7 Best Forex Brokers in Indonesia for 2024

List of Top Forex Brokers and Trading Platforms in Indonesia

Forex Trading in Indonesia

Forex trading is legal in Indonesia and has gained increasing popularity among its citizens. The Financial Services Authority (FSA) of Indonesia, also known as the Otoritas Jasa Keuangan (OJK), oversees the country’s financial services sector. However, it’s important to note that domestic forex and futures brokers must be regulated by the Commodity Futures Trading Regulatory Agency, commonly referred to as BAPPEBTI (Badan Pengawas Perdagangan Berjangka Komoditi).

BAPPEBTI is responsible for regulating and supervising the commodity futures trading market. It aims to promote a fair and efficient market while protecting investors from fraudulent activities. Meanwhile, the OJK also has a role in regulating the trading of securities. It has the power to enforce financial regulations and impose sanctions on brokers that violate the rules.

It is also legal for international forex brokers to accept clients from Indonesia. These brokers often provide a more robust and global offering.

How did FXEmpire select the Best Forex Brokers for Trading in Indonesia?

• We only selected brokers with a high overall score from our proprietary rating system.
• We checked each broker is authorized to provide brokerage services to residents in Indonesia and regulated by an independent financial authority.
• We examined the number of tradable instruments available to Indonesian traders to ensure there is a diverse range.
• We opened a live trading account to test the broker’s live spreads and trading commissions to ensure they are competitive and transparent.
• We tested the brokers’ trading platforms to identify their user-friendliness and number of trading and charting features.
• We examined whether the brokers have localized resources for Indonesians, such as an office in the country and a website and customer support in the Indonesian language.
• We checked all the payment options available to ensure there are deposit and withdrawal options for traders in Indonesia.
• We explored the brokers’ educational and research content to see if there are materials specifically tailored to Indonesian traders.

Using FX Empire’s comprehensive methodology, our team of experts has identified the best forex brokers in Indonesia for this year. Here’s how we test.

Now let’s explore the selected brokers.

How to Choose a Forex Broker in Indonesia?

Here is a quick guide on how to choose the best forex broker in Indonesia.

1. Confirm the broker is well-regulated

Domestic brokers based in Indonesia must be licensed by the Financial Services Authority (FSA) of Indonesia (the Otoritas Jasa Keuangan (OJK)) and Commodity Futures Trading Regulatory Agency BAPPEBTI (Badan Pengawas Perdagangan Berjangka Komoditi).

However, as it is legal for international brokers to accept clients from Indonesia, there is a large range of brokers to choose from. While some of these international brokers may be regulated by a government’s financial supervisory authority, many brokers are unregulated.

During my 15-year trading experience, I strongly recommend you steering clear of unregulated brokers. These entities have no oversight and do not need to legally abide by any strict rules in how they handle your capital. If an unregulated broker decides to steal your money, then there is no legal way to claim it back.

However, even if a broker is regulated, not all regulators are equal. In our broker rating reviews, we categorize regulators into three tiers:

• Tier-1 regulators operate in well-known, large financial regions and include the UK Financial Conduct Authority (FCA), the Monetary Authority of Singapore (MAS), and many others.
• Tier-2 regulators operate in smaller financial regions. Examples include the Financial Markets Authority (FMA) of New Zealand and many others.
• Tier-3 regulators tend to be based offshore and include the Financial Services Commission (FSC) of Mauritius or the BVI and many others.

You can check the regulatory status of your broker by reading the legal terms and conditions of the entity you are opening a trading account with. You can also check the regulator’s online register in the region they are based and operating from.

Read more about best regulated forex brokers in our comprehensive guide.

2. Ensure the trading fees are transparent and competitive

Here are some fees to be aware of when choosing a forex broker:

• Spread. The difference between the buy price and the sell price. See our guides on the best zero spread and best lowest spread forex brokers.
• Commission. A charge to execute a trade.
• Overnight/swaps. A fee to hold a leveraged or margined position overnight. Find the list of the lowest swap brokers in our detailed guide.
• Payments. Fees to deposit or withdraw funds.
• Inactivity. A fee due to account inactivity.
• Conversion. A fee to convert Indonesian Rupia (IDR) into the base currency of your account if not in IDR.

You can check a broker’s fees in the “Fees” section of their website or by consulting their customer support. If the fee structure isn’t clear and transparent, it’s best to avoid them. Additionally, it’s worth checking if there are any special fees associated with an Islamic swap-free account, as some brokers may charge a fee upfront instead of the overnight interest fee.

3. Choose the right account type for you

To compete in the industry, many brokers now offer a range of different account types. The main differences will be down to the spread and commission charged.

• A commission-free trading account will typically have higher spreads but zero commission to buy or sell.
• A commission-based trading account will typically have lower spreads but charge a commission to buy or sell.

Which account is most suitable for you? Longer-term and beginner traders may prefer a commission-free account where most of the fees are incorporated into the spread, providing an easier trading experience.

