Best Forex Brokers In South Africa 2020

South African traders looking to trade CFDs should choose a South African Forex Broker regulated by the Financial Services Conduct Authority (FSCA) with an advanced forex trading platform such as MetaTrader 4, a range of forex markets and currency pairs.

View the best forex brokers in South Africa below.

By Justin Grossbard / Updated: Tuesday, February 18th, 2020

South Africa Forex Brokers

Best Forex Brokers In South Africa 2020

Top 8 Forex Brokers For South African FX Traders

The best South African Forex brokers in 2020 that are FSCA regulated or have their application pending are:

  1. Pepperstone – Best MetaTrader 4 Broker
  2. FXTM (ForexTime) – Best MetaTrader 5 Broker
  3. FXPro – Best cTrader Forex Broker
  4. HotForex – Best South African Rand (ZAR Account)
  5. eToro – Best South Africa Broker for Social Trading
  6. Plus500 – Best For South African Beginner Traders
  7. FXCM – Best No Commission Forex Broker Account
  8. AvaTrade – Best Fixed Spread CFD Broker

The FSCA (Financial Services Conduct Authority of South Africa) replaced the FSB (Financial Services Board). An FSCA regulated forex broker must meet capital requirements, have a local office in South Africa, meet professional indemnity insurance requirements and have a local director.

Broker Reviewed

Pepperstone
FxPro
FXTM
IG
Plus500
Our Rating
9.17
7.46
6
6.67
5.83
Further Active Trader Discounts
Trading from single account
High leverage
Widest choice of markets for trade
Range of risk management tools

Regulations and Licenses

Feature
Pepperstone
FxPro
FXTM
IG
Plus500
ASIC (Australia)
FCA (UK)
FSCA (South Africa)
Pending

Brokerage

Feature
Pepperstone
FxPro
FXTM
IG
Plus500
No Commission Account Spreads From (EUR/USD):
1.0
1.4
1.3 (Standard)
0.6
0.6
Commission Account Spreads From (EUR/USD):
0.0
0.37
0.1 (ECN)
Commission (per 100k traded side trip)
AUD/USD$3.50
USD$0.45 (cTrader)
USD$2.00
Minimum Deposit
AUD/USD $200
$500 Recommended
USD$500
$0
$0
Volume Commission Rebates
Has Islamic Account
No Inactivity Fees
Funding Methods
16
4
13
4
3
No Deposit/Withdrawal Fees

Markets and Instruments

Feature
Pepperstone
FxPro
FXTM
IG
Plus500
Forex Currency Pairs CFDs
66+
70+
59+
80+
60+
Cryptocurrency CFDs
4+
4+
5+
10+
Index CFDs
2+
24+
11+
34+
67+
Share CFDs
5+
150+
180+
12000+
1816+
Commodities CFD
4+
10+
3+
38+
17+
Stockbroking
10+
Retail Maximum Leverage
500:1
30:1
1000:1
200:1
30:1
Professional Maximum Leverage
500:1
500:1
500:1
200:1
300:1

Trading Platforms + Tools

Feature
Pepperstone
FxPro
FXTM
IG
Plus500
MetaTrader 4 (MT4)
MetaTrader 5 (MT5)
cTrader
Proprietary Platform
Automatic / Robot Trading
Social + Copy Trading
Investment account only
MetaTrader 4 onliy
Standard Stop Loss
Guaranteed Stop Loss Order
Guaranteed Negative Balance Protection
ESMA regulated territories only
ESMA regulated territories only
ESMA regulated territories only
ESMA regulated territories only
Demo Account
Unique Feature 1
Smart Trader Tools
1,300,000 client accounts
Floating leverage
Guaranteed stop loss orders
Trade cannabis index and share CFDs
Unique Feature 2
Fast Execution Speed
Avg execution time <11.06 ms
Range of account types
Range of platforms
Guaranteed stop loss trading option

Overall

Pepperstone Is The Best Forex Broker In South Africa

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Pepperstone is one of the fastest-growing CFD providers regulated by the Financial Conduct Authority and ASIC. In South Africa the broker in the process of an FSP application with the Financial Sector Conduct Authority (FSCA).

