5 best STP Forex Broker – Comparison and list for traders
The forex trading market is burgeoning. And not without good reason.
STP brokers are legion and popular with forex traders who want transparency and don’t like paying commission fees or receiving requotes.
Unfortunately for forex traders, the field is densely packed with brokers using straight-through-processing. As you would expect, some are better than others. Some go the proverbial “extra mile” by offering features, innovations, and superior service touches that show they genuinely care about their clients. Others maybe not so much.
Who’s best for STP?
To help you machete a path through the undergrowth of STP forex brokers, we have compiled a review of the 5 best. There are literally hundreds to go through. However, we ran our discerning rule over the best of the bunch. Using criteria you would use, we whittled down to a shortlist of five.
What we present here are the five STP forex brokers we consider to be exceptional. They are all different. Some are better suited to experienced forex traders. Some made it onto our review because they do a first-class job supporting forex beginners and honing their trading skills.
They all have one thing they share, though, a commitment to transparency and doing their best for their clients, regardless of their trading volume.
5 best forex STP broker:
- RoboForex – Definite contender for the top spot
- XTB – Relies on its in-house developed platform
- Vantage FX – Award-winning flexibility
- FxPro – Good for beginners
- FP Markets – Great credentials
What is STP (Straight Through Processing)?
Before jumping straight into our STP forex broker guide, it is a good idea that we first nail down what STP actually means.
It’s an automated process of electronic money transfers that do not require human intervention. It is faster than going through the traditional banking system. You have probably heard of ACH and SWIFT; STP is an upgrade that streamlines the process by doing away with entering payment and routing information manually.
In forex, brokers use STP to transfer all their customer orders directly to their liquidity provider. It is essentially a means of transferring the inherent risk involved.
Say, for example, you decide to buy 2 lots of EUR/USD. When you placed the order, your broker was doing the same with their liquidity provider.
The liquidity provider offers your broker premium spreads, who then markup this spread to the customer. The difference in the spread between the liquidity provider and the broker price is how they earn a crust.
Let’s imagine that a forex broker is applying a 1 pip spread markup on Euro/US dollar pairs with 200 clients who are trading ten times per day. The broker potentially stands to earn around 2,000 pips every day.
Forex traders often deal with STP because they can be confident there’s no price manipulation going on behind the scenes.
Established in 2009, the trajectory of RoboForex has been steeply upward ever since.
Today, this Belize-regulated forex broker has more than 800,000 clients from 169 countries on the books. Not too shabby by any measure.
The success of RoboForex has not gone unnoticed by the industry. In 2020 alone, RoboForex collected six prestigious industry awards to underline their stellar performance. Like Andrei Kulebin, a world-class kickboxing and Muay Thai champion that they sponsor, RoboForex are no strangers to picking up titles in the face of fierce competition.
Among their haul of silverware last year was the Most Trusted Broker in International Business Magazine Awards, Most Transparent Asian Forex Broker in the Global Forex Awards retail category, and Best Global Mobile Trading App in the Global Forex Awards B2B category.
Offshore regulation aside, RoboForex appears to be a relatively safe bet as client funds are kept in segregated trading accounts, and they have negative balance protection. They have, in addition, signed up to the Financial Commission’s Compensation Fund. Furthermore, their order executions are audited by Verify My Trade. They also have Civil Liability insurance against fraud, errors, omissions, negligence, and other risks that could potentially lead to financial loss for clients.
As STP brokers go, RoboForex is an intriguing proposition. Firstly, until the end of 2021, RoboForex is running a promotion on Prime Accounts with no minimum deposit, increased leverage of up to 1:300, and spreads down to zero pips.
While Prime is their most popular choice for advanced traders, it is just one of a raft of account types on offer. Pro and experienced traders should investigate the ECN and R Trader accounts, respectively.
Beginners, as well as those with forex experience, are better off with a Pro-Cent or Pro-Standard account.
Benefits of RoboForex:
- Spreads from zero pips
- Leverage of up to 1:2000
- Trade more than 40 currency pairs
- MetaTrader 4 and 5, cTrader, RTrader, RWebTrader, plus CopyFX
- Multiple account types
- Low initial deposits
- Promotions and bonuses
- Regulated by IFSC Belize
Would you base your forex trading platform decisions on the word of a football manager? Admittedly, a highly successful one, to be fair.
