Germany, home to the world’s fourth-largest economy, is a key player in global financial markets, renowned for its strong economy and as a leading member of the European Union.
Germany’s currency is the Euro (€), shared by many countries within the Eurozone.
When it comes to retail forex trading activity in Germany, the country adheres to the regulation of the European Securities and Markets Authority (ESMA), enforced through the national Federal Financial Supervisory Authority, commonly known as BaFin (Bundesanstalt für Finanzdienstleistungsaufsicht). BaFin ensures the transparency, integrity, and stability of Germany’s financial system by setting and enforcing stringent rules and standards for financial institutions, thereby instilling confidence in both domestic and international investors participating in the nation’s forex market.
In this articles we have chosen the best forex brokers available in Germany by analyzing different factors.
To create the most accurate list possible, we have taken into consideration the following:
- If BaFin regulation was in place
- If German language was available on the broker’s website
- If the broker had an office in Germany
- The broker’s minimum deposit for German clients
- If EUR base currency was available for German clients
- The broker’s spreads for German clients
- The broker’s maximum leverage for German clients
What are the best forex brokers in Germany?
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 for traders living in Germany, with details and information about the country laws, the features, and the characteristics.
eToro
best for social trading
eToro operates under BaFin regulation in Germany. eToro offers the German language on its platform. eToro provides trading with a minimum deposit of $50 and USD as the sole base currency.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
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 is well regulated by BaFin within Germany (n. 123590).
- The German language is available on eToro’s site.
- eToro minimum deposit for German clients is $50.
- USD is the only base currency available for German clients on eToro. So, if you use EUR or another currency, you will get charged a conversion fee.
- German clients will get charged eToro spreads from 1 pips on 47 currency pairs.
- The maximum leverage German eToro traders can get is up to 30:1 for retail clients and 400:1 for professional traders.
- German clients can benefit from the eToro social trading and copy trading features on their proprietary platform.
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
Pepperstone
best for algo-trading
Pepperstone holds BaFin regulation in Germany and maintains an office in Düsseldorf. Pepperstone provides the German language and offers base currencies including EUR.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
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 is Bafin regulated (n.151148) to operate in Germany, with a registered office in Düsseldorf (Germany).
- German is one of the languages available on Pepperstone’s website.
- Pepperstone requests a minimum deposit for German clients.
- Base currencies available for German clients are USD, EUR, CHF, and GBP
- Pepperstone German clients have access to spreads from 0 pips on 60+ forex currency pairs.
- German traders have a maximum leverage up to 30:1 (retail) and up to 500:1 (professional).
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
IG Markets
best for number of assets
IG Markets complies with BaFin regulation and maintains an office in Frankfurt. IG Markets offers trading in EUR and requires a 300 EUR minimum deposit from German clients.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
About IG Markets
IG Markets is a global online trading provider founded in 1974, offering access to over 17,000 financial markets including forex, stocks, indices, commodities, and cryptocurrencies. IG Markets provides proprietary trading platforms alongside MetaTrader 4 and ProRealTime. IG Markets is regulated by multiple top-tier authorities worldwide, including the FCA and ASIC. IG Markets is known for competitive spreads, extensive educational resources, and innovative features like weekend trading. The IG Markets’ parent company “IG Group” CEO is Breon Corcoran.
IG Markets Features
The features of IG Markets are listed below.
- IG Markets is regulated under the BaFin (n.121333) to operate in Germany with a registered office in Frankfurt (Germany).
- The German language can be chosen on the IG’s website.
- The IG Minimum deposit for German clients is 300 EUR.
- EUR is accepted as a base currency for IG German clients.
- German clients will find IG Markets spreads from 0.6 pips on 80+ forex currency pairs.
- The leverage German clients of IG find is up to 30:1 for retail clients and up to 222:1 for professional clients.
IG Markets Pros and Cons
Advantages of IG Markets
The advantages of IG Markets are listed below.
- Low spreads from 0.6 pips on Forex
- Wide range of financial instruments
- 40 years of experience in the Forex industry
Disadvantages of IG Markets
The disadvantages of IG Markets are listed below.
- No copy trading features
- No social trading features
FxPro
best for no requotes
FxPro holds BaFin regulation in Germany. FxPro provides the German language and offers trading with EUR, USD, and other currencies as bases.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
About FxPro
FxPro is a global online broker founded in 2006, offering trading on forex, CFDs, stocks, indices, commodities, and cryptocurrencies. FxPro provides multiple trading platforms including MetaTrader 4, MetaTrader 5, cTrader, and its proprietary FxPro Platform. FxPro is regulated by multiple authorities including FCA, CySEC, SCB, FSC and KNN. FxPro serves clients in over 170 countries and has won numerous industry awards. The FxPro CEO is Charalambos Psimolophitis.
FxPro Features
The features of FxPro are listed below.
- FxPro is regulated under the BaFin (n.121095) to operate in Germany.
