Whether you decide to trade with regulated broker or take changes with unregulated entity, it is important to know your options and possible consequences in both cases. Making educated decision is a necessity and part of economic security of your funds with a specific broker from the first time you make a deposit until the moment you want to withdraw the money. Without regulation, you risk an exposure to scam and fraud. It is up to you to take this type of risk and whether it is worth it.
In short and simple wording, the top regulatory bodies are as follows:
US - National Futures Association (NFA) and Commodity Futures Trading Commission (CFTC)
Europe - Financial Services Authority (FSA UK) and Cyprus Securities and Exchange Commission (CySEC)
You can find other trading related regulations and information over the internet without much trouble. The information is openly available and you can catch up with the latest updates and rules.
So when you are deciding on a broker, it is wise to check out what is their regulation and requirement in terms of security of your funds and personal information. Brokers with more than one supervisory body are overall considered to be much more reliable than brokers with just one. Another factor is which regulatory authority is responsible for the selected broker - some are more strict than others.
Forex Explore have collected the top licensed Forex brokers you can choose from with most reliable broker features and trading conditions.
Best Regulated Forex Brokers 2022
|Regulated Broker||Rating||Demo||Leverage||Bonus||Platforms||Regulation||Min Deposit||Payments|
|OctaFX||9||yes||1:500||up to 50%||MetaTrader 4, Metatrader 5, cTrader||FCA UK||50||Neteller, Skrill, Fasapay, Visa, Mastercard, Malaysian, Vietnamese, Indian, Indonesian, Bangladeshi local banks, Bitcoin, Unionpay|
|LiteFinance||8||yes||1:500||30% + 15%||Metatrader 4, Metatrader 5, WebTerminal||CySEC, Marshal Islands Business Corporation Act.||10||Skrill, Webmoney, Bitcoin, Advcash, Credit Card|
|XM||8||yes||1:888||$30 no deposit||MetaTrader 4, Metatrader 5, XM Webtrader||CySEC, ASIC Australia, IFSC Belize||5||Credit/Debit Card, Neteller, Skrill, WebMoney, Bank Wire Transfer|
|AvaTrade||7||yes||1:400||100%||AvaTrader, MetaTrader 4, MetaTrader Floating Spread, Mac Trading, Web Trading, Mobile Trading, Automatic Trading, AvaOptions||Central Bank of Ireland, ASIC, Financial Services Commission of British Virgin Island||100||Credit Cards, Debit Cards, Skrill, Wire Transfer, PayPal, Neteller, WebMoney|
|InstaForex||7||yes||1:1,000||$100 No Deposit Bonus||MetaTrader 4, Metatrader 5, Webtrader||RAFMM||1||Some local Bank transfers, PayCo, AstroPay, Cryptocurrency|
|FxPro||5||yes||1:500||up to $1,000||FxPro cTrader, FxPro cTrader Web, MT4 Client Terminal, MT4 MultiTerminal, MT4 WebTrader, MT4 Premium||FCA, CySEC||100||Credit/Debit Card, Bank Wire, PayPal, Neteller, Skrill|
|FXCM||5||yes||1:200||-||Trading Station II, MetaTrader 4, Active Trader, Forex System Selector||UK Financial Conduct Authority, AFSL||250||Credit/Debit card, Online Check, Bank Wire, Paper Check|
|Plus500||5||yes||1:200||30%||Plus500||Israel Securities Authority||500||Skrill, Credit Cards, Wire Transfer|
|Dukascopy||4||yes||1:500||-||Dukascopy||KPMG ARIF||250||Wire, Bank Guarantee, Standby letter of Credit Segregated Accounts|
