Advertisement
Best forex brokers in Somalia in 2020

To help you to find the best forex brokers in Somalia in 2020, we did the research for you. We checked and compared fees, currency pairs, charting tools, platforms, practically everything. We went deep, so you won't have to. And now, without further ado...

Our top 5 picks for the best forex brokers in Somalia in 2020:

  1. XTB is the winner, the best forex broker in Somalia in 2020. Low forex and stock index CFD fees. Free and fast deposit and withdrawal. Easy and fast account opening.
  2. AxiTrader in the second place. Low trading fees and no inactivity fee. No withdrawal and deposit fees. Fully digital account opening.
  3. IC Markets rounded out the top three. Low forex fees. Easy and fast account opening. Free deposit and withdrawal.
  4. XM, number four. Low CFD and withdrawal fees. Easy and fast account opening. Great educational tools.
  5. AvaTrade. Easy and fast account opening. Free deposit and withdrawal options. Great research tools. Just made it to the list with being number five.
Best forex brokers in 2020 for Somali citizens
Broker Info Score
#1 XTB Global CFD and forex broker 4.7
#2 AxiTrader Australian forex broker 4.4
#3 IC Markets Global forex broker 4.4
#4 XM Global CFD and forex broker 4.3
#5 AvaTrade Global CFD and forex broker 4.4

What makes a good forex broker? First of all, fair trading fees and low withdrawal fees. They should also offer a lot of currency pairs and need to have a great platform with advanced charting. These are easy things to list, but quite hard to figure it out. We test brokers based on more than 100 criteria with real accounts and real money. We know what's up.

If you are a beginner, be careful with forex trading. Forex products are complex and very risky, thus not suitable for everyone. You can easily lose all of your invested money. If you don't have a clue how forex trading works, start with forex trading 101.

Not sure which broker to choose? For a tailored recommendation, check out our broker finder tool. Just enter your country and it will show you only the relevant brokers. Want more details? Compare brokers with this detailed comparison table.

And now, let's see the top forex brokers in 2020 for Somali citizens one by one, starting with the winner, XTB.

XTB Logo

#1 Best forex broker
XTB

4.7

XTB is a global CFD and forex broker with headquarters in London and Warsaw, founded in 2002. The company is regulated by several financial authorities worldwide, including the top-tier UK Financial Conduct Authority (FCA). In addition, XTB is listed on the Warsaw Stock Exchange, and as such is required to disclose its financials.

XTB is considered safe because it has a long track record, is listed on a stock exchange, and publishes its financial statements transparently.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% 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.

Recommended for forex and cfd traders looking for low fees and great deposit/withdrawal service

Pros Cons
Low forex and stock index CFD fees High fees for stock CFDs
Free and fast deposit and withdrawal Product portfolio limited mostly to CFDs and FX
Easy and fast account opening Limited fundamental data

Find out more
79% of retail CFD accounts lose money

#1 XTB
Fees
4.1

XTB has low forex and stock index CFD fees. There is also no withdrawal fee for most transfers. On the other hand, stock CFD fees are high, and XTB also charges an inactivity fee.
Pros Cons
Low forex fees High stock CFD fees
Low stock index CFD fees Inactivity fee
No withdrawal fee for transfers above $100

Forex fees are Low. To have a clear picture of forex fees we calculated a forex benchmark fee for major currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers.

XTB trading fees
XTB AxiTrader IC Markets XM AvaTrade
EURUSD benchmark fee $14.8 $13.8 $15.8 $17.1 $19.2
GBPUSD benchmark fee $10.8 $11.6 $12.1 $14.0 $15.7
AUDUSD benchmark fee $9.4 $9.5 $10.6 $13.9 $12.0
EURCHF benchmark fee $6.4 $1.1 $4.8 $9.1 $8.5
EURGBP benchmark fee $9.7 $11.0 $9.9 $12.5 $10.5

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.

XTB non-trading fees
XTB AxiTrader IC Markets XM AvaTrade
Account fee No No No No No
Inactivity fee Yes No No Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
79% of retail CFD accounts lose money

#1 XTB
Markets and products
2.8

XTB's default product selection includes only CFDs, forex and crypto. Some European clients can also trade real stocks and ETFs. Popular asset classes like bonds, mutual funds, options and futures are not available.
XTB currency pairs
XTB AxiTrader IC Markets XM AvaTrade
Currency pairs (#) 49 80 61 57 55
XTB products, beside forex
XTB AxiTrader IC Markets XM AvaTrade
Stock Yes No No Yes No
ETF Yes No No No No
Fund No No No No No
Bond No No No No No
Options No No No No No
Futures No No No No No
CFD Yes Yes Yes Yes Yes
Crypto Yes Yes Yes No Yes

Find out more More
79% of retail CFD accounts lose money

#1 XTB
Web trading platform
4.4

XTB's xStation 5 platform is user-friendly, can be customized and has a good search function. On the other hand, two-step login is not available.
Pros Cons
User-friendly No two-step (safer) login
Clear fee report
Good search function
Best forex brokers - XTB trading platform
XTB trading platforms
XTB AxiTrader IC Markets XM AvaTrade
Web platform score 4.4 stars 2.6 stars 2.8 stars 2.8 stars 3.3 stars
Mobile platform score 4.4 stars 3.8 stars 3.8 stars 3.8 stars 4.7 stars
Desktop platform score 4.4 stars 3.3 stars 3.3 stars 3.3 stars 3.3 stars

XTB charting

The charting tool is good. You can add ~35 indicators which is mid-range, compared to other brokers. You can save the chart.

