Choosing the forex brokers who traders could find all of their trust in them is essential for the traders at the beginning. And the best way to know whether you can trust a broker is to see if they have forex regulations. The best regulated brokers will make your trading safer. Hence in today’s article, I would like to share with you 5 principles to find a good forex broker together with the 5 best regulated brokers, so you could search for the right ones.

The principles are:

  1. Regulated brokers
  2. Largest forex brokers
  3. Regional offices
  4. Clean & clear company history

And the most famous brokers including:

  • Exness.com 
  • XM.com
  • Forex.com
  • Saxobank
  • IG Group

You might find the criteria are similar to the best broker but it is not, because today I only discuss deeply about the standards of a regulated broker

Best regulated brokers

I have been trading in the forex market for many years, and whenever me and other traders sitting together, we usually discuss about the most reliable types of regulation. At the beginning, most of the traders I have talked with all thought that brokers from the United State and United Kingdom (UK) were better. They have an absolute believe in the US brokers because they trust in the US financial management system. When I asked them to consider about UK, Australia, Hong Kong, Singapore and Japan, US still be their choices. I must admit that I personally find that the US and UK regulations are extremely valuable. Owing to all of the standards like trading platforms, technique, financial health and management must be achieved by the brokers before they are qualified; getting a US or UK license is not easy at all. However, it doesn’t mean that brokers who don’t have regulations from these two countries are less reliable. Some famous brokers don’t have US or UK licenses because they don’t operate their business in those regions. Exness and other big forex brokers, who choose to serve the second biggest forex market naming Asia, don’t have licenses from US or UK but they are very trustworthy. Especially for Exness, it is the biggest forex retail nowadays, traded approximately $400 billion a month and 99% of the trading volume comes from Asia, is still trustworthy without any US or UK license as they don’t have their business in those 2 countries. I don’t really encourage Asian and African traders to do trade with US and UK brokers due to higher spreads and commissions. Therefore, if your country has licensing organisations, choose the people owning national regulations, because it means that brokers would be ready to protect your benefits if there is any problem. In the case your country doesn’t have one and you are not protected by any law, choose brokers with one trusted license. The license could come from US, UK, Australia, Japan, Hong Kong, Singapore or CySEC.

On the whole, regulations are very essential when you choose a broker. You should trade with brokers who have the national regulations of the country that you are living. In the case your country does not have any regulation, which means you will not be protected no matter how many licenses your brokers have, you should choose the best regulated brokers such as US, UK, Australia, Japan , Hong Kong, Singapore and Cyprus. 

Largest forex brokers

 According to my experience, when I want to have good dishes, I will walk along the street and choose the most crowded restaurants for my meals. Why? Because there must be some reasons why those restaurants be favorited by people. Similarly, when I need to make a choice between hundred forex brokers, I will choose the largest one because their services must be good. You could test the services of the forex brokers like what I normally do when I first start, but the problems seldom occur at the beginning, they normally happen after some months of trading. Therefore besides form testing by yourself, you need to consider on the number of people have been using their services, of course the more customers the better. Since their previous customers have tested the trading services and satisfied with those brokers, so you could take advantage of those results. Here are 5 largest forex brokers:

  1. Exness.com: $400 Billions/month
  2. Forex.com: $300 Billions/Month
  3. XM.com $290 Billions/Month.
  4. Saxo Bank: $265 Billion/Month
  5. Hotforex.com $209 Billions/month.

However, largest forex brokers sometimes will not be the best broker for your trading strategies, because each of them have different unique selling points, so you should consider carefully their trading methods and services before choosing them. In other words, if you tend to be a long term trader, and you would like to keep your positions to be opened for some months, you should choose brokers who are reliable and offer low swap. In contrast, if you are scalpers, you should take brokers who offer low spread or commission and high quality executions into consideration. Similarly, a gambler should choose high leverage brokers, or a person that live in a country that has problems with the payment system should choose the ones who allow the deposit/withdraw by local payment systems.

So my advice is that you should create at least 3 accounts with 3 largest brokers and deposit $100 at each. Then do the trading testing by yourself in one month. After 1 month, the broker who give more profit to you definitely suits your trading strategies better. But remember, top biggest forex brokers are always the reliable choices for your plans. 

Regional offices

Once you have a list of the largest forex brokers, you should then consider the ones that operate their offices in your country. As each broker has their own target nations, and they only locate their offices in the countries where they are popular, which means they have been delivering the most satisfied services and competitive conditions to the local customers comparing to other brokers so they could gain the trust from the traders. Besides the facts that brokers have to register for company, licenses and be controlled by the law in case they want to open any office in Asian countries; having a local office will guarantee a faster supporting services of those brokers if you have any problems. Therefore, in order to protect yourself from bad brokers, brokers who operate in your countries are the best choice, because if you have any problems, they are there to support you and if they scam you, the law are here to protect you. However, if your country does not have any large brokers operating their offices, the brokers in the top biggest forex brokers with the mentioned regulations are still the trustworthy ones, but if they have offices in your area, it is even better.

High rating with clean and clear company report:

One of my trading rules is choosing the brokers that have been operating their business in the forex market for at least 10 years and have not got any scam claimed. I considered a decade is enough for a broker to prove themselves. You could read about a broker’s way of handling scandals and treating their clients in many economic news about the forex market. For instance, when Swiss Central Bank floats its CHF in 2015, the CFH/USD was changed over 3000 pips. In the consequence, many brokers lost and even some of them lost for hundred million dollars.

In conclusion, I have been trading forex for many years and facing many problems with my brokers. After big losses in the forex market, I could see how reliable my brokers are. After all, I consider these 5 as the best regulated brokers.


Synthesized by top4forexbrokers.net

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  1. Thanks, I have recently been looking for info approximately this subject for ages and yours is the greatest I have discovered so far. But, what concerning the bottom line? Are you sure about the source?

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