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Best Forex Brokers In South Africa

Written By

James Barra

Written By

James Barra

James is an investment writer with a background in financial services. He has worked as a management consultant, where he delivered large-scale operational transformational programmes at some of Europe's biggest banks. James authors, edits and fact-checks content for a series of investing websites.

» James Barra Profile Page

Fact Checked By

Jemma Grist

Fact Checked By

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.

» Jemma Grist Profile Page

Updated

Apr 16, 2024

Discover our selection of the best forex brokers in South Africa. Many of our recommended forex trading platforms cater specifically to South African day traders with regulation from the Financial Sector Conduct Authority (FSCA) and ZAR accounts.

Top 5 Forex Brokers In South Africa

These 5 forex brokers accepting traders from South Africa achieved the highest ratings during our firsthand tests and evaluations:

1. AvaTrade - AvaTrade offers 50+ currency pairs with competitive spreads from 0.9 pips and zero commissions. You can trade majors, minors and exotics around the clock on industry-leading platforms, including MT4 and MT5. Traders can also access beginner-friendly trading tools and comprehensive forex education.
2. XM - XM offers ultra low spreads across a wide range of forex assets with no re-quotes or hidden charges. Over 50 currency pairs are available, which is above the market average and is in line with one of our top award-winners, AvaTrade.
3. Vantage - Vantage offers 55+ currency pairs - above the industry average, so experienced traders can explore plenty of opportunities. Vantage's deep liquidity pool provides forex spreads from 0.0 pips in the ECN account, lower than many alternatives. There are also no commissions, deposit fees or hidden charges.
4. IC Markets - IC Markets maintains its commitment to providing exceptionally tight 0.0-pip forex spreads on major currency pairs such as EUR/USD. This makes it an excellent option if you are seeking superior execution, with an average of 35 milliseconds. Additionally, if you are a high-volume trader, you can benefit from rebates of up to $2.50 per forex lot.
5. FOREX.com - FOREX.com continues to uphold its stature as a premier FX broker, offering over 80 currency pairs and boasting some of the most competitive fees in the industry. With EUR/USD spreads dipping as low as 0.0 and $5 commission per $100k, it stands out. Moreover, its SMART Signals help to identify price behaviors across numerous major currency markets.

Best Forex Brokers In South Africa Comparison

Best Forex Brokers In South Africa Comparison

Broker	FSCA Regulated	ZAR Account	Forex Assets	EUR/USD Spread	Forex App Rating	Minimum Deposit	Visit
	✔	-	50+	0.9	4.3 / 5	$100	Visit
	✔	✔	55+	1.6	4.7 / 5	$5	Visit
	✔	-	55+	0.0	4 / 5	$50	Visit
	-	-	75	0.02	4.8 / 5	$200	Visit
	-	-	80+	1.2	4.9 / 5	$100	Visit
	-	-	100+	0.1	4.7 / 5	$0	Visit
	-	-	50+	0.0	3.6 / 5	$100	Visit
	-	-	45+	Variable	3 / 5	$0	Visit
	-	✔	60+	14 pips	4.5 / 5	$10	Visit
	✔	✔	70+	1.58 pips (Ave)	2.5 / 5	$100	Visit
	-	-	70+	0.2	3.4 / 5	$0	Visit
	-	-	70+	1.0	4.8 / 5	$0	Visit
	✔	✔	60+	0.6	5 / 5	$100	Visit
	✔	✔	80+	0.8	4.9 / 5	$0	Visit
	✔	✔	67	0.70 pips (var)	3.9 / 5	$100	Visit

#1 - AvaTrade

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Review

Why We Chose AvaTrade

AvaTrade offers 50+ currency pairs with competitive spreads from 0.9 pips and zero commissions. You can trade majors, minors and exotics around the clock on industry-leading platforms, including MT4 and MT5. Traders can also access beginner-friendly trading tools and comprehensive forex education.

"AvaTrade offers the full package for short-term traders. There is powerful charting software, reliable execution, transparent fees, and fast account opening with a low minimum deposit."

- DayTrading Review Team

• GBPUSD Spread: 1.5
• EURUSD Spread: 0.9
• EURGBP Spread: 1.5
• Total Assets: 50+
• Leverage: 1:30 (Retail) 1:400 (Pro)
• Platforms: WebTrader, AvaTradeGO, AvaOptions, MT4, MT5, AlgoTrader, TradingCentral, DupliTrade

About AvaTrade

AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for day trading, alongside a comprehensive education center and multilingual customer support.