Best forex brokers - XTB charting

Find out more More
79% of retail CFD accounts lose money

#1 XTB
Account opening
5.0

XTB's account opening process is hassle-free, straightforward and fully digital. Your account will be ready for trading on the same day.
Pros Cons
Fast None
Fully digital
No minimum deposit
XTB minimum deposit and time to open an account
XTB AxiTrader IC Markets XM AvaTrade
Minimum deposit $0 $0 $200 $5 $100
Time to open account 1 day 1-3 days 1 day 1 day 1 day

Find out more More
79% of retail CFD accounts lose money

#1 XTB
Deposit and withdrawal
4.5

XTB deposits and withdrawals are fast, mostly free, and can be done via several channels.
Pros Cons
Credit/Debit card available Few minor account currencies accepted
Free withdrawal
No deposit fee
XTB base currencies
XTB AxiTrader IC Markets XM AvaTrade
Number of base currencies 5 11 10 11 5

Why does base currencies matter? Because if you fund your account in the same currency as your bank account, currency conversion fees won't be charged.

XTB withdrawal fee and options
XTB AxiTrader IC Markets XM AvaTrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No Yes Yes Yes
Electronic wallets No Yes Yes Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
79% of retail CFD accounts lose money

#1 XTB
Verdict

XTB is a great CFD and forex broker. It is regulated by several financial authorities globally, including the UK's FCA. The company is listed on the Warsaw Stock Exchange.

On the plus side, its forex and stock index CFD fees are low, and the deposit and withdrawal process is fast and mostly free. We also liked the seamless and hassle-free account opening process.

XTB has some drawbacks, though. Stock CFD fees are high. The product range is mainly limited to FX and CFDs, although real stock and ETF trading is available in some European countries. Fundamental data offered by XTB covers only a few basics such as P/E.

We recommend XTB for clients who prefer forex or CFD trading, and also want to enjoy great deposit and withdrawal options along with fast account opening. Feel free to test it using a demo account.

XTB
Summary XTB is a global CFD and forex broker, listed on the Warsaw Stock Exchange and regulated by financial authorities including the UK FCA, Poland's KNF, and Cyprus's CySec.
Fees score 4.1 stars
Recommended for Forex and CFD traders looking for low fees and great deposit/withdrawal service

Find out more More
79% of retail CFD accounts lose money

AxiTrader Logo

#2 Best forex broker
AxiTrader

4.4

AxiTrader was founded in 2007 and is an Australian forex broker. It is regulated by multiple financial authorities worldwide, such as the Financial Conduct Authority (FCA), the Australian Securities and Investments Commission (ASIC) and the Dubai Financial Services Authority (DFSA).

As such, AxiTrader is considered safe because it is regulated by several top-tier authorities.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 67.7% 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.

Recommended for forex traders familiar with the metatrader 4 platform

Pros Cons
Low trading fees and no inactivity fee Offers only forex and CFD trading
No withdrawal and deposit fees Limited research tools
Fully digital account opening Slow email support

Find out more
67.7% of retail CFD accounts lose money

#2 AxiTrader
Fees
4.5

AxiTrader has low forex and CFD fees. There is no withdrawal fee and the inactivity fee is low.
Pros Cons
Low non-trading fees None
Low forex fees
Low CFD fees

Forex fees are Low. To have a clear picture of forex fees we calculated a forex benchmark fee for major currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers.

AxiTrader trading fees
XTB AxiTrader IC Markets XM AvaTrade
EURUSD benchmark fee $14.8 $13.8 $15.8 $17.1 $19.2
GBPUSD benchmark fee $10.8 $11.6 $12.1 $14.0 $15.7
AUDUSD benchmark fee $9.4 $9.5 $10.6 $13.9 $12.0
EURCHF benchmark fee $6.4 $1.1 $4.8 $9.1 $8.5
EURGBP benchmark fee $9.7 $11.0 $9.9 $12.5 $10.5

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.

AxiTrader non-trading fees
XTB AxiTrader IC Markets XM AvaTrade
Account fee No No No No No
Inactivity fee Yes No No Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
67.7% of retail CFD accounts lose money

#2 AxiTrader
Markets and products
1.8

AxiTrader offers only forex and CFD trading.
AxiTrader currency pairs
XTB AxiTrader IC Markets XM AvaTrade
Currency pairs (#) 49 80 61 57 55
AxiTrader products, beside forex
XTB AxiTrader IC Markets XM AvaTrade
Stock Yes No No Yes No
ETF Yes No No No No
Fund No No No No No
Bond No No No No No
Options No No No No No
Futures No No No No No
CFD Yes Yes Yes Yes Yes
Crypto Yes Yes Yes No Yes

