Brokers With Low Leverage

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James Barra
James is an investment writer with a background in financial services. As a former management consultant, he has worked on major operational transformation programmes at prominent European banks. James authors, edits and fact-checks content for a series of investing websites.
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William Berg
William contributes to several investment websites, leveraging his experience as a consultant for IPOs in the Nordic market and background providing localization for forex trading software. William has worked as a writer and fact-checker for a long row of financial publications.
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Jemma Grist
Jemma is a writer, editor and fact-checker focused on retail trading and investing. Jemma brings a unique perspective to the forex, stock, and cryptocurrency markets and works across several investment websites as a researcher and broker analyst.
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Brokers with low leverage enable traders to manage risk when trading derivatives. Higher leverage means greater risk. This guide explains how trading with low leverage works and examines common leverage ratios and models. Read on for a list of the benefits and drawbacks of trading using lower leverage accounts. We have also ranked and compared the best companies and brokers with low leverage in 2025.

Brokers With Low Leverage

Here is a summary of why we recommend these brokers in May 2025:

  1. Interactive Brokers - Interactive Brokers (IBKR) is a premier brokerage, providing access to 150 markets in 33 countries, along with a suite of comprehensive investment services. With over 40 years of experience, this Nasdaq-listed firm adheres to stringent regulations by the SEC, FCA, CIRO, and SFC, amongst others, and is one of the most trusted brokers for trading around the globe.
  2. Gemini - Gemini is a cryptocurrency exchange set up in 2014 by the Winklevoss brothers, known for their early involvement in Facebook. The exchange is among the world’s 20 largest and most popular. Gemini clients can trade and stake 110+ cryptocurrencies, with derivatives trading available in some jurisdictions, an advanced proprietary platform and additional features including an NFT marketplace.
  3. Kraken - Kraken is a leading cryptocurrency exchange with a proprietary trading terminal and a list of 220+ tradeable crypto tokens. Up to 1:5 leverage is available with stable rollover fees on spot crypto trading and up to 1:50 on futures. The exchange also supports crypto staking and has an interactive NFT marketplace.
  4. Coinbase - Launched in 2012 as a platform enabling users to buy and sell Bitcoin via bank transfers, Coinbase has emerged as a crypto behemoth, expanding its services to include 240+ crypto assets, developing sophisticated trading platforms for retail investors, listing on the US Nasdaq, and securing licenses with multiple regulators.
  5. Exness - Established in 2008, Exness has maintained its position as a highly respected broker, standing out with its industry-leading range of 40+ account currencies, growing selection of CFD instruments, and intuitive web platform complete with useful extras like currency convertors and trading calculators.
  6. Pepperstone - Established in Australia in 2010, Pepperstone is a top-rated forex and CFD broker with over 400,000 clients worldwide. It offers access to 1,300+ instruments on leading platforms MT4, MT5, cTrader and TradingView, maintaining low, transparent fees. Pepperstone is also regulated by trusted authorities like the FCA, ASIC, and CySEC, ensuring a secure environment for day traders at all levels.

Interactive Brokers

"Interactive Brokers is one of the best brokers for advanced day traders, providing powerful charting platforms, real-time data, and customizable layouts, notably through the new IBKR Desktop application. Its superb pricing and advanced order options also make it highly attractive for day traders, while its diverse range of equities is still among the best in the industry."

Christian Harris Christian Harris, Reviewer

Interactive Brokers Quick Facts

Demo AccountYes
InstrumentsStocks, Options, Futures, Forex, Funds, Bonds, ETFs, Mutual Funds, CFDs, Cryptocurrencies
RegulatorFCA, SEC, FINRA, CFTC, CBI, CIRO, SFC, MAS, MNB, FINMA, AFM
PlatformsTrader Workstation (TWS), IBKR Desktop, GlobalTrader, Mobile, Client Portal, AlgoTrader, OmniTrader, TradingView, eSignal, TradingCentral, ProRealTime, Quantower
Minimum Deposit$0
Minimum Trade$100
Leverage1:50
Account CurrenciesUSD, EUR, GBP, CAD, AUD, INR, JPY, SEK, NOK, DKK, CHF, AED, HUF