XTB seems to think so. They have brought in José Mourinho into their squad as a Brand Ambassador.
Putting footballing metaphors on the bench, for now, XTB is an STP broker that was always going to book a place in our forex guide.
Though relatively latecomers, they were founded in 2016, XTB has made some significant inroads into the market and picked up some critical industry awards along the way.
Unlike other forex brokers, they have opted not to adopt MetaTrader. Instead, they have developed their in-house platform, which has been recognized for its ease of use and speed. It is now into its fifth iteration and also available as a mobile app.
However, you should not let this put you off too much. XTB have demo accounts that give you four weeks of risk-free fantasy trading with £100,000 of virtual funds, with tight spreads from 0.2 pips and 1:30 leverage. Hopefully, a month should be long enough to get a handle on XStation and try out some forex trading strategies before committing to a live account.
Where XTB also excels is in its commitment to learning and training, regardless of your level of forex trading experience. The courses are pitched at basic, intermediate, and expert levels, with a handy search by subject tool. XTB also offers premium content in their Trading Academy, but you need to open a live account to access this.
Benefits of XTB:
- One of the largest forex brokerages
- Multiple award winner
- Highly regulated
- 15 years’ worth of experience and offices in 13 countries
- 24/5 customer support
- Extensive training resources for beginners and experienced traders
- Easy to use platform
- Fast execution speeds
3. Vantage FX
As credentials and pedigree go, you are onto a winner with Vantage FX.
They are well regulated, committed to compliance, strictly audited, and keep all client funds in a segregated National Bank of Australia account.
When you look closely, there are many great reasons to go with Vantage FX.
Their technology to execute orders is lightning fast for starters, and the platform runs MetaTrader 4 and 5, two industry standards that are familiar to many forex traders by now.
But if you need further compelling evidence, try considering that, as well as forex, you trade indices, shares, commodities, and cryptos and gain access to exclusive Vantage FX promotions. And it is not just us lauding this Australian forex broker; the industry is doing so too. Just last year, Vantage FX picked up M & A Today’s Financial Trading Services Provider of the Year – Australia, and scored two wins in Global 100 Awards, collecting the honors in the Best MT4/MT5 Broker and Lowest Trading Costs categories.
There isn’t very much to dislike about Vantage FX. It carries Indemnity Insurance to cover client losses in the event of them screwing up big time. And they get their liquidity from some of the biggest names in the business, including JP Morgan, Citibank, Goldman Sachs, and Bank of America, among others.
Signing up for an account gets you trading with up to 40 currency pairs, with spreads from 0.0 pips. In total, there are nine ways you can connect to Vantage FX, so it’s unlikely you won’t have a suitable device to hand to trade 24 hours a day.
Benefits of Vantage FX:
- Award-winner with a decade of experience
- Zero deposit fees
- $200 minimum deposit
- Leverage up to 1:500
- Spreads from 0.0
- MetaTrader 4 and 5
- Strong background
Don’t be dissuaded by the name. FxPro is for everyone; the pro part relates to their mission statement of enabling people to trade like a professional while on the go.
You can be assured FxPro knows what it is doing as they have been around since 2006. You don’t achieve that level of longevity without some serious hard work and thought being expended on your service offering.
It shows too. As part of the FxPro drive to have the broadest possible appeal, FxPro has invested in training and learning resources. Even if you have dabbled in forex before or are a complete novice in the arena, taking a swing by FxPro’s training section is highly recommended. You don’t even need to register. Courses are pitched at beginner and advanced levels, which is excellent as you are never done learning about forex. You can never know enough, and there’s always something new to learn every day.
This commitment to learning is just as well if you are a beginner. FxPro gives their users multiple choices in account types and platforms, namely MetaTrader 4 and 5, cTrader, and FxPro’s in-house developed platform, FxPro EDGE.
All five account types are platform-centric. With so much choice, the FxPro website makes life a little easier with a side-by-side comparison. However, though FxPro does indeed use STP technology, they classify themselves as Non-Desk Dealing as it better reflects their order execution method. The upshot is that there virtually no requotes and no human intervention that can affect the price.
