An ASIC forex broker refers to a forex (Foreign Exchange) brokerage firm which is regulated and authorized by the Australian authority called Australian Securities and Investment Commission (ASIC).
They perform the role of market regulator for forex and the wider financial market within Australia. They have been around since 1991 and during this time, have steadily risen in reputation to become one of the foremost respected financial regulatory bodies in global finance.
In relation to forex brokers, any broker who wishes to offer trading services within Australia must register with ASIC. This will then entitle to the broker to receive an Australian Financial Services license which is needed to conduct operations in the country.
In order to rank the best ASIC brokers we have taken into consideration a variety of factors including:
- An active ASIC license;
- The commissions charged on forex;
- The general quality of the broker;
- The deposit/withdrawal currencies.
What are the best ASIC forex brokers?
Warning
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you can afford to take the high risk of losing your money.
Below is our curated list of the best forex brokers regulated by the ASIC, with details and information about the regulation, the features, and the characteristics.
Pepperstone
best for professional rebates program
Pepperstone holds an ASIC regulation with license number 414530. Pepperstone offers more than 1,200 CFDs and 60 forex pairs under ASIC supervision, and provides an active trader program for high-volume traders with ASIC oversight.
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About Pepperstone
Pepperstone is a global forex and CFD broker founded in 2010 in Melbourne, Australia. Pepperstone offers trading on currencies, commodities, indices, stocks, and cryptocurrencies through MetaTrader and cTrader platforms. Pepperstone is regulated by multiple authorities including ASIC, FCA, and CySEC. Pepperstone is known for competitive spreads, fast execution, and extensive educational resources. Pepperstone serves clients in over 160 countries worldwide. The Pepperstone CEO is Tamas Szabo.
Pepperstone Features
The features of Pepperstone are listed below.
- Pepperstone was recognised as the best broker in Australia for 2021 by InvestinGoal.
- Pepperstone is ASIC regulated with ACN 147 055 703 and license n° 414530. It was founded in Australia and still has its headquarters in Melbourne.
- Pepperstone offers more than 1,200 CFDs including over 60 forex pairs, while spreads start from 0 pips.
- The maximum leverage allowed by ASIC is 30:1 but professional traders with Pepperstone can trade with 500:1 leverage on forex majors.
- Under ASIC, Pepperstone offers an active trader program to high-volume traders to benefit from better trading commissions.
- AUD currency is accepted for deposits and base currency for the Pepperstone accounts under ASIC oversight.
Pepperstone Pros and Cons
Advantages of Pepperstone
The advantages of Pepperstone are listed below.
- Stable raw spreads (0,09 pips on EUR/USD on average)
- Caters for algorithmic trading
- Has won over 30 Forex industry awards
Disadvantages of Pepperstone
The disadvantages of Pepperstone are listed below.
- The demo account is not unlimited
FP Markets
overall trading experience
FP Markets operates under ASIC with a license number 286354. FP Markets supports trading in AUD as a base currency, provides access to 10,000 financial instruments and the IRESS platform through ASIC regulation.
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About FP Markets
FP Markets is an Australian-based global forex and CFD broker founded in 2005. FP Markets offers trading on over 10,000 instruments including forex, stocks, indices, commodities, and cryptocurrencies. FP Markets provides MetaTrader 4, MetaTrader 5, and proprietary platforms. FP Markets is regulated by multiple authorities including ASIC, CySEC, and FSA. FP Markets is known for tight spreads, fast execution, and extensive educational resources. The FP Markets CEO is Craig Allison.
FP Markets Features
The features of FP Markets are listed below.
- FP Markets is another Australian broker with ASIC license n° 286354, registration number 154 461 104 and a main office in Sydney.
- FP Markets provide access to 10,000 financial instruments including more than 70 forex pairs.
- Traders under ASIC can access the IRESS platform which is the stockbroking service of FP Markets.
- FP Markets charge floating spreads starting at 0.2 pips on EUR/USD currency pairs.
- AUD is a selectable base currency for your FP Markets account and is available on most deposit options with ASIC oversight.