- The German language is available on the FxPro’s website.
- The Minimum deposit for FxPro German clients is 1,000 EUR.
- EUR is provided by FxPro as a base currency for German clients, including USD, GBP, CHF, and more.
- FxPro traders in Germany will find both fixed and variable spreads from 0.1 pips and 1.6 pips respectively on 70+ forex currency pairs.
- German clients of FxPro have access to leverage of up to 30:1 for retail clients and up to 500:1 for professional clients.
FxPro Pros and Cons
Advantages of FxPro
The advantages of FxPro are listed below.
- Regulated and Trusted Forex broker
- Diverse Trading Platforms
- Wide Range of Instruments
Disadvantages of FxPro
The disadvantages of FxPro are listed below.
- Inactivity Fee
- Limited Educational Resources
- No Guaranteed Stop-Loss Orders
IC Markets
best for lowest spreads
IC Markets conducts operations under BaFin regulation. IC Markets allows trading in Germany without a minimum deposit and supports EUR as a base currency.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
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 regulated under the BaFin (n.155620) to operate cross-border in Germany.
- German is one of the languages available on the IC’s website.
- German clients don’t have to make a minimum deposit with IC Markets.
- IC Markets German traders can open accounts with EUR, GBP, and USD base currencies.
- IC German clients have access to spreads from 0 pips on 60+ forex currency pairs.
- German traders with IC Markets can benefit from leverage of up to 30:1 for retail clients and up to 500:1 for professional clients.
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
AvaTrade
best for fixed spreads
AvaTrade operates with BaFin regulation in Germany. AvaTrade provides EUR as a base currency and imposes a $100 minimum deposit.
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Regulations:
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Avg. EUR/USD Spread:
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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.
- AvaTrade operates in Germany with a BaFin regulation (n.122649)
- AvaTrade offers German as one of the languages available on the site.
- $100 is the AvaTrade minimum deposit for German clients
- German clients can use EUR as a base currency with AvaTrade.
- German traders can access fixed spreads from 0.9 pips on 60+ forex currency pairs.
- German users with AvaTrade get access to maximum leverage of up to 30:1 for retail clients and up to 400:1 for professional clients.
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
FBS
best for Cent accounts
FBS operates under BaFin in Germany. FBS allows trading in EUR and requires a minimum deposit of $10.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
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 lets their German clients trade under BaFin regulation (n.151531).
- FBS allows clients to choose German as one of their languages.
- German traders of FBS have a minimum deposit requirement from $10.
- EUR as base currency is available for FBS German traders.
- FBS charges German clients spreads from 0 pips on 35 forex currency pairs.
- The maximum leverage an FBS German trader can find is up to 30:1 (retail) or 500:1 (professional).
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
HF Markets
best for account types choice
HF Markets holds BaFin regulation for operations in Germany. HF Markets supports EUR as a base currency and does not require a minimum deposit.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
About HF Markets
HF Markets, formerly known as HotForex, is a global multi-asset broker founded in 2010. HF Markets offers trading on forex, stocks, commodities, indices, and cryptocurrencies through MetaTrader platforms. HF Markets is regulated by multiple authorities including CySEC, FCA, DFSA, and FSCA. HF Markets serves clients worldwide and is known for competitive trading conditions and extensive educational resources. HF Markets recently rebranded to emphasize its expanded product range. The HF Markets Group CEO is George Koumantaris.
HF Markets Features
The features of HF Markets are listed below.
- HF Markets in Germany is regulated by BaFin (n. 132342).
- German can be chosen as a language on HF Markets’ website.
- The HF minimum deposit for German clients is $0.
- HF German clients can choose EUR and USD base currencies.
- German traders of HF Markets will find spreads from 0 pips on 45 forex currency pairs.
- The maximum leverage HF Markets clients have access to is up to 30:1 (retail) and 400:1 (professional).
HF Markets Pros and Cons
Advantages of HF Markets
The advantages of HF Markets are listed below.
- High Leverage Options
- Low Minimum Deposit
- Wide Range of Trading Instruments
Disadvantages of HF Markets
The disadvantages of HF Markets are listed below.
- Higher Trading Costs
- Limited Educational Resources
XM
best for beginners
XM operates under BaFin regulation in Germany. XM supports the German language and offers EUR as a base currency with a $5 minimum deposit.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
About XM
XM is a global forex and CFD broker founded in 2009, offering trading on currencies, commodities, indices, stocks, and cryptocurrencies. XM provides MetaTrader 4, MetaTrader 5, and proprietary platforms. XM is regulated by multiple authorities including CySEC, ASIC, and IFSC. XM is known for competitive spreads, extensive educational resources, and multilingual customer support. XM serves over 5 million clients from 196 countries. XM offers various account types and a no-requote policy.
XM Features
The features of XM are listed below.
- XM is regulated in Germany by BaFin (n. 124161).