Their operations are well regulated, with their various entities being licensed in Cyprus, the UK, the Bahamas, and South Africa.
Benefits of FxPro:
- Excellent learning resources
- Trade over 70 forex pairs
- Choice of four trading platforms
- Well regulated
- Ultra-fast order execution
- Retail and institutional clients in 170 countries
- Negative balance protection
- Fully segregated client funds
5. FP Markets
As a global forex broker who won multiple industry awards (four times winning Best Trade Execution) and has cutting edge tech, FP Markets was always on our mind when compiling this review.
With their low $100 deposit and access to leverage of up to 1:500, they were always going to be difficult to leave out. But be assured that FP Markets got into our top 5 best forex STP broker review on merit rather than sentiment.
As well as the iconic software that is MetaTrader 4 and 5, FP Markets also offer WebTrader and a brand new mobile app to ensure you can connect to your trading dashboard wherever you happen to be.
Interestingly, they have also added Iress, a new and comprehensive active trading platform, replete with advanced features. When logged into the Iress platform, you have the option of Iress Trader or Iress ViewPoint to work with. The latter gives you 360-degree data coverage to help make the most of forex trading opportunities via Iress Trader as soon as they arise.
Boldly, perhaps, FP Markets state that Iress ViewPoint is the future of online trading. Time will tell if they are correct. You can trade forex on the Iress platform, but FP Markets don’t overtly spell that out. Possibly this is because the minimum balance is $1,000 for the Standard account, $25,000 for the Platinum account, and $50,000 for the Premium account.
However, there is a brace of forex dedicated accounts to look at instead. Both require only a starting balance of $100 and provide leverage of up to 1:500.
Benefits of FP Markets:
- Trade 60 plus currency pairs
- Spreads from 0.0 pips
- Fast order execution speed
- Tier one regulated
- Good liquidity
- Allows auto-trading
- Multilingual support 24/5
- Personal account managers
Who are the best STP forex brokers?
We have rounded up the five brokers we consider the best in this review. Namely, RoboForex, XTB, Vantage FX, FxPro, and FP Markets. However, bear in mind spans more than just order execution speed. There are several other variables to take into account, including forex trading experience, trading goals, personal preferences, etc. In this guide, we have strived to come up with the 5 best all-rounders, with an appeal for forex newbies as well as more experienced trading hands.
Do STP brokers issue requotes?
Due to the way STP forex brokers operate, there are no requotes. An STP Forex broker does not set forex buy and sell prices or hold liquidity. The forward positions to liquidity providers who do the buying and selling for them.
Do STP brokers charge commission?
STP brokers make their money by adding one pip to the market-set spreads. Generally, they do not add a commission fee, so in essence, it is a flat fee you pay for their services. As a result, trading costs and pricing are transparent and upfront. You know in advance what you will be paying. No commission accounts are therefore convenient and easy to manage, making them good choices for forex beginners.
What is an NDD forex broker?
A Non-Dealing Desk broker is very similar to STP. There’s no human intervention required to execute an order. NDD forex brokerage is plugged straight into the interbank market. There are no requotes for prices, and generally, the spreads are noticeably lower. However, as the spreads are not fixed, they can be subject to significant volatility. An NDD broker will either charge a commission fee on each trade or increase the spread.
The term ‘best’ is a slippery notion. It is arguably one of the most subjective ideas there is. One person’s best may be the polar opposite of another person. With this in mind, we ambitiously set out to review who we considered to be the top dogs of STP forex brokers.
We looked at who offered the best trading conditions, transparency, security, and reliability. What we arrived at, in our opinion, are the five STP brokers that stand out as good all-rounders for both inexperienced and experienced forex traders. All five have that intangible X factor that sets them apart from their peers in the forex brokerage world.
Our depth of knowledge and expertise has narrowed down the field to a handful. We understand that researching forex brokers is a laborious and often time-consuming task. So to help you out in your forex trading journey, we present our showcase. We are confident that this handful is the best and that you’ll find the forex broker that is a perfect fit.
No matter where you are on your forex journey, at the beginning or somewhat down the road, we have the ideal STP forex broker waiting for you.