Pros

• Automated trading is supported through MetaTrader Expert Advisors (EAs), as well as the AvaSocial and DupliTrade tools
• The broker’s unique risk management tool, AvaProtect, protects against losses up to $1 million and is easy to activate in the platform
• AvaTrade is a heavily regulated and trustworthy broker with licenses from the ASIC, CySEC and more

Cons

• Traders from the US are not accepted
• A high $2000 minimum investment is required to use DupliTrade, which will be out of reach for many beginners
• It’s a shame that there are no rebate schemes for serious traders looking for additional perks - CMC Markets would be a better choice here

Visit AvaTrade

#2 - XM

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Review

Why We Chose XM

XM offers ultra low spreads across a wide range of forex assets with no re-quotes or hidden charges. Over 50 currency pairs are available, which is above the market average and is in line with one of our top award-winners, AvaTrade.

"XM is one of the best forex and CFD brokers we have tested. The flexible account types will suit a variety of short-term trading styles while the $5 minimum deposit and smooth sign-up process make it easy to start trading."

- DayTrading Review Team

• GBPUSD Spread: 1.9
• EURUSD Spread: 1.6
• EURGBP Spread: 1.8
• Total Assets: 55+
• Leverage: 1:1000
• Platforms: MT4, MT5

About XM

XM is a globally recognized forex and CFD broker with 10+ million clients in 190+ countries. Since 2009, this trusted broker has been known for its low fees on 1000+ instruments. XM is regulated by multiple financial bodies, including the ASIC and CySEC.

Pros

• 1000+ instruments are available, including recently added thematic indices, providing exposure to emerging industries
• The broker offers premium research including market sentiment, fundamental insights and strategy builders
• Transparent and low fees with spreads from 0.0 pips that will help protect day trading profit margins

Cons

• There's $5 inactivity fee after only 3 months, though this won't affect active traders
• PayPal deposits are not supported
• There is weak regulatory oversight through the global entity

Visit XM

#3 - Vantage

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Review

Why We Chose Vantage

Vantage offers 55+ currency pairs - above the industry average, so experienced traders can explore plenty of opportunities. Vantage's deep liquidity pool provides forex spreads from 0.0 pips in the ECN account, lower than many alternatives. There are also no commissions, deposit fees or hidden charges.

"Vantage remains an excellent option for CFD traders seeking a tightly-regulated broker with access to the reliable MetaTrader platforms. The fast sign-up process and $50 minimum deposit make it very straightforward to start day trading quickly."

- DayTrading Review Team

• GBPUSD Spread: 0.5
• EURUSD Spread: 0.0
• EURGBP Spread: 0.5
• Total Assets: 55+
• Leverage: 1:500
• Platforms: ProTrader, MT4, MT5, TradingView, DupliTrade

About Vantage

Founded in 2009, Vantage offers trading on 1000+ short-term CFD products to over 900,000 clients. You can trade Forex CFDs from 0.0 pips on the RAW account through TradingView, MT4 or MT5. Vantage is ASIC-regulated and client funds are segregated. Copy traders will also appreciate the range of social trading tools.

Pros

• There’s an excellent suite of day trading software, including the award-winning platforms MT4 and MT5
• It’s quick and easy to open a live account – taking less than 2 minutes
• Vantage caters to hands-off investors with beginner-friendly social trading via ZuluTrade & Myfxbook

Cons

• A steep $10,000 deposit is needed for the best trading conditions, which include the $1.50 commission per side
• The average execution speeds of 100ms to 250ms are slower than alternatives based on tests
• It's a shame that some clients will need to register with the offshore entity, which offers less regulatory protection

Visit Vantage

#4 - IC Markets

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Review

Why We Chose IC Markets

IC Markets maintains its commitment to providing exceptionally tight 0.0-pip forex spreads on major currency pairs such as EUR/USD. This makes it an excellent option if you are seeking superior execution, with an average of 35 milliseconds. Additionally, if you are a high-volume trader, you can benefit from rebates of up to $2.50 per forex lot.

"IC Markets offers superior pricing, exceptionally fast execution and seamless deposits. The introduction of advanced charting platforms, notably TradingView, and the Raw Trader Plus account, ensures it remains a top choice for intermediate to advanced day traders."

