The Best 7 Forex Brokers for Beginners (2023 Review)

A List of the Top Forex Brokers for Beginners for November 2023

This list is not a comprehensive guide; it is designed to give you a starting point to know what features to look for and how they compare and differ.

There are many forex brokers, all with different products, services, strengths and weaknesses.

The brokers mentioned below are currently the most popular brokers. They have all won various awards and are known for their reliability.

1. Best for leverage: Plus500
2. Best for low commission on stocks: eToro
3. Best for multiple platforms: AvaTrade
4. Best for low forex fees: XTB
5. Best for educational material: IG
6. Best for social trading: Switch Markets
7. Best for day to day trading: Videforex.com

Comparison Chart of the Best Forex Brokers for Beginners for November 2023

etoro:

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.

IG: Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of IG retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Description of the Best Forex Brokers for Beginners for November 2023

Regulated: CySec, FCA, ASIC, MAS, FSA, EFSA, DFSA
Minimum deposit: $100
Costs and fees: Free withdrawals, overnight funding fee, currency conversion fee, inactivity fee, guaranteed stop order fees
Educational resources: Basic videos and articles, pdf
Demo account: Yes
Social copy trading: No
Customer service: 24/7 support through email, live chat and WhatsApp

Plus500 was founded in Israel in 2008; therefore, while it is regulated, it has yet to survive a recession.

The educational resources are not as good as other forex brokers, and the platforms lack when it comes to research and analysis.

It is user-friendly and easy to set up an account, however.

Beginners are always advised to start with a demo account since trading CFDs is a risky activity, Plus500 is not suitable for pure beginners.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Regulated: Two tier-1 regulators – UK, Australia
Minimum deposit: $200
Costs and fees: Low forex fees, $10 per month inactivity fee, $5 withdrawal fee, additional fees may occur for some trades
Educational resources: Basic education videos, integrated educational content, YouTube channel
Demo account: Yes
Social copy trading: Yes
Customer service: Live chat, web-based ticketing with email replies

Below content does not apply to US users.

eToro is one of the most popular forex brokers in 2021.

For beginners, there is very little educational material to guide you, however.

Where eToro does excel for beginner traders is their social trading, which allows you to copy another trader's portfolio.

The trading platforms are also user-friendly.

To find out more, read our eToro review.

Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.

Regulated: Yes, by multiple regulators including the Central Bank of Ireland and ASIC in Australia.
Minimum deposit: $100
Costs and fees: Competitive spreads, $50 inactivity fee after three months, $100 administrative fee after 12 months, overnight fees may apply.
Educational resources: Extensive, including trading guides, webinars, FAQs.
Demo account: Yes
Social copy trading: Yes, via platforms like ZuluTrade and DupliTrade.
Customer service: 24/5 live chat, email, phone support in various languages.

AvaTrade is often considered a good choice for beginners in online trading for several reasons:

• User-Friendly Platform: AvaTrade offers a straightforward and intuitive trading platform, which is beneficial for new traders who are still learning the ropes. The platform is easy to navigate, making it simpler for beginners to execute trades and manage their accounts.

• Educational Resources: AvaTrade provides a wealth of educational materials, including webinars, video tutorials, eBooks, and articles. These resources cover a range of topics from the basics of trading to more advanced strategies, which can be incredibly valuable for beginners.

• Demo Account: The availability of a demo account is a significant advantage for beginners. It allows new traders to practice trading with virtual money, helping them gain experience and confidence without risking real capital.

• Risk Management Tools: AvaTrade offers various risk management tools, such as stop-loss orders, which are essential for new traders to help manage and limit potential losses.

• Regulation and Security: AvaTrade is a regulated broker, which can offer beginners a sense of security. Knowing that the broker adheres to certain regulatory standards can provide peace of mind.

• Customer Support: Good customer service is crucial for beginners who may have many questions. AvaTrade is known for providing solid customer support.

However, it's important for beginners to be aware that trading involves significant risks, and they should only invest money that they can afford to lose. While AvaTrade offers a beginner-friendly environment, the inherent risks of trading in the financial markets are still present.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Regulated: One tier-1 regulator – UK
Minimum deposit: $0
Costs and fees: Overnight financing costs, spread costs, inactivity fees, no withdrawal fees over $100, low forex fees
Educational resources: Texts, quizzes, videos
Demo account: Yes
Social copy trading: No
Customer service: Multi-language, live chat, phone, not available 24/7

XTB is a Polish forex and CFD broker founded in 2002. While it is regulated by a single top-tier regulator, it has gained a reputation for its user-friendly platform and comprehensive educational resources, making it a popular choice for beginner traders.

