75-90% of retail traders lose money trading Forex and CFDs. You should consider whether you understand how CFDs and leveraged trading work and if you can afford the high risk of losing your money. We may receive compensation when you click on links to products we review. Please read our advertising disclosure. By using this website you agree to our Terms of Service.

EditorEditor: Alison HeyerdahlUpdated: December 7, 2023
AuthorAuthor: Chris Cammack

Last Updated On December 7, 2023

Chris Cammack

Over the last decade, Forex trading has become more accessible to the average person in Australia. Nationwide access to the internet and an influx of international “offshore” brokers joining the local scene have increased competition. At the same time, the local regulator (ASIC) has introduced stricter requirements for brokers, raising standards of safety and fairness.

When choosing a Forex broker, it’s crucial to weigh not only the financial aspects but also the broker’s compatibility with your personal preferences. We have rigorously evaluated ASIC-regulated Forex brokers that cater to Australian traders, and we consistently incorporate real traders’ insights when making recommendations. Our research has identified top broker options tailored to various budgets and preferences, guaranteeing that you’ll find the perfect match for your trading needs.

1

FP Markets

Award-Winning Broker with Low-Cost Trading and Advanced Tools

Visit
2

Pepperstone

High-Speed Execution and Vast Trading Options

Visit
3

XM

Comprehensive Beginner Education for a Confident Trading Start

Visit
4

AvaTrade

Seamless Mobile Trading Experience with Advanced Protection

Visit
5

IG

Best CFD Trading Account with Unmatched Market Access

Visit
6

markets.com

Best Mobile Trading Platform

Visit
7

BlackBull Markets

Best Trading Conditions

Visit
8

FBS

Lowest Minimum Deposits and Tight Spreads

Visit
9

Axi

Low-Cost MT4 Trading, Great Tools

Visit
10

Fusion Markets

Low Trading Fees and Great Range of Trading Platforms

Visit

2024 Best Forex Brokers in Australia Compared

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Broker
Broker Score
Official Site
Min. Deposit
Cost of Trading
Platforms
Beginner Friendly
Regulators
Compare
FP Markets
4.40 /5
Read Review
Visit Broker >
79% of retail CFD accounts lose money
AUD 100USD 7MT4, MT5, cTrader, IRESSExcellentASIC Regulated Forex BrokersCySEC Regulated BrokersFinancial Services Conduct AuthorityCapital Markets AuthorityThe Seychelles Financial Services Authority
Pepperstone
4.61 /5
Read Review
Visit Broker >
89%74- of retail CFD accounts lose money
AUD 100USD 10MT4, MT5, cTrader, TradingViewExcellentFCA Regulated BrokersASIC Regulated Forex BrokersCySEC Regulated BrokersDubai Financial Services AuthorityBundesanstalt für FinanzdienstleistungsaufsichtSecurities Commission of the BahamasCapital Markets Authority
XM
4.45 /5
Read Review
Visit Broker >
75.33% of retail CFD accounts lose money
AUD 5USD 6MT4, MT5ExcellentCySEC Regulated BrokersASIC Regulated Forex BrokersDubai Financial Services AuthorityInternational Financial Services CommissionFinancial Services Conduct Authority
AvaTrade
4.59 /5
Read Review
Visit Broker >
76% of retail CFD accounts lose money
AUD 100USD 9MT4, MT5, Avatrade Social, AvaOptionsExcellentASIC Regulated Forex BrokersFinancial Services Conduct AuthorityCySEC Regulated BrokersFinancial Services AgencyCentral Bank of IrelandFinancial Regulatory Services Authority
IG
4.69 /5
Read Review
Visit Broker >
71% of retail CFD accounts lose money
AUD 0USD 6MT4, L2 Dealer, ProRealTimeExcellentFCA Regulated BrokersASIC Regulated Forex BrokersFinancial Services Conduct AuthorityBundesanstalt für FinanzdienstleistungsaufsichtSwiss Financial Market Supervisory AuthorityBest Forex Brokers in SingaporeThe Best FMA-Regulated Forex BrokersDubai Financial Services AuthorityFinancial Services AgencyCommodity Futures Trading AssociationFinansinspektionen
Markets.com
4.68 /5
Read Review
Visit Broker >
70.3% of retail CFD accounts lose money
AUD 100USD 7MT4, MT5, markets.comExcellentFCA Regulated BrokersCySEC Regulated BrokersASIC Regulated Forex BrokersFinancial Services Conduct AuthorityBritish Virgin Islands Financial Services Commission
BlackBull Markets
4.28 /5
Read Review
Visit Broker >
N/A of retail CFD accounts lose money
USD 0USD 8MT4, MT5, WebTraderExcellentThe Best FMA-Regulated Forex BrokersThe Seychelles Financial Services Authority
FBS
4.33 /5
Read Review
Visit Broker >
76% of retail CFD accounts lose money
AUD 5USD 7MT4, MT5ExcellentCySEC Regulated BrokersASIC Regulated Forex BrokersFinancial Services Conduct AuthorityInternational Financial Services Commission
Axi
4.44 /5
Read Review
Visit Broker >
75.6% of retail CFD accounts lose money
AUD 0USD 10MT4ExcellentFCA Regulated BrokersCySEC Regulated BrokersASIC Regulated Forex BrokersThe Best FMA-Regulated Forex BrokersDubai Financial Services AuthorityFinancial Services Authority – St. Vincent & the Grenadines
Admiral Markets
4.28 /5
Read Review
Visit Broker >
76% of retail CFD accounts lose money
AUD 100USD 8MT4, MT5, MT SupremeExcellentASIC Regulated Forex BrokersCySEC Regulated BrokersFCA Regulated BrokersFinancial Services Conduct AuthorityJordan Securities Commission
Fusion Markets
4.41 /5
Read Review
Visit Broker >
89% of retail CFD accounts lose money
AUD 0USD 4.50MT4, MT5, cTrader, TradingViewExcellentASIC Regulated Forex BrokersVanuatu