- Leverage is up to 30:1 for Australian retail clients due to ASIC regulation but clients who are categorized as Wholesale Investors or Sophisticated Clients with FP Markets can trade with higher leverage up to 500:1 on forex.
FP Markets Pros and Cons
Advantages of FP Markets
The advantages of FP Markets are listed below.
- Broad Instrument Offering
- Competitive Spreads
- Multiple Trading Platforms
Disadvantages of FP Markets
The disadvantages of FP Markets are listed below.
- High Fees for International Withdrawals
- Outdated Platform Design
AvaTrade
fixed spread trading
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About AvaTrade
AvaTrade is a global forex and CFD broker founded in 2006 and headquartered in Dublin, Ireland. AvaTrade offers trading on currencies, commodities, indices, stocks, bonds, ETFs, and cryptocurrencies. AvaTrade provides proprietary platforms alongside MetaTrader 4 and 5. AvaTrade is regulated by multiple authorities including CySEC, ASIC, and FSA. AvaTrade serves over 300,000 clients worldwide. AvaTrade is known for competitive spreads and extensive educational resources. The AvaTrade CEO is David Dryzin since 2016.
AvaTrade Features
The features of AvaTrade are listed below.
- Ava Capital Markets Australia Pty Ltd holds an ASIC license n° 406684 and is a registered Australian company with ACN 143 340 907 and the local office can be found in Sydney.
- The Australian dollar (AUD) is available as a base currency for AvaTrade accounts though e-wallets are not supported for deposits under ASIC.
- AvaTrade allows trading on more than 1,250 financial instruments with 55 forex pairs available.
- AvaTrade is among the few ASIC brokers to offer fixed spreads in Australia from 0.9 pips on EUR/USD.
- Professional clients at AvaTrade under ASIC regulation benefit from reduced spreads and higher leverage up to 400:1 on forex majors.
AvaTrade Pros and Cons
Advantages of AvaTrade
The advantages of AvaTrade are listed below.
- Tight fixed spreads from 0.6 pips (0.9 pips for retail traders)
- The mobile apps are well designed
- Can be connected to ZuluTrade and Duplitrade
Disadvantages of AvaTrade
The disadvantages of AvaTrade are listed below.
- High inactivity fees
- The demo account is limited to 30 days
IC Markets
best for algo trading
IC Markets registers with ASIC using license number 335692. IC Markets provides access to 61 forex pairs with spreads starting at 0.1 pips on EUR/USD with leverage up to 500:1 for professional traders.
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About IC Markets
IC Markets is a global forex and CFD broker founded in 2007 and based in Sydney, Australia. IC Markets offers trading on over 2,250 instruments including currencies, commodities, indices, stocks, and cryptocurrencies. IC Markets provides MetaTrader 4, MetaTrader 5, and cTrader platforms. IC Markets is regulated by multiple authorities including ASIC and CySEC. IC Markets is known for its ECN execution model and low spreads. The IC Markets CEO is Andrew Budzinski.
IC Markets Features
The features of IC Markets are listed below.
- IC Markets is an Australian broker registered and regulated by ASIC with ACN 123 289 109, license n° 335692, and the main office registered in Sydney.
- With IC Markets traders can access over 1,880 financial instruments with 61 forex pairs charging spreads from 0.1 pips on EUR/USD.
- Deposits and accounts for traders under ASIC are both available in AUD though there’s a minimum deposit of 200 AUD to open an IC Markets account.
- Due to ASIC regulation, Australian retail clients have access to max leverage of 30:1 on forex while professional traders with IC Markets can avail of a higher 500:1 ratio on forex.
IC Markets Pros and Cons
Advantages of IC Markets
The advantages of IC Markets are listed below.
- Low-latency trading environment
- Institutional level liquidity
- MT4, MT5, cTrader platforms are all available
Disadvantages of IC Markets
The disadvantages of IC Markets are listed below.
- Small amount of educational tools for new traders
- Small range of tradable assets compared to other CFD/Forex brokers
eToro
best social trading platform
eToro operates under ASIC license number 491139. eToro has a minimum deposit of $100 in Australia. eToro offers one of the best social trading platforms with ASIC regulation.