Pros

  • While primarily geared towards experienced traders, IBKR has made moves to broaden its appeal in recent years, reducing its minimum deposit from $10,000 to $0.
  • The TWS platform has clearly been built for intermediate and advanced traders and comes with over 100 order types and a reliable real-time market data feed that rarely goes offline.
  • IBKR is one of the most respected and trusted brokerages and is regulated by top-tier authorities, so you can have confidence in the integrity and security of your trading account.

Cons

  • You can only have one active session per account, so you can’t have your desktop program and mobile app running simultaneously, making for a sometimes frustrating trading experience.
  • IBKR provides a wide range of research tools, but their distribution across trading platforms and the web-based 'Account Management' page lacks consistency, leading to a confusing user experience.
  • TWS’s learning curve is steep, and beginners may find it challenging to navigate the platform and understand all the features. Plus500's web platform is much better suited to new traders.

Gemini

"Gemini’s ActiveTrader platform and TradingView integration make it a good choice for serious crypto traders seeking a reliable charting environment, though we were disappointed by some unnecessary fees and previous security breaches."

Michael MacKenzie Michael MacKenzie, Reviewer

Gemini Quick Facts

Demo AccountNo
InstrumentsCryptos
RegulatorNYDFS, MAS, FCA
PlatformsActiveTrader, AlgoTrader, TradingView
Minimum Deposit$0
Minimum Trade0.00001 BTC
Account CurrenciesUSD, EUR, GBP, CAD, AUD, HKD, SGD

Pros

  • The trading app features a user-friendly, modern design and intuitive interface, with an excellent range of charting tools for day traders
  • Crypto perpetual futures are available in many jurisdictions with up to 1:100 leverage
  • The exchange ensures high security standards with 2FA a requirement for all crypto investors

Cons

  • There are high fees for some funding methods including a 3.49% fee for card transactions
  • There is no practice profile or demo account for prospective traders
  • The 'convenience fee' for using the mobile app seems arbitrary and makes it inefficient to use this feature

Kraken

"Kraken will suit traders looking for a diverse list of cryptos including Bitcoin and a good security track record."

William Berg William Berg, Reviewer

Kraken Quick Facts

Bonus OfferLower fees when trading volume exceeds $50,000 in 30 days
Demo AccountYes
InstrumentsCryptos
RegulatorFCA, FinCEN, FINTRAC, AUSTRAC, FSA
PlatformsAlgoTrader, Quantower
Minimum Deposit$10
Minimum TradeVariable
Account CurrenciesUSD, EUR, GBP, CAD, AUD, JPY, CHF

Pros

  • Great trading platform and mobile app
  • Excellent range of 220+ more established cryptocurrencies
  • 50x leverage on futures trading

Cons

  • Does not support many newer altcoins
  • Slow verification times
  • Slow verification process on Pro account

Coinbase

"Coinbase is ideal for beginners looking for an intuitive platform to buy and sell a wide variety of cryptocurrencies, with robust security and regulatory compliance. However, its fees are higher compared to competitors in our tests, and it’s not as tailored for short-term traders."

Christian Harris Christian Harris, Reviewer

Coinbase Quick Facts

Demo AccountNo
InstrumentsCrypto
RegulatorFinCEN, FCA, CBoI, MAS, OAM, DNB, BdE
PlatformsCoinbase, Advanced Trade, Wallet, NFT, TradingView
Minimum Deposit$0
Minimum Trade$2
Account CurrenciesUSD, EUR

Pros

  • Coinbase supports 240+ cryptocurrencies, including Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and more recently listed altcoins like $Trump, giving early access to emerging tokens.
  • There are platforms for all levels: beginners can use the simple Coinbase app, while Advanced Trade provides lower fees and pro-level tools.
  • Coinbase Advanced bolstered its leveraged trading offering with a suite of new futures products in 2025, including Ripple (XRP), Natural Gas (NGS), and Cardano (ADA), providing accessible ways to trade, hedge, or diversify.

