Page Summary
This guide helps users to find the best low spread forex brokers in UAE. Low spreads refer to a smaller difference between the bid and the ask price. They are popular among UAE traders because as they initiate lower costs and higher liquidity. With the growing number of low spread brokers (local and offshore) it can be hard to select the ideal provider for individual needs and goals.
To guide users safely through the selection process, we have researched, compared and evaluated the different providers and their services in UAE to create a list of top choices. Weather you are searching for advanced trading platform or beginner trading features, our analysis considered criteria including trading platforms and features, availability of forex pairs, regulation & reputation, reliability of trade execution, maximum leverage, customer support and islamic account availability.
This guide assesses 46 online brokers offering low spreads. It helps users to review and compare the best options for their trading goals by providing a list of the best low spread forex brokers in UAE.
Best Low Spread Forex Brokers in UAE
- FP Markets – Best Low-Spread Forex Broker Overall
- IC Markets – Top Low Spread Multi-Platform Broker
- Eightcap – Ideal for Automated Trading
- eToro – Best Low Spread Forex Broker for Social/Copy Trading
- Vantage – Best for Social/Copy Trading
- XM – Optimal Low Spread Broker for Beginners
6 Top Low Spread Forex Brokers in UAE Reviewed
Below we break down the top low-spread forex brokers in UAE including their advantages, disadvantages, and key features.
1. FP Markets – Best Low-Spread Forex Broker Overall
Min Deposit: 0
Fees: 5.0
Assets available: 3.1
Total Fees:
FP Markets is the best low spread forex broker in UAE because it offers the lowest spread in the industry starting at 0,0 pips (EUR/USD) and access to over 60 different forex pairs. Users can trade on a variety of platforms including IRESS proprietary WebTrader, MetaTrader 4 and 5 and integrate third party platforms including Autochartist, Trading Central, and Myfxbook Autotrade.
Traders also have access to a virtual private server for forex trading, which reduces order execution speeds and allows implementation of automated trading through Expert Advisors, trading scripts, and other external trading software.
FP Markets allows forex traders to apply different trading strategies, including short selling, scalping, and hedging, and offers a free demo account to backtest trading strategies.
FP Markets Spreads and Commissions
FP Markets charges low spreads starting at 0,0 pips (EUR/USD) plus a fixed commission of $3/lot on its raw spread (ECN) account. All forex and crypto CFD trades are commission-free.
FP Markets’ Raw Spread account offers extremely low spreads starting at 0,6 pips on EUR/USD. However, because of its ECN-pricing structure, it charges a fixed commission per round traded lot of $3 instead. Traders also have access to a virtual private server for forex trading, which reduces order execution speeds and allows for easy automated trading through Expert Advisors, trading scripts, and other external trading software.
| Broker | FP Markets | IC Markets | Eight Cap | Vantage | XM |
| EUR/USD | 0,0 pips | 0,3 pips | 0,06 pips | 0,0 pips | 0,00001 pips |
| USD/JPY | 0,65 pips | 0,4 pips | 0,23 pips | 0,4 pips | 0,015 pips |
| GBP/USD | 0,92 pips | 0,8 pips | 0,73 pips | 0,5 pips | 0,00019 pips |
| AUD/USD | 0,28 pips | 0,6 pips | 0,27 pips | 0,3 pips | 0,00016 pips |
| Min. Deposit | $100 | $200 | $100 | $50 | $5 |
| Swap Free Account | Yes | Yes | No | Yes | Yes |
| Inactivity Fee | No | No | No | No | Yes, $5 per month |
| Funding Fee | No | No | No | No | $15 |
FP Markets Account Types
FP Markets offers 5 different account types: Standard MT4 – MT5 Accounts, Raw MT4 – MT5 Accounts, Islamic MetaTrader 4 & 5 Accounts, and demo accounts. All account types have access to the same instruments but come with different fee structures, leverage conditions, and trading platform features.
- Standard MT4 – MT5 Accounts is the basic account type with a spread of 1,0 pips (EUR/USD). This account allows traders access to all asset classes, including forex, with up to 1:30 leverage.