Features for Beginners:

• User-Friendly Trading Platforms: XTB offers two trading platforms, its own xStation 5 and the popular MetaTrader 4, both designed with beginners in mind. Both platforms feature intuitive interfaces, clear navigation, and a range of charting tools and indicators to help novices understand market movements and make informed trading decisions.

• Comprehensive Educational Resources: XTB provides a wealth of educational resources tailored to beginners, including webinars, video tutorials, articles, and glossaries covering a variety of trading topics, from basic concepts to more advanced strategies. These resources help beginners grasp the fundamentals of trading and develop essential skills for successful trading.

• Demo Account: XTB offers a free demo account that allows beginners to practice trading with virtual funds before risking real money. This valuable tool provides a safe environment to familiarize oneself with the trading platform, test different strategies, and gain confidence before venturing into real-world trading.

• Low Minimum Deposit: XTB requires a relatively low minimum deposit, making it accessible to beginners with limited capital. This allows them to start small, gradually increase their trading activity as they gain experience and confidence, and avoid exposing large sums to potential losses.

• Competitive Spreads: XTB offers competitive spreads on a wide range of trading instruments, including forex, indices, commodities, and shares. This helps beginners reduce their trading costs and improve their profitability.

• Responsive Customer Support: XTB provides responsive customer support to assist beginners with any questions or issues they may encounter while using the platform or navigating the trading process. Their knowledgeable and friendly support team is readily available to help beginners resolve problems, clarify doubts, and provide guidance.

Overall, XTB's user-friendly trading platforms, comprehensive educational resources, demo account, low minimum deposit, competitive spreads, and responsive customer support make it a compelling choice for beginner traders seeking a supportive and well-equipped trading environment.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Regulated: Six tier-1 – Australia, Japan, Singapore, Switzerland, UK
Minimum deposit: $250 for US accounts
Costs and fees: No withdrawal fees, $12 inactivity fee, spread cost, overnight financing costs
Educational resources: DailyFX which features over 20 articles, IG Academy with eight courses, webinars, YouTube channel, live videos
Demo account: Yes
Social trading: Not fully integrated, but elements of social trading are available
Customer service: Email, live chat, phone

IG was founded in 1974 in London and is considered one the most trusted forex brokers.

For beginners, IG offers industry-leading educational material and easy-to-use platforms.

Presently, it does not have a desktop trading platform.

The web and mobile app platforms are secure and come with a host of resources and tools, however.

The downside of IG is that:

• Live chat function is often offline
• Forex fees are higher than most of the competitors

Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of IG retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work, and whether you can afford to take the high risk of losing your money.

Regulated: Yes, regulated by the Seychelles Financial Services Authority (FSA).
Minimum deposit: $50
Costs and fees: Competitive spreads, no inactivity fees, and no deposit or withdrawal fees. Overnight fees (swaps) may apply.
Educational resources: Offers educational resources including trading guides, webinars, and market analysis.
Demo account: Yes, offering a risk-free environment to practice trading strategies.
Social copy trading: Not prominently featured on their platform.
Customer service: 24/5 customer support through live chat, email, and phone.

Founded in 2019, SwitchMarkets.com styles itself as 'the place traders come to trade', and with an enormous range of trading instruments available through MetaTrader 4 and a proprietary platform, SwitchMarkets.com has a lot to offer.

The parent company of SwitchMarkets.com (Royal ETP) is regulated by ASIC and CySEC as well as some other lower-tier jurisdictions, while client funds are segregated in Tier 1 banks – which makes it more secure.

With SwitchMarkets.com you can trade:

• 62 Forex pairs
• 8 metals
• 21 indices
• 86 share CFDs
• 4 cryptocurrencies

Switch Markets offers several features that are beneficial for beginners in forex and CFD trading:

• Low Minimum Deposit: A low minimum deposit of $50 makes it accessible for beginners to start trading without a significant initial investment.
• Demo Account: They provide a demo account, which is an essential tool for beginners. It allows new traders to practice and develop their trading skills in a risk-free environment using virtual funds.
• Educational Resources: Switch Markets offers a range of educational materials, such as trading guides, webinars, and market analysis. These resources are valuable for beginners to learn the basics of trading and understand market dynamics.
• User-Friendly Trading Platforms: They offer access to popular and user-friendly trading platforms like MetaTrader 4 (MT4), which is known for its ease of use, reliability, and range of features suitable for beginners.
• Competitive Spreads and No Hidden Fees: Beginners can benefit from the competitive spreads and the absence of hidden fees, inactivity fees, or unnecessary charges, making it easier to manage trading costs.
• Customer Support: Having access to responsive customer support is crucial for beginners, and Switch Markets provides support through various channels like live chat, email, and phone.