|Forex.com||4||yes||1:200||-||ForexTrader platform (in-house), MetaTrader 4||CFTC, NFA, FCA (UK), ASIC (Australia), ILLROC (Canada), SFC (Hong Kong), FFAJ (Japan)||50||wire transfer, Credit/Debit Card, Check|
|HYCM||4||yes||1:400||25% up to $5,000||Metatrader 4||FCA UK, CySEC, SFC||100||credit cards, wire transfer, Skrill, webmoney|
|IronFX||4||yes||1:500||40%||Metatrader 4||ASIC, CySEC, DFSA, FCA UK, FSB, UCRFIN, CRFIN, Member of Eurex Exchange, Consob, BaFIN||100||credit cards, Fasapay, neteller, qiwi, skrill, webmoney, wire transfer|
|CMTrading||4||yes||1:400||15% match||MetaTrader 4, Sirix||Financial Services Board (FSB) South Africa||200||credit/debit cards, Wire transfer, CashU ,Skrill|
|Blueberry Markets||4||yes||1:500||MetaTrader 4||ASIC||100||credit cards, wire transfer, POLi, Skrill|
|Trade Nation||4||yes||1:30; 1:200||in-house web-based platform, Metatrader 4 MT4||FCA in the UK, the ASIC in Australia, the FSCA in South Africa and the SCB in the Bahamas||1||Credit Card, Srill|
|FXDD||3||yes||1:200||-||MetaTrader4, FXDD Trader, Power Trader, FXDD Auto, MTXtreme||Malta Financial Services Authority (MFSA)||100||Wire, PayPal, Check, BPS|
|Oanda||3||yes||1:50||Metatrader 4, FXtrade||NFA||1||check, Credit cards, PayPal, Wire transfer|
|iFOREX||3||yes||1:400||-||FXnet Trader||HFSA in Hungary, CySEC||100||credit cards, wire transfer|
|AdvancedMarkets||3||yes||1:50||-||Advanced Trader/Pro/Prime, Fortex FX||Australian AFSL, ASIC||500||Wire, Check|
|FP Markets||3||yes||1:500||10% credit bonus||MetaTrader 4 (MT4), IRESS, Mobile trading||ASIC||200||credit cards, UnionPay, Neteller, Skrill (3% fee), Wire transfer, BPay and broker-to-broker transfer|
|DFMarkets||3||yes||1:200||10% Trading Credit Promotion up to $1,000||DFTrader, DF WebTrader, DF Mobile||FCA||100||Bank wire, Credit/Debit cards|
|Tickmill||3||yes||1:500||-||MetaTrader 4, Webtrader||FCA UK, FSA Seychelles||100||wire transfer (commission are charged), credit/debit cards, Skrill, Neteller, FasaPay, UnionPay and WebMoney|
|TenkoFX||3||yes||1:500||MetaTrader 4, Webtrader||International Financial Services Commission of Belize||10||Skrill, Neteller, FasaPay, Webmoney, Yandex Money, Qiwi|
|Z.com Trade||3||yes||1:200||Z.com trader web, Z.com trader pro (demo account only)||FCA UK||1||credit cards, wire transfer, china unionpay, skrill|
|Freshforex||3||yes||1:1000||+5% to each cryptocurrency deposit; get 300% for each deposit||Metatrader 4||KROUFR||1||WebMoney, ePayService, Skrill , FasaPay, ADVCash, Perfect Money, Neteller, OnlineNaira NGN/USD, E-wallets for the Philippines, Visa/Mastercard/Maestro USD/EUR, Local Depositors, Bitcoin, Internet Banking|
|Pepperstone||3||yes||1:500||100% Match Bonus||Metatrader 4, Metatrader 5, cTrader, cAlgo, cMirror||ASIC, FCA UK||200||bPay, credit cards, Paypal|
|TradeFW||3||yes||1:30||https://www.forexexplore.com/forex-brokers/tradefw-review||Cysec||0||Bank wire, Credit/Debit Card.|
|CMCMarkets||2||yes||500:1||-||Next Generation web-based||FCA||1||Credit cards, Wire Transfer|
|ActivTrades||2||yes||1:400||Metatrader 4, Activtrader||FCA||100||Credit Card, Wire transfer, neteller, skrill, sofort|
|Saxo Bank||2||yes||1:100||n/a||SaxoTrader||Danish Financial Services Authority and operates in the UAE||5000||Wire|