Find out more More
67.7% of retail CFD accounts lose money

#2 AxiTrader
Web trading platform
2.6

The web trading platform of AxiTrader is provided by MetaTrader. It is highly customizable, available in a lot of languages, and has a clear fee report. On the other hand, it lacks a two-step login, price alerts, and the design is outdated.
Pros Cons
Clear fee report No two-step (safer) login
Good customizability (for charts, workspace) No price alerts
Order confirmation
Best forex brokers - AxiTrader trading platform
AxiTrader trading platforms
XTB AxiTrader IC Markets XM AvaTrade
Web platform score 4.4 stars 2.6 stars 2.8 stars 2.8 stars 3.3 stars
Mobile platform score 4.4 stars 3.8 stars 3.8 stars 3.8 stars 4.7 stars
Desktop platform score 4.4 stars 3.3 stars 3.3 stars 3.3 stars 3.3 stars

AxiTrader charting

Charting tools can be found on the MetaTrader trading platforms. You can use 31 technical indicators and other editor tools, such as trendlines or Fibonacci retracement.

Best forex brokers - AxiTrader charting

Find out more More
67.7% of retail CFD accounts lose money

#2 AxiTrader
Account opening
4.4

Account opening at AxiTrader is user-friendly and fully digital but it takes a bit longer than at similar online brokers.
Pros Cons
Fully digital Slower account opening time
No minimum deposit
Low minimum deposit
AxiTrader minimum deposit and time to open an account
XTB AxiTrader IC Markets XM AvaTrade
Minimum deposit $0 $0 $200 $5 $100
Time to open account 1 day 1-3 days 1 day 1 day 1 day

Find out more More
67.7% of retail CFD accounts lose money

#2 AxiTrader
Deposit and withdrawal
4.8

AxiTrader charges neither deposit nor withdrawal fees. For depositing, you can use bank transfer, credit/debit cards and electronic wallets. Nevertheless, credit/debit card withdrawal is not possible.
Pros Cons
Free withdrawal No credit/debit card withdrawal
No deposit fee
AxiTrader base currencies
XTB AxiTrader IC Markets XM AvaTrade
Number of base currencies 5 11 10 11 5

Why does base currencies matter? Because if you fund your account in the same currency as your bank account, currency conversion fees won't be charged.

AxiTrader withdrawal fee and options
XTB AxiTrader IC Markets XM AvaTrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No Yes Yes Yes
Electronic wallets No Yes Yes Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
67.7% of retail CFD accounts lose money

#2 AxiTrader
Verdict

AxiTrader is regulated by multiple authorities globally, like the UK's FCA and ASIC in Australia.

On the plus side, trading fees are low and no inactivity fee is charged. Depositing and withdrawals are also free of charge. Account opening is easy and fully digital, without any minimum deposit, which is also great.

AxiTrader has some drawbacks, though. Its product range is limited to FX and CFDs, and its research tools lack recommendations and fundamental data. In addition, customer support is only 24/5 and email support is slow. 

Feel free to try AxiTrader, as the trading fees are low and there are no deposit, withdrawal or inactivity fees.
 

AxiTrader
Summary AxiTrader is an Australian forex broker, regulated by top-tier authorities such as the UK FCA or Australia's ASIC.
Fees score 4.5 stars
Recommended for Forex traders familiar with the MetaTrader 4 platform

Find out more More
67.7% of retail CFD accounts lose money

IC Markets Logo

#3 Best forex broker
IC Markets

4.4

IC Markets is an Australia-based global forex broker that was founded in 2007. The company has several branches and is regulated by the Cyprus Securities and Exchange Commission (CySEC), the Seychelles Financial Supervisory Authority (FSA) and the Australian Securities and Investments Commission (ASIC).

IC Markets is considered safe because it is regulated by the top-tier ASIC.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.25% 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.

Recommended for forex and cfd traders who value easy account opening and free deposit/withdrawal options

Pros Cons
Low forex fees Limited product selection
Easy and fast account opening Slow live chat support
Free deposit and withdrawal No investor protection for non-EU clients

Find out more
74.25% of retail CFD accounts lose money

#3 IC Markets
Fees
4.3

IC Markets has low trading and non-trading fees. There is no inactivity or withdrawal fee. On the negative side, financing rates for CFDs are high.
Pros Cons
Low trading fees High financing rate for CFDs
Low non-trading fees
Low forex fees

Forex fees are Low. To have a clear picture of forex fees we calculated a forex benchmark fee for major currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers.

IC Markets trading fees
XTB AxiTrader IC Markets XM AvaTrade
EURUSD benchmark fee $14.8 $13.8 $15.8 $17.1 $19.2
GBPUSD benchmark fee $10.8 $11.6 $12.1 $14.0 $15.7
AUDUSD benchmark fee $9.4 $9.5 $10.6 $13.9 $12.0
EURCHF benchmark fee $6.4 $1.1 $4.8 $9.1 $8.5
EURGBP benchmark fee $9.7 $11.0 $9.9 $12.5 $10.5

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.