- Raw MT4 – MT5 Accounts are ECN-priced accounts with a spread of 0,0 pips (EUR/USD) and a fixed commission of $3 per round-traded lot.
FP Markets Account Types and Features
| Features | Standard MT4 & MT5 Accounts | Raw Spread MT 4 and MT 5 Accounts | Islamic Accounts |
| Minimum Deposit | $100 | $100 | $100 |
| Spreads | 1,1 pips, $0 commission | 0,0 pips, $3,00 commission | 0,0 pips, $3,00 commission |
| Swaps | Yes | Yes | No |
| Max. Leverage | 30:1 or 500:1 | 30:1 or 500:1 | 30:1 or 500:1 |
FP Markets Available Assets
FP Markets offers traders access to 60 forex currency pairs, including all major, minor, and exotic pairs. Apart from forex and CFDs, FP Markets also enables traders access to shares, precious metals, commodities, indices, bonds, and ETFs.
FP Markets Trading Platforms
FP Markets’ list of trading platforms includes a proprietary WebTrader, mobile trading apps, the full MetaTrader suite (MT4 and MT5), and third-party add-ons like Autochartist, Trading Central, and Myfxbook Autotrade. Additionally, traders can participate in social trading or manage multiple accounts with the MAM/PAMM management features.
FP Markets Key Features for Forex Traders
- Great selection of forex currency pairs: 60 forex pairs and 12 crypto CFDs
- Low average spreads: starting at 0,0 pips on EUR/USD on raw spread accounts
- Multiple trading platforms: proprietary trading platforms, trading apps, IRESS, MT4, MT5, Autochartist, Myfxbook
- Islamic swap-free accounts: yes
- Special features: VPS, Autochartist
- Maximum leverage: 30:1 for retail traders and 500:1 for professional and institutional traders
- Micro lot trading: yes
- Recommended experience level: average to advanced
- Supported trading strategies: automated trading, short selling, scalping, hedging, swing trading
Pros
- Great option for scalping and day trading
- Fast trade execution through NY4 VPS
- Many additional advanced trading tools (Autochartist, myfxbook, social trading, forex calculator)
Cons
- Research tools could be better
75.31% of retail CFD accounts lose money
2. IC Markets – Best Low Spread Broker for Trading Platforms and Features
Min Deposit: $200
Fees: 4.7
Assets available: 3.6
Total Fees:
Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71,65% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
IC Markets charges low spreads of 0,0 pips (EUR/USD) on the Raw Spread account and 0,6 pips (EUR/USD) on the regular account. They also offer access to 11 different trading platforms, including cTrader and the full MetaTrader suite (MT4 and MT5) and leverage of up to 1:500. This makes them a great low spread forex broker for diversification of platforms.
IC Markets guarantees fast order execution through IC Markets’ virtual private server and deep liquidity through the brokers’ ECN network.
IC Markets Spreads and Fees
IC Markets charges low spreads of 0,0 pips (EUR/USD) on the Raw Spread account and 0,6 pips (EUR/USD) on the regular account.
IC Markets’ trading fees are among the lowest in the industry and are based on a per-currency basis on standard lot sizes. The broker allows forex traders access to trade micro lots and charges low, competitive swap rates. IC Markets doesn’t charge transaction or inactivity fees, which makes it one of the cheapest brokers for UAE forex traders.
IC Markets Account Types
IC Markets offers three main account types: Standard, Raw Spread (MT4, MT5), and Raw Spread cTrader. All account types have Islamic and demo account versions available and have different fee structures.
IC Markets Account Types and Features
| Features | Standard | Raw Spread | Raw Spread cTrader | Islamic |
| Minimum Deposit | $200 | $200 | $200 | $200 |
| Spreads | 0,6 pips, $0 commission | 0,0 pips, $3,50 commission | 0,0 pips, $3 commission | 0,0 pips, $3,50 commission |
| Swaps | Yes | Yes | Yes | No |
| Max. Leverage | 30:1 or 500:1 | 30:1 or 500:1 | 30:1 or 500:1 | 30:1 or 500:1 |
IC Markets Available Assets
IC Markets offers access to 61 forex pairs, 25 indices, 2,100 stock CFDs, 100 futures, 12 commodities, hundreds of bond CFDs, and 10 cryptocurrency CFDs.
