6 Best Zero Spread Forex Brokers for 2024

List of Top Zero-Spread Forex Brokers

Best brokers for US traders

Best brokers for international traders

Navigating the Landscape of Zero-Spread Brokers

The spread, the difference between the buy and sell prices in a market, represents one cost of trading. With more and more brokers competing for your business, there is now an excellent range of products and accounts to trade with zero spreads.

This can be done by your broker providing you with quotes directly from the interbank market and their own liquidity providers, instead of marking up the spread and taking their own cut before it gets to you.

However, not all brokers offer these types of accounts, and the ones that do, vary greatly in their product selection, safety, and security. Our team of experts has identified the best zero-spread brokers to trade with this year.

How did FX Empire select the Best Zero Spread Forex Brokers?

• We ensured each broker received a top score in our 250 data-point broker rating review, which covers nine core categories.
• We checked each broker’s license and authorizations to identify the regulatory protection available.
• We explored the different account types to ensure each broker offers spreads starting at zero pips.
• We opened a live trading account to check the spreads in real time and for low trading commissions.
• We identified brokers that provide a good range of tradable instruments and trading platforms.
• We also checked what other trading and research tools are available.

Our team of experts has identified each broker’s strengths and weaknesses using FX Empire’s comprehensive methodology. Here’s how we test.

Now let’s dive into the selected brokers.

How to Choose the Best Zero Spread Broker?

If you’re involved in forex trading, you’ve probably encountered zero spread brokers. These brokers offer direct access to the interbank market and their liquidity providers, presenting spreads that accurately mirror the underlying market without any added markup.

To choose the best zero spread broker for your needs, be sure to take the following factors listed below, into consideration.

How to choose a safe broker?

Selecting a regulated brokerage firm is the first step in choosing a safe broker to trade with. After all, they play a dual role in safeguarding your funds and executing your trades. The lack of proper oversight by a financial regulator could expose your funds to potential risks and result in poor trade executions that do not adhere to best practices.

Unfortunately, not all financial regulators are equal. To classify financial regulators, we have categorized them into three tiers:

• Tier-1 regulators are based in well-recognized financial jurisdictions, such as the UK FCA, CySEC, and ASIC.
• Tier-2 regulators are located in lesser-known financial jurisdictions but still maintain a high standard. Examples include the DFSA and FSCA.
• Tier 3 regulators are generally associated with offshore-based nations, such as the FSC Belize and SCB.
• Unregulated brokers. Some brokers may have their company located in an offshore jurisdiction which requires no regulation or oversight. These are brokers based in St. Vincent and the Grenadines and other locations.

Based on my personal experience trading with various brokers, I strongly advise verifying the entity with which you’re opening a trading account and understanding the regulatory protections that come with it. It’s essential to note that the level of protection provided by regulators varies depending on the jurisdiction.

For instance, traders opening accounts with FCA-regulated brokers qualify for the Financial Services Compensation Scheme (FSCS), which covers up to 85,000 GBP in case of broker insolvency. On the other hand, the Cyprus Securities and Exchange Commission (CySEC) ensures that brokers are part of the Investor Compensation Fund, which covers up to 20,000 EUR in case of insolvency.

Check out our guides on Best CySEC-regulated forex brokers and Best FCA-regulated forex brokers.

Furthermore, several tier-1 regulators mandate negative balance protection for a broker’s retail trading clients, as well as the segregation of client funds from the company’s own funds. Interestingly, many tier-2 and tier-3 brokers voluntarily offer these protections, even though it might not be obligatory for them, which I find is a good sign of the broker.

I would advise avoiding trading with unregulated brokers, as you’ll have no legal recourse should they act fraudulently or run away with your capital.

You can check a broker’s regulatory status on the online register of the regulator’s website in the jurisdiction they are located in. You should also check the terms and conditions of the entity you are signing up with. To save you time, we have created a comprehensive guide on the best regulated forex brokers.

What fees should you expect with a Zero Spread account?

When dealing with zero spread accounts, it’s important to note that ‘zero spread’ doesn’t necessarily equate to ‘zero cost.’ While the spread, or the difference between the bid and ask price, might be zero at certain times throughout the day, brokers typically have alternative ways of covering their costs. Here are a few things to consider:

Trading Fees

• Spreads: This is the difference between the buy price and the sell price. While brokers may promote spreads starting from 0.0 pips, it’s important to note that it won’t necessarily maintain at 0.0 pips 24 hours a day, as it depends on market liquidity. See our guide for the best forex brokers with lowest spreads.
• Commissions: These are fees that you pay for every trade, regardless of the spread. This means that even if the spread is zero, you could still be paying a commission. Nearly all zero spread accounts will charge a commission. The brokers discussed above have commissions ranging from $0.20 per lot to $4 per lot, showing just how different each broker can be.
• Swap Fees: Another aspect to consider is the swap fee. These fees are charged when you hold a leveraged position overnight and are based on both the interest rates of the currency you’re trading and the broker’s markup. Discover Best low swaps forex brokers.

Non-Trading Fees

It’s important to be aware of other types of fees that can come with a zero-spread account. For instance, some brokers charge inactivity fees. If you fail to execute a number of trades during a designated timeframe (months, quarters, or years) you may incur this fee.

Check the broker’s fee page carefully and consider using a demo account or starting with small funds to, firstly test the live spreads and fees.

How to choose the best Zero Spread account?

Choosing the right account type is crucial to find success in your trading journey. Here are a few things to take into consideration to help you choose the best zero-spread account for yourself.

