Best Forex Broker South Africa – Top Forex Brokers in South Africa Reviewed

Ana Frincu

Last Updated: 28, September 2022

Please note that we are not authorised to provide any investment advice. The content on this page is for information purposes only.

The forex market is the largest financial market in the world. In fact, trillions are exchanged daily, allowing for volatility that cannot be matched by other financial markets. More and more investors in South Africa now turn their attention to trading currency pairs to dip their toes into this infinite pool of capital.

From beginners to professional traders, choosing the right broker and tools to achieve specific objectives can be extremely difficult. Although there are endless options in the market today, we have done our best to select only the top five forex brokers in South Africa and to introduce you to their benefits, disadvantages, and features, so you can pick the right one for your needs.

#1 Forex Broker South Africa – AvaTrade

1

Min Deposit£100

Mobile AppYes

• All-day access to crypto trading
• Over 1200 markets to choose from
• Perfect for any account type with a list of diverse options

Visit WebsiteOur score 10

More InfoClose More Info

Don't invest unless you're prepared to lose all the money you invest. Crypto asset investing is unregulated in most EU countries and the UK. No consumer protection. Your capital is at risk. CFD crypto trading is unavailable for clients residing in the UK and US.

Offer Terms

CySEC Regulatedno

IFSC Regulatedno

FCA Regulatedno

2

Min Deposit$0

Mobile AppYes

Visit WebsiteOur score 8

More InfoClose More Info

Don't invest unless you're prepared to lose all the money you invest. Crypto asset investing is unregulated in most EU countries and the UK. No consumer protection. Your capital is at risk. CFD crypto trading is unavailable for clients residing in the UK and US.

Offer Terms

CySEC Regulatedno

IFSC Regulatedno

FCA Regulatedno

Best Forex Broker South Africa – Our Top 5 Best South Africa Forex Trading Platforms

Without any further introduction, here are our top five forex trading platforms in South Africa. They were selected based on availability in South Africa, cost structure, and user-friendliness.

• AvaTrade – Best Overall Forex Broker South Africa 
• FXTM – Best Trading Platform South Africa for Beginners
• Khwezi Trade – Best Forex Broker South Africa for ZAR Accounts (Rand Trading)
• HotForex– Best Forex Broker South Africa for Zero-Spread Trading
• TickMill – Best Forex Broker South Africa for Low-Cost Trading

71% of retail investor accounts lose money when trading CFDs with this provider.

Best Forex Brokers South Africa – In-Depth Reviews

Next, let’s have a closer look at each of the five brokers. They are suitable for different trading styles and objectives, and the next sections will help you better understand their offering, so you can choose the right one for your forex trading strategy.

1. AvaTrade – Best Overall Forex Broker South Africa

AvaTrade is an all-in-one competitive broker that has received many accolades over the years. It provides a combination of robust security measures, low trading fees, and a broad choice of trading platforms. Whether you want to trade from your laptop or mobile phone, AvaTrade can fulfill any trader’s needs and preferences.

AvaTrade’s fees are extremely low, starting at only 0.9 pips for major currency pairs. There are no trading commissions, while withdrawals and deposits are free of charge. The range of trading platforms recommends it for traders of all skill levels.

The broker provides access to more than 50 forex pairs, including USD/ZAR. Apart from forex, you can also trade currency options via the AvaOptions platform, and CFDs on a wide range of assets, including stocks, indices, ETFs, and others.

If you choose AvaTrade, you enjoy maximum peace of mind as the broker is registered with the South African Financial Sector Conduct Authority. Apart from this, the broker is regulated in several other jurisdictions, including Australia, the United Kingdom, Japan, and the European Union.

This also means that you benefit from the most robust security measures in the industry. For instance, South African users benefit from negative balance protection. This means you cannot lose more money than you have in your trading account. Also, its website is secured by 256-bit SSL encryption, and there is also technology (known as HackerSafe) to avoid credit card fraud and even identity theft.

AvaTrade Fees

Pros

Cons

71% of retail investor accounts lose money when trading CFDs with this provider.