IC Markets Trading Platforms
IC Markets’ list of trading platforms includes a proprietary Webtrader and mobile apps, and top-tier trading platforms like MetaTrader 4, MetaTrader 5, and cTrader. Additionally, traders can integrate third-party extensions like Myfxbook AutoTrade and ZuluTrade.
IC Markets Key Features for Forex Traders:
- Great selection of forex currency pairs: 61 forex pairs and forex CFDs
- Competitive spreads: starting at 0,0 pips on EUR/USD
- Multiple trading platforms: proprietary, MetaTrader 4, MetaTrader 5, cTrader
- High maximum leverage: of up to 30:1 for retail traders and 500:1 for professional and institutional traders
- Regulated by multiple tier-1 regulators: FCA, FSA, ASIC, CySEC
- Islamic swap-free account: yes
- Micro lot trading: yes
- Recommended experience level: Average
- Supported trading strategies: day trading, scalping, swing trading
Read the full IC Markets review
Pros
- Good mobile and automated trading options
- Fast order execution and multiple order types
- Favorable fee structure for scalping and day trading
Cons
- Different commissions on MetaTrader and cTrader accounts
Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 71,65% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
3. Eightcap – Best Low Spread Forex Broker for Automated Trading
Min Deposit: $100
Fees: 4.9
Assets available: 2.8
Total Fees:
With access to full MetaTrader suite (MT4 and MT5), a free forex virtual private server, and Capitalise.ai, Eight Cap is the top low spread forex broker for automated trading. Eight Cap also features an extensive research and education section, including an AI-powered economic calendar, forex news, and analysis overviews to help traders spot opportunities.
The maximum leverage offered at Eight Cap is 500:1 and the broker allows users to integrate TradingView within their charting.
Eight Cap Spreads and Commissions
Eight Cap charges a low spread of 0,0 pips (EUR/USD) plus a fixed commission of $3,50 on their Raw spread account.
Eight Cap charges additional forex trading fees in the form of swap roll-overs (overnight fees) of 2%. They also charge currency conversion fees, but no deposit or withdrawal fees, which makes their overall fees rank industry average.
Eight Cap Account Types
Eight Cap users can choose between 2 different account types: Standard and Raw. Both accounts have demo account options available, support Expert Advisors, and allow micro-lot trading. However, Eight Cap doesn’t offer Islamic swap-free accounts.
- Standard Accounts are the basic account types that allow traders access to all asset classes, including forex, with up to 1:30 leverage and spreads starting at 0,1 pips (EUR/USD) without any additional commissions
- Raw MT4 Accounts are ECN-priced accounts that charge spreads of 0,0 pips (EUR/USD) plus a fixed commission of $3,50 per lot.
| Features | Standard Accounts | Raw Spread Accounts |
| Minimum Deposit | $100 | $100 |
| Spreads | 0,1 pips, $0 commission | 0,0 pips, $3,50 commission |
| Swaps | Yes | Yes |
| Max. Leverage | 500:1 | 500:1 |
Eight Cap Available Assets
Eight Cap allows users to trade on over 40 different forex pairs and CFDs on indices, commodities, and shares.
Eight Cap Forex Trading Platforms
Eight Cap’s list of forex trading platforms include its proprietary WebTrader, MetaTrader 4, and MetaTrader 5 with TradingView integration.
All Eight Cap forex trading platforms feature real-time price quotes, multiple order types, dynamic charting features, built-in technical analysis indicators, detailed order book information, and comprehensive risk management tools. Eight Cap users also get access to a free forex VPS, an AI-powered economic calendar, Capitalise.ai, and Cryptocrusher.
Eight Cap Customer Service
The Eight Cap customer service is available 24/7 by phone, email, and live chat in both English and Arabic.
