Top 5 Prime Brokers — Pros & Limitations 

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Looking for the best prime brokers with high levels of trust? Many brokers claim to be the best, but on closer examination, you discover gaps in the quality of their services. 

Below are some of the most well-regulated and customer-centric platforms that are great for beginners and seasoned experts too! 

Top Prime Brokers

Forex Prime Brokers for 2021

1. FBS Broker 

Over 16 million Traders have used FBS Broker for a shot at the financial markets. The company claims to issue over $500 million in profits to customers annually. FBS Broker further states that about half of their traders multiply their deposits up to 8 to 10 times. 

We cannot confirm this claim’s validity. But if it were true, it’s an above-average success rate. Asian customers love the platform, and in fact, it won the Best Broker Asia 2020 —Capital Finance International Awards. 

Trading accountsCent, Micro, Standard, Zero-spread, ECN, 
Lowest deposit$1 Cent, $5 Micro, $100 Standard, $500 Zero-spread, $1000 ECN 
PlatformsMetaTrader apps for iOS, Android, Windows, macOS, & Web 
Social trading Through the FBS CopyTrade app 
Automated trading/Robots Available
Leverage1:3000 Maximum leverage on Standard & Micro Accounts
RegulatorsCYSEC (Cyprus), IFSC
General score10/10 

Top reasons to choose FBS Broker 

  • Lowest trading costs
  • Up to five different retail trading accounts — each with unique features & costs
  • High leverage of 1:3000

Limitations of FBS Broker

  • High minimum deposit restrictions on top-tier accounts

2. eToro 

As a reliable market leader, eToro has operated since 2007.  It’s a top-rated platform suited for beginners. Most like it because it offers the best social trading programs.  

Trading accountsStandard & Professional Accounts, No ECN accounts
Lowest deposit$200 first-time, $50 on-going
PlatformsProprietary trading tools
Social trading Copy-trading & Copy Portfolios
Trading Robots/Expert Advisors Not Available
LeverageMaximum leverage 1:30 for major pairs as per ESMA restrictions. 
RegulatorsCySEC (Cyprus), FCA (UK)
General score9/10 

eToro Strengths

  • Advanced social trading features
  • Easy-to-use platform with over 2,000 markets
  • Accepts US clients on limited markets

Limitations of eToro 

  • Higher trading fees than most
  • Does not provide MetaTrader 4 or 5
  • High initial deposit with few account options 

3. XM Broker

Started in 2009, XM Broker meets all the checks of the top prime brokers.  About four different organizations oversee the broker’s activities. Traders also enjoy strong protections for their funds, including the use of segregated accounts with reputable companies. 

XM has received many awards for offering outstanding services. In 2020 alone, the platform took home two awards for the best customer service and the Best FX Service Provider, City of Wealth Management Awards. 

Many prime brokers on this list offer CFD trading alone. XM offers real stock investing, but the initial deposit is quite high at $10,000. 

Trading accountsShares, Micro, Standard, XM Ultra-Low Account (Combines Standard & Micro lot sizes)
Minimum deposits$5 Standard, $50 Ultra Low, & $10,000 Shares 
PlatformsMetaTrader 4 & 5, XM web trader
Trading Robots/Expert AdvisorsAllowed
Social trading Through Mirror Trader
LeverageMax of 1:888 
RegulatorsASIC (Australia) CySEC (Cyprus), IFSC, DFSA
General score8.5/10

XM Broker Strengths

  • Supports many base account currency options (including JPY, AUD, ZAR, RUB, PLN, HUF)
  • Permits hedging & suitable for forex scalping
  • Over 100 shares for investment
  • Renowned education articles & trading tools

Limitations of XM Broker

  • About 78.04% of retail investor accounts lose money, a significantly higher proportion.
  • Limited account types. However, traders can customize the lot sizes. 

4. AvaTrade

AvaTrade offers an intuitive platform with a well-laid out website that’s a breeze to use.  With six different regulators, it may feel like it’s more regulated than other forex prime brokers on this list.

AvaTrade Website

AvaTrade Website showing AvaTradeGo

AvaTrade invested heavily in its proprietary technologies and tools. The AvaTradeGo app is user-friendly and fully-featured.

Risk management is on another level. Traders may purchase the AvaRisk Coverage. When it’s in effect, the trader essentially gets their money back on any losses. It’s a tool that’s hard to come by even on other renowned platforms. There are plenty of account extras, including free use of Trading Central, a renowned provider of technical signals since 1999. 

Trading accountsStandard & Professional
Lowest deposit$100 *varies on the base account currency 
PlatformsAvaTrade Go, WebTrader, MetaTrader 4 &5
Trading Robots/Expert AdvisorsAllowed
Social trading Via the AvaSocial app
LeverageMax 1:400 on Forex Pairs
RegulatorsASIC, Financial Services Agency, Financial futures Association of Japan, Central Bank of Ireland, BVI financial services commission, FSCA, ADGM, FRSA
General score8.5/10

AvaTrade Strengths

  • AvaProtect — a revolutionary risk-management tool
  • Multiple trading technologies 
  • Helpful and highly responsive support team 
  • Strongly regulated

Limitations of AvaTrade

  • Lots of restrictions to qualify for the professional trading account
  • High inactivity fee of $100 following 12 consecutive months of no-use
  • Limited account types (no ECN accounts)

5. website

 Since 2001, has connected retail traders to global markets. The broker prioritizes fast and quality execution with an actual scorecard that traders can review. 

It’s part of the StoneX Group Inc, a publicly-traded company listed on NASDAQ, meaning that it adheres to stringent financial practices. 

There’s a lot to love about, including the advanced proprietary trading tools. Traders will not experience a shortage of essential features found in MetaTrader. 

Trading accountsStandard, Commission, & Direct Market Access 
Lowest deposit$100 
PlatformsMetatrader 4 & 5, Proprietary web, mobile, and desktop platform
Trading Robots/Expert AdvisorsVia MetaTrader — with Free EAs from FX Blue
Social trading Not directly supported 
LeverageUp to 1:50 on FX major pairs
RegulatorsCayman Islands Monetary Authority 
General score8/10 Strengths

  • Over 4,000 trading markets featuring thousands of stocks
  • Monthly rebates and benefits for active traders, including pro guidance from personal market strategists
  • High standards of security and stability
  • Timely trade news and comprehensive research 

Limitations of

  • The risk-free demo account is restricted to 30 days
  • Lacks negative balance protection — Losses may be greater than the account balance in periods of extreme volatility

For more trusted brokers, check out the broker’s tab. Read the full reviews covering all aspects of the platforms in-depth. 

This post is also available in: Indonesia Português


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