| Updated: January 15, 2025The foreign exchange market, also known as the forex market, is the biggest financial market on a global scale, and as such, it has become increasingly popular in recent years, with more individuals and institutions looking to capitalize on the potential for high returns. One of the key factors that can affect a trader’s profitability is the cost of trading, which includes commissions, spreads, and other fees.
Below you can find a list of Forex brokers with zero commission for trading:
Top 7 Zero Commission Forex Trading Brokers
-
Plus500
- Multi-Level Regulated Broker
- Proprietary trading platforms
- Easy to use mobile app
Trading Instruments- CFDs on: Forex
- Crypto
- Indices
- Commodities
- Stocks
- Options
- ETFs
-
Fusion Markets
- Australia regulated broker
- MT4, MT5, TradingView, Ctrader
- Leverage up to 500
-
Global Prime
- Australia regulated broker
- Advanced MT4
- $0 Minimum Account Size
-
FP Markets
- Australia & CySEC regulated broker
- MT4/MT5, TradingView, Ctrader, Iress
- EUR/USD spread from 0.0 pips
Trading Instruments- Forex CFDs
- Shares CFDs
- Metals CFDs
- Commodities CFDs
- Indices CFDs
- Crypto CFDs
- ETF CFDs
-
Pepperstone
- Australia & CySEC regulated broker
- MT4/MT5, TradingView, Ctrader, Iress
- EUR/USD spread from 0.0 pips
Trading Instruments- Forex
- Indices
- Commodities
- Cryptocurrencies
- Share CFDs
- ETFs
-
Admirals
- Trade using MetaTrader 4 and 5, as well as Admirals' specialized plugins for additional functionality.
- Access forex, shares, indices, commodities, ETFs, bonds, and cryptocurrency CFDs.
- Admirals is overseen by top-tier regulatory bodies: FCA, ASIC, CySEC, and EFSA, assuring transparency and customer security.
Trading Instruments- CFDs on Forex
- Indices
- Stocks
- Commodities
- Bonds
- ETFs
- Cryptocurrencies
-
Vantage FX
- Broker offering some of the lowest spreads from 0.0 pips
- Operating in multiple markets under licenses from tier-1 regulators
- Provides a range of account types with great trading conditions
Trading Instruments- Forex
- Indices
- Commodities
- Shares CFD
- ETFs
- Bonds
Brokers Compared by Spread
| Brand | Commission per lot | |
|---|---|---|
| Plus500 | 1.2 | $0 |
| Fusion Markets | 0.93 avg (Classic) | $0 Classic Account, $4.50 round turn on Zero Account |
| Global Prime | 0.96 avg (Standard) | $0 Standard Accounts; $7 round turn on Raw Accounts |
| FP Markets | 1.1 | $0 Standard Account; $6 round turn on Pro Account |
| Pepperstone | 1.00 (min) | $0 (Standard Account), $7 round-turn (Razor Account) |
| Admirals | 0.1 | $3 per lot |
| Vantage FX | 0.2 | $3 per side on Raw; $1.50 per side on Pro |
FX Brokers Deposit Method Comparison
| Brand | Minimum deposit | |
|---|---|---|
| Plus500 |  |
$100 |
| Fusion Markets |  |
$0 |
| Global Prime | |
$0 |
| FP Markets | |
$50 (AU$100) |
| Pepperstone | |
$0 |
| Admirals | |
$100 ($1 for Invest MT5 Account) |
| Vantage FX | |
$50 |
Forex Brokers by Regulator
| Brand | Maximum leverage | |
|---|---|---|
| Plus500 | |
1:30 |
| Fusion Markets | |
1:30 (1:500 for forex and metals via VFSC) |
| Global Prime | |
1:500 (1:30 for ASIC entity) |
| FP Markets | |
1:30 |
| Pepperstone | |
1:30 |
| Admirals | |
1:30 |
| Vantage FX | |
1:30 |
Forex Brokers Platform Availability
| Brand | FX pairs to trade | |
|---|---|---|
| Plus500 | |
60+ |
| Fusion Markets | |
80+ |
| Global Prime | |
56 |
| FP Markets | |
70+ |
| Pepperstone | |
90+ |
| Admirals | |
82 |
| Vantage FX | |
60+ |
Comprehensive Comparison of the Best Forex Brokers with Zero Commission
| Brand | Min. Deposit | Trading Platforms | Spread | Regulation | Trustpilot |
|---|---|---|---|---|---|
 |
$100 |
|
1.2 | ||
 |
$0 |
|
0.93 avg (Classic) |
|
|
 |
$0 |
|
0.96 avg (Standard) |
|
|
 |
$50 (AU$100) |
|
1.1 |
|
|
 |
$0 |
|
1.00 (min) |
|
|
 |
$100 ($1 for Invest MT5 Account) |
|
0.1 |
|
|
 |
$50 |
|
0.2 |
|
In response to the growing demand for more cost-effective trading options, some forex brokers have started to offer zero-commission trading, which can significantly reduce the costs associated with buying and selling currencies. In this review, we will explore the topic of forex brokers with zero commissions on trades, including the benefits and drawbacks of this type of trading, as well as the different types of accounts and commission structures that are available.
