The best broker companies. Choosing the best broker on the Russian market

Despite the well-developed scheme for the functioning of stock exchanges, working on them still requires a significant element of trust. The fact is that literally anyone cannot take part in organized trading. In Russia (as in the rest of the world), access to stock exchanges is available exclusively to professional participants, who in turn provide this access to private individuals or legal entities. In this case, we are talking about brokerage companies and this article is devoted to identifying the TOP 10 best brokers on the Russian stock market.

But what about trust? But this is where the main difficulties begin, because before entering the trading platform, the funds of private investors first end up in the broker’s “wallet”. Of course, since the latter is actually an aggregator of large funds from a large number of private investors, its activities become similar to banking. This means that the broker company falls under the multi-stage control of both the Central Bank and the Federal Financial Markets Service (the successor to the Federal Securities Commission). Its liquidity (that is, the sufficiency of funds in all possible correspondent accounts) is monitored by special controller programs, the broker is regularly checked by inspections of the Ministry of Finance and the Central Bank (prevention of laundering and legalization), but the essence remains the same:

A broker is the same private office as any bank or even a simple LLC from the small business sector (just larger). Its assets are no more insured than those of all other economic entities on the market. This means that the broker company, both theoretically and practically, is capable of defaulting (in other words, going bankrupt)!

Therefore, it makes sense to compare brokers on the Russian stock market, first of all, in order to try to avoid losses associated with the possible loss of such a company’s liquidity (at any level) with subsequent problems with accepting orders... And may the situation described in the joke-slogan pass you by : "Refusal Acceptance Bank": your problems are our concern; Our problems are your concern!

Brokers of the Russian stock market - who should you not be friends with?

One can cite a huge number of epithets in an attempt to describe all the qualitative and financial characteristics of brokerage companies. You can even add specific turnover indicators here. But this is not at all the main thesis of this section. First of all, you need to separate the “flies from the cutlets” - identify those organizations that, in fact, are not full-fledged brokers on the stock market. Moreover, for greater clarity, it makes sense to present the most obvious parameter, which allows an inexperienced investor in the market not to stumble.

In general, from what positions is it permissible to compare brokerage companies? After all, they all have one main functionality - to provide private investors with access directly to the bidding process. (For this they receive their commission, according to the tariff). But tell me which broker you would prefer to work with:

• with the one that is a banal “gasket”, an intermediary who simply charges his own interest;
• or with a full-fledged financial company that has its own liquidity reserve and (if something happens) will be able to support your deposits with its own funds if problems suddenly arise with its professional activities.

The answer here is obvious - everyone would like to deal with a serious financial partner, a reliable broker on the stock market. And here there is one sign that allows us to distinguish obviously frivolous companies from the general array of specialized legal entities.

Oddly enough, the watershed runs along the FOREX line. Recently, a huge number of brokers have appeared who build their main line of earnings on providing access to the international foreign exchange market. They are distinguished by the following characteristics:

• Providing a monstrously high margin – 1:100.
• The real contract is drawn up not between the company (Russian resident) and the client, but between the supposedly “parent” foreign (most often, offshore) company and the Russian investor. This is usually explained by the fact that the parent company has a large collection of its own assets and the client himself must be interested in signing an agreement with it.

In fact, this is done in order not to bear any responsibility for actions performed within the Russian jurisdiction: not only will you not receive any assets, but you will not be able to make any claims.

• Often, the set of tools and services for access to a set of financial platforms (exchanges) includes binary options. This is definitely a “red light”. If focusing on FOREX does not mean that you are guaranteed to lose your money, then binary options are simply created to “shake off” gullible investors their extra money (such a tool). Your final winnings are guaranteed to be negative.

It's like playing slot machines where the probability of winning is programmed to be 0.

In other words, from the total number of Russian stock market brokers, you need to subtract those who professionally engage in FOREX and binary options. It is far from a fact that the remaining financial intermediaries are bona fide and reliable companies, but at least those who remain on the list clearly do not represent a “kitchen” (when access to the market is not actually provided, and the result of the quotes is “pulled up” to target values ​​similar to the original ones, depending on the set of stop orders placed) and are not professional scammers.