|Blackwell Global||2||yes||1:200||-||MetaTrader 4, Blackwell Pro, Mobile||Financial Conduct Authority||2000||redit/debit cards, Neteller, Skrill, Wire transfer|
|AAAfx||2||yes||1:200||up to 30%||ZTP, MetaTrader 4, Binary options webtrader, Zulutrade||HCMC (Greece)||300||Wire, Credit Card, Skrill, Neteller, giropay, EPS, directpay24, teleingreso, ideal, qiwi, Bitcoin|
|XTB||2||yes||1:200||Metatrader 4, xStation, xMobile||CNMV (Spain), FCA (UK), FSA (Poland)||250||Credit cards, Neteller, Paypal, Skrill, Wire transfer|
|Anzo Capital||2||yes||1:1000||MetaTrader 4||yes||100||Webmoney, Skrill, Neteller, Credit Cards|
|EasyMarkets||2||yes||1:100||Metatrader 4, EasyMarkets web-based platform||ASIC (Australia), CySEC (Cyprus)||100||credit cards, neteller, Skrill, Webmney, wire transfer|
|CityIndex||2||yes||1:400||-||MT4 (MetaTrader 4), Advantage Web, Advantage Trader, iPhone, Android, Windows Phone App, iPad and Tablet App||Trademark of GAIN Capital UK Ltd - Regulated by FCA||100||Credit/Debit Cards|
|Markets.com||2||yes||1:200||up to $2,000||Meta Trader 4,MarketTrader, Market WebTrader, Market Java Trader, Market Mobile Trader, Market WAP Trader, Market iTrader, Market AutoTrader||CySEC, FSCA South Africa||100||Credit/Debit Cards, Wire Transfer, Webmoney, Local Payments|
|eToro||1||yes||1:30; 1:1 for Crypto Currencies||-||eToro Platform||CySec, NFA||200||Credit Cards, Debit Cards, Paypal, Neteller, Skrill, Webmoney, Wire Transfer|
|Tifia||1||yes||1:1,000||Metatrader 4, webtrader||Vanuatu Financial Services Commission VFSC||10||wire transfer, credit cards, skrill, neteller, perfect money, fasapay, okpay|
|FXOpen||1||yes||1:500||$100||MetaTrader 4||ASIC, FCA UK, Financial Dispute Resolution Scheme||1||Wire, WebMoney, AlertPay, CashU, c-gold, PerfectMoney|
|House of Borse||1||yes||1:100||MetaTrader 4||FCA UK||50000||credit cards, wire transfer|
|Fort Financial Services||1||yes||1:1,000||MetaTrader 4, CQG, Ninja trader, binary options||IFSC||5||Credit cards, webmoney, Skrill, Neteller, perfect money, fasapay, wire transfer|
|TraderTrust||1||yes||1:200||100% upto $5,000||SmartForex||CySec, VFCS||100||Skrill, Credit Cards|
|MEX Exchange||1||yes||1:500||Metatrader 4||ASIC||25||Neteller, Skrill, Fasapay, UnionPay, Credit Cards, Wire Transfer|
|FBS||1||yes||up to 1:3,000||$123 Welcome Bonus||MetaTrader 4, Metatrader 5, Webtrading||IFSC; Cysec||1||credit cards, fasapay, Indonesia local banks, Neteller, okpay, perfectmoney, Skrill, Webmoney, wire transfer, Thai local banks, Exchangers, Malaysian banks and Bitcoin by Skrill|
|Synergy FX||1||yes||1:500||MetaTrader 4||ASIC, AFSL||500||credit cards, skrill, wire transfer|
|FCI Markets||1||yes||1:100||Currenex, FCI NetStation, MetaTrader 4||FCA||250||credit cards, neteller, skrill, wire transfer|
|Fortrade||1||yes||1:200||Fortrader||FCA||500||wire transfer, credit cards, skrill, neteller|
|FXGiants||1||yes||1:500||MetaTrader 4||FCA||500||credit cards, neteller, paypal, skrill, unionpay, Webmoney, Wire Transfer|
|FXGlobe||1||yes||1:500||MetaTrader 4||CySEC||250||Credit cards, Neteller, Skrill, Wire transfer|
|FXoro||1||yes||1:400||Metatrader 4||CySEC||200||credit cards, wire transfer, skrill, neteller, ecoPayz, CashU|
|FXprimus||1||yes||1:500||Metatrader 4||Cysec||100||Bitcoin, China UnionPay, FasaPay, Neteller, Skrill, Wire Transfer|