Step 1: Self-Evaluation

Begin by assessing your trading goals, risk tolerance, and level of expertise. Are you new to forex trading and just starting to explore the market? Or are you an experienced trader seeking advanced tools and higher leverage? Understanding your needs will help identify the ideal account type for you.

Step 2: Account Options

Brokers offer a range of account types, catering to different traders. For beginners, micro or mini accounts are often recommended, as they have low deposit requirements and limit risk exposure. On the other hand, experienced traders may prefer standard or VIP accounts, which offer larger contract sizes and additional tools.

Explore Best micro forex accounts and Best big forex accounts.

Step 3: Initial Deposit

Take into consideration the minimum deposit required for the account. Some accounts may demand a higher initial investment than others. Ensure that the deposit amount is one you are comfortable with and can afford.

Step 4: Leverage & Spreads

Examine the leverage and spreads provided by the broker. High leverage can amplify both potential profits and losses, therefore escalating risk levels. Lower spreads signify reduced trading costs, but make sure you balance this with the commission charged for a trade.

Step 5: Demo Account

Before committing real funds, utilize a demo account offered by brokers. Demo accounts allow you to trade with virtual money, providing a risk-free environment to familiarize yourself with the trading platform and test various strategies. You can check our list of the best forex trading demo account.

The best forex account for you will be the one that aligns with your trading style, objectives, and risk tolerance. Taking these factors into account will help ensure a successful trading experience.

Which leverage to use with Zero Spread accounts?

Utilizing leverage provides you with the ability to control a larger position with a smaller deposit, presenting an opportunity to amplify both profits and losses.

Regulatory bodies such as the UK FCA, CySEC, and ASIC, classified as Tier-1 regulators, impose a leverage cap of 1:30 for forex trading. This means that with just $10, you can control a position size of $300. It is vital to grasp the fact that higher leverage involves increased risk, as unfavorable market movements can lead to higher losses.

Exercise caution when dealing with offshore and unregulated brokers who often promote exceedingly high leverage. It is essential to recognize that Tier-1 regulators restrict leverage for retail traders to provide a safe and responsible trading experience. However, you can see FX Empire’s carefully selected list of the best forex brokers with high leverage.

What is the best trading platform for Zero Spread account?

The majority of forex brokers provide clients with access to well-known trading platforms like MetaTrader 4, MetaTrader 5, and cTrader. While the desktop versions of these platforms boast comprehensive features, including automated trading capabilities, it is equally important to test the broker’s proprietary trading platform (if they have one), as it may come with more features.

The broker’s own platform might offer additional functionalities such as real-time news and trading ideas. Evaluating your individual trading requirements is crucial in selecting the most suitable platform. Online resources provide valuable information about MT4, MT5, and cTrader, but keep in mind that they may not be as user-friendly as a broker’s proprietary platform, so test each platform with a demo account first.

Read more about best MT4 brokers, best MT5 brokers, and best cTrader brokers.

Based on my personal experience, choosing a broker that provides access to multiple trading platforms is wise. This is because, in the event of any issues with one platform, having alternatives readily available ensures you can continue to trade without any downtime.

What to avoid when choosing a zero-spread forex broker?

Below are some points to consider and pitfalls to avoid when selecting a forex broker:

• Unregulated brokers: Steer clear of unregulated brokers as they may engage in fraudulent activities, and you might have no recourse to recover your funds in such cases.
• Lack of transparency: Be cautious of brokers that make it difficult to find information about their trading fees, deposits, and withdrawals. Lack of transparency should raise a red flag.
• Absence of live customer support: Ensure that the broker offers access to live customer support through web chat, phone, or social media. Make sure you can access help anytime you need it.
• Be cautious of promises of unrealistic profits and conduct thorough research before finalizing your decision on a broker.

Taking the time to do your due diligence is crucial.

How to avoid Forex and CFD scams?

Avoiding forex and CFD scams is a significant concern for traders nowadays. To steer clear of scam brokers, consider the following factors:

• Verify regulation and licenses: Check if the broker is regulated and possesses a valid license from the relevant regulatory authority in the country where they operate. Confirm this information from the regulator’s official online register.
• Physical address and customer support: Ensure the broker has a physical address in a reputable country. Additionally, confirm that they offer live customer support accessible via phone to address any queries or concerns.
• Conduct an internet search: Look up the broker online to identify any news articles or discussions that might highlight issues or concerns with their services.
• Use reputable payment options: Opt for well-known and secure payment methods to safeguard your transactions and financial information.
• Thoroughly review terms and conditions: Always read and understand the terms and conditions provided by the broker before proceeding with any trading activities.

By adhering to these guidelines, you can reduce the risk of falling victim to forex and CFD scams and enhance your overall trading experience.

Our Methodology

Having been at the forefront of the broker review industry for the last decade, FX Empire has developed a comprehensive methodology incorporating over 250 data points across nine distinct categories. These include:

• Trust
• Fees
• Platforms and tools
• Tradable instruments
• Customer service
• Deposit and withdrawals
• Account types
• Research
• Education

When identifying the top zero spread forex brokers, our team utilized the valuable insights derived from this research, along with the following factors:

• Top score from our 250-point rating review
• A range of zero-spread trading accounts
• Lowest commissions possible compared to the industry average
• The broker’s minimum deposit, and whether it is high or low
• The safety of the broker, its regulation, and reputation
• Accessibility of the trading platforms
• The variety of tradable instruments and trading tools offered

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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