2. FXTM – Best Trading Platform South Africa for Beginners

For beginners, FXTM comes with a compelling offer because of the impressive educational section. Also, if you don’t have much trading experience, you could easily sign up and use the demo account, which allows you to test all of your strategies without risking any real cash.

Even better, the micro account requires you to deposit only $10 to get started. The spreads, however, tend to compensate for this affordability as they start from 1.5 pips. Yet, if you opt for this, you can trade forex and metals with zero commission. There are also a few notable limitations: you can trade up to 300 orders and you have a maximum amount of pending orders of 100. However, for a beginner, these limits may not seem as deal-breaking, especially if you want to start with lower amounts and lower risk as you build your strategy.

The most popular account type is known as “Advantage”. This requires you to deposit at least $500, but your spreads start at 0 pips. You can trade forex, commodities, metals, or indices, and there is a commission of $0.40 to $2, depending on the volume you trade.

FXTM’s only trading platform supported is MetaTrader. This could be a bit complex for beginners, but you can access many educational resources to help you get started in no time.

FXTM Fees

Pros

Cons

71% of retail investor accounts lose money when trading CFDs with this provider.

3. Khwezi Trade – Best Forex Broker South Africa for ZAR Accounts (Rand Trading)

Khwezi Trade is owned by Khwezi Financial Services, a broker founded in Cape Town and regulated since its foundation in 2013. Similar to our other picks, Khwezi Trade boasts rigid security measures, including segregated clients’ funds kept in an account with the Standard Bank of South Africa. This means that, in case of bankruptcy, your funds will remain protected since the business does not use your deposited capital to fuel its operations.

Khwezi Trade provides different spreads, based on how much you trade – both regarding your account size (how much you deposit) and the volume of your trades. The standard leverage allowed is 1:100, while the maximum allowed is 1:200. However, keep in mind that leverage can be extremely dangerous unless you practice good risk management.

The broker has a no-commission structure, so you only need to cover the spread when trading. Unless other global brokers that use other base currencies, Khwezi allows you to open a Rand-funded account and trade many currency pairs. Similar to other forex brokers, it provides access to the MetaTrader 4 trading platform, which is the industry standard.

Khwezi Trade Fees

Pros

Cons

71% of retail investor accounts lose money when trading CFDs with this provider.

4. HotForex – Best Forex Broker South Africa for Zero-Spread Trading

A low-cost broker, HotFrex is regulated in South Africa. Although it was founded in 2010, the broker obtained its license only in 2016.

HotForex comes with a compelling structure. If you decide to sign up with it, you can choose from different options:

• The Premium account comes with a $100 minimum deposit, variable leverage, and spreads starting from 1 pip;
• The Zero Spread account has a minimum deposit of $200, variable leverage, and spreads start at 0 pips on forex;
• HFCopy allows you to copy a strategy provider (minimum deposit of EUR300), variable leverage, spreads starting at 1 pip;
• Premium Pro is suitable for experienced retail clients (and professionals) with spreads starting at 1 pip, 1:100 maximum leverage for experienced retail clients, and a minimum deposit of $500.

HotForex Fees

Pros

Cons

71% of retail investor accounts lose money when trading CFDs with this provider.

5. Tickmill – Best Forex Broker South Africa for Low-Cost Trading

Tickmill is perhaps the best choice if you want a simple trading interface. It is compatible with MT4, but it doesn’t offer any other trading platform. It is mostly a forex broker, so it may not be the top choice if you also want to trade other assets. That being said, the broker has one of the most budget-friendly structures on the market, with many spreads below 0.5, as illustrated in the table below.

In terms of safety, Tickmill is a robust choice. It is regulated by the CySEC in Cyprus, FSCA, and the FCA in the United Kingdom. Although it doesn’t charge any fees when you deposit or withdraw your money, you may have to cover a small $2 commission per trade, depending on your chosen account type.

However, Tickmill doesn’t have ZAR as a base currency, so you need to cover the conversion fee when you withdraw or deposit money. With more than 60 currency pairs available, Tickmill is a great option for any forex trader who wants to keep their costs as low as possible.

