Australian forex traders need leverage to take advantage of the currency market which often moves a fraction of a percent. We have compared the highest leverage forex brokers based on spread, forex trading platforms and features.
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Australian brokers are regulated by ASIC who in 2021 set the maximum leverage for retail traders to 30:1. While all ASIC regulated brokers are restricted to this level they do vary when it comes to professional leverage.
Higher level is also available though overseas forex broker who accept Australian traders. We added two such brokers that are regulated overseas including one regulated by the FMA in in New Zealand.
Our list of the best forex broker with high leverage are:
| Broker | Our Rating | Regulation | Standard EUR/USD Spread |
Standard GBP/USD Spread |
Standard AUD/USD Spread |
Raw EUR/USD Spread |
Raw GBP/USD Spread |
Raw AUD/USD Spread |
Commissions (USD Base) |
MetaTrader 4 | MetaTrader 5 | cTrader | Execution Speed | Minimum Deposit | Currency Pairs | Crypto CFDs | Retail Leverage | Prof. Leverage | |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
|
9.33 |
ASIC, FCA CySEC, DFSA |
1.12 | 1.69 | 1.22 | 0.10 | 0.60 | 0.30 | $3.50 |
|
|
|
77ms | $0 | 62+ | 12+ | 30:1 | 500:1 |
|
|
8.50 |
ASIC, FSA-S CySEC |
0.62 | 0.83 | 0.77 | 0.02 | 0.23 | 0.17 | $3.50 |
|
|
|
134ms | $0 | 61+ | 18+ | 30:1 | 500:1 |
|
|
9.00 |
ASIC, SCB FCA,CySEC |
1.0 | 1.0 | 1.2 | 0.06 | 0.73 | 0.27 | $3.50 |
|
|
|
143ms |
$250 (Raw) $500 (Standard) |
40+ | 250+ | 500:1 | 500:1 |
|
|
8.17 |
ASIC,CySEC FSCA,FSA-S,FSC-M |
1.1 | 1.3 | 1.3 | 0.10 | 0.20 | 0.20 | $3.00 |
|
|
|
225ms | $100 | 70+ | 10+ | 30:1 | 500:1 |
|
|
8.33 |
ASIC, FSCA CBI, KNF, CIRO ADGM, FSC-BVI |
- | - | - | - | - | - | - |
|
|
|
160ms | $100 | 55+ | 15+ | 30:1 | 400:1 |
|
|
8.50 | FMA, FSA | 1.20 | 1.4 | 1.7 | 0.23 | 0.72 | 0.65 | $3.00 |
|
|
|
72ms | $0 | 64+ | 11+ | 500:1 | 500:1 |
|
|
FCA, FSCA, CYSEC DFSA,CMA,FSA |
1.2 | 1.9 | 1.8 | 0.1 | 0.3 | 0.7 | $3.00 |
|
|
|
$0 | 38+ | 19+ |
|
In 2023 we determined the best forex broker but we didn’t factor in leverage. This is because ASIC regulates leverage to 30:1 for Australian traders but there are some offshore brokers offering more. This page shows the best onshore and offshore options for high-leverage trading.
We Recommend Pepperstone With A Score of 94/100
We awarded Pepperstone the best Australian forex broker and since they also offer the maximum leverage available for retail (30:1) and professional traders (500:1) it was logical they were awarded the best overall.
Here’s why we love Pepperstone:
Pepperstone ReviewVisit Pepperstone
Pepperstone Has The Highest ASIC Regulated Leverage Allowed
All ASIC-regulated forex brokers can only offer 30:1 to retail traders. Traders in Australia can only get higher leverage by using a non-regulated broker such as Blackbull or by nominating to become a professional trader which has strict requirements. The maximum leverage figures for Australian traders are shown below.
| Forex Broker | Retail Leverage | Professional Leverage | Regulation |
|---|---|---|---|
| Pepperstone | 30:1 | 500:1 | Australia (ASIC) |
| IC Markets | 30:1 | 500:1 | Australia (ASIC) |
| Blackbull Markets | 500:1 | 500:1 | New Zealand (FMA) |
| Eightcap | 30:1 | 500:1 | Australia (ASIC) |
| Plus500 | 30:1 | 300:1 | Australia (ASIC) |
| FP Markets | 30:1 | 500:1 | Australia (ASIC) |
| CMC Markets | 30:1 | 500:1 | Australia (ASIC) |
| eToro | 30:1 | 400:1 | Australia (ASIC) |
| AvaTrade | 30:1 | 400:1 | Australia (ASIC) |
Pepperstone has fast execution based on our testing
As with all ASIC-regulated Forex Brokers, forex leverage is limited to 30:1 for major currency pairs and 20:1 for minor pairs using retail investor accounts. Maximum leverage for other products includes 20:1 for gold and major stock indices and 10:1 for silver and other commodities. If you wish to trade cryptocurrencies, the maximum leverage is 2:1 and 5:1 CFD shares.