What is Commission in Forex Trading?
In forex trading, a commission is a fee that is charged by a broker for executing a trade. This fee is typically based on the volume of the trade and can vary in size, depending on the broker, the type of account traders are using, and the platform used for currency pair trading.
Commissions can be a significant cost for traders, especially those who trade frequently or in large volumes. For example, a trader who buys and sells a currency pair with a commission of $5 per lot can end up paying $10 per round trip, which can eat into their profits. However, some brokers have started to offer zero-commission trading, which means that traders do not have to pay any commissions on their trades. Instead, the broker makes money through other means, such as spreads or overnight financing fees.
Difference Between Spread and Commission Charges in Forex Trading
A standard forex broker would usually apply two main types of charges on forex trades: spreads and commissions. A spread is the difference between the bid and ask prices of a currency pair, and it is typically measured in pips. For example, if the bid price of the EUR/USD currency pair is 1.1000 and the ask price is 1.1002, the spread would be 2 pips. To get the overall cost of trading, forex brokers are advised to always consider both the commission rate and the spread applied to a trade.
A commission, on the other hand, is a fixed fee that is charged by the broker for executing a trade. While some brokers charge both spreads and commissions, others offer zero-commission trading, which means that traders only have to pay the spread. It’s worth noting that brokers who offer zero-commission trading often have wider spreads to compensate for the lack of commission income. For example, a broker who offers zero-commission trading may have a spread of 2-3 pips on the EUR/USD currency pair, while a broker who charges a commission may have a spread of 1-2 pips. Depending on the size of the commission, trading the pair with the lower spread may turn out to be more cost-effective than the no-commission option.
Types of Forex Account with Zero Commissions
There are several types of forex accounts that offer zero commissions, with standard forex accounts, ECN accounts, and STP accounts often falling under the no-commission category.
Standard forex accounts are the most common option offered to retail forex brokers, providing trading conditions that are very suitable for beginners and traders who wish to handle lower-volume trades. A typical feature of standard accounts is charging higher spreads but attaching no commissions to one’s forex trades. While trading with no commission may sound great, we would like to remind our readers that higher spreads, which are usually attached to standard account trades, may significantly increase the overall trading cost.
The pricing model on different account types may differ, depending on the trading conditions that are offered. For instance, ECN accounts offer direct access to the interbank market and typically have tighter spreads, but may charge a commission. STP accounts process orders in a similar manner but may have slightly wider spreads. Some brokers also offer Islamic accounts, which are swap-free and do not charge overnight financing fees. These accounts are suitable for traders who follow the Islamic faith and are prohibited from paying or receiving interest.
Difference Between Commission per Lot and Round-Trip Commission
When comparing trading conditions of forex accounts available across different brokers, you may notice that commissions can be charged per lot or per round trip. A commission per lot is a fixed fee that is charged for each lot that is traded, regardless of whether the trade is a buy or a sell. That means the commission is charged on each side of the trade. For example, a broker may charge a commission of $5 per lot, which means that the trader would pay a commission of $5 for opening a single-lot trade and another $5 commission when closing the trade.
A round-trip commission, on the other hand, is a fee that is charged for the entire trade, which includes both the buy and the sell sides. For example, a broker may charge a round-trip commission of $10, which means that the trader would pay a total of $10 on both sides of the trade. It’s worth noting that some brokers may disclose their commission rates as charged per lot, while others may provide the round-trip commission rate. It is important to recognize the difference between the two to assess any possible surcharges correctly.
