How can you know which broker is among the best forex broker in the world? What standards were used to determine that? This article is the answer for you. Trusted by many, the best forex brokers tend to be the ones that focus on traders, constantly improving their trading conditions to help traders earn money, and not concentrating on short-term profits or paying IBs more money to attract customers. In the opinion of forex experts, for a broker to qualify as the best, the broker must meet the following standards:
In this article I only adapt from trusted and very experienced parties in forex, namely BRKV and this is just information where the blog verandalounge does not take advantage of affiliates or sponsored by a particular forex broker.
And here are 10 best forex broker and trusted 2020 that meets the above standards:
- Think Market
- Saxo Bank
The best forex brokers must have trusted regulations
There is a lot of discussion about brokerage regulations discussed in various forums. They said they chose a US broker because they trusted the US financial management system. Then “What about the UK, AU, Hong Kong, Singapore and Japan?” this is also good and also many forex brokers who get trust and license for asian forex brokers.
However, US and UK regulations are better. If a forex company can get hold of any of these regulations, it means their trading platform, their technical, financial health and management are all in good shape. Because it is not easy to get this license. The broker must meet all the qualifications of these regulations to be licensed.
Below are the 3 best forex brokers with US, UK regulations:
But that doesn’t mean that brokers that don’t have US, UK regulations are unreliable or less reliable. However, the reason is because they have no business in the region. Asia is the second largest forex market in the world. So, many brokers become big forex brokers just by serving this market like Exness. Exness is the largest retail forex broker today. Their forex trading volume last month was nearly $ 400 billion, and 99% of this volume came from Asia. They don’t have a US license. This is not a problem because they do not do business in the US
3 Biggest Retail Forex Brokers 2019.
- Exness: $ 395 billion
- XM: $ 320 billion
- Hotforex: $ 300 billion
If you are an Asian and African trader, I do not recommend that you trade with US and UK brokers. Because their spreads and commissions are much higher than brokers from other continents.
Conclusion for regulation. Rules are very important. If our country has regulations, we have to trade with a broker who has regulations with our country. But if our country has no regulations, that means no matter how many licenses the brokers have, they will not protect us. In this case, we need to choose a broker that has 1 trusted regulation, which is enough. These regulations can take the form of the US, UK, AU, JP, Hong Kong, Singapore, and CySEC. All of these are trusted regulations.
Top 5 Most Trusted Brokers:
- Exness CySEC, FCA
- XM CySEC, FCA, ASIC
- HotForex CySEC, FCA, FSCA
- FBS CySEC, IFSC
- FXTM IFSC
The best forex brokers must have good ratings and no scams to be reported
As always, it is highly recommended to choose a broker that is over 10 years old and does not have a reputation for being a claimed scam. I think 10 years is enough for the broker to prove itself. There are lots of big annual economic news which affects the fx market. We can see how this broker solves this problem and how they treat their clients.
For example, in 2015, when the Swiss Central Bank used its CHF. CFH / USD changes by more than 3000 pips. Most of the brokers are missing. Some brokers lose hundreds of millions of Dollars.
The best forex brokers should have low spreads and commissions
As traders, we all want the lowest possible trading fees because these small fees can add up to a fair amount of money after a long time trading forex. That’s why it’s also important to pay attention to your broker’s trading fees.
For those of you who are unfamiliar with the terms spread and commission, both are the main income for the broker. When a broker gets its quote from a liquidity provider, some sort of transaction fee (spread) will be added to the quote. This process is called mash up. There are two types of brokers in total: a dealing desk and a non-dealing desk. Spreads are basically the main income for dealing desk types, while the main income of non-dealing brokers is mostly the commission paid by traders.
So obviously, a good broker should always be one with low spreads and / or commissions. After doing some research yourself, below are the specific spreads on the most popular currency pair, EUR / USD, of the 5 best fx brokers:
- Exness – 0.8 pip
- Hotforex – about 1 pip
- FBS – 1.1 pip
- XM – about 1.7 pips
- FXTM – approx. 1.7 pips
Bonuses and rebates are types of discounts
US and UK regulations usually prevent their brokers from offering discounts or bonuses. This is one of the main drawbacks of having too many rules which I have listed above. Professional or expert traders may not care much about bonuses because they have invested too much money to care about a slight increase in their profits. However, for regular traders like us a good rebate / bonus program should not be neglected. The $ 5 rebate per slot means you basically save on the 0.5 pip spread. These advantages may prove really beneficial for small and medium traders in the long term.