While leverage can greatly increase your profits, it can also increase your losses. For this reason, we recommend looking for a broker with fast execution speed. Faster execution speed reduces your risk of slippage, which protects you from undesirable losses.
To find out which brokers have the best execution speed, our CompareForexBrokers technology research analyst, Ross Collins, tested 20 brokers to find out which brokers were the fastest. In Ross’ tests, we found Pepperstone was the fastest ASIC-regulated Forex broker for limit orders speed with an average execution speed of 77 ms. The only broker to beat them was New Zealand broker, BlackBull Markets, with an average limit order execution speed of 72 ms. We say this is an outstanding result for Pepperstone as it compares very well with other brokers such as ThinkMarkets (161ms), Markets.com (151ms), and FP Markets (225ms).
Our test also found that Pepperstone did very well for Market Orders. With a market order execution speed of 100 ms, Pepperstone finished 5th of all the brokers we tested, slightly behind Fusion Markets and FP Markets. We discuss Market Orders in more depth in the FP Markets section.
We found it easy to sign up for a Pepperstone account. No card required!
Our CEO at CompareForexBrokers, Justin Grossbard, opened a trading account with 20 different brokers to see which has the easiest sign-up process. Justin rated Pepperstone 9/10 for the account opening experience. It took him less than 10 minutes to register his basic details (name, address, email) and answer a few basic questions such as salary. You also need to answer 10 simple questions proving you have a basic understanding of trading and its risks.
Perhaps the only hassle Justin found was the need to provide some form of verification ID. This means uploading an image of a primary ID to Pepperstone’s secure client area such as:
and one photo of a secondary ID such as:
Once done, you simply choose either a demo or live account, your desired trading platform (MetaTrader 4, MetaTrader 5, cTrader, or TradingView), and the type of trading account. As a bonus, Justin found that you don’t need to make a deposit or even provide any funding account details like credit cards. This makes it easy to start practising with a demo account right away and not commit your own money until you are ready to start trading live.
Pepperstone offers you two retail investor accounts:
Both Standard and Razor accounts offer both MetaTrader platforms and Capitalise.ai, while only Razor also offers cTrader and TradingView.
If you are using MT4, MT5, or Capitalise.ai with the Razor account, commission costs will be AUD or USD 3.50 per standard lot ($7.oo round-turn). For cTrader and TradingView, commissions are USD 6.00 for each standard lot (round-turn). Spreads with this account can be as low as 0.0 pips which means you will not pay any spread.
For the standard account, you’ll pay no commissions. Spreads with this account can be as low as 1.0 pips.
Pepperstone Trading Platforms
Pepperstone’s range of trading platforms is one of the most diverse that we’ve seen.
Not only does it offer MT4 and MT5, Pepperstone also includes Smart Trader Tools to make your MetaTrader experience even better. Among the 28 apps included with Smart Trader tools, we like Smart Lines and Mini Terminal which help you manage your trading risks.
Then there is cTrader, which we see as a good alternative for traders wanting extra charting tools, depth of market visibility and the ability to control order fills. Like MetaTrader’s EAs (Expert Advisors), cTrader lets you automate your trading using cBots.
TradingView is a specialised charting platform. In addition to a wealth of analysis tools and charts to help you identify trading opportunities, you can trade directly from the charts.
The last major platform is Capitalise.ai which allows you to automate your trading without the need for code. To use this, you will need to use MetaTrader 4.
Should you wish to social trade, Pepperstone has the following options – MetaTrader Signals, Myfxbook, and DupliTrade. All these programs work via trading signals, which allow you to copy the trades of other, more experienced traders.
Our Verdict on Pepperstone
For traders looking for the best high-leverage forex broker, Pepperstone offers an attractive combination of sizable margins, advanced trading tools, sophisticated trading platforms, and tight spreads. We consistently rate Pepperstone as our top broker, across most categories, with a total score of 923/1000.