- DayTrading Review Team

• GBPUSD Spread: 0.23
• EURUSD Spread: 0.02
• EURGBP Spread: 0.27
• Total Assets: 75
• Leverage: 1:30 (ASIC & CySEC), 1:500 (FSA), 1:1000 (Global)
• Platforms: MT4, MT5, cTrader, TradingView, TradingCentral, DupliTrade

About IC Markets

IC Markets is a globally recognized forex and CFD broker known for its excellent pricing, comprehensive range of trading instruments, and premium trading technology. Founded in 2007 and headquartered in Australia, the brokerage is regulated by the ASIC, CySEC and FSA, and has attracted more than 180,000 clients from over 200 countries.

Pros

• As a tightly regulated and widely respected broker, IC Markets prioritizes client security and transparency, helping to ensure a reliable trading experience globally.
• IC Markets offers fast and dependable 24/5 support based on firsthand experience, particularly when it comes to accounts and funding issues.
• With ultra-fast execution speeds averaging 35 milliseconds and deep liquidity, IC Markets provides an optimal trading environment for scalpers, hedgers, and algorithmic traders.

Cons

• Despite four industry-leading third-party platforms, there is no proprietary software or trading app built with new traders in mind.
• The breadth and depth of tutorials, webinars and educational resources still need work, trailing alternatives like CMC Markets and reducing its suitability for beginners.
• There are fees for certain withdrawal methods, including a $20 wire charge, which can eat into profits, especially for frequent withdrawals.

Visit IC Markets

#5 - FOREX.com

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Review

Why We Chose FOREX.com

FOREX.com continues to uphold its stature as a premier FX broker, offering over 80 currency pairs and boasting some of the most competitive fees in the industry. With EUR/USD spreads dipping as low as 0.0 and $5 commission per $100k, it stands out. Moreover, its SMART Signals help to identify price behaviors across numerous major currency markets.

"FOREX.com remains a best-in-class brokerage for active forex traders of all experience levels, with over 80 currency pairs, tight spreads from 0.0 pips and low commissions. The powerful charting platforms collectively offer over 100 technical indicators, as well as extensive research tools."

- DayTrading Review Team

• GBPUSD Spread: 1.3
• EURUSD Spread: 1.2
• EURGBP Spread: 1.4
• Total Assets: 80+
• Leverage: 1:200 (Retail), 1:500 (Pro)
• Platforms: MT4, MT5, TradingView, eSignal, AutoChartist, TradingCentral

About FOREX.com

Founded in 1999, FOREX.com is now part of StoneX, a financial services organization serving over one million customers worldwide. Regulated in the US, UK, EU, Australia and beyond, the broker offers thousands of markets, not just forex, and provides excellent pricing on cutting-edge platforms.

Pros

• Alongside a choice of leading platforms, FOREX.com offers a superb suite of supplementary tools including Trading Central research, SMART Signals pattern scanner, trading signals, and strategy builders.
• The in-house Web Trader continues to shine as one of the best-designed platforms for aspiring day traders with a slick design and over 80 technical indicators for market analysis.
• With over 20 years of experience, excellent regulatory oversight, and multiple accolades including runner-up in our 'Best Forex Broker' awards, FOREX.com boasts a global reputation as a trusted brokerage.

Cons

• FOREX.com's MT4 platform offers approximately 600 instruments, significantly fewer than the over 5,500 available on its non-MetaTrader platforms.
• Demo accounts are frustratingly time-limited to 90 days, which doesn’t give you enough time to test day trading strategies effectively.
• There’s no negative balance protection for US clients, so you may find yourself owing more money than your initial deposit into your account.

Visit FOREX.com

How We Rate Forex Brokers In South Africa

Trusted Forex Brokers

Opening an account with a trusted broker is key to safeguarding your funds against forex scams. This is especially important as we’ve witnessed an increase in fraudulent platforms targeting retail investors in recent years.

Our observations are also supported by ITWeb, which reported that MyChargeBack, a fund recovery company, is receiving around 1,000 scam complaints a month from South Africans since COVID-19, representing a 20% to 25% increase.

The best sign of a legitimate forex broker is authorization from a trusted regulator. In South Africa, this is the Financial Sector Conduct Authority (FSCA), which houses a register of all licensed firms (you can search by company name or license number).

The most proactive regulator on the African continent, the FSCA has several requirements for brokers providing forex trading services to South African residents, from the segregation of client funds from operational capital to adequate risk warnings about the dangers of online forex trading.

However, unlike other heavily regulated jurisdictions, such as the UK and Australia, the FSCA does not the limit leverage available to forex traders with rates of 1:1000+ available.

While this will appeal to skilled traders, I recommend new investors take a strict approach to risk management to curb large losses.