Eight Cap Key Features for Forex Traders:
- Great selection of forex currency pairs: 40+ forex pairs
- Competitive spreads: starting at 0,0 pips on EUR/USD with Raw account
- Multiple trading platforms: proprietary, MetaTrader 4, MetaTrader 5
- High maximum leverage: of up to 30:1 for retail traders and 500:1 for professional and institutional traders
- Regulated by multiple tier-1 regulators: SCB, FCA, ASIC, CySEC
- Islamic swap-free account: no
- Micro lot trading: yes
- Recommended experience level: Average
- Supported trading strategies: day trading, scalping, swing trading, algorithmic trading, bot integration
Read full Eight Cap review
Pros
- Great tools for automated trading (Cryptocrusher, Capitalise.ai, AI-powered economic calender, free VPS)
- TradingView charting integration
- Compatible with the full MetaTrader suite (4 and 5)
Cons
- Least amount of forex pairs available compared to other brokers
- Doesn’t offer Islamic swap-free accounts
74-89% of retail CFD accounts lose money
4. eToro – Best Low Spread Forex Broker for Social/Copy Trading
Min Deposit: $200
Fees: 3,2/5
Assets available: 4/5
Total Fees: $5 Withdrawal fees, 0,50% currency conversion fees, stamp duty fees, $10/month inactivity fees after 12 months of account inactivity
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more
With its beginner-friendly social trading platform, eToro caters to beginner traders and investors who don’t have the time to trade the markets themselves. Users can automatically copy the trades of professional traders from their accounts and have access to self-directed stock, ETF, and cryptocurrency trading and investing.
eToro offers maximum leverage trading at 30:1 and 1:400 for retail and professional traders. Its feature-packed proprietary trading platform also provides users access to various charting and technical analysis tools.
eToro Spreads and Commissions
eToro offers commission-free stock and ETF trading and investing, meaning that users don’t pay any trading fees while speculating these assets. On the other hand, eToro does charge fixed and variable spreads, starting at 1,0 pips on EUR/USD. These trading fees are industry average.
Additionally, eToro charges non-trading fees, including withdrawal, currency conversion, and inactivity fees.
eToro Account Types
eToro has 5 trading account types: Standard Account, VIP Account, Demo Account, Swap-Free Islamic Account, Professional Account, and Corporate Account. Below, our experts break down the details of each available eToro account type.
- Standard Account – The Standard Account caters to retail traders and allows them to trade with up to 30:1 leverage.
- VIP Account – The VIP Account is for larger account holders and provides access to various perks and benefits, including a personal VIP manager, exclusive rewards, and pip rebates.
- Demo Account – The Demo Account allows beginner traders to familiarize themselves with the platform and trading in general.
- Swap-Free Islamic Account – The Swap-Free Islamic Account is designed for traders and investors of the Muslim faith who want to use the platform according to Sharia law.
- Professional Account—The Professional Account is meant for professional traders with more than $500,000 in their own capital who want to trade with leverage up to 500:1.
- Corporate Account: This account has the same features as the Standard Account but is aimed at small businesses and family offices (not proprietary trading desks).
Opening a live trading account with eToro is a breeze and can be done from $200 with Visa, MasterCard, wire transfer, PayPal, Neteller, and Skrill. Accounts can be funded in AED, but these funds will be converted into USD upon deposit as the platform only supports USD trading.
eToro Available Assets
eToro allows users access to 3,000+ financial instruments in total, more than 2,300 CFDs, 260 ETFs, 74 cryptocurrencies, and 49 forex pairs. Additionally, it provides users with a series of thematic long-term investment options called eToro Smart Portfolios.
eToro Trading Platforms
eToro has a proprietary trading platform and corresponding Android and iOS apps. This platform can be used for either social trading or self-directed trading. The broker isn’t compatible with third-party integrations or trading platforms, such as MetaTrader 4, 5, or cTrader. Still, its intuitively designed and beginner-friendly trading platform will appeal to many novice traders.