Pepperstone ReviewVisit Pepperstone
Our IC Markets testing revealed low standard account spreads of 1.03 pips
Like Pepperstone, IC Markets has grown to become one of the largest forex brokers in the world since commencing operations in Sydney in 2007. As a no-dealing desk broker, IC Markets sources its prices from over 25 liquidity providers and uses a simple pricing model, giving you a choice of a commission and no-commission account.
Key Strengths of IC Markets
IC Markets ReviewVisit IC Markets
Tight Spreads When Trading To Save On Costs
Trading with high leverage can greatly increase your returns or your trading costs. The most important trading cost to consider is your spreads. When comparing brokers, we always look for tight spreads across currency pairs and other financial products we want to trade.
For a standard account, we have observed most brokers advertise a minimum spread of 1 pip, with a few listed slightly lower or higher. To find out what the spreads were really like, Ross Collins, Chief Technology Researcher at CompareForexBrokers, tested the spreads for standard accounts of 20 brokers. We found that IC Markets finished on top, ahead of CMC Markets and Fusion Markets with an average spread of 1.03 pips. Ross did a deep dive explaining how he did his testing and methodology and wrote about it on his Standard Spread Account Testing.
| Broker | Average Spread | Average Spread Cost (USD) |
|---|---|---|
| IC Markets | 1.03 | $9.63 |
| CMC Markets | 1.11 | $10.10 |
| Fusion Markets | 1.19 | $11.07 |
| TMGM | 1.21 | $11.18 |
| Admiral Markets | 1.31 | $11.96 |
| FXCM | 1.47 | $13.49 |
| Pepperstone | 1.46 | $13.52 |
| FP Markets | 1.47 | $13.60 |
| Go Markets | 1.49 | $13.87 |
| EightCap | 1.51 | $13.97 |
| OANDA | 1.54 | $14.23 |
| Axi | 1.71 | $15.99 |
| City Index | 1.79 | $16.52 |
| Blackbull Markets | 1.82 | $16.95 |
| FXPro | 2.22 | $20.83 |
As part of his findings, Ross explained that 1.03 pips were equal to a cost of USD $9.63 per lot. So if you are a frequent or high-volume trader, you will pay USD 9.63 for every $100,000 you trade. To contrast, our worst-performing broker FXPro, averaged spreads of 2.22 pips or USD $20.83. So, for example, if we trade 10 lots ($96.30 to $200.83), we will have paid over $100 more than we needed to.
| Broker | Spread | Cost per 100,000 lot | Cost for 10 x 100,000 lots | Extra Cost vs IC Markets |
|---|---|---|---|---|
| IC Markets | 1.03 | $9.63 | $96.30 | |
| FusionMarkets | 1.19 | $11.07 | $117.00 | $20.70 |
| FP Markets | 1.47 | $13.60 | $136.00 | $39.70 |
| EightCap | 1.51 | $13.97 | $139.70 | $43.40 |
| FXPro | 2.22 | $20.83 | $208.30 | $112 |
IC Markets Trading Accounts
You can open 3 trading accounts with IC Markets: a Standard and two Raw Spread accounts. The standard account only allows trading on MT4 and MT5, while Raw Spread adds cTrader to the mix.
As a spread-only account, the Standard account charges no commissions with spreads starting from 0.6 pips. These are competitive spreads for a zero-commission account, most of which charge 1 pip from our observation.
The Raw Spread account charges different commissions based on which platform you choose. With MT4 or MT5, you will pay AUD 7 round-turn whereas with cTrader you will pay USD 6 round-turn (which will need to be converted to AUD). Like most ECN-style accounts, spreads start as low as 0 pips with Raw Spread.
In fact, IC Markets had the lowest average forex market spreads compared to other brokers, according to spread testing findings by our very own Ross Collins, head of technology research.
IC Markets Trading Platforms
In addition to the MT4, MT5, and cTrader trading platforms, you can also use ZuluTrade for trading.
ZuluTrade is a social trading platform that allows you to copy the trades of successful traders. You can automate your trading by doing this. With around 2 million users, ZuluTrade is as successful as any copy trading platform that we’ve seen. You can integrate ZuluTrade with MT4 for extra trading features. All of IC Markets’ platforms are available on all devices: on desktop, as a webtrader, and via mobile app.
Our Verdict on IC Markets
With great platforms, tight spreads, and high leverage, IC Markets is a good choice for beginners transitioning to more advanced trading strategies. We scored IC Markets 831/100, overall, as our second best broker behind Pepperstone.
