5 best Australian Forex Broker in comparison

Forex trading is a burgeoning business in Australia as investors search for a buck in the potentially lucrative but volatile foreign exchange markets.

The financial landscape is changing rapidly as it is no longer banks and other financial institutions that are trading forex. Today, forex is accessible to all regardless of the size of your stake. Online forex brokers have driven this democratization of forex, with trading platforms that are lightning-fast, intuitive, and easy to use.

These web-based platforms that you can use on a range of digital devices literally put foreign exchange trading in your pocket 24/7. It doesn’t matter if you have only $200 to invest, or even $10. You can now have the power to prise money out of the markets, be you a day trader, a seasoned forex trader, or a complete forex beginner.

See the list of the best Forex Brokers in Australia: 

Broker:
Review:
Regulation:
Spreads:
Assets:
Advantages:
Open Account:
1. IC Markets
IC Markets logo
ASIC, CySEC, FSA
Starting 0.0 pips + $ 3.0 commission per 1 lot
232+
(50+ currency pairs)
+ Good conditions
+ RAW Spreads
+ High liquidity
+ High leverage
Live trading from $ 200
2. Vantage FX
VantageFX logo
ASIC, CIMA
Starting 0.0 pips + $ 2.0 commission per 1 lot
120+
(40+ currency pairs)
+ Leverage 1:500
+ ECN Broker
+ Personal service
Live trading from $ 200
3. FP Markets
FP
ASIC
Starting 0.0 pips + $ 3.5 commission per 1 lot
10,000+
(50+ currency pairs)
+ ECN/DMA Broker
+ Account types
+ Best execution
Live trading from $ 100
4. AxiTrader
AxiTrader logo
FCA, ASIC, DFSA
Starting 0.0 pips + 3.5$ commission per 1 lot
140+
(40+ currency pairs)
+ Multi regulated
+ Fast execution
+ High security
Live trading from $ 0
5. Plus500
FXCM logo
FCA, ASIC, FSCA
Starting 0.2 pips variable
200+
(50+ currency pairs)
+ NDD/ECN Broker
+ High liquidity
+ Institutional service
Live-account from $50(Risk Warning: 74 – 89% of accounts lose money)

What is the best Forex Broker in Australia? – Our reviews:

Because of the ever-growing popularity of forex, the demand has been met by a legion of online forex brokers. Some are better than others, for sure. But wading through them all to find one that you like is a laborious and time-consuming business. To help machete your way through the dense undergrowth, we have filtered the contenders down to a shortlist of five. These are the brokers we are convinced will do Australians a good turn.

5 best Australian Forex Brokers

  1. IC Markets – Based in Sydney and RAW spreads
  2. Vantage FX – Safe bet for Australian money
  3. FP Markets – Beginner-friendly forex
  4. AxiTrader – Big global trader
  5. FXCM – Low spreads and no commissions

1. IC Markets

Official website of IC Markets

Official website of IC Markets

If you have had any exposure to forex in Australia, you will have heard the name IC Markets, for sure. They have carved quite the niche for themselves not only in Australia but on the world stage as a reputable online broker. In addition to the oversight in Australia by ASIC, the company is also regulated by CySEC, the Cyprus Securities and Exchange Commission, and the Financial Services Authority of Seychelles

Their credentials, therefore, are impeccable, which is reflected in their near-perfect 93% approval rating on TrustPilot.

IC Markets relies on third-party platforms cTrader and MetaTrader 4/5, all of which are more than capable and standard across the forex industry. Unlike other forex brokers, IC Markets has not developed its own proprietary forex trading platform. Not that this is a bad thing. Why reinvent a properly serviceable wheel?

There is a choice of three account types: Raw Spread on cTrader, and Raw Spread and Standard on MetaTrader. At sign-up, there’s the option of opening a demo account, which is handy if you are unfamiliar with one or both of these platforms.

But choose wisely as the accounts diverge and are a bit of a balancing act, as you will see. Take the Standard account, there’s no commission, but this is offset by the spreads starting from 1.0 pips. The Raw Spread account charges $3 per USD 100k on the cTrader platform, while the Raw Spread on MetaTrader comes with a commission fee of $3.50 per lot per side. However, the compensation in both instances is the spread from 0.0. Overall, you should use a Raw Spread account for getting the best trading conditions.