Cons

  • High crypto fees based on tests, especially compared to competitors like Kraken and BitMEX, and notably on the standard dealing platform.
  • There are woeful research tools; Advanced Trade has TradingView charts but lacks features like news feeds, economic calendars, and AI market insights.
  • Frustrating customer support during testing, with most help options hidden behind login, making it tough for locked-out users or non-account holders to get assistance.

Exness

"After slashing its spreads, improving its execution speeds and support trading on over 100 currency pairs with more than 40 account currencies to choose from, Exness is a fantastic option for active forex traders looking to minimize trading costs."

Christian Harris Christian Harris, Reviewer

Exness Quick Facts

Demo AccountYes
InstrumentsCFDs, Forex, Stocks, Indices, Commodities, Crypto
RegulatorCySEC, FCA, FSCA, CMA, FSA, CBCS, BVIFSC, FSC, JSC
PlatformsExness Trade App, Exness Terminal, MT4, MT5, TradingCentral
Minimum Deposit$10
Minimum Trade0.01 Lots
Leverage1:Unlimited
Account CurrenciesUSD, EUR, GBP, CAD, AUD, NZD, INR, JPY, ZAR, MYR, IDR, DKK, CHF, HKD, SGD, AED, SAR, HUF, BRL, NGN, THB, VND, UAH, KWD, QAR, KRW, MXN, KES, CNY

Pros

  • Highly competitive spreads, reduced for USOIL and BTCUSD in 2024, are available from 0 pips with low commissions from $2 per side.
  • Exness was the first brokerage to pass the $1 trillion and $2 trillion marks in monthly trading volumes, highlighting its legitimacy.
  • Exness Terminal offers a streamlined experience for beginners with dynamic charts while setting up watchlists is a breeze.

Cons

  • Exness has expanded its range of CFDs and added a copy trading feature, but there are still no real assets such as ETFs, cryptocurrencies or bonds
  • MetaTrader 4 and 5 are supported, but TradingView and cTrader still aren’t despite rising demand from active traders and integration at alternatives like Pepperstone.
  • Apart from a mediocre blog, educational resources are woeful, especially compared to category leaders like IG which provide a more complete trading journey for newer traders.

Pepperstone

"Pepperstone stands out as a top choice for day trading, offering razor-sharp spreads, ultra-fast execution, and advanced charting platforms for experienced traders. New traders are also welcomed with no minimum deposit, extensive educational resources, and exceptional 24/7 support."

Christian Harris Christian Harris, Reviewer

Pepperstone Quick Facts

Demo AccountYes
InstrumentsCFDs, Forex, Currency Indices, Stocks, Indices, Commodities, ETFs, Crypto, Spread Betting
RegulatorFCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB
PlatformsMT4, MT5, cTrader, TradingView, AutoChartist, DupliTrade, Quantower
Minimum Deposit$0
Minimum Trade0.01 Lots
Leverage1:30 (Retail), 1:500 (Pro)
Account CurrenciesUSD, EUR, GBP, CAD, AUD, NZD, JPY, CHF, HKD, SGD

Pros

  • Pepperstone has scooped multiple DayTrading.com annual awards over the years, most recently 'Best Overall Broker' in 2025 and 'Best Forex Broker' runner up in 2025.
  • Award-winning customer support is available via telephone, email or live chat with response times of <5 minutes during testing.
  • There’s support for a range of industry-leading charting platforms including MT4, MT5, TradingView, and cTrader, catering to various short-term trading styles, including algo trading.

