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High Leverage Forex Brokers refers to forex (Foreign Exchange) brokerage firms that offer traders the ability to trade with high leverage ratios. These ratios can go as high as 1000:1 or even more, depending on the broker and the jurisdiction in which they operate.
Leverage, in the context of forex trading, refers to the use of borrowed capital to increase the potential return of an investment.
Financial leverage is expressed as a ratio. For example, if you have a 50:1 leverage, this means that for every $1 of your capital, you can control $50 in the forex market. This allows traders to control larger positions than they could with their own money alone.
It’s worth noting that while leverage can amplify profits, it can also magnify losses if the market moves against the trader’s position, potentially leading to losses greater than the initial investment.
Navigating the world of high leverage Forex trading can be daunting due to the multitude of brokers available. Here, we’ve curated a list of some of the best high leverage Forex brokers to help guide your decision-making process.
The factors we have considered in compiling this list of the best forex brokerage firms with high leverage offering are listed below:
- The maximum leverage available to retail traders
- The available leverage for professional traders
- The minimum order size
- The platforms where high leverage is available
|High leverage forex brokers||Highest leverage available||Min. deposit||Forex orders from|
What are the best high leverage forex brokers?
High leverage forex brokers comparison
It’s important to keep in mind that high leverage comes with extremely high risks. If you’re a beginner, before trading with real money, you should always open a demo account with these brokers first.
The chart below shows the maximum leverage on forex major pairs offered by said brokers. However, this high leverage feature may not be available in every country or world area. For example, within the UK and the EU the maximum leverage allowed is 1:30 due to the ESMA, FCA and ASIC oversight.
|Feature||Min. deposit||FX leverage|
|HF Markets||$5||1:1000 (FSA)|
|Fibo Group||$50||1:1000 (FSC)|
|Grand Capital||$10||1:1000 (FSC)|
Top 7 high leverage forex brokers in the UK: 2023 list
When deciding to take up an account with a high leverage broker, you need to be an experienced trader and have a good understanding of what you are getting into. After all, there is a reason why most forex brokers provide clear disclaimers.
As opposed to solely considering which broker is offering the highest leverage, you also need to consider the quality of a broker’s service and their liquidity.
A high leverage broker should still deliver a high-quality service on top of everything else. High leverage forex brokers in the UK are among some of the best, combining high leverage rates with excellent service and FCA regulation.
Here’s our detailed list of the best high leverage forex brokers for traders in the UK (regulated or authorized by FCA) according to our research:
High leverage trading: 3 things to consider
When trading forex or any kind of trading with high leverage there are a few important points to consider:
Margin calls can be a common occurrence
Particularly at smaller money levels, even a small change in the price of your asset could trigger a margin call. This occurs when you don’t have sufficient funds deposited to cover the loss caused by leveraged trading. The broker may request you to make an additional deposit or else your positions can be automatically closed.
The higher the leverage here, the more vulnerable you are to price changes. It is worth remembering that at a 1:100 leverage, even just a $0.10 change in the foreign exchange value is the equivalent of $10 based on your leverage.
Volatility amplifies the risk of trading with high leverage
As mentioned, even small changes in the asset price can multiply very quickly when operating with high leverage. Volatility in the market can have the potential to wipe out your account very quickly in some cases so it is worth trying to invest in more stable assets and making sure to set a regular stop loss.
Risk management is key
Overall, it is clear that trading with a high leverage involves more risk, which only increases as the leverage goes up. Even professional funds and traders can be wiped out by a volatile market that triggers a margin call. For this reason, your risk management tools, setting a stop loss, and a take profit level, are essential. Using a demo account to learn more about trading before risking real money is also a very wise move.
What’s the highest leverage available by regulation?
The leverage you will have available in forex trading depends on the broker but also on the regulation you are trading under, where you are, and the asset itself. Most regulated brokers with high leverage cap it at around 50:1 as is the case under the IIROC in Canada, for example.
There are some market regulators even stricter like the ESMA in Europe, the FCA in the UK, and ASIC in Australia, where you are limited to 30:1 maximum leverage. In Singapore under MAS, this is even lower at 20:1. The regulatory bodies that offer the highest leverage are the international ones such as the IFSC in Belize, the FSA in Seychelles, the FSA in the British Virgin Islands.
The table below lists the maximum leverage allowed by many regulatory authorities worldwide.
|Assets||ESMA & FCA||ASIC||MAS||Offshore*|
|Major FX pairs||30:1||30:1||20:1||Discretionary|
|Other FX pairs & gold||20:1||20:1||20:1||Discretionary|
*it refers to International market regulators
What is the best leverage for trading?
Typically, 100:1 leverage is the maximum needed to offer you flexibility in various trading techniques although there is no perfect level for every trader. The desirable leverage is dependent on your own circumstances, experience, and attitude to risk. Some traders may want to use no leverage at all, whereas you are experienced it can be a great way to fully exploit trading strategies with minimum capital requirements.
If you are new to trading, one of the best places you can benefit from our article on the best brokers for beginners.
Aside from this, you should utilise the demo accounts offered by high leverage forex brokers. If you live outside the EU, it is worth visiting the FBS website (74-89% of retail CFD accounts lose money) to open a free 30-days demo account, since it offers high leverage of up to 1:3000 under IFSC regulation for you to try, as one of the highest leverage brokers in the industry. FBS also offers a low minimum deposit if you decide to move onto trading with real money.
High leverage forex brokers are as good an option for traders as any other category. Many traders appreciate the high leverage and minimum deposit combination. This way, it is easy to test the brokerage house under live trading conditions and decide if it is the best solution for a long-term partnership.
Other traders do not simply want high leverage conditions, but rather high leverage with low spreads for an improved scalping performance. Many scalpers choose ECN forex brokers, which offer high leverage mixed with raw ECN spreads and commissions.
High leverage forex brokers generally offer staggering execution and market conditions suitable for most types of traders. All traders need to do is to pick the right trading account and adjust the money management in such a way to balance the risks involved with high leverage trading.
To summarise, the most significant advantage of high leverage brokers is that traders get to make the most of their capital.
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