IC Markets non-trading fees
XTB AxiTrader IC Markets XM AvaTrade
Account fee No No No No No
Inactivity fee Yes No No Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
74.25% of retail CFD accounts lose money

#3 IC Markets
Markets and products
1.8

At IC Markets, you can trade only with forex and CFDs. This means that many popular asset classes, like real stocks or ETFs, are not available.
IC Markets currency pairs
XTB AxiTrader IC Markets XM AvaTrade
Currency pairs (#) 49 80 61 57 55
IC Markets products, beside forex
XTB AxiTrader IC Markets XM AvaTrade
Stock Yes No No Yes No
ETF Yes No No No No
Fund No No No No No
Bond No No No No No
Options No No No No No
Futures No No No No No
CFD Yes Yes Yes Yes Yes
Crypto Yes Yes Yes No Yes

Find out more More
74.25% of retail CFD accounts lose money

#3 IC Markets
Web trading platform
2.8

The web trading platform of IC Markets is provided by MetaTrader. It is highly customizable, available in many languages, and has a clear fee report. On the other hand, it lacks a two-step login and price alerts, and the design is outdated.
Pros Cons
Clear fee report No two-step (safer) login
Good customizability (for charts, workspace) No price alerts
Order confirmation Poor design
Best forex brokers - IC Markets trading platform
IC Markets trading platforms
XTB AxiTrader IC Markets XM AvaTrade
Web platform score 4.4 stars 2.6 stars 2.8 stars 2.8 stars 3.3 stars
Mobile platform score 4.4 stars 3.8 stars 3.8 stars 3.8 stars 4.7 stars
Desktop platform score 4.4 stars 3.3 stars 3.3 stars 3.3 stars 3.3 stars

IC Markets charting

IC Markets has OK charting tools. You can use 31 technical indicators and other technical tools, such as trendlines and Fibonacci retracement. You can add indefinite number of TA indicators to MT4/MT5 accounts

Best forex brokers - IC Markets charting

Find out more More
74.25% of retail CFD accounts lose money

#3 IC Markets
Account opening
5.0

The account opening process at IC Markets is user-friendly and fully digital. It was also very quick, as our account was approved within a day.
Pros Cons
Fast None
Fully digital
Low minimum deposit
IC Markets minimum deposit and time to open an account
XTB AxiTrader IC Markets XM AvaTrade
Minimum deposit $0 $0 $200 $5 $100
Time to open account 1 day 1-3 days 1 day 1 day 1 day

Find out more More
74.25% of retail CFD accounts lose money

#3 IC Markets
Deposit and withdrawal
4.9

IC Markets's depositing and withdrawal services are great. Many options are available for moving your money in and out, and most of them are free of charge. On the negative side, international bank withdrawals have a high fee.
Pros Cons
Credit/Debit card available AUD 20 fee for international bank withdrawal
No deposit fee
Several account base currencies
IC Markets base currencies
XTB AxiTrader IC Markets XM AvaTrade
Number of base currencies 5 11 10 11 5

Why does base currencies matter? Because if you fund your account in the same currency as your bank account, currency conversion fees won't be charged.

IC Markets withdrawal fee and options
XTB AxiTrader IC Markets XM AvaTrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No Yes Yes Yes
Electronic wallets No Yes Yes Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
74.25% of retail CFD accounts lose money

#3 IC Markets
Verdict

IC Markets is a great forex broker. 

Its forex fees are low and account opening is fast and easy. Deposits and withdrawals are free and  the process is user-friendly. The education section of the website is also a plus.

On the other hand, IC Markets provides only forex and CFDs products for trading. In addition, live chat support could be better and non-EU clients are not covered by any investor protection scheme.

Feel free to try IC Markets, as you will have an account within a day and there is no inactivity fee.

IC Markets
Summary IC Markets is a global forex and CFD broker. The company is regulated by finanacial authorities globally, including the top-tier ASIC.
Fees score 4.3 stars
Recommended for Forex and CFD traders who value easy account opening and free deposit/withdrawal options

Find out more More
74.25% of retail CFD accounts lose money

XM Logo

#4 Best forex broker
XM

4.3

XM is an online broker whose parent company is Trading Point Holding, a global CFD and FX broker founded in 2009. Trading Point Holding has two brands, XM and Trading.com.

XM is available globally and is regulated by three financial authorities: the Cyprus Securities and Exchange Commission (CySEC), the Australian Securities and Investments Commission (ASIC) and the International Financial Services Commission of Belize (IFSC).

Trading.com is available only for most EEA residents and is regulated by the UK's Financial Conduct Authority (FCA).

In this review, we will focus on the XM brand.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 75.55% 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.

Recommended for forex and cfd traders who prefer metatrader platforms and seek low trading fees

Pros Cons
Low CFD and withdrawal fees Limited product portfolio
Easy and fast account opening Average forex fees
Great educational tools No investor protection for non-EU clients

Find out more
75.55% of retail CFD accounts lose money

#4 XM
Fees
3.8

XM has low trading fees for CFDs and charges no withdrawal fee. On the other hand, forex fees are only average, and there is a fee for inactivity.
Pros Cons
No withdrawal fee Inactivity fee
Low CFD fees Average FX fees

Forex fees are Average. To have a clear picture of forex fees we calculated a forex benchmark fee for major currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers.

