For over a decade, DailyForex has been the trusted forex broker authority, helping traders identify the best platforms to meet their specific needs. Our broker listings are compiled using a rigorous comparison process that examines regulation, trading conditions, and unique features. Whether you're looking for brokers in your region or those offering cutting-edge tools like copy trading or algorithmic strategies, our curated lists are designed to simplify your broker search. Learn more about how we rank and review brokers here.
Commissions & spreads are the primary trading costs for Forex traders. Most commission-free pricing environments have higher overall trading costs compared to the best Forex brokers with low commission rates .
View my shortlist of the best low commission Forex brokers below.
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- AvaTrade, Highly regulated, choice of fixed or floating spreads.
- FXTM, Best all-around broker with high floating leverage and fast execution.
- FP Markets, ECN trading with leverage up to 1:500.
- BlackBull Markets, 1:500 maximum leverage with ultra-low trading fees and deep liquidity.
- XM, Exception range of assets + negative balance protection.
Best Low Commission Brokers Comparison
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Regulators | ASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, MiFID | CMA, FCA, FSC Mauritius, FSCA, SCA | ASIC, CMA, CySEC, FSCA | FMA, FSA | ASIC, CySEC, DFSA, FSC Belize |
Year Established | 2006 | 2011 | 2005 | 2014 | 2009 |
Execution Type(s) | Market Maker | ECN/STP, Market Maker | ECN/STP | ECN/STP, No Dealing Desk | Market Maker |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 0.9 pips | 0.1 pips | 1.2 pips | 1.1 pips | 0.1 pips |
Average Trading Cost GBP/USD | 1.5 pips | 0.2 pips | 1.4 pips | 1.55 pips | 0.2 pips |
Average Trading Cost Gold | $0.29 | $0.18 | $0.16 | 0.12 pips | $0.19 |
Trading Platform(s) | Other, MetaTrader 4, MetaTrader 5, Proprietary platform, Web-based+ | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based | MetaTrader 4, MetaTrader 5, cTrader, Trading View | MetaTrader 4, MetaTrader 5, Proprietary platform |
Islamic Account | |||||
Negative Balance Protection | N/A | N/A | |||
| Visit Website | Visit Website | Visit Website | Visit Website | Visit Website |
AvaTrade
In Summary Highly regulated, choice of fixed or floating spreadsAvaTrade offers industry-leading education via the spun-out Ava Academy and on-site content. Beginners also receive the MT4 Guardian Angel plugin and the fee-based Ava Protect insurance policy protecting against trading losses. AvaTrade is among the best-regulated and most trusted brokers and ranks high on my best low-commission Forex brokers listing.
Traders get Trading Central services if they opt for the proprietary WebTrader and the mobile app AvaTradeGO. Other trading platform choices are Ava Option, Ava Social, MT4, MT5, and copytrader DupliTrade. AvaTrade also has a high-paying partnership program with 70,000+ registered partners from 150+ countries and $250,000,000+ commission payouts.
AvaTrade operates under ASIC, BVI, Central Bank of Ireland, FFAJ, FSCA, KNF, and under MiFID regulations. While it does not publish a list of restricted countries, it caters to traders from most countries except the US, Russia, North Korea, Syria, Iran, and other countries on the FATF and EU/UN sanctions lists.
Pros & Cons
- High quality educational offering via AvaAcademy
- Excellent choice of trading platforms catering to various trading needs
- Broad asset selection and cross-asset diversification opportunities
- Well-regulated and trusted broker with oversight from a central bank
- Trading costs competitive but nothing special
FXTM
In Summary Best all-around broker with high floating leverage and fast executionFXTM remains one of the best-priced Forex brokers industry-wide. The commission between $0.80 and $4.00 per round lot, dependent on monthly trading volume, ranks among the cheapest industry-wide, especially for high frequency and high-volume traders. The contract specifications list a minimum spread of 0.1 pips, available on five currency pairs, confirming broad-based liquidity. FXTM fixes MT5 commissions at $4.00 per lot, but they remain flexible based on volume in MT4.
The minimum deposit is $500 to get access to the FXTM Advantage account, but traders with a $25,000 portfolio qualify for commission-free trading and raw spreads of 0 pips. The FXTM dynamic leverage consists of six tiers. The minimum is 1:25 for trades with a notional value of $8M+, and the maximum is 1:2000 for transactions up to $50,000.
FXTM operates under CMA, FCA, FSC Mauritius, FSCA, and SCA regulations. It does not accept traders from the USA, Mauritius, Japan, Canada, Haiti, Iran, Suriname, the Democratic People’s Republic of Korea, Puerto Rico, the Occupied Area of Cyprus, Quebec, Iraq, Syria, Cuba, Belarus, Myanmar, Russia, or India.
