5 Best Forex Brokers in The Philippines 2021 – DailyForex.com

Forex trading in the Philippines is growing in popularity on a yearly basis. Below is a list of the best Forex brokers in the Philippines, chosen by our analysts, explaining what each broker has to offer to help you find the right broker.

Best all around broker

High floating leverage + fast execution

Best ECN execution on the MT4 platform

Excellent implementation of cTrader and Smart Trader Tools

Perfect choice for automated trading

Maximum leverage of 1:500

High level regulation in multiple jurisdictions

Impressive range of tradeable assets including vanilla options and gold options

Leverage up to 1:500 available

Proprietary platform offers a nice alternative to out-of-the box solutions

FXTM

5.0/5 in this category

In Summary

Best all-around: high floating leverage + fast execution

We have made FXTM our top-rated broker because in addition to its lengthy track record, it enjoys a very high level of regulation and reputation, and it offers a highly competitive fee structure which tends to keep down the cost of trading.

Unique Features

Headquarters

Regulation

CySEC, FCA, FSC, CMA

Year Founded

Type of Broker

Instant/Market Execution

Minimum Deposit

Maximum Leverage

Type of Platform

MetaTrader 4, MetaTrader 5

FXTM, or “ForexTime”, has been around for a long time: they were founded in 2011. Recent years have seen them continue to steadily expand their business, and they are well- regulated by the U.K., Cyprus, Mauritius, and South Africa. The brand is owned by private companies incorporated in the U.K., Cyprus, and Mauritius. Customers of FXTM have access to more than 57 Forex currency pairs and crosses, precious metals, the major energies, equity indices, big cryptocurrencies, and a few individual American stocks. Talking of stocks, FXTM are quite unique in the area of trading stocks, as they enable direct trading through real legal ownership, not just wrapped as CFDs like almost every other similar brokerage offers.

FXTM offers traders a choice between two of the most popular execution models: customers may open either an ECN-type account, or one that trades by “straight-through processing”. Clients have a straight choice between two trading platforms, with both MetaTrader 4 and MetaTrader 5 on offer.

Through their Mauritius regulator, FXTM offer leverage as high as 1000 to 1. In the U.K. and Cyprus, they are limited by law from offering more than 30 to 1.

If you are looking for a broker with a good copy trading program, it is worth taking a serious look at FXTM’s “FXTM Invest” copy trading program.

FXTM Pros & Cons

Pros

Cons

Excellent client deposit protection

No cryptocurrencies or exotic currencies

Low minimum deposit

Low leverage for retail traders

Free MT4 add-ons and VPS hosting

Internal withdrawal fees and an inactivity fee

Good educational tools

Pepperstone

5.0/5 in this category

In Summary

Great ECN execution on MT4 platform

Pepperstone, founded in 2010 and headquartered and regulated in Australia, the U.K., and Dubai, is possibly the most well-known ECN Forex broker in the world. ASIC’s deft regulatory touch combined with local expertise made Australia a haven for broker startups heavy on technology and offering extra-speedy frictionless execution and extremely high maximum leverage. Pepperstone offer geographically eligible clients a maximum leverage as high as 500 to 1, which is enough for anybody’s trading needs.

Unique Features

Headquarters

Regulation

FCA, ASIC, DFSA

Year Founded

Type of Broker

Minimum Deposit

Maximum Leverage

Type of Platform

MetaTrader 4, MetaTrader 5, cTrader

As an ECN broker, Pepperstone offer raw spreads and low commissions. Taken together, Pepperstone’s “Razor” account gives one of the lowest and most competitive cost of trading in Forex that you will find anywhere.

In addition to their global headquarters in Australia, Pepperstone also have presences in London, England, where they enjoy full regulation by the Financial Conduct Authority (FCA), and in Dubai, where they are regulated by the Dubai Financial Services Authority (DFSA).

Pepperstone is renowned for its advanced technology tools such as Smart Trader Tools and cTrader Automate. cTrader is one of the more popular trading platforms out there but is not offered by a majority of brokers, so Pepperstone can be a good choice if you want to trade with an ECN brokerage through the cTrader trading platform.

Pros

Cons

Low minimum deposit and high leverage

Limited asset selection

Choice of trading platforms and social trading alternatives

Comprehensive MT4/MT5 upgrade package and VPS hosting

Active trader program and competitive
cost structure 

Squared Financial

4.5/5 in this category

In Summary

Squared Financial offers clients a competitive trading environment from its Seychelles subsidiary. It also maintains an account branch operating out of Cyprus, governed by the ESMA. While the commission-free account features high mark-ups commencing from 1.2 pips or $12 per lot, the commission-based alternative shows raw spreads for a cost of $5.00 per lot. The former has no minimum deposit requirement, but the latter requires $5,000, while the maximum leverage remains capped at 1:500 for both. The MT4 and MT5 trading platforms are available to cater to traders looking for the most popular platforms on the market. 