Best Forex Brokers in Australia for 2024

At FxScouts, we have an experienced review team dedicated to evaluating Forex brokers. Our team of experts meticulously examines each broker in 7 different areas, amassing an enormous amount of data in the process. With over 200 individual metrics analysed, we invest hundreds of hours annually researching and scrutinising brokers to ensure that we only recommend the best in the Forex industry.Review Scores

Of these 7 areas, we always prioritise regulation and costs. These are our priorities because traders want to know that their broker is trustworthy and isn’t overcharging them. Brokers are always altering the products they offer, and we keep our reviews updated with the latest data available. You can find out more about our in-depth review process here.

These are Best Forex Brokers for Australia in 2024, as recommended by our experts.

Others Also Visit

Scroll for more detailsPreviousNext
Visit
FP Markets
4.40 /5
Read Review
Visit
Pepperstone
4.61 /5
Read Review
Visit
XM
4.45 /5
Read Review
Visit
AvaTrade
4.59 /5
Read Review
Visit
IG
4.69 /5
Read Review
Visit

FP Markets – Award-Winning Broker with Low-Cost Trading and Advanced Tools

Broker Score
4.404.40 / 5
🏦  Min. DepositAUD 100
🛡️  Regulated By
💵  Trading Cost 
USD 7
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

FP Markets excels in offering a competitive trading environment, with low-cost options and advanced tools suitable for both beginners and experienced traders.

Trading Instruments:

  • Access to Forex, commodities, precious metals, indices, cryptocurrencies, and over 10,000 global shares through the IRESS platform.

Trading Platforms and Tools:

  • MT4, MT5, and IRESS platforms.
  • Free Autochartist, VPS services, and the Traders Toolbox for an enhanced trading experience.

Fees and Trading Conditions:

  • Standard Account and Raw Account, both with a 100 AUD minimum deposit.
  • Raw Account offers spreads from 0.10 pips (EUR/USD) and a 6 AUD (RT) commission.