There are five key reasons why Pepperstone is the best option for South African forex trading.

1) The Choice Of The Three Best Forex Trading Platforms

Pepperstone offers the choice of the best forex trading forex platforms globally:

  • MetaTrader 4 – The most popular forex platform allowing manual or automated forex trading
  • MetaTrader 5 – A multi-asset platform designed for those looking to trade more than forex online
  • cTrader – Advanced platform offering details charts, algorithmic trading and market depth

Pepperstone Forex Trading Platform Options

2) The Lowest Spreads And Commissions

Pepperstone offers two main account types, standard and razor. The Razor online trading account is the most popular offering spreads similar to a true ECN broker with EUR/USD spreads from 0.0 pips. Some Pepperstone average spreads for major currency pairs include 0.13 for the EURO/US Dollar, 0.14 for the Australian Dollar / US Dollar, 0.22 for the Euro/Japanese Yen, 0.41 for the Euro/British Pound, 0.44 for the Pound/US Dollar. The razor account also charges a commission of $3.50 AUD per lot when the Australian Dollar online trading account currency is chosen.

There are also further commission discounts (rebates) available for active traders with three tires:

  • Tier 1 = 100 lots = 10% rebate
  • Tier 2 = 200-500 lots = 15% rebate
  • Tier 3 = 500+ lots = Negotiable

3) Range Of Currency Pairs And CFDs

Pepperstone offer over 60 currency pairs from the majors such as EUR/USD to minors including ZAR/USD. Up to 500:1 leverage is offered on the forex market and the Pepperstone EDGE environment ensures fast execution speeds. In addition to currency pairs, there is the ability of trading CFDs including:

  • IG markets vs IC Markets bitcoinCryptocurrencies (Bitcoin, Litecoin, Bitcoin Cash, Dash and Ethereum) with up to 5:1 leverage and no commissions
  • Share CFDs (Over 60 high-quality stocks) with 20:1 maximum leverage and commissions from USD $0.02 per share
  • Index CFDs (Across 14 major  markets) with 200:1 maximum leverage and spreads from 0.4 pips
  • Commodities (Metals, Soft Commodities, Energy) with 500:1 maximum leverage and spreads from 10 cents per pip

4) Low Minimum Deposit Of $200

Pepperstone has one of the lowest minimum deposit requirements of AUD $200. The fx broker also offers fee-free funding methods from Debit Card, Credit Card, Direct Transfer, Paypal to Skrill.

5) Awards Winning Customer Support

Over the past decades, Pepperstone has won multiple awards for its customer service. This includes the Investment Trends customer support award, Professional Traders client relationship manager service award and the Global Forex best forex trading support award. The CFD provider offers South African traders with a 24/5 call centre, live chat and e-mail customer support. Active traders also receive a dedicated account manager to tailor the support given for their needs. Read more…

Pepperstone Customer Service Awards

Summary Of Why Pepperstone Is The Best South African Forex Broker

Pepperstone’s low brokerage (spreads/fees), choice of forex trading platform and support are the three pillars making them the best broker. With a strong reputation worldwide and their FSP application pending, they are the ideal choice for South African forex traders.

Compare MT4 Brokers >>Visit Pepperstone >>


Our Rating

The overall rating is based on review by our experts

9.17
Spreads
10 / 10
Leverage
10 / 10
Trading Platform
10 / 10
Risk Management
7 / 10
Range of Markets
8 / 10
Customer Service
10 / 10

South Africa Brokers FAQs

Pepperstone is the best forex broker for South African traders based on five key factors:

  1. It’s regulated with the FCA, ASIC and is in the process of a South African FSP licence
  2. It has the lowest commissions and spreads from 0.0 pips for the EUR/USD
  3. Traders can choose from the most popular forex platforms, MT4, MT5 or cTrader
  4. It has award-winning customer support from live chat to the call centre
  5. There are a plethora of fee-free funding methods with a $200 minimum deposit requirement

For more details, you can view the Pepperstone review.