Choosing the right account, then, is down to your personal platform preference, likely volume of trade, and your forex trading objectives. Choose wisely, or at least open a demo account first to double-check.

Benefits of IC Markets:

  • ASIC, CySEC, and FSA  regulated
  • $200 minimum deposit
  • Trade 60 currency pairs
  • Commodities, stocks, indices, and cryptocurrencies also offered
  • MetaTrader 4/5, cTrader
  • RAW spreads from 0.0 pips
  • Low commissions from $ 3.0 per 1 lot trade
  • High liquidity
  • Free VPS
  • 24/7 support
  • Multiple payment methods (credit cards, PayPal, and more)
  • Free deposits and withdrawals

(Risk Warning: Your capital can be at risk)

2. Vantage FX

Official website of Vantage FX

Official website of Vantage FX

This broker reserves a place on our top 5 charts even though it may not be offering the best of spreads in some instances. However, Vantage FX is ASIC-regulated making it a safe bet for Australian residents. It is also regulated in the UK via the Financial Conduct Authority, the CIMA in the Cayman Islands, and the VFSC in Vanuatu.

Vantage FX comes in numerous flavors, MetaTrader 4 and 5, Web Trader, and support for the Mac, Android, and Windows devices.

Though not the biggest of hitters in terms of user numbers (around 50,000), Vantage FX comes with many heavyweight liquidity providers, including JP Morgan, Bank of America, and Goldman Sachs. They are also backed by the AA-rated National Australia Bank that holds client funds in a segregated account. Suffice to say, their background and trust level check out.

Fees and commissions are nothing special. They are relatively standard for the forex industry. So it is worthwhile scrutinizing each of the account types carefully to get the best deal for your circumstances. In reality, it comes down to a choice of two unless you are a pro trader or money manager with a high throughput of orders. In that case, you will want to sign up for the Pro ECN account, with its hefty $20,000 minimum deposit.

For everyone else, it boils down to Standard STP or Raw ECN. The former is aimed at novices who want a no-fuss route into the market with no commission payable. The smallest trade is 0.01 lot and spreads from 1.4 pips, which is on the high side compared to others.

Vantage FX bills their RAW ECN account as being aimed at experienced traders requiring deep liquidity and tight spreads. But you will need to cough up $500 as a minimum deposit to access spreads from 0.0 pips. The commission payable is an unremarkable $3 per lot per side.

Benefits of Vantage FX

  • ASIC, CIMA, VFSC, and FCA regulated
  • Social trading supported
  • $200 minimum deposit
  • Spreads from 0.0 on 44 currency pairs
  • Different account types (commissions are depending on the account type)
  • ECN execution
  • High security
  • Personal support
  • MetaTrader 4/5, ZuluTrade, MyFXBook, DupliTrade
  • Negative balance protection

(Risk Warning: Your capital can be at risk)

3. FP Markets

Official website of FP Markets

Official website of FP Markets

Over the last few years, FP Markets have invested heavily in winning new forex traders to their platform. And in the process won a well-deserved reputation for being beginner-friendly.

The industry has recognized this investment in widening its customer base in the form of awards for its class-leading customer support. And kudos are also due thanks to FP Market’s dedicated forex education portal, which covers all foreign exchange trading aspects. Not to mention their Traders’ Hub, where you can get all the technical analysis and evaluations you could ever need on a daily basis.

With a minimum $100 deposit, it’s easy to get onboard with FP Markets. For instance, the website is available in 15 languages, and you can access customer support via live chat, email, or by phone call back.

Unsurprisingly, perhaps, for a platform that has vowed to be beginner-friendly, it offers copy trading via its Myfxbook AutoTrade rebadged app. Install it into MetaTrader, and it will automatically mirror trades for you.

FP Markets is an excellent choice for low spread, low-cost forex trading. They are two types of forex accounts. You can open them with $100 AUD or equivalent as FP Markets offer multiple base currencies should you wish to hold your capital in a different currency.

Demo accounts are available for both accounts should you wish to try them before you buy.