 

Unique Features

Headquarters

Regulation

CySEC, FSA

Year Founded

Type of Broker

Minimum Deposit

Maximum Leverage

Type of Platform

MetaTrader 4, MetaTrader 5

The asset selection covers six sectors but with 150+ overall instruments, more than suitable for most traders. Traders can find 50 currency pairs, five cryptocurrency pairs, and five commodities, but this selection may expand to meet the industry’s evolving demands. Completing the trading choices are 54 equity CFDs, 13 index CFDs, and 19 futures contracts. The Squared Academy delivers an educational section for new traders, where many short videos provide a basic overview of seven topics. Several articles also feature trading ideas and Squared Financial also publishes daily market commentary. A $50 deposit bonus and a volume-based cashback program, which lowers final trading costs, are available. 

AvaTrade

4.5/5 in this category

In Summary

Highly regulated, choice of fixed or floating spreads

AvaTrade was founded in 2006 in Dublin, Ireland. They are one of the largest and most famous Forex / CFD brokers in the world and became well-known for offering their clients a choice of fixed or floating spread cost of trading models. They enjoy an extremely high and strong level of regulation, making them a favorite for traders who are extremely nervous about the security of their deposit, which in Ireland can be protected by a strong investor deposit protection provision. AvaTrade is directly regulated in Ireland (and by extension, the European Union), Australia, Japan, South Africa, and the British Virgin Islands. Outside the European Union, Ava’s maximum leverage offered runs as high as 400 to 1.

Unique Features

Headquarters

Year Founded

Type of Broker

Minimum Deposit

Maximum Leverage

Type of Platform

MetaTrader 4, MetaTrader 5, Proprietary platform, Web-based

In addition to their longevity and safe reputation, clients know that through AvaTrade they have access to a broad range of asset classes through which diversification can be achieved successfully: AvaTrade offers trading in over 55 different Forex currency pairs, 17 commodities, 20 equity indices, 14 cryptocurrencies, plus 66 individual stocks and shares. Even better, and unusually, 2 bonds and 6 ETFs are also on the menu. The diversity offered here stands out.

Whether you are located within the European Union or not, all branches of AvaTrade will offer you negative balance protection, above and beyond what is mandated by the law. This means that under no circumstances will any client of AvaTrade ever be held liable by the firm for an amount larger than their deposit.

AvaTrade Pros & Cons

Pros

Cons

Well-regulated globally, with the Bank of Ireland, the primary regulator

Low leverage for retail traders

Low minimum deposit and in-depth educational tools

High quarterly inactivity fee

Wide asset choice across seven sectors

Unacceptable cost for AvaProtect

Superior mobile trading platform

Moneta Markets

4.5/5 in this category

In Summary

Great deposit bonus + leverage up to 1:500

Moneta Markets is a subsidiary of Vantage International Group Limited (VIG), established in 2009. VIG is licensed in 3 jurisdictions and handles an average monthly trading volume exceeding $100 billion. 

Clients’ funds are held in a segregated account with Australia’s AA rated National Australia Bank (NAB). Moneta Markets is one of the very few Forex brokers out there that names the bank that holds their clients’ funds. 

Unique Features

Headquarters

Cayman Islands

Regulation

Year Founded

Type of Broker

Market Maker

Minimum Deposit

Maximum Leverage

Type of Platform

Proprietary platform, Web-based

Moneta Markets is unique in the Forex broker world by choosing not to partner with MetaTrader, and instead only offering their own custom web-based charting and execution platform, Moneta Markets WebTrader. 

Built from the ground up, the Moneta Markets WebTrader offers traders perfect precision and unmatched stability. The all-in-one platform has all the technical indicators and chart types a trader needs, and a built-in client portal for account opening and easy deposits and withdrawals. Importantly, the platform is also available as a mobile app. 

Moneta Markets has access to Forex and other instruments such as stocks, and offers up to 500:1 leverage, with a starting minimum account deposit of just $200. 

Moneta Markets multilingual support team is available for customer service and technical support, 24 hours a day, 5 days a week. 