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About eToro
eToro is a global multi-asset investment platform founded in 2007, offering trading on stocks, ETFs, Crypto CFDs, commodities, and forex. eToro provides a proprietary web and mobile platform with social trading features. eToro is regulated by multiple authorities including FCA, ASIC, and CySEC. eToro is known for its user-friendly interface, copy trading functionality, and commission-free stock trading. eToro serves over 30 million users worldwide. The eToro CEO and co-founder is Yoni Assia.
eToro Features
The features of eToro are listed below.
- eToro AUS Capital Limited provides services in Australia through ASIC license n° 491139 and has a registered local office in Hunter Street, Sydney.
- The eToro minimum deposit in Australia is $100. Even though accounts support only USD, you can deposit in AUD with a conversion fee applied.
- eToro has 3,000 assets available for clients trading under ASIC regulation.
- Spreads with eToro are slightly higher than competitors starting from 1 pip on EUR/USD though it offers one of the best social trading platforms where traders can learn from each other.
eToro Pros and Cons
Advantages of eToro
The advantages of eToro are listed below.
- Great copy trading and social trading features
- Wide range of asset classes
- It allows to buy fractional stocks from $10
Disadvantages of eToro
The disadvantages of eToro are listed below.
- The eToro spreads can be high
- Offers only USD accounts
- Transferring cryptocurrencies to other platforms can be hard
EasyMarkets
best for commodities
easyMarkets functions as an Australian entity regulated by ASIC license number 246566. easyMarkets offers fixed spreads starting at 0.7 pips on EUR/USD with professional clients leverage up to 500:1 within ASIC guidelines.
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About EasyMarkets
EasyMarkets is a global forex and CFD broker founded in 2001, offering trading on currencies, commodities, indices, cryptocurrencies, and stocks. EasyMarkets provides proprietary web and mobile platforms alongside MetaTrader 4 and 5. EasyMarkets is regulated by multiple authorities including CySEC and ASIC. EasyMarkets is known for innovative features like dealCancellation and fixed spreads. EasyMarkets serves clients worldwide and has received numerous industry awards. The EasyMarkets CEO is Nikos Antoniades.
EasyMarkets Features
The features of EasyMarkets are listed below.
- easyMarkets Pty Ltd is the Australian entity of easyMarkets regulated by ASIC with license n° 246566 and a registered office located in Sydney.
- To open an easyMarkets account you have to deposit a minimum of 200 AUD. The Australian dollar is among the 19 account currencies available for the ASIC entity of the broker.
- easyMarkets is another ASIC broker that charges fixed spreads on the 120 forex pairs offered starting from 0.7 pips on EUR/USD.
- easyMarkets also charges variable spreads from 0.3 pips on EUR/USD on the MT5 platform.
- Leverage in Australia under ASIC is limited to 30:1 for retail clients though professional clients benefit from a higher 500:1 leverage on forex and a first deposit bonus with easyMarkets.
EasyMarkets Pros and Cons
Advantages of EasyMarkets
The advantages of EasyMarkets are listed below.
- Innovative Risk Management Tools
- User-Friendly Platform
- Regulatory Trust
Disadvantages of EasyMarkets
The disadvantages of EasyMarkets are listed below.
- Limited Tradeable Symbols
- Higher Spreads on Some Accounts
- Outdated User Experience
Vantage
best for day traders & scalpers
Vantage uses the trading name Vantage Global Prime Pty Ltd under ASIC license number 428901. Vantage provides access to CFDs and 44 forex pairs.
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About Vantage
Vantage is a global multi-asset broker founded in 2009, offering trading on forex, CFDs, commodities, indices, shares, and cryptocurrencies. Vantage provides MetaTrader 4, MetaTrader 5, and proprietary platforms. Vantage is regulated by multiple authorities including ASIC, FCA, and CIMA. Vantage is known for fast execution, competitive spreads, and extensive educational resources. Vantage serves over 3 million registered users worldwide. The Vantage CEO is David Shayer.
Vantage Features
The features of Vantage are listed below.
