Best Forex Brokers in Australia for 2023

In order to create the best forex brokers in Australia top ten, here’s what we have taken into consideration:

• If the broker was ASIC regulated
• The minimum deposit of the broker for Australian traders
• The base currencies of the broker for Australian traders
• The spreads of the broker for Australian traders
• The leverage of the broker for Australian traders
• If promotions, account types or rebates were in place for Australian traders

Overview of the Best Forex Brokers in Australia for 2023

Australian Forex Brokers Review

Is forex trading legal in Australia?

Forex trading is completely legal in Australia.

In fact, Australia is home to what is considered one of the most respected regulatory bodies in the industry, ASIC (Australian Securities & Investments Commission). ASIC is responsible for overseeing the market in Australia and any broker wishing to offer their services in Australia must be registered.

ASIC has been around since 1991 and provides some of the most comprehensive, yet fair regulations in forex trading around the world.

How to trade forex in Australia

Typically, trading forex from within Australia is not too different from doing so in other countries. The documents that you will need to sign up remain the same and these include:

• Proof of identity (A passport is usually the best).
• Proof of residence (A utility bill or bank statement with your current address is usually best).

Once you have submitted these documents to your chosen broker through a convenient online system, your account should be quickly verified and you will be able to deposit and start trading.

Due to their close relations, if you are a trader in New Zealand, you may be allowed to register with Australian brokers instead of brokers regulated in New Zealand.

What Australian traders should look for in a forex broker

Now that you have had a look at the top forex brokers on offer, here are a few key points when it comes to trading in Australia.

Unlike other countries that allow forex trading, in Australia, a number of other products including binary options, spread betting, cryptocurrency trading, and CFDs are all legal, so you don’t have to worry about your trading strategies being legal. In the past, leverage in Australia was very flexible, being up to 500:1. However, since March 29th, 2021, ASIC restricted this amount to 30:1 just like many best forex brokers regulated in Europe, UK and other areas are doing. Negative balance protection is also mandatory in Australia, and your funds are typically kept in top-tier segregated bank accounts.

With that in mind, here are a few more key tips in helping make sure you choose the best forex broker for you:

1. Look for forex brokers regulated in Australia

Trust is always vital. This comes in no better form in the world of forex trading than from ASIC. They are one of the top regulatory bodies in the world and it is highly recommended to choose an ASIC-regulated broker if you are making a move as a forex trader.

2. Try to look for brokers that offer AUD currency

It will usually be the case that your broker will accept AUD deposits or base currency since they must be regulated by ASIC to offer services in the country. Choosing this kind of broker will save you money on possible currency conversion or other banking-related fees and charges from your own bank and the broker.

3. First time trading? Look for negative balance protection

Negative balance protection does exactly as it says. It stops your balance from going below zero if the market turns against you. It is still highly recommended that you pursue a broker offering this protection. While it may rarely, if ever, happen, it is positive to know that your balance will be protected in this way.

How to verify if a forex broker is regulated in Australia

Verifying your forex broker regulation in Australia could not be easier. Simply, head over to the ASIC official website. Once you are there, find the ASIC Register and search for the company name of the broker. This company name is often to be found at the bottom of your forex brokers homepage.

Is forex trading taxable in Australia?

You do have to pay tax on any profits. Typically in Australia, the capital gains tax to be paid is 23%. This is calculated on a varying percentage of the income between 15% and 60%. Generally, for day trading, this figure stands at 40%.

We are not professional tax advisors, thus we strongly suggest contacting local authorities if you don’t know how to manage this aspect.

Key Takeaways: The Best Forex Brokers, Australia

The most crucial takeaway you should remember from our review of the best forex brokers in Australia is the fact that your trading goals and personal preferences are one of the most important things when selecting the right platform. There is no one-size-fits-all solution, and you should base your decision on factors such as the assets you want to trade in, your budgetary limitations, among many others.

Aside from that, you should always make sure that the broker you’re taking into consideration is regulated by ASIC. Steer clear of platforms with offers that sound too good to be true and claims that cannot be verified by an official financial regulatory body.

Finally, it’s always a good idea to choose a broker that offers a wide range of educational materials and a demo account, especially if you’re just starting out. That way, you’ll be able to learn the ins and outs of forex trading and make educated investment decisions.