XM trading fees
XTB AxiTrader IC Markets XM AvaTrade
EURUSD benchmark fee $14.8 $13.8 $15.8 $17.1 $19.2
GBPUSD benchmark fee $10.8 $11.6 $12.1 $14.0 $15.7
AUDUSD benchmark fee $9.4 $9.5 $10.6 $13.9 $12.0
EURCHF benchmark fee $6.4 $1.1 $4.8 $9.1 $8.5
EURGBP benchmark fee $9.7 $11.0 $9.9 $12.5 $10.5

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.

XM non-trading fees
XTB AxiTrader IC Markets XM AvaTrade
Account fee No No No No No
Inactivity fee Yes No No Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
75.55% of retail CFD accounts lose money

#4 XM
Markets and products
2.5

XM provides CFDs and forex for all clients, while real stocks are available only for clients opening their accounts under the IFSC-regulated entity. Popular asset classes, like real ETFs, bonds or options are missing.
XM currency pairs
XTB AxiTrader IC Markets XM AvaTrade
Currency pairs (#) 49 80 61 57 55
XM products, beside forex
XTB AxiTrader IC Markets XM AvaTrade
Stock Yes No No Yes No
ETF Yes No No No No
Fund No No No No No
Bond No No No No No
Options No No No No No
Futures No No No No No
CFD Yes Yes Yes Yes Yes
Crypto Yes Yes Yes No Yes

Find out more More
75.55% of retail CFD accounts lose money

#4 XM
Web trading platform
2.8

XM's web trading platform is provided by MetaTrader. It is highly customizable and has a clear fee report. On the other hand, the platform lacks price alerts and the design is outdated.
Pros Cons
Clear fee report No two-step (safer) login
Good customizability (for charts, workspace) No price alerts
Order confirmation Poor design
Best forex brokers - XM trading platform
XM trading platforms
XTB AxiTrader IC Markets XM AvaTrade
Web platform score 4.4 stars 2.6 stars 2.8 stars 2.8 stars 3.3 stars
Mobile platform score 4.4 stars 3.8 stars 3.8 stars 3.8 stars 4.7 stars
Desktop platform score 4.4 stars 3.3 stars 3.3 stars 3.3 stars 3.3 stars

XM charting

Uses Metatrader 4 charting tools. You can use 31 technical indicators. These charting tools can be found on the MetaTrader trading platforms.

Best forex brokers - XM charting

Find out more More
75.55% of retail CFD accounts lose money

#4 XM
Account opening
5.0

XM account opening is hassle-free and straightforward. You may be able to trade on your account already on the same day.
Pros Cons
Fast None
Fully digital
Low minimum deposit
XM minimum deposit and time to open an account
XTB AxiTrader IC Markets XM AvaTrade
Minimum deposit $0 $0 $200 $5 $100
Time to open account 1 day 1-3 days 1 day 1 day 1 day

Find out more More
75.55% of retail CFD accounts lose money

#4 XM
Deposit and withdrawal
5.0

XM's deposit and withdrawal processes are fast and inexpensive, and offer you several options.
Pros Cons
Credit/Debit card available None
Several account base currencies
Free wire withdrawal above $200
XM base currencies
XTB AxiTrader IC Markets XM AvaTrade
Number of base currencies 5 11 10 11 5

Why does base currencies matter? Because if you fund your account in the same currency as your bank account, currency conversion fees won't be charged.

XM withdrawal fee and options
XTB AxiTrader IC Markets XM AvaTrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No Yes Yes Yes
Electronic wallets No Yes Yes Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
75.55% of retail CFD accounts lose money

#4 XM
Verdict

XM is regulated by several authorities globally, including the top-tier ASIC.

On the plus side, we liked the low CFD and withdrawal fees. The account opening process is seamless and hassle-free. There is a wide range of educational tools of great quality.

XM has some drawbacks though. Its product range is limited to FX and CFDs. Its forex fees are average, and non-EU customers are not covered by any investor protection.

We recommend XM for those who are interested in CFD and forex trading and prefer MetaTrader trading platforms. Feel free to test it via the demo account.

XM
Summary XM is a global forex and CFD broker regulated by Australia's ASIC, CySEC of Cyprus, and Belizean authority IFSC.
Fees score 3.8 stars
Recommended for Forex and CFD traders who prefer MetaTrader platforms and seek low trading fees

Find out more More
75.55% of retail CFD accounts lose money

AvaTrade Logo

#5 Best forex broker
AvaTrade

4.4

AvaTrade is a global CFD and FX broker founded in 2006. It is regulated by several financial authorities, such as the Central Bank of Ireland.

Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% 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.

Recommended for forex and cfd traders looking for an option to use metatrader platforms

Pros Cons
Easy and fast account opening Only CFDs, forex, and cryptos offered
Free deposit and withdrawal options High inactivity fees
Great research tools FX trading fees are average

Find out more
79% of retail CFD accounts lose money

#5 AvaTrade
Fees
3.4

AvaTrade has average trading fees. Withdrawals are free of charge but inactivity fees are rather high.
Pros Cons
Low trading fees High inactivity fees
No withdrawal fee

Forex fees are Average. To have a clear picture of forex fees we calculated a forex benchmark fee for major currency pairs. This catch-all benchmark includes commissions, spreads and financing costs for all brokers.

