A Comparison of Forex Brokers Minimum Deposits
There are lots of things to consider when looking for a forex broker, including the minimum deposit needed to start trading. If you are a very small investor, there is an advantage to finding a broker with a low minimum deposit, so you can get started with online trading quickly.
The minimum deposit is the amount you need to transfer into your brokerage account before you can start trading. Some brokers refer to it as an initial deposit, first deposit, or initial funding. You will want to do your research, and look at the minimum deposit requirement at each broker you consider. Remember that many brokers offer a range of account types, and you may find that the deposit required is different for each type of account.
Today we’re comparing three popular online brokers: XM, Pepperstone and OctaFX. We’ll take a look at what their minimum required deposit is, what they recommend, and if the deposit differs between account types.
XM Minimum Deposit
XM is a broker that aims its services at a wide variety of traders, with a range of experience. For this reason, it offers a choice of different account types, each with a different minimum deposit amount required.
The minimum deposit for an XM Standard account, or Micro account is just $5, which is very low compared to many of its competitors. XM also offer a premium account, known as Zero account, so-called because the spreads can go as low as zero pips. The Zero account comes with several extra benefits, and requires a minimum deposit of $100. There is no deposit fee at XM, so you really will only require the minimum stated. You will need to wait until the funds have cleared into your account before you can start trading.
Pepperstone Minimum Deposit
Pepperstone also offer a choice of accounts, with both a commission-free Standard account and a Razor account, which involves a commission charge, but also offers spreads as low as zero pips on some instruments. At Pepperstone, however, both account types are similar when it comes to making an initial deposit. Pepperstone have a recommended minimum deposit of $200, or the equivalent in your base currency, for both account types.
However, at Pepperstone, this is a recommendation, and not mandatory. Most deposit methods available at Pepperstone allow you to make a deposit as small as $5, and you will be able to start trading as soon as you have cleared funds in your account. Pepperstone is an international broker offering accounts worldwide, so it is advisable to double check if there are any restrictions regarding deposit amounts and methods in your region.
OctaFX Minimum Deposit
OctaFX also allow a minimum deposit of just $5, and again, you can start trading as soon as those funds are cleared in your account. OctaFX also recommend a higher deposit, and point out that “the more funds you have, the less risks you are exposing yourself to on a particular trade”. It is possible, however, to get started with just that initial $5 deposit.