Regulation and Security:

  • Regulated by ASIC (AFS License Number 286354) since 2005 and CySEC in the EU.
  • Negative balance protection, segregated operational and client funds, and leverage restrictions as per ASIC regulations.
Pros
  • Trusted since 2005 with top-tier regulation
  • 100 USD minimum deposit amount
  • Supports MT4 MT5 cTrader and TradingView
  • Spreads start at 1.0 pip and narrow to 0 pips with higher trading volumes
  • Welcoming South African traders with specific regulatory compliance
Cons
  • Notably higher withdrawal fees than competitors
  • Stock CFDs are Limited on MT4/MT5 and primarily available through IRESS
  • High leverage up to 500:1
  • posing risks for inexperienced traders
AlertAccepts Australian Clients. Average spread EUR/USD 0.10 pips with 6 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, MT5, cTrader & IRESS platforms supported. FP Markets is regulated by CySEC and ASIC.

Pepperstone – High-Speed Execution and Vast Trading Options

Broker Score
4.614.61 / 5
🏦  Min. DepositAUD 100
🛡️  Regulated By
💵  Trading Cost 
USD 10
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

Pepperstone offers lightning-fast trade execution and a wide range of trading instruments, making it perfect for scalpers and expert advisor users.

Trading Instruments:

  • Over 1,000 instruments, including Forex, commodities, cryptocurrencies, and indices.

Trading Platforms:

  • MT4, MT5, and cTrader with seamless integration with TradingView for advanced charting and analysis.

Fees and Trading Conditions:

  • Standard Account with spreads starting at 1.00pips and no commission.
  • Razor Account with spreads from 0 pips for the EUR/USD and a 7 AUD commission.

Regulation and Security:

  • Regulated by ASIC (AFS License Number 414530), BaFin in Germany, and the FCA in the UK.
  • Negative balance protection and leverage restrictions of 30:1 for non-professional clients.
Pros
  • Well regulated
  • Tight spreads
  • Great platform choice
  • Wide range of assets
Cons
  • Limited market analysis
AlertAccepts Australian Clients. Average spread EUR/USD 1.00 pips with 0.0 USD commission round turn on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, MT5 & cTrader platforms supported. Pepperstone is regulated by the FCA, ASIC, CySEC, SCB, CMA, BaFin and the DFSA.

XM – Comprehensive Beginner Education for a Confident Trading Start

Broker Score
4.454.45 / 5
🏦  Min. DepositAUD 5
🛡️  Regulated By
💵  Trading Cost 
USD 6
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

XM shines with its exceptional educational resources and market analysis, ensuring new traders have a solid foundation to build upon.

Trading Instruments:

  • Forex, stocks, commodities, equities, precious metals, energies, and shares available for trading.

Trading Platforms:

  • MT4 and MT5 platforms with four live account options to cater to different preferences.

Education and Support:

  • Live education sessions, daily Q&A segments, instructive videos, Forex webinars, platform tutorials, and Forex seminars in 19 languages.

Regulation and Security:

  • Well-regulated market maker with 99.53% of all trading orders executed in under one second.
Pros
  • Well regulated
  • Excellent education
  • Free deposits and withdrawals
Cons
  • Limited platform choice
AlertLeverage limitations apply to all the EU regulated entities of the group.

AvaTrade – Seamless Mobile Trading Experience with Advanced Protection

Broker Score
4.594.59 / 5
🏦  Min. DepositAUD 100
🛡️  Regulated By
💵  Trading Cost 
USD 9
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

AvaTrade delivers an exceptional mobile trading experience with the AvaTradeGO app, featuring advanced tools and AvaProtect for temporary loss protection.

Trading Instruments:

  • 1,000+ CFDs, including Forex, commodities, stocks, cryptocurrencies, indices, bonds, vanilla options, and ETFs.

Trading Platforms:

  • AvaTradeGO app syncs with both MT4 and MT5 desktop trading platforms.
  • Advanced tools: Place orders, set price alerts, and create watchlists.

Fees and Trading Conditions:

  • Spreads as low as 0.9 pips on the EUR/USD with a 100 AUD minimum deposit.
  • Educational videos and customer support accessible within the app.