Eightcap has the best RAW account with the maximum ASIC leverage
Eightcap offers the maximum leverage permitted by ASIC for all their trading products against all Australian brokers we reviewed. As a no-dealing desk broker, Eightcap offers tight spreads on their ECN account (RAW account) and a solid range of products to trade, including an exceptionally large range of cryptocurrencies.
Key Strengths of Eightcap include:
Account Types and Trading Costs
Eightcap is a straight-through-processing (STP) broker which means quotes are sourced from a pool of top-tier liquidity providers with no interference from the broker. It is for this reason that Eightcap spreads are among the most competitive in the market, as we have highlighted in our spread module below.
To trade the lowest forex spreads with Eightcap, we recommended the RAW account as it presents the best value. While you will pay a commission of $7.00 per standard lot ($3.50 to open and close), the spread you pay can be as low as 0.0 pips.
We compared the spreads of different brokers using data published on their websites and compiled them in the table below, which is updated once a month. As you can see, Eightcap’s average spreads are very competitive across most major currency pairs.
Low Minimum Deposit And Ease of Funding Methods
Opening a RAW account with Eightcap requires a minimum deposit of $250, which we see as lower than the industry average. To make your deposit, Eightcap gives you a choice of a range of payment methods with no transaction fees. Beyond the standard Visa and Mastercard, popular options include PayPal, Neteller, and UnionPay.
Top Trading Product Range and High Leverage
The below table shows the product range along with the leverage available with Eightcap for their products. 46 currency pairs are available which cover a mix of major, minor, and exotic pairs. While this is smaller than some brokers who have over 60 pairs, they cover the most commonly traded pairs.
Eightcap has a distinctive range of 80 different cryptos cryptocurrencies, which stands out against most brokers we’ve reviewed that offer 10 to 30 types. To trade these cryptos, you will need to use the MT5, TradingView, or Capitalise.ai trading platform rather than MetaTrader 4. We named Eightcap as the best crypto CFD broker in Australia.
Eightcap Forex Trading Platforms
Eightcap offers the popular trading platform for forex (MetaTrader 4) and for CFDs (MetaTrader 5). They also offer advanced platforms including TradingView and Capitalise.ai. In fact, we found TradingView was the best forex trading app for Australian traders in 2023.
MT4 is the world’s most popular forex trading platform and one we personally enjoy with a great range of charting tools for technical analysis and algorithmic tools such as Expert Advisors. Its main limitation is that the range of crypto and shares available is more limited compared to Eightcap’s other platforms.
MT5 is an upgrade on MT4 in many ways. You will find MT5 has the same features but better. For example, MT5 offers 21 timeframes vs 9 timeframes on MT4. You can also trade more products compared to MT4. MT5 is not as popular as MT4 but its popularity is growing fast.
Capitalise.ai is a trading platform in its own right but its strength lies in its automation capability. With this platform, you can create algorithms to automate your trading without any knowledge of coding. All Eightcap trading products are available for trade and as a bonus, you can integrate Captialise.ai with Eightcap if you wish.
The last trading platform is TradingView. If you are after superior charting and analysis capability then this platform might be a good option to consider.
Our Verdict on Eightcap
Eightcap is a broker rapidly making a name for itself thanks to its tight spreads when trading forex and cryptocurrencies. This broker has an exceptional range of trading platforms, especially when it comes to automation and trading analysis. Their low spreads, high leverage and excellent range of CFDs is why they were named the best ECN broker in Australia in 2023. We recommend Eightcap for high volume traders looking for high leverage when trading.
FP Markets Has A Large Range Of Markets To Trade With Leverage
FP Markets offers competitive trading costs, a solid range of high-leveraged financial instruments, and extensive educational resources, so we recommend this broker for beginners.
Key Strengths of FP Markets include:
View FP Markets ReviewVisit FP Markets
FP Markets Trading Accounts
FP Markets provides a straightforward and inexpensive account opening process. Both the Standard account and the Raw account recommend a minimum deposit of just AUD 100, which can be paid using a number of popular funding methods.
FP Markets, like all the best forex brokers we observed, offers ECN pricing through the use of an STP trading environment and operates on a no-dealing desk model. Standard Account holders pay no commission, and spreads begin at the industry standard, 1.0 pips. Raw account holders enjoy even tighter spreads – 0.0 pips – but will pay a commission of AUD 7.00 round-turn.
FP Markets Trading Products
FP Markets offers a solid range of asset classes to trade with high leverage. As a forex trader, you can choose from 63 currency pairs, an extensive stock CFD range, as well as a smaller range of cryptocurrencies, indices, bonds, commodities, and ETFs. From our research, not many brokers offer ETFs so this is the way FP Markets lets you diversify your portfolio.