- Vantage Global Prime Pty Ltd is the trading name of Vantage authorized in Australia by ASICwith license n° 428901 and a local office in Market Street, Sydney.
- Vantage enables traders under ASIC to open accounts in both AUD and USD.
- Vantage allows access to 400+ CFDsand 44 forex pairs with spreads starting 0.1 pips on EUR/USD.
- Maximum leverage availableis 500:1 though is exclusive to professional clients with Vantage under ASIC.
- Vantage won the award for the best “Financial Trading Services Provider” of 2020 for Australia.
Vantage Pros and Cons
Advantages of Vantage
The advantages of Vantage are listed below.
- Competitive spreads and low commissions
- Strong range of asset classes
Disadvantages of Vantage
The disadvantages of Vantage are listed below.
- Not available to US traders
- Customer service could be improved
CMC Markets
wide range of CFD assets
CMC Markets operates within ASIC regulations under license number 238054. CMC Markets supports trading in AUD as an account currency, and provides leverage up to 500:1 for professional investors under ASIC.
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About CMC Markets
CMC Markets is a global online financial trading company founded in 1989 and headquartered in London. CMC Markets offers trading on forex, indices, commodities, cryptocurrencies, and shares through CFDs and spread betting. CMC Markets provides proprietary and MetaTrader platforms for desktop, web, and mobile. CMC Markets is regulated by multiple authorities including FCA, ASIC, and BaFin. CMC Markets is listed on the London Stock Exchange. The CMC Markets CEO is Lord Peter Cruddas.
CMC Markets Features
The features of CMC Markets are listed below.
- CMC Markets Asia Pacific Pty Ltd operates in Australia with a physical office in Barangaroo Avenue, Sydney and a license from ASIC n° 238054.
- The Australian dollar is supported as the CMC Markets account currency under ASIC regulation.
- CMC Markets offer trading on over 10,000 products including 300+ forex pairs charging spreads from 0.7 pips on EUR/USD.
- Leverage is limited to 30:1 due to ASIC regulation though if you qualify as a professional investor with CMC Markets leverage rises up to 500:1 on major currency pairs.
CMC Markets Pros and Cons
Advantages of CMC Markets
The advantages of CMC Markets are listed below.
- Regulatory Trust
- Low Trading Costs
- Extensive Trading Platform
Disadvantages of CMC Markets
The disadvantages of CMC Markets are listed below.
- Complex Fee Structure
- Limited Funding Options
FBS
best for beginners
FBS operates as FBS Oceania under ASIC license number 426359. FBS allows AUD accounts with a minimum deposit of 50 AUD. FBS offers leverage up to 500:1 for professional clients under ASIC supervision.
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About FBS
FBS is a global forex and CFD broker founded in 2009, offering trading on currencies, commodities, indices, stocks, and cryptocurrencies. FBS provides MetaTrader 4, MetaTrader 5, and proprietary platforms. FBS is regulated by multiple authorities including CySEC, ASIC, and IFSC. FBS serves over 27 million clients in 150+ countries. FBS is known for low minimum deposits, extensive educational resources, and copy trading services.
FBS Features
The features of FBS are listed below.
- FBS operates in Australia as Intelligent Financial Markets Pty Ltd (ACN 155 185 014) and trading as FBS Oceania with an ASIC license n° 426359 and a registered physical office in George Street, Sydney.
- AUD accounts are available with a minimum deposit of 50 AUD to open the account with the ASIC-regulated FBS entity.
- Australian traders under ASIC can choose from three different FBS account types which are cent, standard, or ultra.
- Under ASIC, FBS provides access to over 100 CFD assets including 18 forex pairs.
- FBS charges only floating spreads that start from 0 pips on EUR/USD.
- Leverage in Australia is restricted for retail clients as dictated by ASIC however professional clients with FBS can avail of higher leverage up to 500:1 on forex.
FBS Pros and Cons
Advantages of FBS
The advantages of FBS are listed below.
- Low minimum deposit
- User-Friendly Platforms
- 90 international awards
Disadvantages of FBS
The disadvantages of FBS are listed below.