|Infinox||1||yes||1:300||Metatrader 4||FCA UK||100||credit cards, wire transfer, skrill, neteller, china unionpay|
|JCMFX||1||yes||1:1,000||MetaTrader 4||FSA||10||credit cards, FasaPay, Wire Transfer, Neteller, Skrill|
|Larson&Holz||1||yes||1:500||Metatrader 4, Web Trader||FMRRC, NAFD||100||credit cards, wire transfer, neteller, paypal, Yandex, liqpay, alfa click, beeline, mtc, perfect money|
|LCG||1||yes||1:500||MetaTrader 4, LCG Trader (web-based, ECN accounts only)||FCA UK||1||wire transfer, debit/credit cards, Skrill|
|Mahi FX||1||yes||1:100||Metatrader 4, MahiFX||FCA UK, ASIC, FMA||1||wire transfer, credit cards|
|Pricemarkets||1||yes||1:400||MetaTrader 4 ECN, Currenex ECN, Integral FX, Liquid-x, Hotspot FX||FCA UK||500||wire transfer, credit cards|
|Rallytade||1||yes||1;1,000||Metatrader 4, xStation (web-based), xSocial, xOptions||FinaCOM||100||credit cards, neteller, skrill, Interswitch, Pocketmoni, etraszact, perfectMoney, WebMoney, VoguePay|
|Range Markets||1||yes||1:500||Metatrader 4||FSA of St. Vincent and the Grenadines||100||Neteller, Credit Cards, wire transfer|
|Rekuten Securities||1||yes||1:50||MarketSpeed FX, Trading Station (inherited from FXCM)||SFC||1||wire transfer, checks, ATM (only for local residents)|
|Roboforex||1||yes||1:500||MetaTrader 4, cTrader||Cysec, IFSC, FSP, FSCL||1||credit cards, QIWI wallet, webmoney, Yandex.money, RBK money, Skrill, FasaPay, CashU, Payoneer, China UnionPay, Neteller, Perfect Money|
|Trading212||1||yes||1:200||Trading212||FCA UK||100||wire transfers, credit and debit cards, PayPal, Dotpay, Giropay, SafetyPay, Carte Bleue, Mister Cash, Direct eBanking, CashU and UnionPay|
|AGEA||0||yes||1:500||$5 no-deposit bonus||Streamster, MetaTrader 4||no||1||Credit Cards, Wire, Skrill, Webmoney, e-Dinar, Neteller, FasaPay, Perfect Money|
|Oinvest||0||yes||1:200||Samsung Galaxy, iPhone||Metatrader 4||yes||200||Skrill, Neteller, Credit Cards|
|TrioMarkets||0||yes||1:300||-||MetaTrader 4, Sirix Webtrader||CySEC||100||Credit Card, Wire, Skrill, Neteller, Paypal and CashU|
|Orbex||0||yes||1:500||MetaTrader 4||CySEC||500||Skrill, Neteller, Wire Transfer, Credit Cards, CashU, Webmoney|
|GrandCapital||0||yes||500:1||$500 no deposit||MetaTrader 4, WebTrader||Financial Commission FinaCom, EDR Hong Kong external dispute resolution organization||10||Credit card, Neteller, Webmoney, CashU, Fasapay, Scrill, Webmoney|
|Alvexo||0||yes||400:1||-||MetaTrader 4, WebTrader, Mobile||CySEC||5000||Cash-U, Credit Card, Webmoney, Wire Transfer|
|NSFX||0||yes||200:1||Metatrader 4, Webtrader, NSFX Jforex platform||MFSA||300||credit cards, Skrill, CashU and wire transfer|
|Juno Markets||0||yes||1:400||-||MetaTrader 4||FinaCom||500||neteller, skrill, credit cards, wire transfer|
|KGIeworld||0||yes||1:50||-||MetaTrader 4||MAS||1000||Wire Transfer, Check|
|Abshire-Smith||0||yes||1:200||Vertex fx, Metatrader 4, straticator||FCA||500||CashU, Neteller, Skrill, Wire Transfer|
|Alfa Financial||0||yes||1:100||MetaTrader 4, AX1Trader||Central Bank UAE||10000||yes|
|Darwinex||0||yes||1:200||MetaTrader 4, cTrader||FCA||500||Bank Wire, Credit Cards, UnionPay|
|ETX Capital||0||yes||1:200||ETX Trader Pro, Metatrader 4, ETX binary||FCA||100||credit cards, wire transfer, firopay, neteller, skrill, sofort, china unionpay|