How to choose a broker in the stock market?

Surprisingly, it is better to choose a stock broker as a whole. Moreover, this complex must have a bank choice as a second component. And at the same time you need to start from the last. Now almost all reputable banks have long become multi-profile financial companies. Banking activity here is largely just a “signboard”.

Any reputable bank provides access to the stock market. And the larger its size, the wider the range of services provided and access to unusual tools.

One of the most reputable, of course, is Sberbank. However, one cannot ignore the activities in this field of VTB Bank, Alfa-Bank or KIT-Finance Bank.

It seems correct to rate brokerage companies using a parameter such as the number of clients served (that is, the principle is exploited that many people cannot make mistakes). So, TOP 10 brokers of the Russian stock market at the beginning of 2018:

Table 1.

So, this table confirms the thesis that a brokerage company is a specialized structure of the bank of the same name.

Frankly speaking, it is not recommended to look for other brokerage houses, simply because reliance on colossal bank capital and liquidity provides the broker with the very reliability that underlies all the parameters for choosing a suitable company.

In general, the choice, based a priori on an alloy with bank capital, and in addition, on the choice of hundreds of thousands of other independent clients, can be said to be completely objective.

Choosing a broker on the Russian stock market based on financial indicators

In addition to relying on the opinions of many thousands of others who have accounts in the companies in question, it seems reasonable to analyze brokers for their financial stability. And it is proposed to take as a basis the volume of turnover, as the most objective indicator characterizing the comprehensive liquidity of a financial company’s business.

Table 2. (data as of the beginning of 2018)

In essence, the volume of turnover is a much more telling parameter about the reliability of the company than the number of clients (grateful), because a satisfied client always votes with rubles and will never change a broker if he likes everything about his work (even more increasing, at the same time , its capitalization).

However, total turnover is a very vague indicator. It is, of course, more than suitable for assessing the reliability of a company, but from the point of view of assessing professionalism in the market and meeting the most pressing needs of clients, specifics are required here.

We live in Russia, and for domestic investors, a more pressing indicator is one that characterizes how a broker is represented on domestic platforms. In particular, on the Moscow Exchange (according to MICEX data). Here is a list of brokerage companies, ordered by their trading volumes on the Moscow Exchange (which is one of the most significant criteria for operational productivity on the Russian stock market).

Table 3.

Actually, it is precisely by the effectiveness of activities on the Moscow Exchange that the activities of a Russian broker can be assessed, because this organized market was formed through the merger of the RTS and the MICEX - the two main trading platforms in Russia.

Rating of stock market brokers: how to make a choice?

In order to draw a final conclusion (taking into account all the analysis carried out above), you should first understand what the brokerage company actually does? The answer – it provides access to an organized market – is too general. It would make more sense to look specifically at:

• The broker company switches all customer requests and transmits them directly to the site. Of course, this happens through software synchronization and installation of specialized software clients for users, or through an online connection.
• The broker provides various financial services of a credit nature. In particular, interested clients are provided with financial leverage (outside the scope of futures trading) when making transactions in the bond market (for example). Lending from a broker differs from banking, first of all, in the speed of the decision made: there is no credit committee (that is, there is one, but the decision is made as a framework, as long as the client satisfies the broker’s internal financial standards).
• The broker provides clients with analytical materials, on the basis of which investors make decisions on transactions. And the broker is more popular whose recommendations are more likely to hit the target.

How to combine the indicated functional features of brokerage companies with the above analysis? How to understand which companies from the TOPs presented above are better, for example, in lending to their investor clients? Or which of them has a more effective analytical unit?

What can the turnover ranking (Table 2) tell us? About how satisfied the clients of these brokers are with the services provided. If investors lose their money, the broker's turnover will fall. TOPs have no problems with this, which means that users mainly earn money through the mediation of these brokerage companies. And this means:

• availability of effective analytics;
• intensive lending activity.

What do the ratings in Table 1 (by number of clients) indicate? This is not even a rating of companies, but a rating of satisfied customers. Investors do not leave, which means that brokerage companies effectively carry out their most important function - providing access to the organized market (orders are always executed, there are no delays or interruptions).