- XM clients can engage with the broker’s website in German.
- German clients need to make an XM minimum deposit of $5.
- EUR, USD, and GBP base currencies are all available for XM German traders.
- The spreads German clients find with XM start from 0 pips on 57 forex currency pairs.
- The leverage available for XM German traders can reach up to 30:1 (retail).
XM Pros and Cons
Advantages of XM
The advantages of XM are listed below.
- There’s a wide range of account types
- The demo account at XM is unlimited
- Wide range of educational resources
Disadvantages of XM
The disadvantages of XM are listed below.
- No social trading features available
- The account availability changes depending on the location of the trader
- High minimum deposit to invest in securities ($10000 for the XM Shares account)
XTB
best for educational resources
XTB complies with BaFin regulation in Germany. XTB allows trading with EUR and USD without a minimum deposit requirement.
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Regulations:
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Avg. EUR/USD Spread:
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Platforms:
About XTB
XTB is a global forex and CFD broker founded in 2002 and headquartered in Poland. XTB offers trading on over 2,000 instruments including currencies, stocks, indices, commodities, and cryptocurrencies. XTB provides the proprietary xStation platform and is regulated by multiple authorities including FCA, CySEC, and KNF. XTB is listed on the Warsaw Stock Exchange and serves over 897,500 clients worldwide. The XTB CEO is Omar Arnaout since March 2017.
XTB Features
The features of XTB are listed below.
- XTB is BaFin regulated (n. 130601) within Germany.
- German is available as one of the languages provided by XTB
- No XTB minimum deposit needs to be made by German clients.
- The base currencies which are accepted by XTB for German traders are EUR and USD.
- The XTB spreads charged for German traders start from 0 pips on 45+ forex currency pairs.
- Retail German clients benefit from a maximum leverage up to 30:1, while professional clients have access to a maximum leverage of 200:1.
XTB Pros and Cons
Advantages of XTB
The advantages of XTB are listed below.
- No minimum deposit
- Wide selection of assets
- Competitive trading costs
Disadvantages of XTB
The disadvantages of XTB are listed below.
- Small withdrawal fee
- No social or copy trading
- XTB demo account is limited to 30 days
Is Forex Trading legal in Germany?
Forex trading is legal in Germany. The forex market in Germany is regulated by BaFin but generally speaking, most forex brokers are covered by CySEC and as a knock-on effect, ESMA regulations since any broker offering services in Germany must be registered within the EU.
How to trade forex in Germany
Trading forex within Germany could not be easier. ESMA regulations mean that there is a uniform process in place. This means providing your broker with documents to prove both your identity and residence before funding your account.
What should German traders look for in a forex broker?
There are always some key things to look for and best practice points to follow when choosing a forex broker. When it comes to forex trading in Germany, you should be mindful of the following things:
ESMA regulations mean that leverage is restricted to 30:1 with any EU registered broker outside of you being a professional trader.
Spread betting and any kind of direct bonus offers are also not allowed. Brokers can offer loyalty / active trader programs though.
With those points noted, here are 3 key things to look out for when choosing your German forex broker:
1. Look for regulated forex brokers
The major key for any forex trader and broker is finding a broker that has trusted regulation in place. This is the same in Germany. You should be on the lookout for an ESMA compliant broker well-regulated by CySEC or another top regulatory body like FCA of FINMA from Switzerland.
2. Choose brokers that offer low spreads and commissions
No matter where in the world you are trading forex, you want to keep spreads, commissions, and other fees to a minimum. This means keeping a close eye on things like overnight fees, and deposit fees while taking advantage of any active trader programs to help keep your trading costs as low as possible.
3. If you want to keep your budget low, look for brokers with nano-lots
You will find that many brokers within Germany and Europe have minimum deposits of 100-200 Euros for standard accounts. A great way to keep your costs down and also try out a broker is to search for one that offers nano lot trading. This can significantly reduce your costs when opening positions and these accounts, along with cent accounts typically have great value and lower risk minimum deposits from around 10 Euros or less.
How to verify if a forex broker is regulated in Germany
Verifying that your broker is regulated in Germany should not be too much of a difficult task since each broker must be ESMA regulated to operate there. In this case, just check out the ESMA official website and look for the list featuring the European national regulators. Providing that your broker is based in Europe, you should find them here with a simple search bar entry.
The same is the case with the BaFin regulation in Germany. Simply visit the BaFin official website and look for the BaFin registered firms database by typing the broker name into the search bar provided.
Is forex trading taxable in Germany?
Yes, forex trading is taxed in Germany. The German tax regulations calculate your tax based on the ratio of your forex earnings to your total earnings. If this ratio is below 25% then you pay tax according to the tax bracket that you fall into. Generally, you will pay 26% tax on your earnings.
We are not professional tax advisors, thus we strongly suggest you contacting local authorities if you don’t know how to manage this aspect