Best Forex Brokers in Nigeria for 2024

We compared & then selected the 8 best Forex brokers in Nigeria that are regulated with FCA (UK), CySEC & FSCA.

Forex Trading is a popular financial instrument for investing in the markets. However, choosing the right forex broker can be a tricky task.

In a rapidly developing country such as Nigeria, there are so many good brokers, but there are also a lot more scam brokers operating in the market. So it is really important to only choose trusted & regulated Nigerian forex brokers and avoid the bad ones.

In order to help you find the best forex broker, we have tracked & compared over 10 different brokers that accept Nigerian traders.

There are various aspects that we looked into in order to assess each broker, these include the broker’s compliance with multiple Top-tier regulations, broker reviews, the amount of fees charged (spreads, commissions & even the hidden charges), leverage offered, minimum deposit, funding & withdrawal methods and time taken etc.

Our below vetted list is created especially for Nigerian traders; it will quickly allow you to compare the key features including spread, leverage, regulation & other factors that you must look for in any reputed forex broker.

5. AvaTrade – Fixed Spread Forex Broker in Nigeria

6. FxPro – Best Forex Broker in Nigeria for Pro Traders

7. IC Markets – True ECN Broker & ASIC regulated

8. FXTM – Forex Broker with Multiple Accounts

9. Alpari – ECN broker & Low minimum deposit (but not well regulated)

How we picked the best Forex Brokers in Nigeria

Unlike other review sites, we actually sign up with the brokers & test their actual platforms, support etc.

When we sign up with a broker we start by checking their registration process, any other ‘not so open’ terms & policies that could affect you later.

One key credential which we give importance in our comparison is that the broker has to be registered & regulated in Nigeria or some well known financial hub like US, UK, Cyprus, South Africa as this would safeguard Nigerian traders.

Then we look into the broker’s platform, the fees, ease & time take during funding & withdrawals, the customer support (does it have live chat, phone number & emails or not). Based on everything we have test, we then give a rating out of 10.

Here’s our 7 points Checklist that you must review in every broker before signing up & depositing funds.

1. Forex Broker’s Regulations

There are various regulations that are in place globally for foreign exchange & CFD brokers. These regulations ensure that traders do not lose money due to illicit activities such as fraud and manipulation by the broker. These regulations also safeguards the money that the traders deposit with the brokers, in case of any event by ensuring segregation of funds.

These regulatory authorities protect the Investor’s money & also provide oversight in case of any violation by the broker. The key objective of regulatory authorities is that the brokers provide transparent services and comply with the laws.

Thus, if you are looking for a Forex broker, you should check whether the broker is registered and licensed or not.

Further, you need to check the broker’s past track record in terms of being banned or fined. The best brokers are usually the ones who have a clean track record and offer transparent services to the investors.

Also, remember that not all regulations are the same. Many CFD brokers register their clients under offshore regulation like IFSC (Belize), FSA (Mauritius) etc. Avoid broker that is regulated only with Offshore regulations, and not with any Top-tier regulators. A good forex broker will be regulated with multiple Tier-1 regulations like FCA, ASIC, CySEC etc.

You can check the CFD broker’s regulatory information on their website. Generally, in most cases you will find the regulated brokers highlighting their regulation throughout their website (mainly the footer section of the website), and will also have a page for regulatory information.

To give you an example, FXTM is regulated by FCA, FSCA & CySEC, which makes it a safer choice for traders in Nigeria compared to brokers that are not licensed anywhere. Similarly, HF Markets (HotForex) is also well regulated as it is licensed by FCA, FSCA, CySEC & few other major regulators.

Both these brokers mention their regulatory license numbers on their website footer section. Here is an example from FXTM’s website which mentions their license numbers.

Also, ensure to check the broker’s license number on Financial regulator’s website (most have a public search page to find regulated/licensed brokers). Some brokers may claim to be licensed, but in reality might be using a fake license number.

2. Broker’s Reputation and Reviews

Another critical aspect to monitor is the reputation and reviews of the broker. There are numerous broker review websites (including us) available online that can provide you with editorial as well as user reviews regarding the brokers.

In addition to this, another way is to ask the existing traders about the brokers. They will be able to guide you on the brokers that you need to avoid & the ones that you can go for.