FP Markets Trading Platforms
Other than offering the popular MT4 and MT5 platforms, FP Markets stands out from other brokers we reviewed with its IRESS suite of platforms, if you’re an Australian trader. IRESS is your best bet if you wish to trade shares, offering over 10,000 stocks – a larger range than available with MT5. It also offers Direct Market Access (DMA) execution, which allows you to access the order book of the stock exchanges.
In addition, FP Markets has its own in-house mobile app, which users widely praise for ease-of-use and intuitive order functions. We rated this trading app as the best forex demo account in Australia in our comparison earlier in the year.
For those using a copy trading strategy, FP Markets offers MyFxBook integrations for MetaTrader, as well as a dedicated social trading app compatible with its own platforms.
Finally, you can enjoy access to an impressive selection of advanced trading tools, including Autochartist, API trading, a multi-account manager, and VPS hosting.
Our Verdict on FP Markets
FP Markets stands out for its low trading costs and impressive range of stocks via the unique IRESS platform. This makes FP Markets a solid high-leverage broker for Australian traders looking to diversify their portfolios.
AvaTrade has Risk Protection with AvaTradeGo When Using High Leverage
Founded in 2006, AvaTrade is one of the oldest and most trusted online brokerages, with multiple tier-1 regulatory licenses proving this claim (we scored it 80/100 for trust). AvaTrade also offers fixed spreads, which is unique as a high-leverage broker.
Key Strengths of AvaTrade are:
View AvaTrade ReviewVisit AvaTrade
AvaTrade Trading Accounts
AvaTrade keeps things simple offering a single account type: Standard.
As a market maker, AvaTrade will sit on the opposite side of some trades. This means a minimum fixed spread of 0.9 pips may be wider than desirable but it’s common for market maker brokers, in our experience. You won’t pay any commissions with AvaTrade, however, which is a plus.
Where we see AvaTrade distinguishing itself from similar high-leverage brokers is risk protection. AvaProtect, an in-house risk management tool, allows traders to “insure” specific trades for up to AUD 1 million for a given period. Any losses incurred during the chosen timeframe are reimbursed by AvaTrader into the trading account. AvaTrade does not offer a stop-loss order type, however, and is only available to traders using the AvaTradeGo trading platform. Like all ASIC-regulated brokers, AvaTrade also offers negative balance protection.
AvaTrade Trading Products
AvaTrade offers a diverse range of financial instruments to Australian forex traders, including 55 forex pairs, 59 ETFs, 44 options, 33 indices, and 16 cryptocurrencies. Per ASIC regulations, leverage for major currency pairs extends to 30:1, and minor pairs are capped at 20:1.
AvaTrade Trading Platforms
AvaTrade offers the most platform options of any ASIC-regulated broker we reviewed, which means the broker has something for every style or strategy. Besides MT4 and MT5, the broker offers tailored integrations for options trading, as well as webtrader and mobile formats.
Social traders have access to Zulutrade but may also opt for the broker’s own AvaSocial tool or a Duplitrade integration for copy trading via MetaTrader 4.
Our Verdict on AvaTrade
AvaTrade combines innovative risk protection with advanced trading tools to allow you to maximise the value of their high-leverage trading activity without taking unnecessary risks with your capital.
BlackBull Markets Offers 500:1 leverage
Blackbull is not regulated in Australia by ASIC. Instead they are regulated in New Zealand by the FMA (a ‘tier 1’ regulator). The FMA allows significantly higher leverage of 500:1 which was offered in Ausralia prior to 2021.
High leverage isn’t Blackbull’s only strength with also includes:
Blackbull ReviewVisit Blackbull Markets
How Blackbull Tested The Fastestest For Execution Speed
In our Pepperstone review, we explained how our tests showed that Pepperstone was the fastest ASIC-regulated broker for limit orders. BlackBull Markets is the fastest broker overall, with an execution speed of just 0.72 ms for limit orders.
BlackBull Markets also performed excellently in our test for market orders. When our own, Ross Collins, tested for market orders, he found that BlackBull Markets has a market order speed of 90 ms, second only to Fusion Markets with 77 ms.