Regulation and Security:

  • Regulated by ASIC (AFS License Number 406684) and multiple top-tier regulators.
  • Innovative risk-management features like AvaProtect for temporary loss protection.
Pros
  • Top-tier regulation and security with licenses from ASIC and CBI among others
  • Accessible trading with a low minimum deposit of 100 USD
  • Award-winning mobile trading with the AvaTradeGO app with social trading features
  • Wide range of assets including unique instruments like vanilla options
  • Educational material to support trader development and strategy enhancement
Cons
  • Market analysis could be more extensive
  • Poor regulatory oversight outside of the UK and EU
  • Avatrade is a Market Maker and operate a dealing desk which might not align with all trading preferences
AlertAccepts Australian Clients. Average spread EUR/USD 0.90 pips. Minimum initial deposit 100 AUD. Max leverage 30:1. Islamic account available. MT4 & MT5 platforms supported. AvaTrade Group regulated by ASIC, FSCA, B.V.I FSC & FSA.

IG – Best CFD Trading Account with Unmatched Market Access

Broker Score
4.694.69 / 5
🏦  Min. DepositAUD 0
🛡️  Regulated By
💵  Trading Cost 
USD 6
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

IG offers the best CFD trading account with access to an extensive range of instruments, backed by a trusted reputation and world-class educational resources.

Trading Instruments:

  • 19,000+ CFDs, including commodities, indices, cryptocurrencies, over 16,000 shares and ETFs, options, interest rates, and bonds.

Trading Platforms:

  • Award-winning app and web trader platform, compatible with both low-cost trading accounts.
  • IG Academy:

    • Detailed courses for beginner, intermediate, and advanced traders.

Fees and Trading Conditions:

  • No minimum deposit requirements and spreads starting at 0.6 pips on the EUR/USD.

Regulation and Security:

  • Regulated by ASIC (AFS License Number 220440) since 2001 and 16 other national authorities.
  • Negative balance protection, segregated operational and client funds, and leverage restrictions as per ASIC regulations
Pros
  • Well regulated
  • Tight spreads
  • Great platform choice
  • Excellent education
  • Excellent market analysis
Cons
  • High minimum deposit
AlertAccepts Australian Clients. Average spread EUR/USD 0.60 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, ProRealTime and L2 Dealer platforms supported. IG Markets Group is regulated by FCA, ASIC, and the FSCA.

Markets.com – Best Mobile Trading Platform

Broker Score
4.684.68 / 5
🏦  Min. DepositAUD 100
🛡️  Regulated By
💵  Trading Cost 
USD 7
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

The Markets.com app provides a smooth and stable trading experience with low fees and many trading tools. With built-in advanced charting, traders can easily access trendlines, channels, pitchforks, and Fibonacci Retracements. In the chart view, traders can see their orders, related instruments, and open positions with a single click.

The app offers traders fast, commission-free trading with some of the lowest fees available. Spreads start at 0.60 pips on major FX pairs with no commission and leverage of 30:1. The large variety of tradeable instruments include 700+ global shares, 60+ currency pairs, 30 global indices, 22 commodities, 77  ETFs, 25 cryptocurrencies, and four government bonds.

  • Effortless mobile trading
  • 900+ CFDs with low fees
  • Advanced trading tools
Pros
  • Regulation by top-tier authorities
  • Hassle-free withdrawal process without any fees
  • Its proprietary trading platform is praised for its user-friendly interface catering to both beginners and experienced traders
  • Competitive spreads starting from 0.6 pips
Cons
  • The maximum leverage of 300:1 could pose a risk for uninformed traders warranting cautious utilization
AlertAccepts Australian Clients. Average spread EUR/USD 0.70 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4, MT5, and Markets.com platforms supported. Markets.com is regulated by the FSCA, FCA, CySEC, ASIC, and the BVI FSC.