Pros & Cons
- Excellent commission-based Forex pricing environment and transparency
- Upgraded MT4/MT5 trading platforms plus proprietary mobile trading app
- Quality market research and educational content for beginner traders
- A highly regulated broker with a tier-1 license
- Limited choice of commodities
FP Markets
In Summary ECN trading with leverage up to 1:500FP Markets charges $6.00 per 1 round lot for raw spreads of 0 pips, and its minimum deposit is only $100. This places FP Markets among the best Forex brokers with the lowest capital requirements for access to low-cost commission pricing structures. FP Markets list minimum spreads of 0 pips on 35 currency pairs, but average one tick higher, with the EUR/USD and the USD/JPY at 0.1 pips, while the rest clocks in above that. Traders also get maximum leverage of 1:500 and order execution of 40 milliseconds, ideal for scalpers and high-frequency traders.
Adding to the advantages at FP Markets are upgraded MT4/MT5 trading platforms with twelve plugins and VPS hosting. Manual traders can rely on third-party services from Autochartist, while MAM/PAMM accounts support retail account management. FP Markets also developed its proprietary FP Markets Copy Trading, available alongside Myfxbook Autotrade and the embedded MT4/MT5 copy trading service.
FP Markets operates under ASIC, CMA, CySEC, and FSCA regulations. It does not accept traders from Afghanistan, Cuba, Iraq, Islamic Republic of Iran, Liberia, Libya, Myanmar, Palestine, Russian Federation, Somalia, Syrian Arab Republic, Sudan, Yemen, the US, or jurisdictions on the FATF and EU/UN sanctions lists.
Pros & Cons
- Choice of trading platforms and auxiliary trading tools
- Very competitive cost structure and excellent asset selection
- Low minimum deposit requirement and leverage of up to 1:500
- Well-regulated and trustworthy
- Availability of Iress geographically restricted
BlackBull Markets
In Summary 1:500 maximum leverage with ultra-low trading fees and deep liquidityBlackBull offers raw spread trading from 0.0 pips for a commission of $3.00 per side or $6.00 per 1.0 standard round lot in its ECN Prime account, which has no minimum deposit. For a $20,000 deposit, traders get the ECN Institutional account, where BlackBull lowers the commission to $2.00 per side or $4.00 per 1.0 standard round lot, which ranks among the lowest Forex commissions in the industry, placing BlackBull at the top of the best low commission Forex brokers. The maximum Forex leverage is 1:500 with negative balance protection.
Algorithmic traders can manage their portfolios through MT4/MT5 or cTrader, benefit from VPS hosting for low-latency 24/5 Forex trading and connect advanced algorithmic trading solutions via API to the cutting-edge BlackBull trading infrastructure, including fast order execution. TradingView connects social traders with 100M peers and supports automated trading scripts. BlackBull Copy Trader, ZuluTrade, and Myfxbook cater to copy traders.
Pros & Cons
- ECN/NDD execution model with deep liquidity
- Institution-grade pricing for retail traders via proprietary price aggregation
- ZuluTrade and Myfxbook for social trading
- Leverage of up to 1:500
- Limited deposit options
XM
In Summary Exception range of assets + negative balance protectionXM ranks among the best low-commission Forex brokers, as it eliminated all commissions on Forex trades and levies commissions only on its share investing account. Forex traders have two account types: the Standard and the Ultra Low account. The former qualifies for bonuses, but swap fees on leveraged overnight positions apply. The minimum EUR/USD spread is 1.6 pips, or $16.00, with an average spread of 2.0 pips, or $20.00, per 1.0 standard lot. The latter does not qualify for bonuses but offers a swap-free option and lower spreads. The EUR/USD minimum spread is 0.8 pips, or $8.00, with an average spread of 1.1 pips, or $11.00, per 1.0 standard lot.
The minimum deposit is $5, and XM offers a 100% deposit bonus up to $100, a 50% bonus up to $500, and a 20% bonus up to $10,000. It has paid over $5.6 billion in bonuses to its traders.
Pros & Cons
- Outstanding trading tools and loyalty program
- Low minimum deposit, high leverage*, and competitive trading cost
- Excellent research and education
- Trustworthy and transparent with generous bonuses and incentives
- Inactivity fee
Non-Trading Fees
Broker | AvaTrade | FXTM | FP Markets | BlackBull | XM |
Inactivity Fee | $50 / quarter + $100 admin fee after 12 months | $5 / monthly | $0 | $0 | $5 / monthly |
Deposit Fee | Third-party | $3 below deposits of $30 | Third-party | Third-party | Third-party |
Withdrawal Fee | Third-party | Between 0.5% and €30 per transaction | Between 0.0% and 5.75% or $30 per transaction | $5 + Third-party | Third-party |
Currency Conversion Fee | 0.5% | Standard FXRates | Standard FXrates | Standard FXrates | Standard FXRates |
Hidden Fees | N/A | N/A | $60 monthly fee for the IRESS Trader platform + select platform and data feed fees | N/A | N/A |
What is Commission in Forex and How Does it Work?
