3 Best Forex Brokers with Micro Account for 2024

List of Top Forex Brokers with Micro Accounts

Why Choose Forex Micro Accounts?

If you have a limited amount of trading funds, a micro account could be the perfect option for you. Micro accounts allow traders to transact in micro lots. A lot represents the standardized size of currency units in a standard contract. Traditionally, brokers offered the ability to trade using only standard lots, equivalent to 100,000 units of currency. This required a sizeable trading account.

To appeal to a wider base, many brokers now offer the ability to trade in micro lots, which are one-hundredth the size of a standard lot. This means transactions can be made in 1,000 units of currency, making them a perfect fit for account holders trading with smaller funds.

How did FXEmpire select the Best Micro Lot Size Forex Brokers?

• We only selected brokers with high overall scores from our proprietary rating system.
• We verified the regulatory licenses for each jurisdiction in which the broker operates.
• We ensured that each broker offers the ability to trade in micro lots.
• We examined the number of tradable instruments to ensure a wide range of markets is available for trading with micro lots.
• We tested the broker’s spreads by opening live trading accounts and comparing them to the industry average, ensuring they are competitive and transparent.
• We checked for a range of feature-rich trading platforms that are easy to access and use.
• We assessed the broker’s research and education offering for support in how to trade the market using micro lots.

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

Now let’s explore the selected brokers.

How to Choose the Best Broker for Micro Lot Trading?

Here is a quick guide on choosing a forex broker with micro accounts.

1. Is the broker well-regulated?

Nowadays, brokers can be categorized as either regulated or unregulated. I recommend steering clear of unregulated brokers, as there is no legal recourse to reclaim your capital if they act fraudulently and steal it.

A regulated broker is legally required to adhere to strict standards in handling your capital. However, it’s important to note that not all regulators provide the same level of protection. In our broker reviews, we classify regulatory bodies into three tiers:

• Tier-1 Regulators: These are well-established financial authorities operating in recognized financial jurisdictions. Examples include the FCA, CySEC, ASIC, IIROC, and others.
• Tier-2 Regulators: Although less widely recognized, these regulators operate in reputable financial regions. Examples include the DFSA, FMA, FSCA, and others.
• Tier-3 Regulators: Typically situated in offshore locations, these regulators include entities like the VFSC, BVI FSC, SCB, and others.

Brokers licensed and authorized by a Tier-1 regulator provide the highest level of investor protection. For example, brokers regulated by the UK FCA, IIROC, CySEC, and ASIC must legally segregate client funds from their own, ensuring that client deposits aren’t utilized for the broker’s operational needs.

Check out our dedicated guides on best CySEC-regulated brokers and best FCA-regulated brokers.

Furthermore, these regulators enforce a negative balance protection policy, preventing a retail client’s account from dipping into negative territory during adverse market movements. It’s important to note that professional traders may waive this protection.

The FCA, IIROC, and CySEC take another step by mandating brokers to participate in compensation schemes. These schemes can safeguard client deposits up to a specified amount in case the broker goes bankrupt.

To verify your broker’s regulatory status, review the legal terms and conditions and consult the regulator’s online register in the country they operate. Read more about best regulated forex brokers in our comprehensive guide.

2. Are the fees transparent and competitive?

There are a variety of fees to take into consideration when using a micro lot trading account.

• Spread: The difference between a financial instrument’s buy and sell prices. See our guides on the best zero spread and best lowest spread forex brokers.
• Commission: The fee associated with executing a buy or sell transaction.
• Overnight or Swap Fee: The cost incurred for holding a leveraged or margined position overnight. Find the list of the lowest swap brokers in our detailed guide.
• Payments: Fees related to depositing or withdrawing funds.
• Inactivity: A charge applied in the absence of trading activity within a specified period.

When trading on micro lot accounts, be aware that some brokers may significantly mark up the spread they receive from the interbank market. This is because micro lots allow traders to transact at very small stakes, resulting in minimal profit for the broker. Therefore, they may impose higher spreads on these accounts to generate more revenue.

To verify a broker’s fee structure, you can review the account or fee page on their website or contact customer support.

3. Which account type is best?

Brokers aim to attract a diverse range of clients. Therefore, many brokers offer various account types, including standard, mini, micro, and nano lot accounts. But what do these terms mean?

A lot represents the standardized quantity of currency units in a position. In forex trading, the standard size of one lot is typically 100,000 units of the base currency.

• 1 Standard Lot represents 100,000 units of currency (1.0 lot).
• 1 Mini Lot represents 10,000 units of currency (0.1 lot).
• 1 Micro Lot represents 1,000 units of currency (0.01 lot).
• 1 Nano Lot represents 100 units of currency (0.001 lot)

Some brokers will offer a trading account called Micro. This means that when you trade, you are trading one-hundredth of a standard lot (0.01 lots).