AvaTrade trading fees
XTB AxiTrader IC Markets XM AvaTrade
EURUSD benchmark fee $14.8 $13.8 $15.8 $17.1 $19.2
GBPUSD benchmark fee $10.8 $11.6 $12.1 $14.0 $15.7
AUDUSD benchmark fee $9.4 $9.5 $10.6 $13.9 $12.0
EURCHF benchmark fee $6.4 $1.1 $4.8 $9.1 $8.5
EURGBP benchmark fee $9.7 $11.0 $9.9 $12.5 $10.5

All spreads, commissions and financing rate for opening a position, holding for a week, and closing.

AvaTrade non-trading fees
XTB AxiTrader IC Markets XM AvaTrade
Account fee No No No No No
Inactivity fee Yes No No Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
79% of retail CFD accounts lose money

#5 AvaTrade
Markets and products
2.0

AvaTrade gives access only to CFDs, such as forex, stock, index and commodity CFDs. It doesn't offer popular asset classes, such as real stocks, bonds, or mutual funds.
AvaTrade currency pairs
XTB AxiTrader IC Markets XM AvaTrade
Currency pairs (#) 49 80 61 57 55
AvaTrade products, beside forex
XTB AxiTrader IC Markets XM AvaTrade
Stock Yes No No Yes No
ETF Yes No No No No
Fund No No No No No
Bond No No No No No
Options No No No No No
Futures No No No No No
CFD Yes Yes Yes Yes Yes
Crypto Yes Yes Yes No Yes

Find out more More
79% of retail CFD accounts lose money

#5 AvaTrade
Web trading platform
3.3

AvaTrade's Webtrading platform is user-friendly and well-designed. The search functions and the portfolio/fee reports are great. On the negative side, it lacks customizability, two-step login, and price alerts.
Pros Cons
User-friendly No two-step (safer) login
Clear fee report Limited customizability (for charts, workspace)
Good search function No price alerts
Best forex brokers - AvaTrade trading platform
AvaTrade trading platforms
XTB AxiTrader IC Markets XM AvaTrade
Web platform score 4.4 stars 2.6 stars 2.8 stars 2.8 stars 3.3 stars
Mobile platform score 4.4 stars 3.8 stars 3.8 stars 3.8 stars 4.7 stars
Desktop platform score 4.4 stars 3.3 stars 3.3 stars 3.3 stars 3.3 stars

AvaTrade charting

Charting tools can be found on the MetaTrader trading platforms. You can use 31 technical indicators and other editor tools, such as trendlines or Fibonacci retracement.

Best forex brokers - AvaTrade charting

Find out more More
79% of retail CFD accounts lose money

#5 AvaTrade
Account opening
5.0

Account opening at AvaTrade is seamless and fully digital. You can start trading literally in minutes.
Pros Cons
Fast None
Fully digital
Low minimum deposit
AvaTrade minimum deposit and time to open an account
XTB AxiTrader IC Markets XM AvaTrade
Minimum deposit $0 $0 $200 $5 $100
Time to open account 1 day 1-3 days 1 day 1 day 1 day

Find out more More
79% of retail CFD accounts lose money

#5 AvaTrade
Deposit and withdrawal
4.5

AvaTrade offers several free methods for deposit and withdrawals. On the flip side, the withdrawal took us more than 3 business days.
Pros Cons
Free withdrawal Slow withdrawal - over 3 days
No deposit fee
Credit/Debit cards, electronic wallets
AvaTrade base currencies
XTB AxiTrader IC Markets XM AvaTrade
Number of base currencies 5 11 10 11 5

Why does base currencies matter? Because if you fund your account in the same currency as your bank account, currency conversion fees won't be charged.

AvaTrade withdrawal fee and options
XTB AxiTrader IC Markets XM AvaTrade
Bank Transfer Yes Yes Yes Yes Yes
Credit/Debit card No No Yes Yes Yes
Electronic wallets No Yes Yes Yes Yes
Withdrawal fee $0 $0 $0 $0 $0

Find out more More
79% of retail CFD accounts lose money

#5 AvaTrade
Verdict

AvaTrade is regulated by several authorities globally, including the top-tier Central Bank of Ireland and the Australian Securities and Investments Commission (ASIC) therefore it is considered safe.

We liked the seamless and hassle-free account opening. You can use a lot of deposit and withdrawal options and they are free of charge. We also liked that you can use many user-friendly tools for research. 

AvaTrade has some drawbacks though. The product range is limited to forex, CFDs, and cryptos, and there is a high fee charged for inactivity. Lastly, there are better alternatives if Forex trading fees are your main concern.

As there is only a small minimum deposit, and your account will be ready quickly, feel free to try AvaTrade.

AvaTrade
Summary AvaTrade is a global forex and CFD broker. It is regulated by several financial authorities globally, including the Central Bank of Ireland and Australia's ASIC.
Fees score 3.4 stars
Recommended for Forex and CFD traders looking for an option to use MetaTrader platforms

Find out more More
79% of retail CFD accounts lose money

Best forex brokers
What makes a top forex broker?

Trading with forex has become really popular over the last decade. Keeping your eyes on important criteria like fees helps you to find the best forex broker for you.

At BrokerChooser, we test online brokers along more than 100 criteria, with a real account and real money.