The Standard is a zero commission account offering spreads from 1.0 pips and a minimum trade size of 0.01 lot. To get your hands on 0.0 pips, you will need to open their Raw account, which charges USD $3 per lot per side.

Overall, FP Markets are a good choice if you are a novice or wish to use copy trading technology. And it’s recommended for more experienced traders too.

Benefits of FP Markets:

  • ASIC regulated
  • Trade over 60 currency pairs
  • Spreads from 0.0 pips and $3 commission per 1 lot trade
  • Award-winning multi-language customer support
  • Cutting edge forex market tools
  • MetaTrader 4/5
  • MAM/PAMM
  • ECN execution
  • High liquidity
  • Personal support possible
  • More than 10,000 markets

(Risk Warning: Your capital can be at risk)

4. AxiTrader

Official website of AxiTrader

Official website of AxiTrader

Unfortunately, AxiTrader does not have the profile it rightly deserves. As forex brokers go, AxiTrader is somewhat unsung. However, don’t let this apparent lack of exposure put you off; AxiTrader gets quietly on with the day job with the minimum of fuss. Two qualities most people would agree are admirable traits for an online forex broker.

If you’re getting the picture already, it’s a hidden gem, but maybe not for too much longer. AxiTrader now boasts a region of 60,000 traders in over 100 countries. Given their growing status, we can expect big things from AxiTrader in the future.

Right now, though, they remain an excellent choice for Australian forex traders. If you are looking to change provider or start forex for the first time, AxiTrader is eminently worth your time to check out. You can get access to three main currency markets in New York, London, and Tokyo, so you trade foreign exchange 24 hours every weekday if you wish.

AxiTrader is serious in its pursuit of new forex traders. As well as demo accounts, they offer easily digestible educational resources. Even if you haven’t traded forex before, you can learn the basics and learn how to use MetaTrader. However, it is arguable whether there really is enough there to give you more than a foundation. In common with every other forex broker we review, we would strongly recommend opening a demo account first. That way, you can practice without putting any of your hard-earned on the line.

In 2007, AxiTrader was a two-person startup. Some 13 years later, it is a truly global business, with its sights on an even greater market share. This strategy hinges on their use of Artificial Intelligence analytics and cutting-edge technology to keep a step ahead.

Benefits of AxiTrader:

  • ASIC and FCA regulated
  • Lightning-fast order execution
  • AI analytics for even greater analysis
  • No minimum deposit
  • Copy-trading supported
  • MetaTrader 4
  • Spreads from 0.0 pips
  • Commissions from $ 3.5 per one lot trade
  • ECN execution
  • High liquidity

(Risk Warning: 75.6% of retail trading accounts lose money)

5. FXCM

Official website of FXCM

Official website of FXCM

With a TrustScore of 98, you can relax in the knowledge that FXCM is one of the most trustworthy forex platforms available. Regulated in Australia, the UK, and South Africa, FXCM ticks all the fintech regulatory boxes.

Based in the UK, the company is also a part of a London Stock Exchange-listed company. All in all, FXCM has a fine pedigree, which is why it is such a popular pick. We had no hesitation whatsoever giving a spot in our top 5 best forex brokers in Australia review. To be frank, they were a shoo-in from the outset of our research.

Nonetheless, this affection is backed up by the facts, not a mere sentiment. From the off, you kind of know that they are a slick operation. Their website, for instance, is one of the most attractive forex broker websites on the internet. It’s clean, very easy on the eye, and simple to use.

So far, so lovely. But the FXCM forex proposition extends beyond window-dressing.

A FXCM trading account gains access to over 60 currency pairs and advanced trading tools to help you avoid blowing up your account. These tools comprise stop loss, stop limit, and guaranteed stop to limit your losses and lock-in profit.

FXCM is attuned to helping new forex traders be a success. This is evidenced, for one, by their free unlimited demo accounts. Many other forex platforms only offer 30-day trials before you have to leave or switch to a live trading account. Everyone learns at a different pace, so there’s no time pressure with an unlimited demo. You can take as long as you need to learn the platform or get to grips with forex trading if you are a novice.

FXCM is committed to learning and training. There’s even a Trader’s Guide video series to watch before you even sign up for a demo account! The only downside, given their emphasis on beginners, is that they do not allow social trading.