Pros and Cons of Trading Forex with No Commission
To be able to make informed decisions when choosing a forex account for your trades, you need to consider the strengths and weaknesses of trading with zero commission. Below, you can see some pros and cons of choosing to trade forex with no commissions:
Pros:
- Reduced trading costs: zero-commission trading can significantly reduce the costs associated with buying and selling currencies. That is, however, if the spreads are not too high.
- Improved profitability: zero-commission trading can improve a trader’s profitability, especially for those who trade frequently or in large volumes.
- Simplified trading: zero-commission trading can simplify the trading process, as traders do not have to worry about calculating complex commission structures.
- Widely Available: The majority of reputable forex brokers have adopted varying pricing models, including zero commission accounts in their forex offerings.
Cons:
- Wider spreads: Brokers who offer zero-commission trading often have wider spreads to compensate for the lack of commission income.
- Overnight financing fees: Traders may still be charged overnight financing fees, which can eat into their profits.
- Limited trading options: Some brokers may limit the trading options available to traders who choose zero commission accounts.
- Less transparent pricing: zero-commission trading can make it more difficult for traders to understand the true cost of trading, as the broker’s profit is built into the spread.
Additional Trading Fees Charged by Forex Brokers
While some brokers may advertise “fee-free” trading, the reality is that there are often numerous charges associated with buying and selling currencies. In this section, we’ll delve into the types of trading fees that forex brokers might charge, even if they have adopted a zero commission pricing model.
- Financing charges for overnight positionsstrong: These fees are calculated based on the interest rate differential between the two currencies in a pair, and can result in either a debit or a credit to the trader’s account.
- Dormancy fees for inactive accounts: Traders who fail to trade for an extended period may be subject to inactivity fees, which can range from a small monthly charge to a more substantial penalty.
- Transaction fees for deposits and withdrawals: Depending on the broker and the payment method, traders may be charged a fee for depositing or withdrawing funds from their trading account.
- Currency exchange fees for non-base currency transactions: When traders deposit or withdraw funds in a currency that differs from their account’s base currency, they may be subject to a currency conversion fee.
- Wire transfer fees for bank transfers: Traders who use wire transfers to deposit or withdraw funds may be charged a fee by their broker, which can range from a small flat fee to a percentage of the transaction amount.
- Account maintenance fees for premium services: Some brokers charge a monthly fee for account maintenance, which can include services such as account management, customer support, and platform maintenance.
- Data feed fees for real-time market data: Traders who require access to real-time market data may be charged a fee by their broker, which can range from a small monthly charge to a more substantial subscription fee.
- Rolling fees for position rollovers: Traders who roll over positions from one trading day to the next may be subject to a rolling fee, which can range from a small flat fee to a percentage of the transaction amount.
Conclusion
We can conclude that zero-commission trading is a type of trading that can significantly reduce the costs associated with buying and selling currencies. While there are several benefits to zero-commission trading, however, there are also some drawbacks, such as wider spreads and overnight financing fees. Traders who are considering zero-commission trading should carefully evaluate the pros and cons and choose a broker that meets their trading needs and goals. It’s also important to note that zero-commission trading is not suitable for all traders, and some may prefer to pay a commission in exchange for tighter spreads. Ultimately, the key to successful trading is to understand the costs associated with trading and to choose a broker that offers transparent and competitive pricing.
Why You Should Trust RationalFX
When it comes to making informed decisions about forex brokers, it’s essential to rely on trustworthy sources. RationalFX, a company with over 17 years of experience since its founding in 2005, has established itself as a credible authority in the industry. With an impressive collection of over 2500 reviews on Trustpilot, boasting a score of 4.2, it’s clear that Rational FX has built a reputation for providing reliable and unbiased information.
What sets Rational FX apart is its rigorous evaluation process, which considers over 30 different criteria when selecting forex brokers. This comprehensive approach ensures that every aspect of a broker’s service is taken in consideration, including regulation, forex spreads, trading platforms, deposit methods, and reputation. With its wealth of experience, transparent review process, and outstanding customer feedback, Rational FX is a trusted source for anyone seeking reliable information on forex brokers. You can reach us via e-mail at [email protected] or contact us through our social media accounts here: Facebook, YouTube, or leave a feedback here.