eToro Key Features for Forex Traders
- Wide variety of available forex pairs: 49 major, minor, and exotic currency pairs
- Low fixed and variable spreads: starting at 1,0 pips on EUR/USD, commission-free stock and ETF trading and investing
- High maximum leverage: up to 500:1 for professional traders
- Demo and Islamic swap-free accounts: available for account types
- Regulated by multiple tier-1 regulators: Including the FCA, CySEC, ASIC, and ADGM
- Micro-lot trading: yes
- Recommended experience level: Beginner
- Supported trading strategies: day trading, scalping, swing trading
Pros
- Access to over 3,000 financial instruments, including shares, ETFs, CFDs, commodities, and cryptocurrencies
- The option to fully automate one’s trades through Social Trading or Copy Trading
- Beginner-friendly proprietary trading platform and apps
- Wide range of educational material and research tools
Cons
- Beginner-friendly platforms may lack some advanced features for experienced traders
- Relatively high cryptocurrency trading fees (1%)
- Social Trading might not be as profitable as advertised
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more
5. Vantage – Best Low Spread Forex Broker for Social/Copy Trading
Min Deposit: $200
Fees: 5.0
Assets available: 2.1
Total Fees:
Vantage Markets offers the lowest spreads in the industry ranging between 0,0 and 1,0 pip on all major forex pairs. They also offer multiple external social trading platforms available including ZuluTrade, DupliTrade, MyFXBook AutoTrade, and its proprietary Vantage Social Trading platform. This makes Vantage ranking among the best low-spread forex brokers in UAE for social/copy trading.
Vantage Markets also offers up to 500:1 leverage, micro-lot trading, sentiment indicators, a free forex VPS, trading signals, and TradingView integration, enabling optimal forex trading conditions.
Vantage Markets Spreads and Commissions
With spreads on major forex pairs ranging from 0,0 pips to 1,0 pips, and low commissions of up to $3 per lot per side, Vantage has the lowest forex trading fees in the industry.
Vantage Markets Account Types
Vantage Markets users can choose between 3 different account types: Standard STP, Raw ECN, and Pro ECN. All account types offer a free demo paper trading account and Islamic swap-free account options. Below is a detailed breakdown of what each account type has to offer:
- Standard STP: is the basic forex trading account with a minimum deposit of $50 and spreads starting at 1,0 pips on EUR/USD. It offers 500:1 leverage, and is compatible with MetaTrader 4 and 5.
- Raw ECN: is the account type designed for experienced traders with deep liquidity and lower spreads. Spreads start at 0,0 pips, commission at $3,00 per lot per side, its offers support for the full MetaTrader suite and up to 500:1 leverage.
- Pro ECN: is the professional account for high volume trading. The minimum deposit is $10,000 and the account offers micro-lot trading, up to 500:1 leverage, charges low, floating spreads starting at 0,1 pips, and commissions from $1,50 per lot.
| Account Type | EUR/USD | GBP/USD | AUD/USD | USD/JPY | Commissions |
| Standard STP | 1,4 pips | 1,6 pips | 1,4 pips | 1,5 pips | $0 |
| Raw ECN | 0,0 pips | 0,5 pips | 0,3 pips | 0,4 pips | $3 |
| Pro ECN | 0,0 pips | 0,5 pips | 0,3 pips | 0,4 pips | $1,50 |
Vantage Markets account opening is fully digital and traders can fund their accounts with Visa, MasterCard, wire transfer, Skrill, Union Pay, Neteller, and Boleto in multiple currencies, including AED and USD.
Vantage Markets Available Assets
Vantage Markets offers users access to 49 forex pairs. Although they offer the lowest amount of forex pairs out of all compared brokers, they feature all major and minor currency pairs.
Vantage Markets Trading Platforms
Vantage Markets list of platforms include two proprietary web platforms: the WebTrader and ProTrader, the Vantage App and Metaquotes Apps, MetaTrader 4, MetaTrader 5, Vantage Social Trading, and automated trading extensions MyFXBook Autotrade, DupliTrade, and ZuluTrade.