|Swissmarkets||0||yes||1:500||Metatrader 4, Webtrader||CySEC, MiFID||200||credit cards, wire transfer, neteller, skrill, iDEAL, giropay|
|Trade360||0||yes||1:1,000||35%, $60 no deposit for real account||Trade360||CySEC||100||credit cards, skrill, neteller, wire transfer|
|ForexMart||0||yes||1:1,000||$150 no deposit needed||Metatrader 4||CySEC||1||credit cards, Neteller, Skrill, Paypal, Paxum? Bitcoin|
|AETOS||0||yes||1:200||MetaTrader 4||FCA UK||250||Bank wire transfer, Credit cards, Debit cards, Skrill, ZOTAPAY|
|LH-Crypto||0||yes||1:500||Metatrader 4, Metatrader 5||yes||10||Bitcoin, Bitcoin Cash, Ethereum, Litecoin, Monero, DASH, Ripple, NEO, Visa, MasterCard, Web Money, QIWI, wire transfer|
|1Market||0||yes||1:400||Webtrader, Metatrader 5||Cysec||250||credit cards, bank wire transfers, Neteller, Skrill, Sofort, Rapid, PaySafe Card and Volt|
|PlusMarkets||0||yes||1:30||Metatrader 4, PlusMarkets Trader||CySec||0||cards, wire transfers, and some alternative payment methods, which aren’t specified|
|HonorFX||0||yes||1:500||Metatrader 5||FSA||100||Credit Cards, Neteller, Skrill, Paypal, Bitpay, Fasapay, Perfect Money|
|Tiger Brokers||0||Up to 4x (day trade), Up to 2x (next day)||Tiger Trade||US Securities and Exchange Commission, Australian Securities & Investments Commission (ASIC)||0||Bank Wire Transfer, FAST, DDA, PayNow|
|MarketBull||0||yes1000||1:1000||100% match the deposit||Metatrader 4||jurisdiction of the UK||1000||Credit Cards, Neteller, Skrill, Bank Wire Transfer|
|CedarFX||0||yes||1:500||MetaTrader 4||50||Credit Card, Bank Wire, Bitcoin|
|GCI Trading||0||yes||1:400||50% on deposit||MetaTrader 4, ActTrader||IFSC||500||Bank Wire Transfer, Credit Card, Neteller, Skrill|
|Axi||0||yes||1:400||Metatrader 4||ASIC, FCA, Financial Services Authority in Saint Vincent and the Grenadines||200||Debit and Credit Cards (Visa, Master, Maestro, JCB) Neteller Skrill/Moneybookers Global Collect (only for Australian clients) BPAY (only for Australian Clients) China Union Pay (only for Chinese residents) Bank Transfer Broker to Broker Transfer|
The question is simple - why to risk it when you can trade with regulated brokers. Once this is understood, there is another factor to take under consideration. Not all regulated brokers follow the same regulatory requirements. While some regulations might be blurry and murky, others are strict to the point where you might not want to trade with the broker because of it!
With that being said, it doesn't mean you cannot find a good Forex broker with decent regulation that works for your favor. We are here to provide you with our research summary and help you finding a good broker with outstanding features and safe trading environment.
What is a Forex Regulation?
Forex trading has long become a popular and most importantly widely accessible to all interested traders all over the world. This is of course a major attraction however it also caused forex markets to dwell into fraud and security issues. This is the main reason why many countries have adopted the regulation of forex trading activities. The watchful eye over online forex brokers by the regulated agencies such as UK’s Financial Conduct Authority and the National Futures Association in the U.S. keeps your trading activities secure and forex brokers at bay following set of rules and regulations under the jurisdictions.