Forex commissions are the fees involved in trading separate to the profit and loss associated to the position a trader opens and closes, this cost of trading will apply regardless of the outcome. Forex commissions typically are based on the trading volume, many competitive brokers also offer volume-based rebate programs, this is great for high volume strategies and can make a difference to profit &loss. The trading platform will automatically calculate Forex commissions and often lists them in a separate column for complete transparency, usually next to overnight swap rates, depending on the instruments traded and the time a position is held for, this can be another significant trading cost traders must consider.
What is Commission Per Lot in Forex?
A ‘lot’ is an MT4/5 measure of Forex trading volume (other platforms have adopted this measure too), where 1.0 ‘standard lot’ equals 100,000 of the base currency unit, e.g., 100k Euro when trading EURUSD. Forex brokers list commissions on a lot basis. For example, a commission of $6.00 per 1.0 round lot means that if a trader places a 1.0 lot order, a $6.00 commission applies: $3.00 when entering the trade and $3.00 when exiting. Trading 0.01 lots, or a micro-lot, often the minimum trading volume, will cost $0.06. Depending on the broker and the trading platform, the commission applies on each transaction, entry, and exit or only at the trade entry (this is standard practice in MT4/5).
How is Commission in Forex Calculated?
The trading platforms of low-commission Forex brokers automatically calculate commissions based on the transaction size. Forex commissions are a fixed cost, displayed per 1.0 standard lot. Traders should pay attention to how the Forex broker displays its commissions. A commission of $3.00 per side (or half turn) means the total commission costs are $6.00, $3.00 when entering a 1.0 lot trade, and $3.00 when exiting. A commission of $6.00 per round lot (full turn - to open and close a position) means the cost is the same, therefore traders should not confuse a $3.00 per side commission as cheaper than a $6.00 per round lot commission.
Differences Between Commission and Spread
Commissions based on volume and bid/offer spreads are the main trading fees. The former depends on the Forex broker and remains a fixed cost that is easy to compare. Low-commission Forex brokers usually grant traders access to ‘raw’ or no markup to interbank spreads, starting from 0.0 pips, typical EUR/USD spreads on raw accounts are between 0.1 pips to 0.2 pips. Competitive commissions range between $4.00 and $7.00 per 1.0 standard round lot. Volume-based rebate programs can further reduce commissions to below $1.00 per lot.
Zero commission brokers add their own markup on raw market spreads, compensating for the lack of commission. For example, if the spread for the EUR/USD is 0.1 pips on the interbank market, a zero-commission broker might add 0.8 pips, which translates to $8.00 per 1.0 standard lot and offer traders a spread of 0.9 pips.
Competitive zero-commission brokers match the fees levied by low-commission Forex brokers. For example, the industry-standard commission is $6.00 per lot, or 0.6 pips, the minimum spread at well-priced zero-commission brokers. Generally, low-commission Forex brokers maintain a pricing advantage over zero-commission brokers as they offer spreads which are not marked up, therefore the actual trading cost is more transparent.
Forex Commission vs. Spread Pricing Models
Commission-based pricing models are usually cheaper than commission-free or spread-based alternatives. Traders have choices and do not have to pay commissions, as many brokers offer zero-commission pricing. Traders should focus on the total cost of trading rather than get fixated on commissions versus zero commissions.
Forex commissions example:
- EUR/USD raw spreads of 0.0 pips
- Forex commissions of $6.00
- Internal markup of 0.0 pips
- Total trading fees of $6.00
Spread-based example:
- EUR/USD raw spreads of 0.0 pips
- Forex commissions of $0.00
- Internal markup of 0.6 pips
- Total trading fees of $6.00
The trading fees in both examples are identical, but most low-commission Forex brokers have volume-based rebate programs, while zero-commission brokers add higher internal markups that can fluctuate, making them potentially more expensive when taken into overall consideration.
Pros & Cons of Zero/ Low Commission Forex Brokers
Below are the pros and cons of low-commission forex brokers and zero-commission alternatives.
Low-Commission Pros
- Access to ‘raw’ interbank market spreads
- Volume-based rebate programs
- More cost control & transparency
- Lower trading fees, including cheaper swap rate mark-ups on leveraged overnight positions.
Low-Commission Cons
- Some require higher minimum deposits.
Zero-Commission Pros
- Lower account minimums
- Ideal for low-volume and casual traders
Zero-Commission Cons
- Market interference by brokers to the spread
- Higher trading costs, including higher swap rates on leveraged overnight positions.
- Most lack volume-based rebate programs.
- Misleading marketing campaigns and hidden fees
Bottom Line
Traders should focus on the total cost of trading and ignore the commission versus no commission debate. Most commission-based brokers offer lower trading fees than commission-free providers. Many brokers advertise low minimum spreads, while average ones are notably higher. Therefore, traders must read and understand the fine print concerning trading fees.