Vantage Markets Key Features for Forex Traders
- Great selection of forex currency pairs: 49+ forex pairs
- Competitive spreads: starting at 0,0 pips on EUR/USD with Raw and Pro ECN accounts
- Multiple trading platforms: proprietary, MetaTrader 4, MetaTrader 5, ZuluTrade, DupliTrade, MyFXBook AutoTrade, mobile trading apps
- High maximum leverage: of up to 500:1 for professional traders
- Regulated by multiple tier-1 regulators: SCB, FCA, ASIC, CySEC, CIMA, SIBL
- Islamic swap-free account: yes
- Micro lot trading: yes
- Recommended experience level: Average
- Supported trading strategies: day trading, scalping, swing trading, algorithmic trading, bot integration
Read full Vantage Markets review
Pros
- Superb range of social trading platforms and extentions
- Offers trading signals, sentiment indicators, and a free forex VPS
- Broad range of Smart Trader Tools for MT4 and MT5, including Alarm Manager, Correlation Matrix, and Excel RTD Link
Cons
- Small selection of forex pairs compared to other brokers mentioned in our guide
- May be overwhelming for beginners
- No investor protection for UAE users
74-89% of retail CFD accounts lose money
6. XM – Best Low Spread Forex Broker for Beginners
Min Deposit: $5
Fees: 4.1
Assets available: 2.8
Total Fees:
With its low spreads of 0,0 pips (EUR/USD) plus fixed commission of $3,50 per lot, extensive research and education section, XM is the top low spread forex broker in UAE for beginners.
XM features 11 different trading platforms, including multiple MetaTrader 4 and 5 extensions and other third-party integrations including Trading Central and MQL5. This allows forex traders to trade manually and automatically using Expert Advisors, trading scripts, and other forms of algorithmic trading.
XM Spreads and Commissions
XM spreads start at 0,0 pips (EUR/USD) plus a fixed commission of $3,50 per lot on the XM Zero (ECN) account.
XM charges a variable spread of 1,7pips without a commission on the Standard and Micro account.
XM Account Types
XM offers 3 different account types: the Standard, Micro, and XM Zero Accounts. Each account has a free demo option and can be converted to an Islamic swap-free account. All accounts offer access to 57 forex pairs and up to 1000:1 leverage for professional traders.
- The XM Zero account is the low spread account charging 0,0 pips (EUR/USD) plus a fixed commission of $3,50 per lot and also provides users access to ECN liquidity and charges them via an ECN-pricing structure.
- The Standard Account is the basic XM trading account with variable spreads starting from 1,7 pips (EUR/USD) without any commission charges and up to 1,000:1 leverage.
- The Micro Account offers access to trade micro-lots and has the same functionalities as the Standard Account. Spreads also start at 1,7 pips (EUR/USD).
XM Account Types and Features
| Features | Standard Account | Micro Account | XM Zero Account |
| Minimum Deposit | $5 | $5 | $5 |
| Spreads | 1,7 pips, $0 commission | 1,7 pips, $0 commission | 0,0 pips, $3,50 commission |
| Standard lot size | 100,000 | 1,000 | 100,000 |
| Swaps | Yes | Yes | Yes |
| Max. Leverage | Up to 1000:1 | Up to 1000:1 | Up to 1000:1 |
XM Available Assets
XM allows users to trade on over 1,000 financial instruments, including 57 forex pairs.
XM Trading Platforms
XM’s selection of trading platforms includes a proprietary desktop and mobile trading platform, the full MetaTrader suite (4,5), and trading platforms for Mac devices. This broad range of available trading platforms makes XM suitable for all sorts of traders, including beginners.
