How to compare Forex brokers in the Philippines
In most economically developed countries, the financial system is supported by strong regulators, who monitor the markets, create rules and processes to protect clients, and enforce those rules. These rules create an environment free of financial crime and ensure that market participants like retail Forex traders are treated fairly. When comparing Forex brokers, consider:
Regulation: The Filipino financial regulator, the Securities and Exchange Commission, has not given its opinion on the legality of Forex trading. By failing to acknowledge Forex trading and the legal apparatus that surrounds regulation, they have no way to police the Forex trading market and their brokers. As a result, all Forex traders should look for a broker which is internationally regulated by reputable organizations and protect client funds. Reputable organizations include ASIC (Australia), FCA (United Kingdom), CySEC (Europe), MAS (Singapore).
Platform choice: Traders have a wide range of industry platforms to choose from, each with pros and cons. When comparing brokers, always consider the platform options, as unique features or a wide variety of platforms could change your trading experience.
Trading costs: Every broker will charge for their services, but each will have different pricing models and costs. While ECN brokers will charge a smaller spread combined with a commission based on volume, market maker brokers will charge a wider spread. We compare brokers by looking at what 1 lot of EURUSD costs to trade and would encourage traders to do the same in comparing costs.
MetaTrader 4 is still the industry standard, but many brokers offer MetaTrader 5 and their proprietary platforms. ECN/STP brokers will often support cTrader as it is built specifically for market execution and only allows for minimal broker interference.
Minimum Deposit: The minimum deposit could change by account type, with higher minimum deposits often linked to better conditions. Always consider the minimum deposit specific to the account type you may open.
Deposit and Withdrawal Methods: Most brokers accept credit cards and bank transfer payment, and many accept online payments through Skrill and Neteller, and some will also accept Bitcoin. Always check the withdrawal fees before making a deposit.