These features combined create an environment that can be very conducive for beginners to start their trading journey. However, it's important for beginners to be aware of the risks involved in trading and start with only what they can afford to lose.

Trading OTC derivatives is risky; please read our PDS and disclaimer before trading with us. We encourage you to seek your own independent advice and to consider your own financial situation, needs and objectives prior to making any decisions.

Best for: Day to day trading.
Regulated: Videforex is not regulated by any major financial authority.
Minimum deposit: $250
Costs and fees: Videforex has relatively high spreads and may charge additional fees, including withdrawal fees. The exact fee structure can vary.
Educational resources: Limited educational resources compared to other brokers. Some basic information and tutorials are available.
Demo account: Yes, Videforex offers a demo account for traders to practice strategies without risk.
Social copy trading: Videforex does offer a form of social trading where traders can follow and copy the trades of successful users.
Customer service: 24/7 customer support is available through live chat, phone, and email.

Videforex is a French forex and CFD broker founded in 2008. It is regulated by the Autorité des Marchés Financiers (AMF), the French financial regulator, and offers a range of features that make it a good choice for beginner traders.

Beginner-Friendly Features of Videforex:

• Educational Resources: Videforex provides a comprehensive library of educational resources, including webinars, videos, and articles, covering a wide range of trading topics, from basic concepts to more advanced strategies. This extensive knowledge base helps beginners understand the fundamentals of trading and develop essential skills for successful trading.

• Demo Account: Videforex offers a free demo account that allows beginners to practice trading with virtual funds without risking real money. This valuable tool provides a safe environment to familiarize oneself with the trading platform, test different strategies, and gain confidence before venturing into real-world trading.

• Low Minimum Deposit: Videforex requires a relatively low minimum deposit, making it accessible to beginners with limited capital. This allows them to start small, gradually increase their trading activity as they gain experience and confidence, and avoid exposing large sums to potential losses.

• Competitive Spreads: Videforex offers competitive spreads on a range of trading instruments, including forex, indices, commodities, and shares. This helps beginners reduce their trading costs and improve their profitability.

• User-Friendly Trading Platform: Videforex's trading platform is designed with beginners in mind. It features an intuitive interface, clear navigation, and a range of charting tools and indicators to help novices understand market movements and make informed trading decisions.

• 24/5 Customer Support: Videforex provides 24/5 customer support in multiple languages, including English, French, and Spanish. Their knowledgeable and friendly support team is readily available to assist beginners with any questions or issues they may encounter while using the platform or navigating the trading process.

• Social Trading Features: Videforex offers social trading features that allow beginners to copy the trades of experienced traders. This can be a valuable learning tool for beginners to observe successful trading strategies and gain insights from experienced traders.

• Risk Management Tools: Videforex provides a variety of risk management tools, such as stop-loss orders and position sizing calculators, to help beginners manage their trading risks and protect their capital.

• Free Trading Signals: Videforex offers free trading signals generated by its team of analysts. These signals can provide beginners with initial trading ideas and help them identify potential trading opportunities.

• Regular Market Updates: Videforex provides regular market updates and news to help beginners stay informed about current market conditions and make informed trading decisions.

Overall, Videforex offers a suite of beginner-friendly features, including comprehensive educational resources, a demo account, low minimum deposit, competitive spreads, a user-friendly trading platform, 24/5 customer support, social trading features, risk management tools, free trading signals, and regular market updates. These features make Videforex an attractive choice for beginner traders seeking a supportive and well-equipped trading environment.

Is Forex Good For Beginners?

Foreign exchange trading, or forex trading, involves the buying and selling of currency pairs to make a profit.

Since the pandemic, forex trading has increased by 300%, indicating how popular this type of investment is.

There are many benefits of forex trading, including it being part of a large and global market and being an accessible security for beginner traders.

However, as trading can be complex and comes with risk, it is essential to choose the right broker for you.