Benefits of FXCM:

  • ASIC, FCA, FSCA regulated
  • Demo accounts
  • Variable spreads without commissions
  • MetaTrader, NinjaTrader, TradeStation, ZuluTrade, Tradingview
  • Accepts card payments, banks transfer, PayPal, and Skrill
  • Ease to use and intuitive
  • Advanced charting and technical analysis
  • Support 24/7
  • Low minimum deposit of $50

(Risk warning: 74 – 89% of retail investor accounts lose money when trading with this provider)

Who is the best forex broker for Australia?

There’s not one but five forex brokers that are best for Australian residents. And we have showcased them here in our review. They are IC Markets, Vantage FX, FP Markets, AxiTrader, and Plus500. Our 5 best Australian Forex Brokers review showcases all five and explains why we think they are tops for Down Under.

Read the full reviews: 

  1. IC Markets
  2. Vantage FX
  3. FP Markets
  4. AxiTrader
  5. FXCM

Is forex trading legal in Australia?

Yes. It’s entirely legal to trade foreign exchange in Australia.

Who regulates brokers in Australia?

Always ensure that whichever forex broker you choose is regulated by a tier-one financial regulatory body. In Australia, this is ASIC (Australian Securities and Investments Commission). This link goes to the ASIC website, where you will find a wealth of information about forex.

ASIC regulation logo

Are there restrictions on forex trading in Australia?

ASIC is poised to introduce a draft of more stringent forex trading measures on March 29, 2021. They are concerned that there’s too much volatility in the forex marketplace. Consequently, they are cutting leverage from 1:500 down to 1:30.

The regulator is also making it compulsory that forex brokers increase investor protection by closing out all open positions and having negative balance protection in place. ASIC is also banning the majority of bonus promotions and incentives.

Can I trade forex with only $ 10 in Australia?

Yes, that’s possible. Some forex brokers do offer a minimum deposit of $10 USD like AxiTrader. However, the norm is usually $100 or $200. Some brokers will ask for a starting deposit of $500.

How can I avoid losing all my money on forex trading?

There are no shortcuts with forex trading. You have to put in long hours of learning and training to fully understand the forex trading principles. If you are a newbie, you know that some 70 to 85% of retail forex accounts lose money. Dial-in leverage multiplies profits and losses. It’s easy to wipe out your entire capital due to the highly volatile nature of forex trading.

As a general guide, you should do the following to avoid losses:

  • Do your homework. Learn as much as possible about forex before you start.
  • Find a reputable broker with useful educational resources
  • Make sure they offer stop loss and negative balance protection
  • Ensure they are well regulated
  • Use a demo account first to learn the platform and try out various strategies
  • When you switch to live trading, always start small
  • Use reasonable leverage. Adjust it down as far as possible until you know what you’re doing
  • Keep your forex trading charts tidy
  • Don’t get emotionally attached. Treat forex trading as a business.
  • Keep strict records of your trading activity, profits, and losses, etc.
  • Consultant with a professional regarding your tax exposure

Do I have to pay tax on my forex profits?

Yes, the profit you obtain from forex trading is taxable. It is regarded as income, like any other revenue source. The tax rules that apply to the stock market apply equally to forex. Please check the tax laws in your country of residence.

Final conclusion on the best Australian Forex Brokers

There are a host of forex brokers vying for business from Australian investors. That in itself tells you something.

However, not all forex brokers are created equal. Not all of them are regulated by ASIC. So, on balance, Australian residents would be best advised to go with a broker that’s regulated in Australia. However, given the cut in leverage rates to 1:30, you may need to look elsewhere to access higher levels of leverage. But most brokers got multiple regulations where you can switch to get high leverage.

Our review has shone the spotlight on five forex brokers we consider to be best for Australian residents. We almost certainly deployed the same criteria you would use as benchmarks. We are confident the five we have showcased here are a good, well-rounded selection of brokers that will appeal to new and old forex traders alike.

When compiling this type of ‘best of’ review, the good news is discovering there’s not just one best,’ but five! Therefore, we have no hesitation in commending these forex brokers to you in the knowledge they are all aligned with the needs of Australian investors.