BlackBull Markets – Best Trading Conditions

Broker Score
4.284.28 / 5
🏦  Min. DepositUSD 0
🛡️  Regulated By
💵  Trading Cost 
USD 8
⚖️  Max. Leverage500:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

BlackBull Markets is an ECN-only broker offing the best trading conditions to Australian clients on three ECN account types – ECN Standard, ECN Prime and ECN Institutional. The ECN Standard Account has no minimum deposit and no commission, with a minimum spread of 0.8 pips. The ECN Prime Account has a minimum deposit of 2000 USD and spreads start at 0.1 pips. A commission of 3 USD per lot traded is charged per side (6 USD round-turn). The institutional account has a minimum deposit of 20,000 USD and spreads starting from 0.0 pips. This account is specifically for professional traders and commission is negotiable.  Leverage on all accounts is set at a maximum of 500:1

BLACKBULL MARKETS FEATURES

  • Leverage of 500:1 for Australian traders (Blackbull Markets is based in New Zealand and not regulated by ASIC)
  • True ECN/STP broker with no dealing desk
  • Fast STP execution via Equinix servers based in New York, London and Tokyo
  • Institutional account for professional traders with a negotiable commission.
Pros
  • Tight spreads
  • Good for beginners
  • Wide range of assets
  • Excellent customer support
Cons
  • Expensive withdrawals
  • High minimum deposits
AlertAccepts Australian Clients. Average spread EUR/USD 0.80 pips on trading account with lowest minimum deposit. Max leverage 500:1. Islamic account available. MT4 & MT5 platforms supported. Blackbull Markets is regulated by the FMA & the FSA-Seychelles.

FBS – Lowest Minimum Deposits and Tight Spreads

Broker Score
4.334.33 / 5
🏦  Min. DepositAUD 5
🛡️  Regulated By
💵  Trading Cost 
USD 7
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

Who FBS is for: With three low-cost accounts, FBS will appeal to traders looking for low minimum deposits and low trading costs.

Why we like FBS: FBS’ strength is in its range of accounts, with trading conditions for all types of traders. Beginners will focus on its Cent Account with its 50 AUD minimum deposit and spreads starting at 0.6 pips (EUR/USD), while more experienced traders will be interested in the Ultra account with a 50 AUD minimum deposit, raw spreads, and an AUD 8.12/USD 6/EUR 5 commission. Other accounts include a Standard Account, also with a 50 AUD minimum deposit and commission-free trading with a spread of 0.7 pips (EUR/USD). Professional traders will appreciate the high leverage available of up to 500:1, priority service, and VIP analytics.

FBS drawbacks: FBS only offers the MT4 and MT5 trading platforms, which is limited compared to what’s available at other brokers. It also has a limited range of cryptocurrencies, and very few trading tools. 

Pros
  • Tight spreads
  • Low minimum deposit
  • Excellent education
  • Excellent market analysis
Cons
  • Limited range of assets
  • Extreme leverage
AlertAccepts Australian Clients. Average spread EUR/USD 0.70 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 & MT5 platforms supported. FBS is regulated by CySEC, ASIC, the FSCA, and the IFSC.

Axi – Low-Cost MT4 Trading, Great Tools

Broker Score
4.444.44 / 5
🏦  Min. DepositAUD 0
🛡️  Regulated By
💵  Trading Cost 
USD 10
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

Who is Axi for: Traders who only use the MT4 trading platform and want an ECN broker with great trading tools but aren’t too bothered about trading shares.

Why we like Axi: Axi, formerly AxiTrader, stands out for three reasons: First off, it’s an MT4-only broker, so if you want to use any other trading platform, you can look away now. Secondly, it’s an ECN broker with low fees, no minimum deposit requirement, and two simple accounts, one with commission and one without. Finally, it has a fantastic collection of trading tools that it offers for free to its clients. While the MT4-only policy may seem like a drawback, it does allow Axi to focus on making its MT4 trading experience as profitable as possible. This includes Axi’s MT4 NexGen plugin, which includes an advanced sentiment indicator, a correlation trader, and an automated trade journal. And while the fees on its accounts aren’t the lowest available, they are below the industry average. The Pro Account, in particular, is good value, with spreads averaging 0.1 pips on the EUR/USD and a 7 AUD commission. Beginners and experienced traders alike will really appreciate Axi’s selection of powerful and free trading tools, including Autochartist, MyFxbook, and PsyQuationAutochartist is a tool that automatically identifies trading opportunities, MyFxBook is one of the world’s most popular copy-trading platforms, and PsyQuation is an AI trade diagnostic that helps traders learn from their mistakes.