- Limited Financial Instruments
FXCM
best service quality
FXCM operates under ASIC license number 309763. FXCM provides access to AUD accounts and trading with more than 30 currency pairs. FXCM offers higher leverage for wholesale clients within ASIC regulations.
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About FXCM
FXCM is a global forex and CFD broker founded in 1999, offering trading on currencies, commodities, indices, stocks, and cryptocurrencies. FXCM provides MetaTrader 4 and proprietary trading platforms. FXCM is regulated by multiple authorities including FCA, ASIC, and CySEC. FXCM is known for competitive spreads, extensive educational resources, and copy trading services. FXCM recently launched a sister platform called Tradu. The FXCM parent company “Stratos Group” CEO is Brendan Callan.
FXCM Features
The features of FXCM are listed below.
- FXCM is authorized by ASIC n° 309763 as FXCM Australia Pty. Limited registered with ACN 121 934 432 and has a local branch in Collins Street, Melbourne.
- FXCM accounts can be opened with the Australian dollar (AUD).
- FXCM provides access to more than 30 currency pairs charging spreads from 0.2 pips on EUR/USD with ASIC oversight.
- The FXCM pro account is designed for wholesale clients to trade with reduced costs, rebates, and higher leverage up to 400:1 on forex under ASIC regulation.
- High-volume traders can join the FXCM Active Trader Rebate Program to benefit from tier rebates.
FXCM Pros and Cons
Advantages of FXCM
The advantages of FXCM are listed below.
- Regulation and Trust
- Advanced Trading Tools
- Competitive Spreads for Active Traders
Disadvantages of FXCM
The disadvantages of FXCM are listed below.
- Limited Range of Instruments
- Average Pricing Structure
How does ASIC work?
The primary functions of ASIC include some of the following:
- Promoting the growth of the Australian market
- Financial firms oversight (included australian forex brokers)
- Customer protection
Just as with any other regulatory body, the key role of ASIC is in the protection of customers and promotion of transparency within the financial market. This is something they have managed to do well in the Australian market since their inception.
What are the characteristics and benefits of ASIC?
Under ASIC regulations, there are some areas for trading permitted which may not be the case with some other regulatory bodies. Among these areas are trading in binary options, spread betting, and CFDs trading. All of these are legal under ASIC regulation. Crypto trading is also permitted.
The amount of leverage used to be left at the discretion of ASIC brokers, with an increased maximum leverage of 500:1 being available although this is up to the broker. Since March 29th 2021, the new legislation has been imposed that brokers under ASIC regulation should provide maximum leverage up to 30:1.
A final point here is to note that segregated accounts with top-tier banks are still required under ASIC as well as negative balance protection.
What are the prohibitions with ASIC?
Under ASIC regulations there are restrictions to note, the main one being the possibility to offer new traders bonuses and prizes if they open a trading account with the broker.
With that said, each broker has a wide level of discretionary authority under the regulator and some may prohibit activities such as scalping and hedging.
If you’re interested in forex scalping or scalping in general, you may be interested in reading our top 10 best forex broker for scalping article.
Differences between ASIC Regulated and ASIC Licensed Brokers
The difference in these two terms is that an ASIC regulated broker must go through the full registration process and steps required by the regulator, while an ASIC licensed broker may be able to forego some of these steps but still offer trading services within Australia that comply with the local regulations.
How to check if a broker is ASIC regulated
Checking the broker you are with is regulated should be an easy and fast process.
All you will have to do is head over to the ASIC official website. Once you are there, you can check the ASIC Register and search for the company name of the broker.
This process should take no more than a few minutes to verify, and you can usually find the business name of your broker at the bottom of their homepage.
How does ASIC intervene in cases of financial abuse?
If a broker does breach any of the regulations, then ASIC has a wide range of powers to implement a variety of restrictions. This is usually done through a system of broker fines or a ban.
As a recent example, Axicorp Limited (Axi) received a 3-month ban from the Australian market after being accused of not complying with financial services laws.
How ASIC can help you
If you feel like you have experienced some problem with your broker that breaches ASIC regulations in any way, then you can easily and quickly contact them to pursue a complaint through the ASIC official website.