With BlackBull Markets finishing first for limit orders and second for market orders in our tests, BlackBull Markets is our overall winner for execution speed. When trading with high leverage, especially when it is 500:1 like BlackBull Markets’ offers, it’s important to use a broker with fast execution speeds, as this greatly reduces your risk of slippage (which can be very costly when markets move against your trading position quickly).
| Broker | Execution Type | Overall Rank | Limit Orders | Market Orders |
|---|---|---|---|---|
| Blackbull Markets | NDD/STP | 1 | 1 | 2 |
| Fusion Markets | NDD/STP | 2 | 3 | 1 |
| Pepperstone | NDD/STP | 3 | 2 | 5 |
| Hugos Way | ECN | 4 | 6 | 3 |
| TMGM | NDD/STP | 5 | 4 | 7 |
| FXCM | Market Maker | 6 | 8 | 6 |
| City Index | Market Maker | 7 | 7 | 8 |
| FxPro | NDD/STP | 8 | 10 | 9 |
| Axi | NDD/STP | 9 | 5 | 15 |
| Markets.com | Market Maker | 10 | 11 | 11 |
| FP Markets | NDD/STP | 10 | 18 | 4 |
| Go Markets | NDD/STP | 12 | 13 | 12 |
| IC Markets | NDD/STP | 12 | 12 | 13 |
| Admiral Markets | Market Maker | 14 | 9 | 17 |
| Eightcap | NDD/STP | 14 | 16 | 10 |
| easyMarkets | Market Maker | 16 | 14 | 14 |
| XM | Market Maker | 17 | 15 | 18 |
| CMC Markets | Market Maker | 18 | 20 | 16 |
| IG | Market Maker | 19 | 17 | 20 |
| ThinkMarkets | NDD/STP | 20 | 19 | 19 |
Diverse Account Types
Like the best forex brokers we’ve reviewed, BlackBull Markets offers multiple account types to cater to all traders. Both beginners and experienced forex traders will benefit from ECN-style, STP execution with deep liquidity, while institutional investors can choose from among four different servers in major financial hubs.
BlackBull Markets’ Standard account charges no commissions. However, costs are instead factored into the spreads, which start at 0.8 pips. The ECN Prime account offers tighter spreads starting at 0.0 pips but charges AUD 7 per trade, round-turn.
For larger investors, BlackBull Markets offers the ECN Institutional account with spreads as low as 0.0 pips and commissions dependent on the trade size. With this account, you can execute trades via four Equinix servers located in key financial markets: New York, Shanghai, Tokyo, and London.
BlackBull Markets offers all forex traders an ECN-like, no-dealing desk trading experience, regardless of account type. For this reason, we scored BlackBull Markets 79/100 on its trading experience.
BlackBull Trading Platforms
True to its financial technology roots, BlackBull Markets doesn’t skimp when it comes to trading platforms. In addition to the standard versions of popular MetaTrader 4 and MetaTrader 5 trading platforms, BlackBull Markets also offers a webtrader platform that allows access to MT4 from any device.
Social traders have access to a MyFxBook integration for MetaTrader 4, as well as ZuluTrade and Hokocloud. Virtual Private Servers (VPS) and API trading are also available.
Our Verdict on BlackBull Markets
The combination of fast execution, deep liquidity, and ultra-high leverage makes BlackBull Markets one of the best forex brokers in our eyes, especially for an authorised broker outside of Australia.
HF Markets has Micro-Lot Trading with the Highest Leverage
If you’re a trader who prefers to deal in smaller orders, HF Markets may be the best high-leverage broker for your needs. While most online brokerages prefer to execute trades of at least 100,000 units (aka standard lots) of currency, HF Markets allows newer or more casual traders the option to trade in micro lots of 1,000 units. Trading micro lots ensure you are not trading too much at a time and therefore can help prevent crippling losses when using leverage.
Key Strengths of HF Markets are:
HF Markets Trading Accounts
When it comes to account types, HF Markets has something for every forex trader, regardless of budget, experience level, or trading style. HF Markets offers 6 types of trading accounts. A PAMM account and Islamic or Swap Free account is also available.
The Micro account offers trading with micro-lots (or 1000 units), with orders capped at 7K lots. Spreads begin at 1.0 pip, and the broker acts as a market-maker. Leverage, however, can reach as high as 2000:1, which is the highest of any broker we’ve reviewed.
To obtain higher leverage, you’ll need to sign up to HF Markets (Seychelles) Ltd which is regulated by Financial Services Authority (Seychelles).
Premium account holders enjoy the same advantages of a Micro account, albeit with lower leverage of 500:1. Spreads begin at 1.0, but traders pay no commissions.