Moneta Markets Pros & Cons

Pros

Cons

Intuitive proprietary trading platform

MT4 trading platform not supported

Excellent trading tools and in-house research

Higher minimum deposit

Outstanding technology infrastructure

High leverage and deposit bonus

Why should you trade Forex in the Philippines?

The Philippines is an archipelagic country in the Pacific Ocean, consisting of approximately 7,641 islands. English is one of its two official languages, which fosters swift global communications. The economy is classified as a newly industrialized country, transitioning from agriculture into services and manufacturing. Science and technology play a significant role in the Philippines. Forex trading is part of everyday life for many companies and individuals throughout the country, since the Philippines relies heavily on export and tourism. The Philippine Peso (₱) or (PHP) is the currency and FX trading is growing in popularity. International Forex brokers do not require a license by the Philippine Securities and Exchange Commission (SEC). Many accept traders from the Philippines and are eager to provide their services to citizens of the Philippines.

While over 45% of the population lives on less than $2 per day, remittances cover the shortfall. They are essential to the domestic economy, surpassing foreign direct investment as a source of foreign capital. Therefore, Forex is known to most in the Philippines and is practiced monthly. Tourism was outlined by the government as one of the sectors to redistribute wealth and bring more Forex opportunities. The younger population is showing a growing interest in Forex trading in the Philippines. There are no well-established domestic Forex brokers, but many international Forex brokers cater to Philippine traders. Numerous educational companies, mentors, and coaches in the Philippines expand the reach of the Forex market among the vibrant Philippine culture.

Trading Forex in the Philippines can unlock a sustainable income stream and stabilize your financial situation. While this will require time, dedication, and discipline, the long-term beneficial impact is well worth the effort. Since the Philippines continues to grow economically, and with incomes gradually improving, the addition of Forex trading will add to the overall financial condition of traders. Since many in the Philippines remain indirectly exposed to traditional Forex trading via remittances sent from family members overseas, a more direct approach would represent the next step. Technological advancements make Forex trading accessible to everyone. Since the Forex market operates 24/5, it offers a convenient way to increase your revenues as you can develop a plan around your day job. Almost all international Forex brokers accept Philippine traders, and you have plenty of choices to find your best Forex broker in the Philippines.

The highly liquid market and selection of currency pairs create trading opportunities at almost all times. Using leverage, you can increase your buying power and boost your profitability, but you must use it together with risk management. Otherwise, you will likely face losses. The direction of the market does not matter, as you can earn when an asset increases by going long or buying, and if the asset decreases by going short or selling. All that matters to you is to be on the right side of the trade. It offers you flexibility and numerous trading strategies to follow. Those who have less time to trade may also use automated trading solutions – also called expert advisors (EAs) by MT4, the leading automated trading platform. Over 20,000 exist on the MT4 infrastructure, with more continuously added. Social trading represents another alternative, together with account management services. The Forex markets created numerous avenues for traders to earn money.

Why should you not trade Forex in the Philippines?

The Forex market remains volatile and risky for those without experience. Therefore, you must learn about trading before you can earn from it. Regrettably, there are many scams and frauds in the Forex market. The Philippines experiences a high volume of those, which prompted the Philippine Securities and Exchange Commission (SEC) to issue an advisory in October 2018, labeling Forex trading illegal in the Philippines. The advisory is no longer available on the SEC website. The aim of the SEC was not to ban Forex trading, but to stop the massive degree of fraud against Philippine traders. Those who want to inquire about the current status may contact the Enforcement and Investor Protection Department (EIPD).

Forex Trading Regulations in the Philippines

The Philippine Securities and Exchange Commission (SEC) remains the sole regulatory body with oversight of the domestic Forex market. International Forex brokers do not need a license by the SEC to accept Philippine traders, but the rules and regulations change as the country attempts to reign in fraud and scams. Contacting the Enforcement and Investor Protection Department (EIPD) can provide clarity, and you can report scam and fraud attempts.

How to Verify SEC Authorization

The SEC does not maintain a list of authorized Forex brokers, but traders can check the website for claimed registration by a company or contact them via e-mail or phone.

Back to top ⬆

Forex Trading Strategies

After you determine the best Forex trading platform in the Philippines, and you’ve spent enough time educating yourself on how to trade Forex, it is time to proceed to the next step. You can get an excellent education from one of the many free courses online, via a Forex trading Philippines guide, or from your Forex broker. Funding your account will be simple, but you need to select one trading strategy that suits your style. If you do not have one yet, find one that fits your personality.