Tickmill Fees

Pros

Cons

71% of retail investor accounts lose money when trading CFDs with this provider.

How to Find the Best Forex Trading Platform South Africa

These are the top forex brokers in South Africa right now. Before you sign up with a broker of your choice, you need to make sure you consider the following aspects. These are important criteria you need to verify to ensure that you enjoy a safe trading experience.

Regulation and Security

Safety always comes first. To ensure that you won’t be the victim of fraud or scams, your chosen broker should be regulated by trusted authorities. In South Africa, the FSCA should regulate your chosen broker. Additional licenses in other jurisdictions are great since you know that the broker is subject to further scrutiny.

Any good broker must be registered with regulatory bodies. You can find out what licenses your broker has by visiting its website. In general, you will find this information either in the “About Us” section or at the bottom of the home page.

Alternatively, you can check on the FSCA’s website by typing in the name of your broker. Here, apart from showing that your broker is “authorized”, you need to check if they are allowed to offer derivative instruments.

Payment Methods

If you reside in South Africa, you surely want to make sure that you can deposit and withdraw money with ease using local payment methods. Also, a good broker must make this process quick and easy for you, with transparent processing times, and informing you if any local bank transfers are available. Other traders may prefer e-wallets like Neteller or PayPal, and these payment methods are often instant.

Variety of Forex Pairs

Undoubtedly, the variety of currency pairs is crucial when trading forex. Many brokers now have a broad range of assets, such as AvaTrade, which is great if you decide, at any point, to diversify your portfolio. This will help you lower the risk or offset the losses in your currency pairs by trading other assets like stocks.

Most brokers will offer different CFDs on assets. When checking if the offering satisfies you, keep an eye on the fees associated with these CFDs, too, such as spread and/or commissions, depending on the chosen broker.

Fees

Next, you need to thoroughly check what fees will apply to your chosen account type. In general, brokers earn money through one of the two main methods: spreads or commissions. In some cases, brokers may charge you both, which will quickly translate into lots of fees that eat into your profit.

For forex brokers, the spread is the most common type of fee you will be charged. It is the difference between the sell and buy price you see on the platform. Some brokers like AvaTrade charge fixed spreads, while others have fluctuating spreads – these fees are higher when there is more trading activity (volatility) and lower when volatility is low. Opting for a fixed spread broker like AvaTrade means that you always know what you will be charged.

If the spreads are very low or even zero, the broker will charge you a commission instead. This is a fixed or variable fee that can be charged when opening a transaction, closing it, or both. AvaTrade does not charge you any commission, but many others will mention the commission per side (i.e., open or close).

Some other fees you should keep an eye on include:

• Fees for deposits or withdrawals (or both);
• Overnight financing fee (when positions are open during the night), depending on what asset you trade;
• Inactivity fees (unless you plan to trade frequently);
• Other fees, depending on your chosen broker.

Leverage

Finally, you will most likely want to use leverage. Many forex brokers have quite high leverage ratios – even up to 1:200. However, keep in mind that using leverage greatly enhances the value of your transaction, which means that you can stand to gain massively or support great losses. Always make use of your broker’s risk management tools, such as stop-loss orders and others as applicable.

How to Get Started With the Best Forex Trading Platform South Africa

Now that you know how to choose the best forex trading platform for your needs, we will quickly introduce you to the process of opening a live trading account. We will use our top choice, AvaTrade, to illustrate each step, but most brokers will have a similar registration process.

Step 1: Open an Account

First, you need to access the main page and click on “Register Now”. Then, opt for a “live account” (or a demo account, if you want to trade with virtual money first). Then, add in your personal details, and choose whether you want a joint account (with your spouse, for instance) or an individual account.

71% of retail investor accounts lose money when trading CFDs with this provider.

Step 2: Verify Your Account

As AvaTrade is a regulated broker, you need to verify your account. To do so, you’ll have to upload a valid government-issued ID and proof of address, such as a utility bill where it shows your home address, and the issue date (no older than half a year).