Zero Spread accounts offer tight spreads of 0.0 pips, however, HF Markets charges a commission of USD 6.00 per round-turn for major currency pairs and USD 8.00 for minor and exotic pairs. To open a Zero Spread account you will need a minimum deposit of $200. Leverage, margin-call, and stop-out levers are the same as the Premium account.
Finally, HF Markets offers a trading account intended specifically for social trading: HF Copy. Maximum leverage is 400:1 and the range of available products is limited. Spreads start at 1.0 pips, with the broker acting as a market-maker.
To open an account with HF Markets, minimum deposits vary from $5 up to $500 as you move up accounts.
HF Markets Trading Products
While HF Markets provides a respectable range of financial instruments, it lacks the range of some of the best forex brokers we’ve covered elsewhere. You can, however, trade CFDs and non-CFD instruments, which not all brokers offer.
HF Markets offers 53 forex pairs, 11 indices, 34 ETFs, 3 bonds, 13 commodities, and 53 stock CFDs.
If you want equities rather than CFDs, fractional shares are available from $5. To purchase equities you will need to use MT5. Unlike CFD products, leverage is not available with these stocks.
HF Markets Trading Platforms
In addition to a solid proprietary mobile application, which supports copy trading, HF Markets offers both MetaTrader 4 and MetaTrader 5. Advanced trading tools, including Autochartist, are available as integrations, along with VPS hosting from Beeks.
For social and copy traders, HF Markets offers a home-grown copy trading platform: HF Copy. Only a handful of other brokers we’ve reviewed, like AvaTrade and eToro, offer in-house copy platforms.
Our Verdict on HF Markets
We see HF Markets as a good choice for casual traders wanting to start with micro-trading, while perhaps not suited for experienced traders due to the wider spreads and limited range of financial instruments available.
When picking the best high-leverage forex brokers in Australia, we started by looking at both ASIC-regulated and non-ASIC (or offshore) regulated brokers. The next two sections explain the difference between the two. From there, we found a distinguishing feature of each broker, such as trading costs or range of products, which the trader could benefit from. Ultimately, this list is designed to suit traders of all levels of experience and trading styles looking for the best leverage in a broker.
The Australian Securities and Investments Commission (ASIC) oversees the activities of forex brokers operating in the country. Australian forex brokers trading with an ASIC-regulated brokerage have access to the following maximum leverage amounts:
The Australian forex brokers above offer retail traders the maximum leverage allowed by ASIC. If, however, you’re an experienced trader and meet the eligibility criteria, you can operate as a ‘Sophisticated Client’ which means you can use the leverage of up to 500:1.
Overseas High Leverage Broker Not ASIC Regulated
Some brokers offer leverage of 500:1 and even 1000:1 for forex trading. This is because you are trading with a broker (or in some cases a broker’s subsidiary) in a country whose financial regulator doesn’t place restrictions on the leverage they can offer.
These brokers are using an offshore regulator, which simply means the broker’s regulator is outside your home country. While a regulator based in Europe or New Zealand does make them an offshore broker since they are outside Australia, most people associate offshore regulators with countries in the Caribbean and The Indian or Pacific Ocean.
If you’re an Australian citizen, trading through a non-ASIC-regulated broker is illegal. If, however, you’re a foreign national residing in Australia, you have the option to trade with a high-leverage broker licensed by a regulator other than ASIC.
Why Trade with High Leverage?
There are many reasons to trade with high leverage, but the main reason is you can increase your potential profits. This is because you are trading with higher purchasing power for less capital, essentially. Leverage is expressed as a ratio, such as 10:1, which means for every standard lot your trade is worth 10x that amount (I.E. For a standard 100,000 forex trade, this is the equivalent of trading with AUD $1,000,000).
Risks associated with High Leverage
Trading on margin using large amounts of leverage carries a high level of risk. High volatility in the markets can lead to significant profits – and equally significant losses. Trading with an ASIC-regulated broker does not guarantee a successful trading experience. Still, it ensures that you have access to controlled leverage and enjoy protection against fraud or market manipulation that can amplify losses.
If you are based in Australia or an Australian resident, we highly recommend signing with one of our recommended ASIC-regulated forex brokers. Joining one of these brokers ensures the broker can legally offer you trading services and that the broker meets the regulatory and operational standards set by the Australian financial regulator.
Australia introduced limits on leverage
Last year, ASIC issued a product intervention order to protect retail traders better across CFD Trading. A number of orders were applied including
The reason ASIC, introduced these rules was to better protect retail traders from losing when trading. These changes have resulted in a 91% reduction in aggregate losses for retail client accounts and 51% fewer loss-making retail accounts per quarter (on average).