Did other traders experience any issues with the broker? How is the feedback of the users of the mobile app on Play Store? Is the broker active in responding to serious issues?

By comparing the reviews of brokers and analyzing their reputation, you will be able to make an informed decision on which broker you should choose.

If a broker a lot of negative reviews related to issues such as withdrawals, manipulation of price, spread widening etc. then it should be a red-flag that you should not ignore. Multiple users reporting the same issues is generally a sign that something may be wrong. But of course you should able to distinguish between general customer support issues from broker ‘red flags’.

3. Trading Platforms

Another aspect of the broker that you need to consider carefully is the trading platforms that a broker is offering. Usually, the best brokers in the business will give you multi-platform access i.e. the ability to execute trade orders from anywhere and from any device.

There are some brokers which only allow you to trade only through a web-based interface. It is always better to choose a broker which has a mobile app interface as well, so that you can even trade remotely & manage your orders from your phone. Most of the forex brokers offer their trading apps on iOS & Android.

All the brokers that we have included in our list will allow you to trade on the most popular forex trading platforms i.e. MT4 & MetaTrader 5. MetaTrader includes numerous tools & features like charting, technical analysis tools, news feed, Expert Advisors & multi device support.

Normally, the brokers will list all their available platforms on their website. And it matters to check it!

For example, many traders in Nigeria prefer MetaTrader 4 platform over others. But some of the brokers like Plus500 & eToro for instance do not offer MetaTrader, both these brokers they instead only have their own proprietary platforms for traders.

To check the platforms available, you should visit the website of the broker that you want to signup with. For example, Octa list their available trading platforms in the menu section of their website (see the below screenshot). They offer MT4 & MT5 platforms, and they mention it clearly.

Similar to the above example, you can check the available platforms at other brokers as well. Or you can talk to the broker’s support team to ask which platforms do they offer.

It is important to check if you preferred platform is available or not. Let’s take MetaTrader for example, in which some features that are available on MetaTrader, like multiple indicators, availability of EAs may not be available at the broker’s proprietary platform.

So, you should check out this information before signing up, whether the platform of your choice is available or not. But if you are comfortable using proprietary platforms by brokers too, then you should not be too concerned.

Another important aspect to consider is automated trading in the platform. There are some brokers that offer copy trading platforms on multiple devices, but it is important to understand the risks involved when you are trading the strategies of other traders.

4. Trading Fees (Are there any hidden charge?)

Forex Broker’s fee is another crucial factor to be kept in mind. There are many CFD brokers that will charge a high amount of fees in form of hidden commissions on trades, swap fees, high fees on deposit/withdrawals etc.

It is really important that you carefully consider the various fees a broker might charge you before signing up.

Spread: You should only choose a broker that offers the lowest spread & funding fees. Spread is basically the difference between the bid price and the ask price of a currency. The lower the spread, the better it is for you since you will have to pay lesser to the broker on your trade.

You can check a forex broker’s spread for each currency pair on their website. Almost all CFD brokers list their ‘Available Instruments’ & the associated fees, spread for each instrument.

The above example highlights the EUR/USD spread at FXTM with each account type. You can browse their spread with each account type & then compare. Similarly you can check the spread for other instruments by checking contract specifications for every instrument on ForexTime.

For example, the typical spread for major like EUR/USD with FXTM’s Micro account is 1.9 pips. So, if you place an order for 1 Standard Standard lot, then the fees will be $19. But with their Advantage account, the typical spread is 0 pips + $4.88 commission per lot. The total fees for 1 Lot trade would be $4.88. So, it would make sense to open Advantage account for lower fees.

Commissions: Also check if there is any extra commission per lot with the account type. Some brokers like XM, Octa offer spread only trading accounts. While HFM, FXTM, IC Markets also have trading accounts with Raw spreads plus commission per lot.

The above screenshot from HFM’s website shows their commission per lot with their Zero Account. So, the total trading fees with this Trading Account is spread + commission. Both these depend on the instrument that you are trading.

For example, if you are trading 1 Standard Lot EURUSD at HFM, with Zero account their typical spread for this instrument is 0.1 pips & the commission for majors is $6 Roundturn. So, the total trading fees with this trade will be $7 ($1 spread + $6 commission) per Standard lot with this example (plus Swap for overnight leveraged positions).