Advanced traders focused on precise entries might find a commission-based account more suitable, as it usually offers lower spreads and more precise execution. The average commission in the industry is 3.50 USD per lot, per side, so choosing a broker who charges less than this average would be a smart choice.

A broker typically outlines all fees, features, and benefits of their various accounts on their website’s account page. For those interested in trading with an Islamic swap-free account, brokers often provide a dedicated page detailing the account terms. It’s also advisable to read the separate legal terms and conditions for a comprehensive understanding.

Read more about Best STP forex brokers and Best ECN forex brokers.

4. How much leverage do you need?

Leverage enables a trader to control a large position using a small deposit. It can amplify both winning and losing trades. For example, if a broker offers 1:500 leverage, this means you can open a position worth $500 but with only $1 in your account.

Brokers regulated in well-established regions such as the UK, Europe, and Australia are restricted by financial regulators in offering a maximum of 1:30 leverage for retail traders. This is designed to keep their trading experience as safe as possible.

As many brokers offering services to residents in Indonesia are based offshore or are unregulated, they may advertise very high leverage – sometimes up to 1:3000. This is 100 times more than regulators in the UK, Europe, and Australia will allow.

It is important to be careful with brokers advertising very high leverage, as your profit and loss are calculated on the total trade value and not the capital you put up. If you end up in a position where there is not enough money in your account to control your larger position your broker will enact a margin call and close your trades automatically.

For those comfortable with these dynamics, FX Empire offers a list of the best forex brokers with high leverage, carefully selected to suit specialized trading needs.

5. Test the different trading platforms

Some of the most common trading platforms provided by brokers include:

• MetaTrader 4: The gold standard in forex trading. MT4 provides 80+ technical analysis indicators and drawing tools, one-click trading execution, and algorithmic trading capabilities.
• MetaTrader 5: An updated version of MT4 with more trading execution methods, indicators, and timeframes.

Check out our dedicated guides on best MT4 brokers and best MT5 brokers.

• cTrader: A platform specifically designed for high-frequency traders and scalpers. Read more about best cTrader brokers.
• TradingView: A browser-based social trading platform with advanced charting and access to global markets. See our detailed list on the best TradingView brokers.
• In-House Proprietary Software: Some brokers may invest in having their own proprietary trading software.

Most brokers offer the option to test their platforms with a demo account. This provides a risk-free, virtual environment that’s especially valuable for beginners, allowing you to get comfortable with each platform’s features and functionality. You can also check out our dedicated guide on best forex trading platforms.

What to avoid when choosing a forex broker in Indonesia?

Here are some things to avoid when choosing a forex broker in Indonesia:

• Unregulated brokers. If a broker has no oversight from an independent governmental department, then there are no legal avenues to help you if they act fraudulently and steal your funds.
• Lack of transparency. A good broker will want you to know all of the trading fees, terms, and conditions before you sign up. If the information isn’t easy to find, it could be a sign they have something to hide.
• No physical presence. A broker that does not have an office in a well-established region with a team of customer support staff, compliance officers, and other employees is best to steer clear of.

How to avoid forex and CFD scams?

Unfortunately, there are a lot of forex and CFD scams aimed at Indonesian residents. Here are a few tips to avoid them:

• Trade with a regulated broker.
• Verify the broker’s license on the regulator’s online register.
• Perform a reputation check by searching the broker online in news articles.
• Confirm the broker has a physical presence in a well-established region.
• Check you can speak to a live customer support agent.
• Only use payment methods you have heard of.
• Always read the legal terms and conditions carefully.

And if you are still uncertain, you can always check out our database of reviews to find the most reliable brokers.

Our Methodology

To identify the best forex brokers in Indonesia, we used a proprietary rating system that involves analyzing 250 data points across nine core categories, which include:

• Trustworthiness: We verify the licenses of each broker with the regulator in the jurisdiction they operate in.
• Fees: We test the broker’s trading fees by opening a live trading account.
• Trading platform and tools: We test each trading platform according to its features and user-friendliness.
• Tradable instruments: We explore the number of tradable instruments available.
• Customer support: We connect with the customer support team to test their knowledge and helpfulness.
• Payment methods: We check the different deposit and withdrawal methods available.
• Account types: We examine the account types available and accompanying features.
• Research and education: We explore the quality of the broker’s research and educational materials.

We abide by our strict guidelines for editorial integrity based on the objective standards we have set for our reviews. You can read more about our review process here.

For this page, we have also ensured that each broker accepts clients from Indonesia, provides a localized website and customer support in Indonesian, offers an Islamic Account, and accepts deposits in the Indonesian Rupiah (IDR).

Meet Our Writers

The team of forex and CFD writers and editors at FX Empire is composed of trading industry professionals and seasoned financial journalists. Our writers have been published on leading financial websites such as Investopedia and Forbes. In addition, they all have extensive trading experience.

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