Here are five Forex trading strategies to consider:

  • Scalping – This requires raw spreads, which come with a commission cost, as you will trade high volumes on short timeframes to capture a few pips, often single digits. Find a Forex broker with a loyalty or reward program for high-frequency traders, as it will lower your trading costs and boost your profits.
  • Day Trading – You will close all your positions during the day, never holding overnight trades. It eliminates swap charges and eradicates the risk of unexpected developments while you are asleep. Trading decisions remain purely based on technical analysis. For diversification purposes, you want a Forex broker with a broad asset selection.
  • News Trading – It attempts to profit from the volatility following immediately after an economic release. You will require an in-depth economic calendar and a Forex broker with an excellent technological infrastructure to avoid slippage and requotes, which often accompany volatility spikes.
  • Swing Trading – Momentum indicators form the backbone of this strategy, together with candlestick patterns. You may hold positions overnight and often trade a few assets, but when you exit one, you will also enter a trade in the opposite direction to capture the reversal. Swing traders usually take continuous trades in range-bounce assets.
  • Trend Trading – This strategy is for long-term traders who follow the trend. You will only trade in well-established trends, analyzing the assets every day, and also pay attention to fundamental developments to gauge a pending trend reversal.

Types of Forex Markets in the Philippines

While your Forex broker handles all aspects of trading, you should know the different types of Forex markets in the Philippines because some brokers offer you a choice. Most retail trading remains confined to derivatives via contracts for difference (CFDs).

Here are three types of Forex markets:

  • Spot Forex Market – It refers to the physical exchange of currency pairs on the spot at the given market rate. Forex trading in the Philippines often occurs using spot rates; for example, rates for exchanging currencies at your bank or exchanging at your office. Forex brokers also grant access to spot rates for CFD trading.
  • Forward Forex Market – The buyer and seller agree to exchange currencies at a set price in the future or at the forward rates.
  • Futures Forex Market – It is similar to the Forward Forex Market, but the contracts are legally binding. The buyer and seller must change the agreed amount of currencies at the specified price.

Conclusion

FX trading in the Philippines offers numerous economic opportunities, but traders must remain careful. Given the size of the Forex market, there are plenty of scams and frauds, some with very appealing marketing campaigns supporting their claims. They pry on new traders without experience to lure them out of hard-earned capital. Use common sense, and if an offer sounds too good to be true, it most likely is. Remember that professional traders average between 8% to 15% per year. The Forex market, given its liquidity, can deliver above that for skilled traders. Rather than wasting your time on social media hypes or making decisions based on cold calls, which no genuine Forex broker conducts, your first step to becoming a successful Forex-trading Philippines member remains education.

There are highly valuable educational courses and trading academies 100% free of charge. You may also find a dedicated Forex trading Philippine guide and never pay for the education. All the material is available without additional costs. Never rush the educational process, as it will form the backbone of your success. Remember to check the current status of Forex trading in the Philippines by the SEC by calling the Enforcement and Investor Protection Department (EIPD). Almost all international Forex brokers accept traders from the Philippines. Once you decide that you are ready, open an account with one of the top Forex brokers in the Philippines, make a small deposit or take advantage of a no-deposit offer, and continue to learn until you achieve consistent profitability. Following that, you can create a deposit plan, grow your portfolio via monthly deposits and trading income, and slowly start on your path to becoming a successful Forex trader who can enjoy its benefits. Rushing the process will grant you a place among the 75% to 85% of retail traders that operate portfolios at a loss.

Back to top ⬆

FAQ

Where can I trade Forex in the Philippines?

Almost all international Forex brokers accept traders from the Philippines, and they are not required to hold a Philippine SEC license. The regulator did issue two advisories against Forex trading, making it illegal amid the high number of scams and frauds committed against Philippine traders, and the condition continues to evolve.

How do I start trading Forex?

You have to start with education, which can take years, depending on your circumstances and abilities. There is no quick way or fast track to achieving consistent profitability. After you master the basics, you can move on to identifying trading strategies suitable to you, opening a leveraged account with one of the best Forex brokers in the Philippines, and working on building your portfolio.

How much money do I need to start Forex trading in the Philippines?

It depends on how much you try to earn, and there is no simple answer. Professional traders average between 8% to 15% per year, while some achieve two to three times that amount. A portfolio below $1,000 will narrow your trading potential. Therefore, start with what you feel comfortable with, and grow your portfolio until the balance can support what you try to earn. It is usually a multi-year process, but those who remain committed to it can frequently enjoy the rewards the Forex market has to offer.

Back to top ⬆

Leave a Reply

Your email address will not be published. Required fields are marked *