To find the best fx broker for your needs you should be looking for a regulated fx broker that has low brokerage (spreads/commissions), a solid forex trading platform, strong customer service and easy deposit/withdrawal methods.

View our best forex broker section to see a list of the leading CFD providers.

Beginner forex traders should be looking for a CFD broker that an easy to use forex trading platform, strong customer support and risk management features such as negative balance protection and guaranteed stop-loss orders.

Our recommendation is Plus500 which has the components a beginner trader needs.

 

The lowest spreads are available from providers that have ECN broker accounts. Our review of Pepperstone found they had the lowest spreads with some January 2020 example:

  • EUR/USD average spread of 0.13
  • AUD/USD average spread of 0.14
  • EURJPY average spread of 0.22
  • GBP/USD average spread of 0.44
  • EUR/AUD average spread of 0.54

Brokers Regulated By FSB - South Africa Forex Brokers

SA Forex BrokerRegulationMin.DepositTrading PlatformLeverage
PepperstoneFSB Pending, ASIC, FCA$200MT4, MT5, cTrader500:1
AxiTraderFSB, ASIC$200MT4500:1
FXTM (Forex Time)FCA, CySec, IFSC$5MT4, MT5, Web1000:1
AvaTradeFSB, ASIC$100MT4, AvaTrader400:1
IGASIC, FCA, MAS$450MT4, L2200:1
Khwezi
FSBR5,000MT4200:1
FXCMASIC, FCA$50MT4, NinjaTrader400:1
Markets.com
FSB, CySEC$100Sirix Web,
Mobile
300:1
IronFXCySEC$100MT4, MT5500:1
Saxo BankFCA, FSA, ASIC$10000SaxoTrader100:1
ACM GoldFSBR5000MT4500:1
BlackStone FuturesFSBR5000MT4, CloudTrade100:1
JP MarketsFSBR3500MT4500:1
HarborxCySEC$50Harborx Platform100:1
ALFA FinancialsFSB$1000Alfa Trader100:1
FxProFSB, FCA, CySEC$100MT4, MT5, FxPro, cTrader500:1
XTradeCySEC$100Xtrader Pro400:1
Velocity TradeFSB$200Protrader75:1
Plus500FSB, FCA, CySEC, ASIC, FMA, FSCA€100Plus500 Platform
Plus500 CFD Platform
300:1

Customer Service

  1. Pepperstone – 5 Stars
  2. IC Markets – 4 Stars
  3. IG – 4 Stars
  4. Plus500 – 2.5 Stars
  5. AvaTrade – 1.5 Stars

Each year Investment Trends surveys retail foreign exchange traders to find out which forex broker they rate the best in specific categories. Customer service is one of these categories and Pepperstone has won this several times as well as the best spreads, execution speeds and forex trading platform. While this doesn’t apply specifically for South African forex trading, traders in SA will experience the same level of customer service as it’s global as is their liquidity offering.

Pepperstone Customer Service Awards

Customer Service is offered 24 hours a day, 5 days a week ensuring customer support is available when currency markets are open. Local SA support may be available once the regulator licence is approved for Pepperstone.

The customer service category is one Pepperstone has regularly won and with a 24 hour customer service offering, SA traders will experience this unique strength of the broker.

When a SA forex trader opens account they will have an account manager who will be in touch. High volume forex traders will also be given a dedicated account manager help trade forex through either the MT4, MT5 or cTrader fx platform.

Open a demo account >>Visit Pepperstone >>

Best Forex Platform

  1. IG Markets – 5 Stars
  2. Pepperstone – 5 Stars
  3. CMC Markets – 4 Stars
  4. Plus500 – 3.0 Stars

IG offers a plethora of Forex platforms for South African Forex trading including their own platform, MT4, and advanced Forex platforms including L2 dealer. The latter Forex platform allows for direct market access allowing IG Forex traders to access directly liquidity pools worldwide.