Why should I trade with a regulated forex broker?
It is not a must to choose regulated forex brokers, but the advantages are obvious. Regulations are there to ensure that your trading activity is not tempered with and that all parties involved are following fair and ethical business activities. By monitoring forex brokers, banks, institutional investors and support industries and keep them in a straight line with set of rules brings traders and investors peace of mind in their daily activities in forex market.
Major Regulatory Bodies
Below is a wider list of Forex regulations listed together with their countries. Each regulatory body may have different regulatory requirements and their area of jurisdictions. The way of handling fraud and security policies may differ from place to place. Overall it is considered that US and UK regulatory agencies are stricter than other regulatory institutions with harsh regulatory requirements for better and for worse. Anyway, below you can find main regulatory bodies and their countries:
- Australia: Australian Securities and Investment Commission (ASIC)
- British Columbia Securities Commission
- Ontario Securities Commission
- Investment Industry Regulatory Organization of Canada (IIROC)
- Cyprus: Cyprus Securities Exchange Commission (CySEC)
- Denmark: Danish FSA
- France:Banque de France Autorité de Contrôle Prudentiel (ACP)
- Germany: Bundeszentrale für Finanzdienstleistungsaufsicht (Bafin)
- Hong Kong SAR: Securities and Futures Commission
- Indonesia: Badan Pengawas Perdagangan Berjangka Komoditi
- Italy: Commissione Nazionale per le Società e la Borsa
- Financial Services Agency,
- Japan Investor Protection Fund
- The Financial Futures Association of Japan
- Japan Securities Dealers Association
- Kanto Local Finance Bureau
- Russia: The Commission on Regulation of Financial Markets Participants Relationships
- Licensed clearing member of the Singapore Exchange
- Monetary Authority of Singapore
- Spain: Comisión Nacional del Mercado de Valores
- Sweden: Swedish Financial Supervisory Authority (Finansinspektionen)
- Groupement Suisse des Conseils en Gestion Indépendants
- Association Romande des intermediares financiers
- Swiss Federal Department of Finance
- Organisme d’autorégulation fondé par le GSCGI
- Commission fédérale des banques
- Swiss Financial Market Supervisory Authority (FINMA)
- Turkey: Capital Markets Board of Turkey (CMB)
- United Arab Emirates: Dubai Multi Commodities Centre
- United Kingdom: Financial Services Authority
- United States:
- Financial Industry Regulatory Authority, Inc.
- New York Stock Exchange
- Office of the Comptroller of the Currency
- Securities and Exchanges Commission
- Commodities and Futures Trading Commission
- National Futures Association
How can regulations help me from fraud?
Regulations are responsible for protecting traders and their interests against the financial service providers such as forex brokers and require the later to act in a fair and ethical manner.
- One of the useful and important requirement of almost all regulators is segregation of funds. Brokers must have segregated accounts for your funds separated from the personal operational funds. This saves your money from being abused in any way by the broker and in case, of example, of bankruptcy of the brokerage, the clients funds are not used in any way to assist the broker's debts.
- One more important regulation imposed on most forex brokers is to provide truthful information regarding forex trading, meaning that it must be clear to all customers that trading is risky.
- Another regulation adopted by mostly US and UK brokers is the limitation of the leverage which forex brokers are allowed to offer to the clients. For example, Forex brokers in US are not allowed to provide leverage higher than 1:50.
- There is also a certain amount of compensation sum guaranteed to the client in case broker sinks. For example CySEC provides compensation is of 20,000 EUR for deposits lost.
Summary of regulated brokers
As we previously discussed, the regulatory requirements for forex broker may differ from country to country, however, there are some main subjects that almost all regulation authorities impose on the brokers in order to maintain security of the clients:
- Brokers must show sufficient liquidity to meet all contractual obligations.
- Brokers must use segregated accounts for client funds.
- Brokers must submit regular audits to verify their compliance on their capital adequacy ratio.
- Leverage ratios are limited to logical possible number.