However, during my research, I found that many brokers offer trading in 0.01 lots on many of their other standard accounts. Many non-micro-named accounts may offer better terms and trading fees than a micro-named account. It’s well worth doing your due diligence and researching each account type the broker offers before committing.

The ideal scenario for micro lot traders is to use an account with the lowest trading fees and the most trading features. This may not necessarily be the micro-named account but any account that allows trading a volume of 0.01 lots. Check the broker’s account page, terms and conditions, and speak to customer support if in doubt.

Check out our picks of Best forex demo accounts.

4. How much leverage is available?

One reason forex and CFD trading is so popular is leverage. When trading on leverage, you can open a larger position using a small deposit, amplifying both gains and losses.

For example, a leverage ratio of 1:30 allows you to initiate a position valued at $30 with a mere $1 deposit, granting control over a position thirty times the size of your deposit.

Regulators in the Tier-1 category, including the FCA, CySEC, ASIC, and IIROC, have imposed restrictions on retail trading leverage, capping it at 1:30. However, many offshore brokers may offer extremely high leverage, reaching up to 1:2000 in some cases. While this can help to maximize your returns, it can also wipe them out due to the potential of a margin call.

When trading with leverage, your profit and loss are calculated on the total trade value, not the margin deposited. The broker might issue a margin call if your account lacks adequate capital to manage the larger position. The broker will automatically close your trades in such circumstances, potentially leading to unforeseen losses.

For traders seeking high-leverage options, FX Empire offers a list of the best forex brokers with high leverage, carefully selected to suit specialized trading needs.

5. What trading platforms are available?

Accessing and trading the financial markets successfully requires a reliable trading platform that is both swift and secure and offers a comprehensive range of features and tools. Some of the widely used trading platforms are:

• MetaTrader 4 (MT4): A dependable platform equipped with real-time charts, advanced order tickets, diverse timeframes, and an array of technical analysis indicators and drawing tools. Discover best MT4 brokers.
• MetaTrader 5 (MT5): An upgraded version of MT4, offering additional execution styles, order types, timeframes, and indicators. Discover best MT5 brokers.
• cTrader: Tailored for high-frequency, algorithmic traders and scalpers, cTrader is designed for fast-timeframe and short-term trading. Read more about best cTrader brokers.
• TradingView: A web-based social trading platform with advanced research and charting capabilities covering all asset classes globally. See our detailed list on the best TradingView brokers.
• In-House Proprietary Software: Some brokers develop their proprietary platforms, often providing more features than third-party alternatives.

I personally favor brokers that provide multiple platforms accessible on various devices. This approach ensures seamless switching to an alternative platform or device in case of issues, guaranteeing uninterrupted management of my account. You can also check out our dedicated guide on best forex trading platforms.

What to avoid when choosing a forex and CFD broker?

When choosing a forex and CFD broker offering micro lot trading accounts, be cautious of the following:

• Unregulated Brokers: Trading with an unregulated broker carries significant risks. In case of fraudulent activities, there are no protective measures to assist in recovering lost or stolen funds.
• Lack of Transparency: Difficulty comprehending and verifying a broker’s regulatory status, trading fees, and terms suggests a lack of transparency. Do not trust your capital with such brokers, as they may be trying to hide something.
• No Physical Presence: Brokers lacking a physical office and staff in a reputable region is a major red flag. Reputable brokers typically maintain offices in well-known financial regions and employ a substantial workforce to run the brokerage.
• Unrealistic Profit Promises: Brokers who make exaggerated and unrealistic promises of substantial profits are dishonest. It’s essential to recognize that all trading involves inherent risks.

How to avoid forex and CFD scams?

To safeguard yourself from forex and CFD scams, adhere to the following guidelines:

• Only trade with regulated brokers, ideally one regulated by a Tier-1 regulator.
• Conduct a reputation check by researching the broker online and reviewing customer feedback, news articles, and other relevant sources.
• Check the broker has a physical office in a safe and credible region.
• Ensure you can access live customer support to help with any issues.
• Only use payment methods that you recognize.
• Always read the 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 with micro accounts, we evaluated brokers using our proprietary rating system, which analyzes 250 data points across nine core categories:

• Trustworthiness: We verify the broker’s licenses and regulatory status with the regulator in the jurisdiction they operate in.
• Fees: We test the competitiveness and transparency of the broker’s trading fees by opening a live account.
• Trading platform and tools: We test the broker’s trading platforms for user-friendliness and the number of features and tools they provide.
• Tradable instruments: We examine the number of tradable instruments offered by each broker to ensure a broad range of instruments are available to trade on.
• Customer support: We engage with the customer support team through different channels to test the ease of access, knowledge, and helpfulness.
• Payment methods: We examine the different payment methods to check their fees and processing times.
• Account types: We check each account type to identify the execution method, minimum deposits, fees, and any additional tools or features they provide.
• Research and education: We explore the quality and depth of each 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 also confirmed that each broker provides a micro lot trading account with low minimum deposits, a wide range of currency pairs to trade, and a feature-rich trading platform.

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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