Axi drawbacks: The main and most obvious drawback here is Axi’s insistence on only providing support for the MT4 trading platform. Apart from putting some traders off, this also results in a smaller range of trading assets and Axi only recently added a handful of share CFDs to its product line-up. That said, Axi does have a good range of cryptocurrencies to trade.

Pros
  • Low minimum deposit
  • Tight spreads
  • Innovative trading tools
Cons
  • MT4 only
  • Limited range of assets
AlertAccepts Australian Clients. Average spread EUR/USD 1.00 pips on trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 & MT5 platforms supported. Axi Group is regulated by the FCA, ASIC and the DFSA

Fusion Markets – Low Trading Fees and Great Range of Trading Platforms

Broker Score
4.414.41 / 5
🏦  Min. DepositAUD 0
🛡️  Regulated By
💵  Trading Cost 
USD 4.50
⚖️  Max. Leverage30:1
💹  Copy Trading
🖥️  Platforms
💱  Instruments 

Established in 2017, Fusion Markets stands out as a top broker for traders seeking low trading costs, a great choice of trading platforms, and excellent trading tools. With two affordable accounts on MT4, MT5, and the cTrader platform, Fusion Markets’ Zero Account has spreads that start at 0 pips on EUR/USD with a small commission of just 4.5 USD (round turn) – one of the lowest in the industry. 

Beyond the competitive pricing, Fusion offers 24/7 support, instant free withdrawals, and top-tier market analysis tools. Regular traders even benefit from free VPS hosting. However, a notable drawback is the lack of educational resources, forcing beginners to self-educate elsewhere. 

Pros
  • Low minimum deposits
  • Tight spreads
  • Excellent market analysis
Cons
  • No in-house platform
  • No education
AlertAccepts Australian Clients. Average spread EUR/USD 0 pips with 0 AUD commission round turn on the trading account with lowest minimum deposit. Max leverage 30:1. Islamic account available. MT4 & MT5 platforms supported. Fusion Markets is regulated by ASIC, FSA (Seychelles), & VFSC.

Which is the Best Broker in Australia?

The best brokers in Australia are well-regulated and offer a low-cost, user-friendly trading platform suitable for both beginners and experienced traders. Following rigorous testing, we believe that FP Markets is the best broker for Australian traders. FP Markets is regulated by some of the toughest global authorities, including ASIC of Australia, providing security and confidence for its clients. FP Markets’ trading costs are low, with a required minimum deposit of 100 AUD on both the Standard Account and the Raw Account. FP Markets’ Raw Account is particularly great value with spreads starting at 0.10 pips (EUR/USD) with a 6 AUD (RT) commission. Traders can trade on MT4, MT5, or its IRESS trading platform, which offers trading on over 10,000 stock CFDs and a great range of trading tools.. 

Which Forex Broker has the Best Platform?

ASIC-regulated since 2010, Pepperstone offers some of the best trading platforms in the industry, including MT4, MT5, and cTrader. All of Pepperstone’s platforms offer automated trading, strategy backtesting, customisable charting, and a range of indicators, and integrate with Autochartist and Smart Trader Tools. TradingView, a relatively new platform, offers even more advanced charting abilities, including custom timeframes, over 100,000 custom-built indicators, and integrated financial analysis.

Outstanding Trading Platforms and Features

IC Markets: Known for low-cost trading and a choice of three easy-to-use platforms (MT4, MT5, and cTrader), making it ideal for traders who prioritize cost efficiency.

XM: The ultimate choice for comprehensive beginner education, offering an exceptional range of educational and market analysis resources, including live sessions, webinars, and Forex seminars.

AvaTrade: Best mobile trading experience with its AvaTradeGO App, offering cross-platform compatibility, and unique features like AvaProtect for temporary loss protection.