Swap Fees: This is the fees charged by forex brokers for overnight trades. This fees depends on the broker, some brokers have very high Swap Rates, while some have lower.

For example, the Swap fees at XM broker for EUR/USD is -5.3 for Long & -0.9 for Short, as compared to -0.63 for Long & -0.08 for Short at FXTM, and -1.03 for Long & -0.64 for Short at Octa. The Swap fees at XM are very high as compared to other forex brokers.

You will find the reference to the Swap Fees under the specifications of instruments at forex brokers. For example, below is the screenshot from XM’s website which highlights their Swap Rates for all their Currency pairs.

The overall fees would be higher if any of the spreads, or commissions or overnight fees are higher.

Non-Trading Charges: Some forex brokers also charge traders in the form of extra charges like deposit/withdrawal fees, currency conversion fees, inactivity fees etc.

a. Some brokers charge you extra fees when you are depositing or withdrawing funds. This fees may not apply for all payment methods & can vary depending on your payment method. For example, some forex brokers charge even 2-3% for withdrawals to some wallets. This can eat up all your funds.

Check on the broker’s website, the exact fees they charge for your preferred payment method. For example. FXTM (screenshot below), does not charge any fees for funding & withdrawals via Local Bank transfer in Naira. But there are withdrawal charges when you withdraw via your VISA card.

b. You should also check what fees does the broker charge during currency conversion. To explain it simply, if your trading account is in USD base currency, and you deposit via bank account in Naira, then your funds would be converted to USD.

Depending on the exchange rate that your broker applies during funding & withdrawals, you can lose a lot of money. It is not uncommon for this fees to be higher that 10% for deposits & withdrawals combines.

5. Customer Support

One of the most important metric that we give importance to while comparing and recommending a broker is the standards of customer support.

You never know when you might need help while executing/closing any trade, or with withdrawals. A good broker will offer you excellent round the clock phone, email & live chat support during the week.

Make sure to check that the broker has customer support available via the following channels:
a. Live Chat which is available 24/5 at-least
b. Email Support
c. Local Phone Support in Nigeria

Also, the customer service provided by the broker should be efficient & helpful as well. You don’t want promises, you need actual problem solving & quick resolution of all queries. The Best brokers that we have recommended offer good multi language support via phone, live chat & emails.

To test the support of a Broker, you should ask questions with the broker’s live chat, email & phone support. Check how they respond to your questions, and were all your queries answered. If yes, then it is a positive sign that the broker’s support is okay.

Also, if the forex broker has a local office in Nigeria, then it is considered a positive thing. But this consideration should not override the first & most important consideration, which is the regulation of the forex broker.

It is good if the broker has a clear FAQ section & knowledgebase on their website for getting quick answers to simple queries without having to contact them.

As per our research, we have found that HF Markets has good live chat support & local phone number in Nigeria. While Exness has the lowest rating in terms of support, as their live chat team is very slow in responding to questions.

Normally, it is good if your broker is responsive via live chat. For email, the benchmark should be a response within few hours.

6. Range of Trading Instruments Offered

Most forex brokers now offer wide range of CFD trading instruments like US & EU stocks CFDs, metals, commodities, cryptos etc. other then range of major, minor & exotic currency pairs. This allows you to trade multiple asset classes & gives you chance to diversify your trading.

You should check carefully whether the instrument or currency pair that you want to trade is available at the broker or not. In most cases, the good forex brokers will list all the available instruments & it’s trading fees directly on their website. So you would be able to check it before making a decision about a broker.

As an example, this ‘Contract Specifications’ page on ForexTime’s website has a table of all the trading instruments which they offer. The table also shows their fees for each instrument, plus you have the option to check the each instrument individually & check fees with each account type.

If you are not able to find this information on the broker’s website then talk to their support & ask for this information.

Find out the exact fees for the instrument that you want to trade mostly & then compare it with the fees that other regulated forex brokers are offering.

Important note: You should look at the overall fees (spread, swap charges, deposit/withdrawal charges etc.), and not just the spreads. This will give you an idea of which broker is good for the instruments that you want to trade.

It is really important to look at the fees for your trading as it can add up over time & eat up all your profits. According to us, many traders who trade a lot (and in high volume), are at risk of very high charges. So, you must make sure that you either trade less, or if you have to trade more, then you should compare the fees you are paying for each asset class with the fees at other similar brokers.