We can confidently say that since the number of clients is only increasing, it means that for the most part they are making money. That is, all together:

• these companies demonstrate reliability in the technical execution of their primary responsibility;
• companies (most likely) provide correct analytics;
• It is obvious that clients like the credit policy of these brokers.

And finally, table 3. It indicates the financial efficiency of the broker’s activities on Russian stock exchanges. The high turnover indicates that clients are eager to work with this broker on the Moscow Exchange. This may be due to a number of factors:

• more favorable credit policy (from the broker) in this segment of the organized market;
• certain exclusive opportunities that a broker can broadcast to its clients (for example, an administrative resource).

Summary

Summarizing the above analysis, from the three TOP 10 we can compile one TOP 3 best brokerage companies based on objective characteristics:

Table 4.

In general, of course, choosing the best broker in this way is like proving that the crocodile is longer than the green one (since it is long along the entire length, and green only on top). It is perhaps more correct when choosing a brokerage company to focus on the stability and liquidity of the bank associated with it; then you should pay attention to the technical side of working with this broker (so that orders do not simply hang); and finally, you should pay attention to lending and analytics (because lending is not a defining feature, because you can, if necessary, switch to futures, and analytics are always available from competitive sources).

And don’t forget that after you start working with a broker, all sorts of subtleties will inevitably appear that make it stand out from the list of other companies (at least on the basis of the exclusivity of these nuances). And most likely, the choice to move or stay will be made based on these nuances. The little things make all the difference!

The list of brokerage companies in Russia consists of more than 200 dealing centers. And, as you know, choosing a reliable broker is a top priority for traders, so we are posting the TOP of the best Russian brokers.

In this analysis, all the most important criteria were taken into account, including work experience, availability of licenses, extensive network, as well as customer reviews of the companies in question, reflecting their reputation in the market.

TOP 10 - list of the best brokerage companies in Russia

ECN broker Insta Service LTD (InstaForex) was registered in 2007 and has already gained global status. Today, the company serves more than 1,000,000 traders and analysts around the world and has at least 260 representative offices.

Advantages of InstaForex:

• Starting deposit – 1$
• Accrual of 13% per annum on the balance of funds in your account
• Flexible shoulder
• ECN - execution for trading operations
• Segregated accounts
• Regulation: Central Bank of the Russian Federation, BVI FSC.

Review and analysis of reviews about the broker InstaForex

INSTAFOREX BROKER WEBSITE

2nd place in the rating list – broker ForexClub

The list of Russian brokerage companies included in the TOP of the best currency brokers is headed by FOREX CLUB. The company, operating in the Forex market since 1997, is today the leader in terms of the number of clients and the share of profitable transactions. FOREX CLUB, one of the TOP best currency brokers, has more than 100 offices around the world. Over the years of its work, the broker has been repeatedly awarded such a professional award as "".

Among the advantages of the broker we highlight:

• Starting deposit: from 0$
• Spreads on main quotes: from 0 points
• Innovative
• Regulation: National Bank of the Republic of Belarus, CySEC

It is worth noting some innovations in the broker's activities. Literally in March 2015, the company presented its new trading system “McKenna Gold” and launched an online training mini-course for beginners.

How to make money in the Libertex terminal from ForexClub?

FOREXCLUB BROKER WEBSITE

Alpari – 3rd place on the white list of brokerage companies

Does the list of Russian brokerage companies continue? in the TOP of the best currency brokers, Alpari. The company was founded back in 1998 and today is positioned as one of the leaders in Russia and in the global understanding of the Forex market. So, the Alpari broker specializes in STP/ECN and binary options trading.

The advantages of the Alpari broker include:

• Starting deposit: from 0$
• Spreads from 0.1 pips
• Structured products / PAMM
• Segregated accounts
• Regulation: FCA, IFSC, CFTC

The broker provides a choice of 8 types of accounts through which you can trade currencies, CFDs on shares, indices or commodities, precious metals. metals and ETFs. All this is done using various trading terminals with applications for PDAs, tablets, smartphones, and so on. You can evaluate your trading abilities and test your chosen strategy using the free demo account provided by the broker.