James Barra

Author

Selection Of Currency Pairs

Most of the best forex brokers in South Africa provide opportunities to speculate on the South African Rand (ZAR), normally through the USD/ZAR.

The South African Rand has been the primary currency since 1961 when the country decided to abandon the South African denomination of the British Pound. Upon initial floatation, the ZAR was worth around $1.40.

In the 1980s, a period of high inflation and uncertainty in the economy due to apartheid saw the ZAR devalue against the USD. It has since settled at around 0.05 – 0.06 Rand to the Dollar.

In general, the ZAR is a fairly volatile currency. This is because South Africa is still an emerging economy that is heavily reliant on the prices of its key commodity exports, such as gold and coal, and still suffers from relative political instability.

Attractive Pricing For Active Traders

Low trading fees are a huge draw. However, we don’t recommend choosing these at the detriment of access to stable trading conditions. For example, fast execution speeds and reliable charting platforms are both essentials for serious forex day traders.

Fee structures will differ between South African forex trading platforms, and even from one account type to another. There are two widely used basic setups:

• The broker charges a spread only. All other fees – with the exception of the rollover rate – are included in the spread. This model is popular with newer traders looking for simple pricing.
• Besides a tight/low spread, a commission is charged. This commission is based on the amount you trade. This model is popular with experienced day traders.

For example, during testing FOREX.com quoted a buy price on the USD/ZAR of 18.57254 and a sell price of 18.56286. This means the spread is 0.00968, or 96.8 pips (18.57254 – 18.56286  or  18.57254 – 18.56286 / 0.0001), though it can reach as low as 4 pips.

Daily spreads may only differ slightly among South African forex brokers, but active day traders (or even hyperactive traders) are trading so frequently that small differences can mount up and need to be considered.

The ZAR’s status as an emerging market currency means it has less liquidity than developed currencies, notably the USD and EUR.

As a result, forex pairs with a ZAR component are known as ‘exotics’, and usually come with wider spreads, meaning higher costs.

James Barra

Author

Charting And Research Tools

Forex trading often requires technical analysis and fundamental analysis. The best forex brokers in South Africa offer a wide range of functionality on their platforms, including different chart types, indicators, customizable graphs and the ability to set price alerts.

Many forex brokers utilize third-party software that we’ve been using for years. The likes of MetaTrader 4, MetaTrader 5, cTrader and TradingView excel for their extensive suite of charting tools.

In addition, proprietary software is increasingly being offered by larger forex brokers. This often comes with all the tools and features, but with a more user-friendly design, or functionality to suit the broker’s niche.

Ease of use is especially key when forex trading, particularly for beginners who may find some technical aspects overwhelming initially. We’ve spent hundreds of hours testing forex trading platforms to find those that cater to forex traders at all levels.

We also look for design flare. The traditional charting platforms, such as MT4, often have a complex feel to them. We prioritize brokers with a focus on user experience, not just feature availability.

Convenient Account Funding

Smooth account funding should be a given, but our years in the industry have taught us some forex brokers do it better than others.

For South African forex traders, the top payment methods are still credit/debit cards and bank transfers, which make up more than 60% of all online transactions according to Statista.

However, digital wallets are becoming increasingly popular, notably FNB and PayPal, so forex trading platforms offering accessible e-wallets are worth considering.

FAQ

What Is The Best Forex Broker In South Africa?

This depends on your needs. That said, key elements to consider are access to suitable currency pairs such as those with a Rand component, low spreads and commissions, access to user-friendly tools, plus extras like education and demo trading if you’re a beginner.

Use our rankings of the best forex brokers in South Africa to find the right trading platform for you.

How Much Money Do I Need To Start Trading Forex In South Africa?

Our analysis of hundreds of forex brokers accepting traders from South Africa shows you normally need between 0 and 250 USD, around 0 to 4,600 ZAR, to open an account.

However, budget traders can also find forex brokers regulated by the FSCA with no minimum deposit. IG is one of the highest-rated following our real-money tests.

Who Regulates Forex Brokers In South Africa?

The Financial Sector Conduct Authority (FSCA) is the South African authority responsible for regulating financial services, including brokers offering online forex trading services.

FSCA-regulated forex brokers are likely to have offices and representatives in the country, alongside links with South African banks, providing localized support.

Many overseas forex brokers also accept South African traders, but not all will be regulated by the FSCA. Some may be authorized by other trusted bodies like the FCA in the UK or ASIC in Australia.

In some instances, these regulators go above and beyond the FSCA’s requirements, with restrictions on forex bonuses and caps on the leverage available to retail traders.

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