Of the 5 brokers that I have mentioned above, only FBS and XM have good bonus programs. You can get a welcome bonus of $ 30 when you create your account for the first time. What’s more amazing is that you can also get a 100% bonus when making a deposit for this account. FBS offers many types of bonuses such as deposit bonuses, welcome bonuses, or loyalty programs. They have the highest level of bonuses, up to $ 123. Their deposit bonus gives back traders 100% of the deposit amount. Also, there is a cashback program, which gives you $ 7 for every lot traded.
The best forex broker must have a better trading platform
Like you know, MT4 and MT5 is one of the forex trading software most popular. But they are not perfect because they are not compatible with some operating systems such as Windows Vista and Windows XP, as well as smart phones. That is why some brokers have taken the initiative to invest in their own trading platforms which are more compatible with older smartphones and operating systems.
XM is currently ahead of everyone in the growing / improving trading platform area.
The best forex brokers must have offices in your country
Needless to say, customer service is one of the most important when doing business because business is about people, trust, and profit. Not to mention that the entire forex trading market is a rather broad and complicated place that sometimes newbies / new traders find themselves missing. They almost always need professional help as well as advice on how to make money safely.
Of course, they should be on the list of the biggest forex brokers. If they have offices in your country, they are more reliable. Each broker has their targeting country. And they only open offices in countries where they are popular. They can only become popular in your country when they offer the best service and most competitive conditions if you have a comparison between brokers.
What’s more, when they have an office in your country they will support you much faster. If there is a problem, you can get support from their office. If they cheat you, the law will protect you.
- Exness has local offices in Cyprus, China, Malaysia, Singapore, Indonesia and Thailand
- XM has local offices in Spain, New Zealand, Greece, Hungary, Indonesia and Australia
- FBS has local offices in Thailand, Myanmar, Malaysia, Laos, Turkey, Korea, Indonesia and Africa
However, that doesn’t mean brokers who don’t have offices in your country can’t be relied on. As I mentioned above, the brokers at the top largest forex companies with the above regulations are quite trustworthy. If they have offices in your country, they are even better off. FBS takes the lead in this category as they have much more complete offices in various Asian countries such as Indonesia, Malaysia, Thailand, Myanmar, China, Korea, and Egypt.
For countries without regional offices, they offer online or telephone support in English or your native language. Language support is very important for traders who want to work with the best forex brokers in Asia as those traders may not be very good at speaking English. Here is a list of brokers who can help you in different languages.
- Exness supports 18 languages 24/7
- XM supports 23 languages 24/7
- HotForex 27 languages support
- FBS supports 19 languages
- FXTM supports 19 languages
The best forex broker must have the best payment system
Payment system fast and unlimited is the best. Everyone deserves a quick return and deposit. I know some brokers try to refuse a withdrawal if you withdraw too much. Because they don’t have enough money for withdrawals. And if they make you money for too long, you can lose all your funds in forex trading. So, don’t trade with a broker like this.
Good payment systems are:
- Fast deposit and withdrawal system.
- High minimum withdrawal limits.
- Low or zero fees for deposits and withdrawals.
- Local payments.
Everything I mentioned above has a great payment system and Exness has the best payment system. All transactions are instant. You can get your money in seconds. You can also withdraw payments on weekends. There are many free and local payment systems that are all instantaneous and free. FBS has the second fastest payment system out of the 5 brokers I mentioned.
Why is the Exness Payment system so fast? The Exness payment system is truly one step ahead of every other broker. It is fully automatic, all work is done by the system. The Exness payment system is programmed to make a comparison between your transfer / withdrawal information and your personal ID to ensure that every transaction is always guaranteed.
And here are 5 brokers that I think are the best forex brokers:
- Exness: 9/10.
- XM: 8.5 / 10.
- HotForex: 8.5 / 10.
- FBS: 8/10.
- FXTM: 8/10.
And that’s the list of 10 best forex brokers that you can try to make a profit. Actually there are still many of the best forex brokers in Asia that I haven’t mentioned, maybe next time I will make another article about forex for you. Hopefully this information is useful for you.