.7 |
| * figures based on min. advertised spreads advertised October 21, 2020 | ||
| Monthly Trade Amount | Commission | Minimum Fee per Order |
|---|---|---|
| $1 billion or less | 0.20 basis point[3] * Trade Value[4] | USD 2 |
| $1 billion - $2 billion | 0.15 basis point[3] * Trade Value[4] | USD 1.50 |
| $2 billion - $5 billion | 0.10 basis point[3] * Trade Value[4] | USD 1.25 |
| $5 billion+ | 0.08 basis point[3] * Trade Value[4] | USD 1.00 |
| Figures in USD. | ||
| [3]: basis point=0.0001. | ||
| [4]: Commissions for currency trades are calculated off the trade value and then converted and charged to the base currency of the account. | <<< | |
| USD | AUD | CAD | CHF | CNH | CZK | DKK | EUR | GBP | HKD | HUF |
|---|---|---|---|---|---|---|---|---|---|---|
| ILS | JPY | MXN | NOK | NZD | PLN | RUB | SEK | SGD | ZAR | KRW |
Best for Overall Online Brokerage: Saxo Markets
Saxo Markets is a great choice for investors that seek to make FX trades while also investing in a range of other securities (e.g. stocks, bonds, ETFs), due to its great market access and low fees. In general, the brokerage's trading fees are the most competitive of the platforms available in Singapore and its forex spreads are the second-lowest. Additionally, Saxo does not charge commission fees for FX trading, making it a good fit for frequent traders.
Market | Bronze | Silver | Gold | Platinum | Diamond |
|---|---|---|---|---|---|
| EUR USD | 0.6 | 0.6 | 0.6 | 0.5 | 0.4 |
| USD JPY | 0.6 | 0.6 | 0.6 | 0.5 | 0.4 |
| GBP USD | 0.7 | 0.7 | 0.7 | 0.6 | 0.4 |
| AUD USD | 0.5 | 0.5 | 0.5 | 0.4 | 0.3 |
| EUR JPY | 0.7 | 0.7 | 0.7 | 0.6 | 0.4 |
| * figures based on min. advertised spreads | |||||
Market | Bronze | Silver | Gold | Platinum | Diamond | Industry Average |
|---|---|---|---|---|---|---|
| Singapore | 0.08% | 0.06% | 0.05% | 0.04% | 0.03% | 0.22% |
| US | 0.06% | 0.04% | 0.03% | 0.025% | 0.02% | 0.27% |
| Japan | 0.15% | 0.15% | 0.15% | 0.10% | 0.08% | 0.32% |
| HK | 0.15% | 0.15% | 0.15% | 0.12% | 0.10% | 0.21% |
| EU | 0.10%-0.30% | 0.10%-0.30% | 0.10%-0.30% | 0.07-0.25% | 0.05-0.20% | 0.31% |
| * Saxo min. SG: S$5; US:$3-$4; JPY1,000-1,500; HKD60-90; EUR6-12 | ||||||
Market | Bronze | Silver | Gold | Platinum | Diamond |
|---|---|---|---|---|---|
| US 30 | 1.8 | 1.8 | 1.8 | 1.6 | 1.4 |
| US 500 | 0.6 | 0.6 | 0.6 | 0.5 | 0.4 |
| Japan 225 | 10 | 10 | 10 | 8 | 6 |
| HK 50 | 7 | 7 | 7 | 6 | 5 |
| GER 30 | 2.0 | 2.0 | 2.0 | 1.5 | 1.0 |
How to Compare Online Brokerages as a Forex Trader
There are a few important characteristics to consider when choosing an online platform for FX trading. Investors should first consider the comparative cost of each brokerage. The best way to do this is to compare average spreads for currencies of interest.
Additionally, some platforms charge commission fees with each trade or a monthly fee for using the service. Furthermore, users should be aware of the ease of use of each platform.
Finally, investors seeking to buy and sell a range of securities should consider how competitive the platform is in terms of the pricing and offerings of these assets. We also strongly suggest that investors have a thorough understanding of FX markets before investing their own funds.
Methodology
In order to conduct our review of the best online brokerages for foreign exchange trading, we researched the FX spread pricing of the top platforms available in Singapore, as this is the most indicative measure of each platform's forex trading costs. We used comparable pricing data from July 2019 when possible and live spreads from August 2019 in all other cases.
| Online Trading Platforms in ValueChampion's Study | ||
|---|---|---|
| DBS Vickers | i*Trade | IG |
| Interactive Brokers | iOCBC | KGI Fraser |
| LCG | Lim & Tan | Maybank Kim Eng |
| Oanda | Plus 500 | POEMS 2.0 |
| RHB Securities | Saxo Markets | Standard Chartered |
| TD Ameritrade | Thebinaryoptionsexpert | U Trade |
Read More:
- A Basic Guide to Forex Trading
- How Options Work: A Basic Guidet
- Average Cost of Online Brokerages in Singapore
Stephen Lee is a Senior Research Analyst at ValueChampion, specializing in insurance. He holds a Bachelor of Arts degree in International Studies from the University of Washington, and his prior work experience include risk management and underwriting for professional liability and specialty insurance at Victor Insurance. Additionally, Stephen is a former US Peace Corps Volunteer in Myanmar (serving between 2018-2020), where he continues to provide business development consulting services to HR companies in Asia Pacific.