XM Research and Education
XM’s research and education section contains daily market news and analysis videos and blog posts, an economic calendar, technical summaries, XM TV, podcasts, trading webinars, and a live trading room where traders can watch professional traders trade the forex markets.
| Research & Education Features | FP Markets | IC Markets | Eight Cap | Vantage | XM |
| Trading Signals | No | No | Yes | No | Yes |
| Educational Resources | Yes | Yes | Yes | Yes | Yes |
| Webinars | Yes | Yes | Yes | No | Yes |
| In-depth Market Analysis | Yes | Yes | Yes | Yes | Yes |
| Personal Training and Trading Room | No | No | No | No | Yes |
XM Key Features for Forex Traders
- Great selection of forex currency pairs: 57 forex pairs
- Competitive spreads: starting at 0,0 pips on EUR/USD with XM Zero accounts
- Multiple trading platforms: proprietary, MetaTrader 4, MetaTrader 5
- High maximum leverage: of up to 1,000:1 for professional traders
- Regulated by multiple tier-1 regulators: ASIC, CySEC, FCA, DFSA
- Islamic swap-free account: yes
- Micro lot trading: yes
- Recommended experience level: Average
- Supported trading strategies: day trading, scalping, swing trading, algorithmic trading, bot integration
Read full XM review
75.59% of retail CFD accounts lose money
How To Choose The Right UAE Forex Broker With Low Spreads?
Criteria to consider to select the ideal forex brokers with low spread are listed below.
- Availability of forex currency pairs
- Trading platforms and features for forex trading
- Regulation and reputation
- Customer service
- Islamic account availability
- Other trading fees (commission, overnight fees, deposit and withdrawal)
Top Low Spread Forex Brokers Compared
Key features of the highest rated low spread forex brokers in UAE are compared in the table below.
| Broker | ECN (EUR/USD) | EUR/USD | USD/JPY | GBP/USD | AUD/USD | EUR/GBP | EUR/JPY |
| FP Markets | 0,0 | 0,0 | 0,1 | 0,1 | 0,1 | 0,2 | 0,3 |
| IC Markets | 0,0 | 0,0 | 0,1 | 0,1 | 0,1 | 0,3 | 0,5 |
| Eightcap | 0,1 | 0,1 | 0,1 | 0,1 | 0,1 | 0,3 | 0,5 |
| eToro | 1 | 1 | 1 | 2 | 1 | 1.5 | 2 |
| Vantage | 0,1 | 0,1 | 0,2 | 0,2 | 0,4 | 0,4 | 0,6 |
| XM | 0,1 | 0,1 | 0,2 | 0,1 | 0,3 | 0,1 | 0,4 |
What Are Low Spread Brokers – Definition?
Low spread forex brokers are brokers that charge lower spreads and other trading fees compared with other brokers in the industry. Spreads refer to the artificial price differences between the bid and ask price and are charged by brokers for the provided brokerage services.
It is important to trade with a low spread broker because lower spreads indicate low overall trading costs.
What Are Low Spreads?
A low spread refers to a small (low) difference between the brokers’ offered bid and ask price.
Low spreads are important trading factors because they indicate market stability and high liquidity.
What Are Fixed Spreads?
Fixed spreads are a type of spread that is set by the broker and are not influenced by market movement and activity.
When trading with a fixed spread the trader knows exactly how much his position costs at any given time.
Spreads VS Commissions
Spreads and commissions are both types of premiums that the broker charges for its services.
When searching for a low cost forex brokers you should always check both types of fees: spreads and commissions.
It often happens that brokers who charge low spreads charge high commissions and therefore make sure you check both criteria before opening an account.
Which Forex Broker in UAE Has the Lowest Spread?
- FP Markets – 0,10 pips on MT Raw account
- IC Markets – 0,01 pips on cTrader Raw spread account
- Eight Cap – 0,04 pips on MT4 Raw spread account
- Vantage Markets – 0,01 pips on MT5 Pro ECN account
- XM – 0,001 pips on XM Zero account
What Account Type is Best If You Want To Trade With Low Spreads?
Most commonly ECN account types offer the lowest spreads. ECN accounts allow traders direct market access to match other traders’ offers instead of the higher-ranking broker’s offers.
Although ECN brokers usually offer lower spreads, they do charge a fixed commission per round-traded lot.
Difference Between Raw Spread and Standard Account?
