At InvestinGoal, we adhere to strict standards to ensure an unbiased review process. We conduct our reviews by examining each broker’s offering and performance across 4 key categories. A final rating is produced for each forex broker based on a total of 187 data points. Learn more about our review process and methodology.
In this article, we have included forex brokers that operate in Hong Kong or accept HK clients.
To compile the list of brokers we have taken into consideration a multitude of factors including:
- A regular HK forex license;
- The broker trustworthiness;
- The commissions charged;
- The overall service quality.
Table of Content
- Forex.com: deep liquidity provided
- FP Markets: overall trading experience
- HotForex: best trading features
- Saxo Bank: best for professional traders
- Swissquote: top-quality research
- Oanda: best for beginner traders
- Interactive Brokers: wide range of available markets
- Rakuten Securities: low trading fees
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
Top 8 forex brokers in Hong Kong: 2022 review
Here is a closer look at all of the best Hong Kong forex brokers we have found:
- Forex.com accept traders from Hong Kong as GAIN Global Markets Inc. via CIMA regulation with license n° 25033.
- Forex.com provides access to over 4,500 CFDs including more than 80 forex pairs with competitive spreads from 0.8 pip on EUR/USD.
- High volume traders can qualify for the active trader rebate program earning cash rebates up to $10 per million dollars traded.
- HKD is not supported to open accounts with Forex.com or as a deposit currency.
80% of retail CFD accounts lose money
2. FP Markets
- Not directly HK SFC regulated but traders from Hong Kong can apply through the international entity of the broker: FP Markets LLC regulated by SVG with license n° 126 LLC 2019.
- HKD is supported for deposits and as a base currency for accounts.
- Trading with FP Markets opens access to many markets for a total of over 10,000 CFDs that includes more than 60 forex pairs.
- Spread on forex starts very low from 0 pips on EUR/USD and leverage is available up to 1:500.
Visit FP Markets
74-89% of retail CFD accounts lose money
- HotForex is not locally regulated by the HK SFC but traders from Hong Kong can apply through HF Markets (SV) Ltd which is regulated by SVG, license n° 22747 IBC 2015.
- Awarded best forex brokers in Asia three times in a row: 2019, 2020, 2021.
- HotForex provides access to over 1,200 trading instruments which include more than 50 forex pairs.
- Spread on forex is provided low as in EUR/USD starting from 0.1 pip while leverage is up to 1:1000 on forex, depending on the account chosen.
(71.61% of retail CFD accounts lose money)
4. Saxo Bank
- Saxo Capital Markets HK Limited is HK SFC regulated with a type 3 license n° AVD061 providing leveraged foreign exchange trading.
- Physical office in Queen’s Road Central, Hong Kong.
- The minimum deposit is $2,000 in Hong Kong.
- Accounts at Saxo Bank support many base currencies including USD and HKD. Deposits in other currencies can be charged a conversion fee of up to 0.60% of the transaction.
- Saxo Bank provides access to over 40,000 CFDs including more than 200 forex pairs. On EUR/USD the spread starts from 0.6 pips.
- Hong Kong traders earn reward points for every qualifying trade. A mini lot on forex will give you 20 points for example.
Visit Saxo Bank
72% of retail CFD accounts lose money
- Swissquote Asia Ltd is HK SFC regulated with a type 3 license n° AZV127 allowing leverage foreign exchange trading.
- Physical office in Garden Road, Hong Kong.
- It does not conduct banking or deposit-taking business in Hong Kong.
- 130 CFDs available for trading including 70 forex pairs.
- HKD is not supported for deposit or among the 12 available base currencies.
80% of retail CFD accounts lose money
- Oanda is not regulated in Hong Kong but accepts Hong Kong traders under MAS regulation as OANDA Asia Pacific Pte Ltd with license n° 200704926K.
- Dealing in OTC Derivatives Contracts with over 100 CFDs available including more than 70 forex pairs.
- Oanda allows trading with low spreads from 0.6 pip on EUR/USD and leverage up to 1:20 on forex in Hong Kong.