These changes being ASIC in line with the directive the European Securities And Markets Authorities (ESMA) has set out for the financial regulators for countries that are members of the European Union to follow. These regulators (among others) include:
The Financial Conduct Authority (FCA) which is the financial regulator of the United Kingdom continues to match ESMA guidelines despite gaining independence following Brexit. The Dubai Financial Services Authority (DFSA) for the United Arab Emirates (UAE).
Not all countries follow the same leverage rules – The Monetary Authority Of Singapore (MAS) has even higher leverage rules. The Financial Markets Authority New Zealand (FMA) allows leverage of 500:1 despite being a country with a tightly managed financial regulatory system, a contrast to some other countries that have more relaxed regulatory infrastructure that allow leverage of 500:1 or even 1000:1. These regulators are typically found on islands in the Caribbean, the South Pacific and the Indian Ocean.
Examples include:
While these regulators don’t have the same high standard found in countries like Australia, the USA, Canada, and across Europe and The UK, they do at least provide some sort of regulation and therefore an element of protection, which is better than a broker that is not regulated. All this said you should always try to choose a broker using a regulator in your own country.
Higher Leverage For Professional Traders And Sophisticated Investors
The product intervention orders are designed to protect retail traders who typically are more vulnerable to losses when trading CFDs. Not only do many retail traders lack the knowledge to successfully trade CFDs, but they also lack to funds to cope when losses do occur. However, leverage is a useful instrument provided you know when and how to use it. For this reason, ASIC has a separate category for traders who can show they have trading skills that go beyond those of the retail trader.
Provided you can satisfy the qualification criteria set by ASIC, you can trade with leverage of up to 500:1 The catch is that the broker is not obligated to offer negative balance protection or margin calls. ASIC calls this category “Sophisticated Investor” and it is similar to the Professional Trader rules used by ESMA.
Similar to the ‘Professional Trader’ designation in Europe and the UK – brokers may allow you to trade with higher leverage. To qualify, you’ll need to pass the ‘Sophisticated Investor Test’ or the ‘Wealth Test’.
Trading on margin using large amounts of leverage carries a high level of risk. High volatility in the markets can lead to significant profits – and equally significant losses. Trading with an ASIC-regulated broker does not guarantee a successful trading experience. Still, it ensures that you have access to controlled leverage and enjoy protection against fraud or market manipulation that can amplify losses.
If you are based in Australia or an Australian resident, we highly recommend signing with one of our recommended ASIC-regulated forex brokers. Joining one of these brokers ensures the broker can legally offer you trading services and that the broker meets the regulatory and operational standards set by the Australian financial regulator.
Last year The Australian Securities and Investment Commission issued a product intervention order to protect retail traders better across CFD Trading. A number of orders were applied including
The reason ASIC, introduced these rules was to better protect retail traders from losing when trading. These changes have resulted in a 91% reduction in aggregate losses for retail client accounts and 51% fewer loss-making retail accounts per quarter (on average).
These changes were implemented by ASIC in line with the directive the European Securities And Markets Authorities (ESMA) set out for the financial regulators in countries that are members of the European Union. These regulators (among others) include:
The Financial Conduct Authority (FCA) is the financial regulator of the United Kingdom continues to match ESMA guidelines despite gaining independence following Brexit. The Dubai Financial Services Authority (DFSA) is the financial regulator of the United Arab Emirates (UAE).
Not all countries follow the same leverage rules – The Monetary Authority Of Singapore (MAS) has even higher leverage rules. The Financial Markets Authority >New Zealand (FMA) allows leverage of 500:1 despite being a country with a tightly managed financial regulatory system, a contrast to some other countries that have more relaxed regulatory infrastructure that allows leverage of 500:1 or even 1000:1. These regulators are typically found on islands in the Caribbean, the South Pacific and the Indian Ocean.
Examples include:
While these regulators don’t have the same high standard found in countries like Australia, the USA, Canada, Europe, and the UK, they do at least provide some sort of regulation and therefore an element of protection. This is better than a broker that is not regulated. All this said you should always try to start a fx broker comparison with a regulator in your own country.
Most brokers will use an offshore regulator so they can accept clients from emerging markets such as the Philippines, Malaysia, and much of Africa. Pepperstone, for example, utilises the financial regulator of the Bahamas so they can accept clients outside Australia, The UK, Europe, Kenya, and the UAE. IC Markets uses the regulator in Seychelles for all clients outside Australia and the EU. Exness uses 5 offshore regulators which is quite unique.