The most important factor for selecting the top forex brokers is the fees of forex trading. Not just the trading fees, but the withdrawal fees are important to take into consideration. We also score positively if the broker provides a great amount of currency pairs, great desktop platform, and advanced charting tools.

Best forex brokers
Forex broker fees

Fees, fees, fees. We bet this is at the top of your mind when you're looking for the best forex broker. It can be complicated. Let's see how we did it.

It is not easy to compare forex broker fees, but we are here to help. Forex brokers can charge commissions, spreads and financing fees.

For commissions, there are two versions forex brokers use:

  1. All trading fees are included in the spread except the financing rate. Basically, think of it as the broker giving you a wider spread than it gets from the market.
  2. You get the market spread, but you pay a commission based on the traded amount.

The latter is more transparent, but this doesn't mean the first method cannot be cheaper.

When you trade forex on leverage and hold your position overnight, a fee will be charged. This fee is called a rollover or financing fee. The financing rate depends on the currency pair and the broker.

To make your life easy, we calculated everything for you. We calculated what your overall fee would be if you take a $20,000 position, hold it for a week then close it. We used a 30:1 leverage.

You see this for the EURUSD, GPBUSD, and AUDUSD currency pairs.

Best forex brokers
Forex trading 101

Forex trading looks simple, but it carries serious risks. Before trading, understand the basics and ask yourself: is this for me?

Understanding the forex market

Forex, FX, foreign exchange or currency market: you have probably already heard one of these expressions. They all mean the same: a market where you can exchange currencies or bet on the price movement of currency pairs.

The forex market has several outlets, from the currency exchange booths on the street to the currency trading desks of big banks.

For a layperson, a non-professional individual as you probably are, the easiest and safest way to trade forex is by opening an account at a reliable online broker.

The vast majority of currency transactions are conducted on OTC (over-the-counter) markets. An OTC market is a non-regulated market. On a non-regulated market, you have to assess for yourself how safe your counterparty is. For example, when you travel abroad to an exotic country and you need to exchange some money, you usually go to a bank branch instead of changing money on the street. This is how you minimize your counterparty risk. You have to do the same risk minimization when you select your online broker for trading forex. You should always choose a reliable broker.

Forex trading is very tempting for the following reasons:

  • everybody has an opinion on where the currencies are going

  • on first sight, the forex market is relatively easy to understand compared to other markets, like the stock market

  • by using leverage, a trader can easily trade with 100 times more money than they have on their trading account and thus also increase profits (or losses!) 100 times

  • the market is open 24 hours a day, 5 days a week

  • it is the most liquid market in the world, meaning there are huge numbers of transactions every second and you don't have to worry about not finding a partner to trade with

Although it looks easy, trading with forex can be risky if you don't know what you're doing. By using high leverage irresponsibly, you can easily lose all of your money within a couple of seconds. So you better start off slow, learn and open a demo account first. If you want to study more, check out our blog post about the best trading apps for learning.

Forex market trading hours

The forex market is open from 11:00 PM on Sunday until 11:00 PM on Friday, London time.

The highest trading activity within each day is when London and New York are open.

Top forex brokers - market trading hours

It is good to know that there is a difference between currency conversion and forex trading.

The end result of a conversion is basically changing one currency into another. Imagine that you receive your salary in euros (EUR), but you spend it in British pounds (GBP). In this case, you exchange the euros to pounds. Before the transaction you had euros, and after it you will have pounds.

When you trade with currency pairs there is no physical conversion happening. Imagine that you have an online broker account in US dollars and you want to bet on the price movements of the EURUSD. In this case, you effectively never convert your dollars to euro. If your bet was correct, the profit from your trade will be booked to your account in US dollars. If you were wrong, the loss will be deducted from your account in dollars as well.

Breaking down the forex trading jargon

When you trade forex, you bet on the price change of a currency pair, for example, the EURUSD.

EURUSD bid price EURUSD ask price
1.1700 1.1705

First of all, you need to understand what the bid and the ask prices are. Let's take the EURUSD again as an example. The 'bid' is the price at which you can sell the EURUSD, or in other words to go short in it. If the price goes lower, you will generate a profit. The 'ask' price is the opposite. If you want to bet on the price increasing, you can open a trade at the 'ask' price. The mid-price is usually halfway between the two, but this is just a theoretical price that is not used for trading.

The actual bid and ask prices together are called the quote.

A long position is when you bet on the price going up, while a short position is when you profit from the price going down.

The spread is the difference between the ask and bid prices. In the example above, the spread is 0.0005, which is calculated as 1.1705-1.1700.

The pip is the smallest amount of a currency pair. One pip is equal to 0.0001 for most of the currency pairs. In case of our example, the spread is 5 pips, or 5 times 0.0001, equalling 0.0005. For some currency pairs like the USDJPY, one pip is 0.01.

Leverage allows you to take bigger positions than the amount of money on your account. Imagine this as a multiplier of your profit or your loss. This can be as high as 300. Imagine you have $1000 on your account and your applied leverage is 100. If you open a long position by using all your $1000, this means you open a trade for $1,000*100, or $100,000. If the price decreases 1%, you will lose $1000 (1%*$100,000), that is, all of the money on your account. And the price of a currency pair can very easily decrease by 1%. In case of EURUSD, this would mean a price decrease from 1.1705 to 1.1588.