Cons

  • Despite enhancements to its range of markets, crypto offerings are relatively limited compared to other brokers such as eToro, with no option to invest in real coins.
  • Pepperstone does not support cTrader Copy, a popular copy trading feature built into the excellent cTrader platform and available at alternatives like IC Markets, though it has introduced an intuitive copy trading app.
  • Pepperstone’s demo accounts are active for only 30 days, which may not be not long enough to familiarize yourself with the different platforms and test trading strategies.

How Does Leverage Work?

In basic terms, leverage trading works in a similar way to borrowing. Your broker lends you money to open larger position sizes, and in turn, you can make a greater profit.

Leverage is often shown as a ratio which represents the balance of the loan capital (from the broker) to the value of the full equity (the amount the trader invests).

For example, a broker offering 1:5 leverage means for every $10 invested, you can borrow up to $50. This gives traders the chance to multiply the results of a trade.

Importantly however, trading on leverage can magnify losses. So in highly volatile markets, such as cryptos, you can use lower leverage to protect yourself from losing money quickly. This is also why brokers with low leverage are popular with traders starting out.

Examples

Let’s say a trader starts with a $100 deposit, and their broker offers a 1:10 leveraged ratio on commodities. This means that they can trade in positions up to ten times the value of their available balance, so a maximum of $1000.

They invest $1000 in crude oil and the value of crude oil rises by 10%, so the trader earns $100 in profit ($1000 * 1.1 = $1100). However, if they had purchased $100 worth of crude oil without leverage on the same trade, their profit would be $10 ($100 * 1.1 = $110).

Brokers with low leverage definition and meaning
Axi: Leveraged Trading Explained

Alternatively, say a trader has a $100 deposit and their broker offers higher leverage at 1:100. They invest $10,000 ($1000 * 100) in Apple stocks but the value of the stock plummets by 10% so the trader loses $1000 ($10,000 * 0.9 = $9,000), 10 times their initial deposit.

So, while leveraged trades can magnify your profits, brokers with low leverage can help avoid larger losses.

Note, the examples above do not take into account any fees you may have to pay to trade on margin.

What Is Considered Low Leverage?

Generally, low leverage is considered to be below 1:30. However, leverage can vary depending on the markets you’re investing in.

The most trusted brokers that offer lower leverage are regulated by the FCA (UK), ASIC (Australia) and CySEC (Europe). These financial watchdogs typically limit leverage rates based on the market in question. Common leverage ratios include:

Pros Of Brokers With Low Leverage

Cons Of Brokers With Low Leverage

How To Choose Brokers With Low Leverage

The key factors to consider when selecting a trading account with lower leverage include:

Final Word On Brokers With Low Leverage

Brokers with low leverage offer clients the opportunity to benefit from trading on margin without the risks that higher leverage can bring.

It’s important to remember, however, that any form of leveraged trading can result in unpredictable losses. Beginners should open demo accounts to practise trading on margin, and ensure that they select the most trusted broker to protect their capital.

Nevertheless, low leverage is ideal for cautious investors looking to steadily build profits. See our list of the best brokers with low leverage trading to get started.

FAQs

Is Low Leverage Better For Beginners?

Whether you’re trading crypto, forex, stocks or bonds, for beginners a lower leverage ratio is good. This helps to reduce losses, which are more expected with newcomers who may make mistakes. Fortunately, most EU, UK and Australian-regulated trading brokers cap leverage for retail traders to 1:30.

Who Are The Top Regulated Brokers With Low Leverage?

Many of the best brokers offer low leverage options, and choosing a platform will depend on your individual needs. Some of the top low leveraged trading firms include XM, AvaTrade, eToro, Pepperstone and IG.

What Does Low Leverage Vs Low Margin Mean?

Leverage and margin both involve borrowing funds to trade. A leveraged position means a trader has taken on debt, while the margin is the actual money/ratio i.e loan taken to invest in financial markets. Both terms are often used interchangeably.

What Countries Allow Low Leveraged Trading?

Leveraged trading is regulated and legal in numerous countries across the globe. For example:

Note, in 2021 India banned the retail trading of many leveraged products.