Raw spread accounts allow users direct access to market prices calculated within the bid and ask prices without the broker adding a premium to that. Brokers often charge a fixed commission per trade to offset the lower spreads offered on raw spread accounts.
Standard forex trading accounts do not allow traders direct market access and allow users to open trades in sizes of 100,000 units of a currency, also called standard lots. The bid/ask spread is calculated by subtracting the current bid price from the ask price. For instance, EUR/USD is quoted as 1.1162/1.1163. We subtract the bid price of 1.1162 from the ask price of 1.1163 to calculate the spread. 1.1163 – 1.1162 = 0,0001.
Do Islamic Accounts Offer Low Spreads?
Islamic accounts come with higher spreads than Standard accounts because brokers don’t charge overnight and swapping fees on Islamic accounts. However, brokers mentioned in this guide all offer low spreads, even on Islamic accounts.
Can I Trade Forex in UAE Without a Broker?
Traders can only trade forex using a brokerage account, that provides leverage (margin), and a trading platform to trade currency pairs on.
What Are Trading Strategies That Allow The Lowest Spreads?
The most common trading strategy to get the lowest spreads is scalping.
With this trading strategy, traders buy or sell currency pairs on a short period in order to make a series of small profits in a row. To scalp successfully, traders have to place their stop-losses just a few pips below the current price and the take-profits as little as possible above the current price. The average profit on a scalp trade is only between 5 and 15 pips.
Conclusion
Due to the numerous available online brokers, it can be time intensive to compare and evaluate their service to find the optimal provider. To make the ideal choice for their needs, traders need to research key data and analyze them considering certain criteria.
This guide does the hassle for you by comparing and evaluating the top choices for different types of traders and trading goals. The results of our assessment of the best low spread forex brokers in UAE are summed up in the table below.
| RANK | BROKER | BUSINESS24-7 SCORE | BEST FOR | WEBSITE |
|---|---|---|---|---|
| #1 | FP Markets | 4,9/5 | Overall experience | Official website |
| #2 | IC Markets | 4,2/5 | Multiple platforms | Official website |
| #3 | Eightcap | 4,1/5 | Automated Trading | Official website |
| #4 | eToro | 4,7/5 | Beginners | Official website eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. |
| #5 | Vantage | 4,9/5 | Social/Copy Trading | Official website |
| #6 | XM | 4,8/5 | Best for Beginners | Official website |
FAQ
The low spreads mean low overall trading fees?
Lower spreads effectively mean lower per trade costs. However, there are other costs that influence the overall trading fees of a broker including commission fees and non-trading fees (overnight, deposit and withdrawal fees).
How does low spread forex brokers make profit?
Low spread forex brokers typically charge fixed per trade commissions to compensate for the low spreads.
Are low spreads better for all type of forex traders?
Because of the lower price of trade execution, low spread brokers are commonly preferred by active traders (scalpers, day traders) and high volume traders.
Are low spread brokers regulated in the UAE?
Low spread brokers are regulated in the UAE the same way as regular brokers.
Which forex brokers in UAE have the lowest spreads?
Brokers with the tightest spreads in UAE are FP markets, IC Markets, Eightcap, Vantage and XM.
Does forex brokers offer zero spreads?
Yes, there are forex brokers that offer zero spreads. However, these brokers commonly charge other fees to compensate for the zero spread including commissions and non-trading fees.
Are zero spread brokers better than low spread brokers?
It depends on the type of trading strategy used by the trader.
Disclaimer
eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 51% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money
This communication is intended for information and educational purposes only and should not be considered investment advice or investment recommendation. Past performance is not an indication of future results.
Copy Trading does not amount to investment advice. The value of your investments may go up or down. Your capital is at risk.
Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment and you should not expect to be protected if something goes wrong. Take 2 mins to learn more
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.
Stefan Grasic is the owner of Business24-7 and has considerable experience in the financial and investment niche, but also enjoys writing articles for the general readership. Stefan is an active stock, CFD, crypto and general investment researcher, advising blockchain companies such as Blockbird, GoCrypto, Hive Terminal at their start up level.