A lot is the standard number of units of a forex contract. It is usually 100,000 units of the base currency. The base currency is the first currency in a currency pair. For EURUSD, the base currency is the EUR and one lot is €100,000. A mini lot is 10,000, a micro 1,000 and a nano 100 units of the base currency.

In forex trading, you can encounter three types of contracts: spot, forward and futures. The spot forex contract is the type that is traded by most people, and this also what you trade when you use an online broker. A spot contract by definition is settled two days after the trade. Settlement means that the counterparties who traded are converting their currencies between each other at the price of the trade made two days earlier. Imagine the settlement as a currency conversion made at a money exchange office on the street. The only difference is that this happens two days after the price was agreed on.

However, in most cases, the settlement doesn't actually happen, because spot contracts are rolled over before the settlement. This is always the case when you trade forex with your online brokers. The rollover happens because when you are betting on the direction of a currency pair, you do not want to actually convert money into the other currency, you just want to bet on the price movement. The rollover ensures that the conversion will not happen.

When your position is rolled over, your online broker in the background basically closes your current spot position and opens a new one. This is not visible for you, but it has a fee, called the rollover or financing fee. The rollover fee is calculated from the interest rate difference between the two currencies you are trading. In some cases, you may also receive a fee from the broker, if the interest rates you trade are in your favor.

A forward forex contract is a contract made on the OTC market. The specifics of the contract, like the term, the price and the settlement are defined by the counterparties case by case. For example, imagine a company which will need $100,000 in 30 days for paying its employees, but it will receive its revenue in euro. Since it wants to specify the exact exchange rate it can get in 30 days, it will seal a forward contract with a big bank at a fixed price, let's say 1.1710. After 30 days, they will exchange the currencies and the company will receive €85,397 ($100,000/1.1710). In this case, the settlement actually happens.

A futures forex contract is traded on a regulated market, for example, a commodity exchange, like the Chicago Mercantile Exchange (CME). When you trade futures, your counterparty is the exchange and the specifics of the contract are predefined by the exchange. When your counterparty is a regulated exchange, you don't need to check your counterparty risk, as this is one of the safest modes of trading. However, the exchange requires a large amount of initial money for trading, so this is not suitable for you if you have little money to invest. For example, if you want to trade one EURUSD futures contract on the CME, you need to have more than $2000 on your account.

What drives the forex market price?

As we said above, everybody has an opinion about the forex market, because it seems simple. However, currency markets are among the most unpredictable ones in the world.

Everything from monetary policies and government spending to politics and wars can influence the price change of currency pairs. So many different factors can affect prices that it is difficult to make a prediction on which way they will move.

Nevertheless, economic calendars can help, so at least know about the scheduled events that could have an effect on the forex market.

Best forex brokers
Bottom line

You saw the details, now let's zoom out. Here are the top forex brokers in 2020 for citizens in Somalia:

Top forex brokers in 2020 for Somali citizens
XTB AxiTrader IC Markets XM AvaTrade
Fees score 4.1 stars 4.5 stars 4.3 stars 3.8 stars 3.4 stars
Markets and products score 2.8 stars 1.8 stars 1.8 stars 2.5 stars 2.0 stars
Web platform score 4.4 stars 2.6 stars 2.8 stars 2.8 stars 3.3 stars
Account opening score 5.0 stars 4.4 stars 5.0 stars 5.0 stars 5.0 stars
Deposit and withdrawal score 4.5 stars 4.8 stars 4.9 stars 5.0 stars 4.5 stars
Find out more
79% of retail CFD accounts lose money
Find out more
67.7% of retail CFD accounts lose money
Find out more
74.25% of retail CFD accounts lose money
Find out more
75.55% of retail CFD accounts lose money
Find out more
79% of retail CFD accounts lose money

XTB is our winner, the best forex broker for Somali citizens in 2020. Low forex and stock index CFD fees. Free and fast deposit and withdrawal. Easy and fast account opening.

All are great great choice. Watch out, FX can be risky. If you know enough and are good to go, pick your winner and take the next step in your trading journey. Let us know what you think in the comments section.

Still unsure? Use the broker finder and find the best broker for you.

Author of this article

Gergely Korpos

Author of this article

Gergely is the co-founder and CPO of Brokerchooser. His aim is to make personal investing crystal clear for everybody. Gergely has 10 years of experience in the financial markets. He concluded thousands of trades as a commodity trader and equity portfolio manager.

Gergely Korpos

Co-founder, CPO

Gergely is the co-founder and CPO of Brokerchooser. His aim is to make personal investing crystal clear for everybody. Gergely has 10 years of experience in the financial markets. He concluded thousands of trades as a commodity trader and equity portfolio manager.

Everything you find on BrokerChooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology

Share

Comments

Find out more
79% of retail CFD accounts lose money
Find out more
67.7% of retail CFD accounts lose money
Find out more
74.25% of retail CFD accounts lose money
Find out more
75.55% of retail CFD accounts lose money
Find out more
79% of retail CFD accounts lose money
×