7. Number of Currency Pairs

You should check the range of currency pairs offered by the forex broker. This is an important criteria if you don’t trade only the major pairs.

As a general rule, if your forex broker offers more than 50 currency pairs, then it is good. Some forex brokers like Octa offer less than 30 currency pairs, while Exness offers more than 100 pairs.

If you trade positive carry pairs like ZARJPY, then you need to check if your broker offers it or not. You must also check the Swap fees for trading that currency pair.

Below is the screenshot from Exness’s website. They charge a swap fees when you are longing JPY against ZAR, but they don’t pay any positive carry, when you are holding ZAR. This is a negative point against the broker.

So, you must weigh these factors, when checking the number of currency pairs. You must look for the exact pairs that you want to trade, and does the broker offer support for the reasons of your trade (example, positive carry).

8. Risk Management & other Tools

Also check if your broker has tools for risk management including: negative balance protection, guaranteed stop-loss feature, deal cancellation (some brokers may offer this for extra fees).

For example, one of the important features to check is if the forex broker has Negative Balance protection.

Let’s take an example of HFM. Look at the screenshot below.

They mention that they offer Negative Balance protection. So, during volatile market conditions, if the market goes against you too much, and your balance goes into negative, then HFM will change it to zero balance.

This is really important, because otherwise, your losses could exceed your account balance. Which means, you could lose more money than the balance in your trading account. So, you must check if your broker has this feature.

Also, some foreign forex brokers also offer ‘Guaranteed Stop-Loss’. Traders can get this feature for a fixed fees. This is another form of risk protection, which can be helpful during very high volatility environment.

Let’s see an example of this using some trade placed on EUR/USD nearing a news event like CPI data of the US. During such an event, the ticks can move fast in a direction, depending on the data.

For example, if you were long EUR/USD at 1.0550 before the news, with the current price at 1.0564 & your stop loss at breakeven. You are up by 14 pips. But the news event causes the price to go down 50 pips within seconds, you forex broker probably will cause slippage & not fill your stop at the price you had set.

But forex brokers that offer guaranteed stop loss protection have to guarantee that your stop loss is filled/hit at what you entered. These brokers generally charge a fees for managing this risk.

Also, you should ask does the broker’s app supports these features as well, and the popular indicators like MACD, RSI etc. or any other tool that you usually use in your trading. It is best to test this out on their platform with the broker’s demo account before depositing any real money.

9. Funding & Withdrawals

Nigerian traders should also check the withdrawal time & methods available. For example, your broker should offer withdrawal in Naira via bank accounts.

HFM broker accepts deposits & withdrawals in Naira via Bank accounts. The withdrawals can take 24 hours, and there is no extra fees with it.

Similarly, other brokers mention their payment methods & time to deposit/withdrawals on their website or dashboard. You should make sure that your broker offers local payment methods as there would be no extra conversion fees.

When you are using methods like card, or cryptos, there may be extra currency conversion, and transaction charges involved. Most brokers that accept NGN bank transfers don’t charge any extra fees for funding or withdrawals. These brokers include FxPro, HFM, Octa etc.

Therefore, you must check what payment options are available, what is the minimum that you can withdraw, is there any charge involved. Ask these questions from your broker if these are not clear.

9. Account Base Currency (NGN, USD)

Only a few forex brokers offer Naira as option for the trading account’s base currency. One of the advantages to having your trading account in Naira is that you will save on currency conversion charges.

Let’s understand this by using any example. If your new trading account is in USD let’s say, and you want to fund it. Since you are based in Nigeria, the likely option you will use is to use Bank transfer from your account (which is in NGN).

Since your trading account currency is USD, your forex broker will show you their exchange rates for funding your account. This exchange rate normally has a 2-5% mark-up, thereby, you are being charged extra.

But if your account is in Naira, then there is no conversion done during transfer of funds to your trading account. So, there are no extra charges by your forex broker.

Checking which account currencies does the broker offers is easy. The information is commonly linked to the ‘Trading Accounts’, so you will see which accounts can be opened in which currencies.

Like the following screenshot example from HFM’s website, which shows that they have NGN account currency available with their Pro Account. Forex Brokers Exness, FXTM also offer Naira account currency to traders who open their account from Nigeria.

How do Forex Brokers make money?

