Forex.com vs IG Markets: Comparison and Analysis

About Forex.com and IG Markets

Both Forex.com and IG Markets have made a name for themselves as good online brokers that allow you to trade currencies and CFDs on international financial markets. Forex.com started out as one of the first online broker services in 2001, whereas IG Markets has been in the business of brokerage for nearly five decades, dating back all the way to 1974, when they were established as a spread betting business dealing primarily in trading gold prices.

While it may seem that IG Markets has a significant edge over Forex.com because they were created decades earlier, nowadays, the two platforms are both considered to be industry leaders when it comes to forex and CFDs trading.

Forex.com vs. IG Markets: Which Broker Offers Better Pricing?

Figuring out which trading platform has better pricing isn’t as simple as it might seem, as there are a lot of factors and hidden costs to consider. First of all, there’s the matter of a minimum deposit requirement. Forex.com has a lower threshold, with those wishing to use IG Markets having to make a larger initial investment..

Let’s take a look at the average spread on one of the most commonly traded currency pairs, EUR/USD. On IG Markets, it comes out to 0.86 pips, whereas on Forex.com, it’s a set 1.0. The spread is usually lower on IG for most pairs we’ve tested, making it the clear winner when it comes to trading costs.

Winner: IG Markets

Forex.com vs. IG Markets: Which Market Selection is Better?

When it comes to the total number of assets, IG offers up to 19,000 tradable symbols. Compared to Forex.com’s 5500, that’s a pretty significant gap between the brokers. Of course, more doesn’t always mean better. A more important question to answer is how these trading platforms compare against each other when it comes to the types of assets and commodities you can trade.

Both platforms allow foreign currency trading, as well as trading in U.S. stocks. In terms of currency pairs, not much separates the two, but IG Markets once again is at a slighter advantage, with 100 available pairs vs. Forex.com’s 91.

More advanced traders might want to spread their wings and look into non-US stock trading, which is present on IG Markets, but nowhere to be found on Forex.com.

You can easily trade cryptocurrency CFDs on both Forex.com and IG Markets, as expected from most online brokers nowadays. If you’re based in the UK, take into account the fact that only professional traders can trade cryptocurrency CFDs on any trading platform out there, but that’s a legal barrier and not exactly a shortcoming on the side of either broker.

Winner: IG Markets

Forex.com vs. IG Markets: Which Platform is Safer for Forex Traders?

Most modern online trading platforms are well-regulated, and the case is no different with Forex.com and IG Markets. Both platforms have the same Trust Score of 99.

Licenses from Tier 1 regulators are another important factor when it comes to assessing the legitimacy of trading platforms and online brokers. IG Markets holds 7 such licenses from the following financial markets authority bodies:

• Australian Securities and Investments Commission
• Financial Services Agency (Japan)
• Monetary Authority of Singapore
• Swiss Financial Market Supervisory Authority
• Commodity Futures Trading Commission (United States)
• Financial Markets Authority (New Zealand)

Forex.com, on the other hand, is licensed by four Tier 1 regulators. On top of being recognized by the American CFTC and British FCA, it also holds licenses from two other authorities:

• Investment Industry Regulatory Organization of Canada
• Securities and Futures Commission (Hong Kong)

All in all, while IG Markets has more Tier 1 licenses than Forex.com, both platforms are generally considered low risk when it comes to your privacy and protecting your funds from malicious actors. They also abide by the latest encryption standards and use advanced security software to protect their users.

Winner: Draw

Which Forex Broker is Better? Forex.com or IG Markets?

A quick glance at our comparison of Forex.com and IG Markets will reveal that IG has access to more markets, and lower pricing across the board, with the exception of the minimum deposit requirement.

However, that is not to say that Forex.com is completely useless. If you’re into automated trading tools, you might want to give this broker a shot, as they provide access to Meta Trader 5, the latest version of the auto-trading platform, something that you won’t find at IG Markets (they do have Meta Trader 4, though). Both platforms also provide you with plenty of educational materials to begin your journey, as well as allow you to dip your toes in the trading world with a free demo account.

All in all, we consider IG Markets to be the superior online trading platform, but it’s also important to highlight that Forex.com is a good broker, as well. However, when set side-by-side with IG, the gaps in some areas are impossible to overlook. For a complete overview of both platforms, consider checking out our comprehensive Forex.com and IG Markets reviews.

Winner: IG Markets