- Access to higher leverage up to 1:50 on forex is reserved for accredited investors who have net financial assets exceeding $1m or meet similar requirements.
- Award winner for the “Best CFD Broker Asia Pacific 2019” and “Most Popular Broker and Best Forex and CFD Broker 2020”.
- Oanda accounts can be opened only with USD but deposits can be made directly in Hong Kong Dollars (HKD).
73.5% of retail CFD accounts lose money
- Interactive Brokers Hong Kong Limited is HK SFC regulated with a type 3 license n° ADI249 providing leveraged foreign exchange trading.
- Physical office in Queensway, Admiralty, Hong Kong.
- Hong Kong Dollar (HKD) is available for account funding and is accepted as a base currency for your account.
- Deposits can be made via bank wires, Instant Local Transfer via FPS, or mailing a check.
- Interactive Brokers offer access to 130 global markets with over 7,000 CFDs including more than 100 forex pairs offered at tight spreads from 0.2 pips on EUR/USD.
Visit Interactive Brokers
74-89% of retail CFD accounts lose money
- Rakuten Securities Hong Kong Limited is HK SFC regulated with a type 3 license n° AIM232 providing leveraged foreign exchange trading.
- Physical office in Connaught Road Central, Hong Kong.
- To open an account in Hong Kong you have to meet the minimum deposit of 10,000 HKD.
- Traders with a HK bank account have local transfer options available to choose from including e-banking, FPS, ATM, and cash deposit.
- Rakuten Securities offer 40 forex pairs with competitive and fixed spreads from 0.9 pips.
- Hong Kong traders with a trading volume of at least 10,000 per month can join the Rakuten FX Membership Programme and earn rewards of up to 1,200 HKD.
Visit Rakuten Securities
(74-89% of retail CFD accounts lose money)
Is forex trading legal in Hong Kong?
Forex trading in Hong Kong is completely legal. It is regulated there by the Securities and Futures Commission of Hong Kong (SFC) which was established in 1989 and has an excellent reputation within the industry as a top regulator.
Trading forex in Hong Kong you can expect to find leverage of up to 20:1 on forex, though negative balance protection in HK is not mandatory so this is something to be mindful of, particularly as a new trader.
How to trade forex in Hong Kong
Trading forex in Hong Kong is much like in any other country, you will be asked by a regulated forex broker when you sign up to confirm a couple of key details with certain documents.
This means providing proof of ID, a passport is best, and proof of residence which you can provide through a bank statement or utility bill that is recent. These should allow you to pass the verification process, and go on to fund your account which you may be asked to do at that time.
Hong Kong trader? Here’s what to look for in a forex broker
Trading in Hong Kong, there are a few key points to look out for when choosing your forex broker. Below are a few important tips you can take on board:
1. Give priority to HK regulated brokers
Local regulation from the SFC not only means you have a well-trusted regulator in your corner, but if the broker is regulated locally, this can also make it easier to solve any issues or challenges if they do arise.
2. Negative balance protection
Since negative balance protection is not mandatory in Hong Kong, it is not offered by every broker. This means that if you do want to have this feature which can be very useful in helping you stay protected, then you should seek out a broker who does offer it.
3. Choose a broker with a great demo account
Any kind of trading can be risky. Particularly if you are new to trading, and definitely if you trade using leverage. For this reason, you should definitely try to take advantage of some of the excellent demo accounts offered by the brokers above. This is a risk-free way to learn more.
How to verify if a forex broker is regulated in Hong Kong
You may want to verify that your broker is regulated in HK.This is easy for you to double-check and you can do so by visiting the official SEC of Hong Kong website which should have all the information you need available.
Is forex trading taxable in Hong Kong?
Forex trading is taxable in Hong Kong. With that said, there is no Capital Gains Tax in HK. There is however a progressive rate of tax that you will be subject to. This is based on your net chargeable income and starts from 2% with an upper cap of 17%.
- Disclaimer: we are not tax advisors and you should always consult with a tax professional for more details on tax issues in any region.
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