Step 3: Deposit Funds to Your AvaTrade Account

Next, you will have to add some personal details and complete your account registration. Once your account is live, click on the “Deposit” section, then choose your favorite payment method.

Step 4: Search for Forex Pairs

Now, while depositing money is the same regardless of which trading platform you choose, searching for assets depends on what software you selected. Head over to the chosen trading platform (MT4, DupliTrade, AvaTrade’s proprietary platform, and others), and look for the search bar. Each platform may have different tools you can use to find forex pairs according to your strategy.

Step 5: Buy Forex

The final step is to place a trading order. Fortunately, the forex market is open 24/5, so you can place orders at any time during the business days. When you find forex pairs that follow your strategy, simply create a new order and customize your trade by entering the amount, leverage, and type of order (if applicable).

Best Forex Trading Platform South Africa – Conclusion

All in all, there are many forex brokers in South Africa. This article introduced you to the best options on the market right now and equipped you with everything you need to know to select the best one for your specific needs, preferences, and experience level. For more information about trading in South Africa, you can check our other pages, including the best trading apps in South Africa if you prefer trading on the go or the best trading platforms in South Africa if you want to make a thorough comparison.

AvaTrade – Best Forex Broker in South Africa

1

Min Deposit£100

Mobile AppYes

• All-day access to crypto trading
• Over 1200 markets to choose from
• Perfect for any account type with a list of diverse options

Visit WebsiteOur score 10

More InfoClose More Info

Don't invest unless you're prepared to lose all the money you invest. Crypto asset investing is unregulated in most EU countries and the UK. No consumer protection. Your capital is at risk. CFD crypto trading is unavailable for clients residing in the UK and US.

Offer Terms

CySEC Regulatedno

IFSC Regulatedno

FCA Regulatedno

2

Min Deposit$0

Mobile AppYes

Visit WebsiteOur score 8

More InfoClose More Info

Don't invest unless you're prepared to lose all the money you invest. Crypto asset investing is unregulated in most EU countries and the UK. No consumer protection. Your capital is at risk. CFD crypto trading is unavailable for clients residing in the UK and US.

Offer Terms

CySEC Regulatedno

IFSC Regulatedno

FCA Regulatedno

FAQs

Which is the best broker in South Africa?

If you want the best broker in South Africa, the short answer is AvaTrade. It has a complex offering, and you can choose from copy trading (via DupliTrade, for instance), the industry-standard MT4, or the excellent proprietary trading platform. With low fees and endless choices, AvaTrade surely stands out from the crowd.

How should beginners choose a forex broker in South Africa?

There are many things to be considered when making such an important decision. Here are the top priorities: make sure the broker is regulated, it has a demo account (so you can get more experience), it has great educational resources, and costs should be kept as low as possible.

How do forex brokers make money?

There are two types of brokers in the market. The first type charges you a spread, as discussed above, and is usually known as a market maker. The second type of broker charges you a commission per trade, earning every time you open or close your positions.

Should you opt for a ZAR trading account?

If you open a trading account in ZAR as the base currency, you will save on the conversion fee when depositing or withdrawing money. However, this option is not very popular, so most global brokers provide accounts in USD, GBP, and a few other currencies. Yet, simply choosing your broker based on this sole criterion is not very profitable, because the other costs your local broker charges may be much higher than the conversion fee charged by a global broker like AvaTrade.

What is a pip?

The pip is a frequent term in the forex market. It means the smallest amount of a currency unit that can change in its price. A pip represents 0.0001 of a currency. For instance, if you trade a USD pair with a spread of 1 pip, it means you need to pay $0.0001 for the transaction.

About Ana Frincu PRO INVESTOR

Ana Frincu is a freelance content writer specialised in finance and economics. She has a BA in International Business Management and a MA in International Taxation and Finance. With a keen interest in fintech and personal experience as an investor, she covers a broad range of topics, including trading, alternative data, cryptocurrency, and macroeconomics.

View all posts by Ana Frincu