Forex brokers typically make their money from the trading volume of the traders. The CFD brokers charge you spreads (in pips) per trade or commissions per lot.

For example, a typical broker may have 1 pip spread on EUR/USD. This would make the spread as $10 for every 100,000 units traded or per standard lot.

Generally, in the forex market, a broker can have billions traded on their platform daily. For example, if 1 billion USD is being traded monthly, then at 1 pip spreads, the broker will make USD 100,000 in that month.

Other brokers who are market makers can even take opposite side of your trades & make money from your losses. Therefore, you should avoid trading via a market maker broker.

Which Forex Brokers are Licensed in Nigeria?

There is no forex broker that has a license to operate in Nigeria. All the forex brokers who are accepting & signing up Nigerian traders are offshore or foreign licensed.

For example, the major broker like Exness opens the accounts of Nigerian traders under “E​xness (SC) Ltd”, which is licensed in Seychelles. And they are a market maker broker.

Therefore, it is important to know that you are at risk if your broker is not genuine. This is the risk except from the actual market risk, that your broker could very well be a scam broker.

The only way to somewhat protect against scam brokers is to only deal with reputed brokers who have registered themselves with more than one Tier-1 regulations, because no forex broker is regulated in Nigeria.

What account types have lowest fees?

The Professional trading accounts at forex brokers have the lowest fees in general. But these can hide the actual fees when trading. Look at the cost on the time you mostly trade.

For example, Exness, which on paper has lowest typical spreads, has EURUSD spread of 0.6 pips (Pro Accounts). But that is not always the case. In Asian session, the spreads are around 2+ pips on average. Even during news events, it is common to spike to 5+ pips.

This can affect your trading overall, depending on when you place your orders. Even 1 pip difference can increase your brokerage expense. For example, if you trade 2 Standard lots on EUR/USD in a day (500 in a year), and broker charges you 1 pip extra, that is around $5000 annually.

This expense is actually being subtracted from the P&L. Therefore, check if your broker has a policy of not increasing spreads unnaturally. Some brokers might make a claim that it is normal for spreads to increase under variable spreads account, but if there are other regulated brokers not doing so, then you can spot that this is a bad practice on part of the broker.

What is the lowest minimum deposit at forex brokers in Nigeria?

For Micro & Standard Accounts, the lowest minimum deposit for account opening is $1 at Exness. At most Nigerian forex brokers, you can fund your account in Naira (also withdraw in your bank account).

Different brokers have different deposit requirements, like 25 USD to Octa. If you are opening a Naira account (where your trading will be in NGN), the minimum is ₦50,000 at HFM for their Pro Account.

Note that the minimum account requirements are not the same as minimum deposit/withdrawal amount at payment methods. For example, a forex broker can have 0 USD minimum deposit, but at the same time require you to deposit 5 USD minimum when using your preferred payment method.

Deposit requirements should be one consideration in your forex broker, but the most important to check under this is whether the broker charges you any extra fees for using your preferred method, which is a red flag.

Are my funds safe with Forex Brokers?

Your funds are not 100% safe with any broker, and the risk is much higher with some brokers. There have been events in the past where the brokers have gone bankrupt, and clients who had funds in their trading accounts were lost.

Forex brokers are exposed to market risk, and in case they don’t have proper risk management, they could fall into a situation where they don’t have adequate capital to cover the client deposits. This can happen in a situation where the broker has not properly hedged it’s client exposure.

On paper, clients who open account with brokers who have a license under the FCA are protected up to a certain deposit size. But the problem is that this is not insured for any clients outside the UK, therefore Nigerian traders will not get this investor protection from FCA licensed brokers.

Moreover, by default, when you open account with any broker from Nigeria, take HFM or Octa for example, both of them will open your account under an offshore entity, that does not have the same investor protection.

Below is an example of HFM’s entity under which Nigerian trading accounts will be held. This company is not based in Nigeria.

Since, none of the forex brokers in Nigeria offer investor protection offered by the regulator, you always have the counter party risk of your broker, who can have improper risk management practices.

There is no way to eliminate this risk. The only option you have is to accept that the broker can go bankrupt, so you should never have all your deposits with any single broker. But if a broker has good industry reputation, as well as license under FCA, ASIC & other regulators, the risk is lower, although it is not entirely eliminated.

Frequently asked questions