IG has it’s own platform which has the lowest spreads and unique features only available through that fx broker. If you prefer the other platform options such as MT4 the spreads may be higher and features unique to IG may not be available.

Generally, most South African traders will choose to trade with IG’s forex platform. The other platforms such as MT4 may have a better offering from other forex brokers in South Africa such as Pepperstone or IC markets.

IG South Africa Forex Trading Platform Offering

It’s important to consider that if you use the IG forex online trading platform it will be difficult to switch fx brokers in future as you will need to learn a new platform. This is why many brokers prefer to choose MT4 or cTrader brokers making it easier to switch between South Africa fx brokers in future.

Lowest Forex Trading Costs

  1. Pepperstone – 5 Stars
  2. IG Markets – 3.5 Stars
  3. CMC Markets – 3.0 Stars
  4. Plus500 – 2.5 Stars

IC Markets is an ECN pricing forex broker which means through their ‘RAW Account’ forex traders can have spreads from 0.0 pips. Below shows how USD spreads against major currencies as low but a commission is also charged on each pairing. This works based on volume but combined with low spreads still leads to a lower brokerage. The RAW account with ECN pricing avoids interference when online trading. This can improve execution speeds reducing slippage in volatile markets. Many automated trading programs can improve success when using an ECN pricing forex broker account.

IC Market Forex Spreads
There are other fees that can apply when online trading such as overnight holding fees. Deposit methods and withdrawals are mostly fee frees but institutions may charge additional fees which should be considered.

The RAW account is the most popular IC Markets trading account based on lower brokerage and faster execution speeds.

It’s important to always measure brokerage and other fees to understand potential profit and losses when trading. A demo account is an excellent way to do this and simulate past and present trading conditions.

Open a demo account >>Visit IC Markets>>

Finding The Right Forex Broker In South Africa

South African forex trading success is partially dictated by the fx broker chosen and five criteria should be considered:

1) Spread and Commission Fees are the forms of brokerage that apply to a forex broker in South Africa. Some brokers will only have a spread while others may have narrower spreads but also charge a commission. Some other fees may apply to advanced features such as guaranteed spreads, an overnight holding of a position or licencing fees. Fees can also be reduced by choosing a South African Rand ZAR account.

2) Forex Platforms are the way online brokers allow South African forex traders to trade with currency markets. These have different interfaces, features and integrations.  On the South African forex broker table above you can view how MetaTrader (MT4) is offered by most brokers giving the flexibility to change brokers if you choose this fx platform. Other platforms, on the other hand, may have unique features not available on MT4 such as share trading on MT5 and C# programming on cTrader. Another popular platform is NinjaTrader offered by FXCM and Forex.com.

3) Leverage is critical when currency trading in SA. As currency market movement is modest compared to other markets, leverage makes these more substantial to make real profits or losses. A trader needs to afford to take the high risk of losing money rapidly due to leverage. Therefore, leverage needs to be aligned to a South African forex traders risk profile and trading strategy. Remember, losing your money is a real possibility on currency markets so it’s critical to understand the risks of forex trading.

4) Risk Management features take into account how trading CFDs are complex instruments. They help control risk such as determining when a trader exits a trade (eg a guaranteed stop) or to prevent a trader from not only losing your money but also from going negative through negative balance protection. Even with risk management, you can lose money when trading so the amount put into a deposit is critical. You can check with each fx broker what percentage of retail investors lose their money on retail investor accounts.

5) Regulatory Bodies: The South African local regulatory body is the FSCA, this is also referred to as the FSB (Financial Service Board). This regulator reviews the financial services industry excluding the banks. This regulator works towards protecting South African investors including forex traders and has powers to enforce their policies. They also work with the Ombudsman to investigate customer concerns in regards to forex trading brokers. View more our on FSB regulated page. Global financial institutions such as eToro, IC Markets and AxiTrader were not considered as part of this comparison as they were not FSCA certified but can be compared on this SA trader page.

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