IG: Best CFD trading account, offering a wide range of instruments, including over 16,000 shares, and a world-class trading platform with access to the IG Academy for learning and improvement.

Importance of Third-Party Reviews and User Feedback

When choosing a Forex broker, it’s crucial to consider not only the financial aspects but also the personal fit. Third-party reviews and user feedback play an essential role in evaluating brokers, as they provide valuable insights from real traders’ experiences. Always consider these sources when making your decision to ensure you select a broker that meets your unique needs and preferences

Is Forex Trading Legal in Australia?

Forex trading in Australia is legal and regulated by the Australian Securities and Investments Commission (ASIC). ASIC requires all Forex brokers operating in the country to hold a valid license and adhere to strict standards, including:

  1. Timely deposits and withdrawals
  2. Segregation of funds
  3. Negative balance protection
  4. Leverage restrictions
  5. Capital adequacy to prevent defaults

As well as ASIC, other top-tier global regulators include FCA and CySEC. Whether you decide to use a broker regulated by the FCA or not, it’s important to remember that choosing a regulated broker is the best way to ensure your protection as a Forex trader.

Why is ASIC Regulation Important for Australians?

Regulation by ASIC in Australia is essential for protecting your money and ensuring a fair and transparent trading experience.

When trading Forex, you want to be confident that your broker is operating legally and ethically and that your funds are being handled safely. Regulated Forex brokers must adhere to strict standards set by regulatory bodies, which include requirements for capital adequacy, segregation of client funds, and ongoing reporting and compliance. This means that your funds are protected, and your trading experience is fair.

Unregulated brokers are not forced to hold to the same standards. This can lead to a higher risk of fraud or unethical practices, which can result in financial losses for traders. Choosing a regulated Forex broker gives you peace of mind and security, knowing that your investments are protected and your trading experience is fair.

Scam Brokers and Reporting Regulatory Violations

If you are unsure about the reliability of your Forex broker, you can check our list of brokers to avoid. If you believe you have been scammed by your broker, the first thing to do is warn others and tell your story. You can contact ASIC’s misconduct department here and ask them to investigate.  We also have a report a scam broker form which we use to gather information so that we get the word out. Your personal details will not be shared externally.

Do I Need a Broker to Trade Forex?

Yes, you will need a broker to trade Forex. Connecting traders to the Forex market is an expensive and technically complex business. Most Forex brokers form a bridge between the global Forex market and Forex traders; these are called market makers. Market makers buy up large trading positions from the Forex market, which they sell to traders in smaller trade sizes.

Other brokers act as a go-between, taking orders from traders and sending them straight to the global Forex market. These are called ECN brokers or DMA brokers. Both types of Forex brokers require a lot of money to set up and need teams of highly qualified technicians to maintain their trading platforms. 

How do Forex Brokers Make Money?

Market markers only make money from the spread – the difference between the buying and selling price of the currency pair. These brokers will be the counterparty to any trade, so they make money when clients lose trades. 

ECNs have tight spreads but profit from commissions, which are charged whenever a trade is opened or closed. This type of broker makes money whether a client wins or loses.

Which Forex Brokers are Best for Beginner Traders in Australia?

The best brokers for beginners are ASIC-regulated and have no minimum deposit requirement, ensuring security and a low cost of entry. Also important are low fees and negative balance protection, as these both help to lower risk. Responsive and knowledgeable customer support is essential. Customer service should be available 24/5 via email, live chat, and telephone, though 24/7 is better. Last but not least, beginners should look for a broker with a high-quality education section; this should feature articles, video tutorials, frequent webinars, advanced trading strategies, and chart analysis.

For more detail and to see which brokers we recommend for new traders, check out our dedicated page on the best brokers for beginners.

Which Forex Brokers have the Best Demo Accounts?

The brokers with the best demo accounts understand that beginners should not be forced into trading real money and that experienced traders should be able to test strategies as long as they want to. So the best demo accounts are not time-limited and replicate real market conditions as closely as possible. Beginners looking for a demo account will want a broker with good education, so they can learn about Forex trading as they practice.