As a beginner, there are several things to consider before committing to a broker. As you become more experienced, these factors will change, leading to a possible change in broker.

When making your decision, look for tools and features that suit your trading level.

Committing to a platform with the best research tools but little education or support will not help you become a good trader.

The data trading platforms generate can be overwhelming and challenging to understand at first.

Start with the simple tools, and build your way up.

Key Considerations When Choosing a Broker as a Beginner in 2023

When deciding what broker to commit to, there are several factors you need to consider.

Is It Regulated?

There are three regulatory tiers:

• Tier-3 has low trust
• Tier-2 is medium
• Tier-1 is complete trust

When choosing a broker, you want it to be regulated by tier-1 jurisdictions, preferably in your country of residency.

Any broker that does not have a tier-1 regulator should be treated with caution.

You should also check if it is listed on any stock exchanges or indices and what year it was established.

Those companies that have survived a recession are assumed more reliable. Those listed on stock exchanges are more transparent with their finances.

What Are the Costs?

Always read the fine print for hidden and additional fees.

The best brokers are transparent in their trading fees and provide a full breakdown before making a trade.

You should also be aware of:

• Minimum deposits
• Account opening fees
• Withdrawal fees
• Transfer fees

Costs can also vary between countries, so ensure you are checking for your region.

What Educational Materials Does It Offer?

As a beginner, you will need as much help as possible.

Every forex broker has an education section explaining the basics of trading and how to use the platform.

Some brokers understand the value of educational materials and offer a wide variety that include:

• Webinars
• Guides
• Quizzes
• Videos
• Courses

While spending more time learning may not sound appealing, it is the best route to becoming a successful trader.

Does It Provide a Demo Account or Social Copy Trading?

In demo accounts, the broker gives you a fake amount of money to make trades and investments.

You work with real-time data and make trades and investments as you would if the money were real.

However, as the money is not real, you can make as many mistakes as you want without any consequences.

You can also test different strategies, tools and resources to see which ones work for you.

This ensures that when you start live trading you have a winning formula and less chance of losing your money or making rookie mistakes.

Social copy trading allows you to see another trader's portfolio. Some brokers give you the option to copy their trades.

Others are more social in that you discuss the choices someone made for a better understanding.

Does It Have Good Customer Service?

No matter the industry, good customer service is always a beneficial thing to have.

When working with technology, especially complex trading platforms, there may be issues that you need to resolve and quickly.

Before committing to a broker, research the communication methods and how effective they are.

Factors to consider are:

• Customer service working hours
• Location of the customer service department compared to you
• How quickly they respond

Some forex brokers have multiple communication routes, but they are not always effective.

Check reviews to see if the live chat is mostly online or offline, if you can access a real person, and what the average response time is.

Are the Trading Platforms Easy To Use?

Trading platforms are complex. They involve a lot of data, third-party integrations, calculations, charts, graphs and real-time updates, to name but a few.

When starting, you want a platform that is:

• Easy to use
• Customizable
• Modern and clean interface
• Clear sections

You may also want to consider how you will spend most of your time trading.

If you are constantly on the go, do you need a mobile trading app, or would you prefer the detail available on web-based or desktop platforms?

Does It Allow For Greater Profit Margins?

Some trading platforms offer better rates to those who trade with larger amounts of money and bigger trade volumes.

As a beginner, you want to avoid these.

Look for brokers with low forex fees and little or no commissions so you can make a profit as soon as you start trading.

Does It Have Flexible Withdrawal Options?

As a beginner forex trader, you may only have a small budget to work with, and you may want to withdraw any profit you make.

Check what the withdrawal options are, how often you can make a withdrawal and any associated fees.

Some brokers allow one free withdrawal per month and charge a flat fee for any additional withdrawals.

Frequently Asked Questions

Final Thoughts

Forex trading is exciting but can come with a high risk. A good broker can help you navigate choppy markets and execute your investment strategy.

Before making your final decision, trial every demo account so you can get a feel for all the platforms.

When you find a platform you like using, check that it has all the features you need right now.

Do not settle for the broker that your friend uses or that you have seen advertised.

eToro is widely promoted and therefore attracts more clients. It has a reputation as a good broker with excellent social trading. But it lacks support material and requires a $200 deposit.

On the other hand, AvaTrade is less popular but also offers social trading, has a lower minimum deposit and more educational materials.

WikiJob does not provide tax, investment or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal. Don’t invest in unless you’re prepared to lose all the money you invest.