For more detail and to see which brokers we recommend for demo trading, check out our dedicated page on the best demo accounts.

Which Trading Platforms do the Best Forex Brokers Offer?

The best Forex brokers generally offer Metatrader 4 (MT4), MetaTrader 5 (MT5), and cTrader. These are third-party trading platforms which you can install on your computer. They are fully customisable and have advanced charting tools, research tools, and options for automated trading or copy trading. Some brokers also have their own trading platforms, which are usually accessed via a browser or on your mobile phone. For more details on trading platforms and how they work, check out our guide on trading platforms

Recent updates

  • May 3, 2023: Specified information regarding Financial Regulation
  • April 10, 2023: Revised reviews to provide a balance between detailed information and easy scanning, making the content more accessible for readers
  • April 10, 2023: Reinstated more detailed comparison table based on our readers feedback
  • April 5, 2023: Removal of Go Markets after multiple complaints about problems withdrawing trading profits from the broker
  • March 14, 2023: Implementation of simplified comparison table
  • February 17, 2023: Overhaul of the entire page content

Forex Risk Disclaimer

Trading Forex and CFDs is not suitable for all investors as it carries a high degree of risk to your capital: 75-90% of retail investors lose money trading these products. Forex and CFD transactions involve high risk due to the following factors: Leverage, market volatility, slippage arising from a lack of liquidity, inadequate trading knowledge or experience, and a lack of regulatory protection. Traders should not deposit any money that is not considered disposable income. Regardless of how much research you have done or how confident you are in your trade, there is always a substantial risk of loss. (Learn more about these risks from the Australian regulator, ASIC or the UK’s regulator, the FCA).

Our Rating & Review Methodology

Our overall Forex Rankings report and Directory of CFD Brokers to Avoid are the result of extensive research on over 180 Forex brokers. These resources help traders find the best Forex brokers – and steer them away from the worst ones. These resources have been compiled using over 200 data points on each broker and over 3000 hours of research. Our team conducts all research independently: Testing brokers, gathering information from broker representatives and sifting through legal documents. Learn more about how we rank brokers

Editorial Team

 

Chris Cammack
Head of Content

Chris joined the company in 2019 after ten years experience in research, editorial and design for political and financial publications. His background has given him a deep knowledge of international financial markets and the geopolitics that affects them. Chris has a keen eye for editing and a voracious appetite for financial and political current affairs. He ensures that our content across all sites meets the standards of quality and transparency that our readers expect.

 

Alison Heyerdahl
Senior Financial Writer

Alison joined the team as a writer in 2021. She has a medical degree with a focus on physiotherapy and a bachelor’s in psychology. However, her interest in forex trading and her love for writing led her to switch careers, and she now has over eight years experience in research and content development. She has tested and reviewed 100+ brokers and has a great understanding of the Forex trading world.

 

Ida Hermansen
Financial Writer

Ida joined our team as a financial writer in 2023. She has a degree in Digital Marketing and a background in content writing and SEO. In addition to her marketing and writing skills, Ida also has an interest in cryptocurrencies and blockchain networks. Her interest in crypto trading led to a wider fascination with Forex technical analysis and price movement. She continues to develop her skills and knowledge in Forex trading and keeps a close eye on which Forex brokers offer the best trading environments for new traders.

 

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References

These documents were used in the research and data collection for this page

  1. Australian Securities & Investments Commission (ASIC). (2022). Annual Report 2021/2022. Canberra:  https://download.asic.gov.au/media/10dg0aqv/asic-annual-report-2021-22_full.pdf
  2. Moneysmart.gov.au. (n.d.). Forex trading. Retrieved January 2023, from moneysmart.gov.auhttps://moneysmart.gov.au/investment-warnings/forex-trading
  3. Finance Magnates. Analysis: Australia Has the Largest FX/CFD Market Per Capita in the World. Retrieved February 2022, https://www.financemagnates.com/forex/analysis-australia-has-the-largest-fxcfd-market-per-capita-in-the-world/