Did you know this about the Alpari broker?

ALPARI BROKER WEBSITE

TOP 4 in the list of the best brokers - FxPro company

Closing the top three in the TOP of the best currency brokers is the brokerage company FxPro. It should be immediately noted that in the first months of 2016 this broker occupied the 4th position in the rating and, thanks to the votes of its clients, at the end of March it was able to reach 3rd place.

Advantages of the FxPro broker:

• Starting deposit: 100$ (recommended: 500$)
• Spreads on major pairs: from 0 pips
• Segregated accounts
• Regulation: FCA, CySEC, MiFID

This most likely happened because just in March the company’s team improved the functionality of its own web resource, thanks to which users now have the opportunity to subscribe to news notifications. In addition, the “FxPro Tools” extension has been added, which contains many other useful functions, including quotes, expert forecasts, and so on.

Review of the brokerage company FxPro from a successful trader

List of currency brokers in Russia. The company that took 5th place is FIBO Group

The list of brokerage companies in Russia continues with the TOP best brokers, Fibo Group. This rating participant has been in fifth place for six months already, and has been in the TOP of the best currency brokers for a year. Among the innovations of FIBO Group, it is necessary to note the launch of a new bonus promotion “Trader’s Mission”, which provides the company’s clients with a 100% bonus on the deposit amount upon the first replenishment of the account and on subsequent replenishments 125% ... 200%.

Pros of the FIBO Group broker:

• Starting deposit: from 0$
• Spreads from 0.3 pips
• Segregated accounts
• Regulator: FSC

BCS company – 6th place from the list of brokers in Russia

After a long absence, the well-known broker BCS has returned to the TOP of the best currency brokers. If we look at the voting statistics, last month 80% of the votes were given for this company.

Just in March, the BCS broker provided its clients with a new type of account operating on the MetaTrader5 trading terminal - “Global.MT5”. This type of trading account is equally suitable for beginners and professionals and provides the opportunity to trade more than 200 derivatives of exchange instruments.

The advantages of a broker include:

• Starting deposit: 1$
• Spreads from 0.2 pips
• Investment program: InvestGuru
• Regulation: Central Bank of the Russian Federation, CySEC

TOP 7 best currency brokers – financial company TeleTrade

Sixth place in the TOP of the best foreign exchange brokers is occupied by one of the largest and oldest brokers - TeleTrade. This rating participant has fallen from 3rd place to 6th.

But it should be noted that TeleTrade has not left the top ten leaders for more than a year and a half, and this is a real rise, especially considering the high competition in this industry. Also, the broker presented his new projects “Master-Invest” and “Traders’ Exchange”.

TurboForex – 8th place brokerage companies in Russia

The list of Russian brokerage companies with 7th place in the TOP of the best currency brokers continues with TurboForex. Over the past months of this year, the broker managed to rise from 10th position to 7th. This was facilitated by a significant increase in positive votes (72%).

TurboForex, just like the previous participant in the rating, has been among the 10 best brokers for the past year and a half, and it was able to hold out in 3rd place for almost the entire last year.

TOP 9 best currency brokers – financial company NordFX

The TOP of the best currency brokers with the 8th position includes one of the veterans of all ratings - the NordFX company. This broker began operating in 2008. The company's activities are carried out on the basis of several international licenses (CySEC and others) issued by serious financial regulators that control the work of the broker. The company provides its clients with the opportunity to use the latest achievements of modern information technologies, constantly increases the number of traded instruments, etc.

To work on the market, the company provides the use of such modern trading platforms as MT4, MT5, Integral NFX Trades, as well as MetaTrader Mobile.

Fort Financial Services – 10th position in the list of brokerage companies in Russia

Ninth position in the TOP of the best foreign exchange brokers went to Fort Financial Services. Let us immediately note that this broker has been holding this position in the ranking for several months, while at one time it occupied the 6th position. Until 2013, the FFS company was known to traders as the TradeFort broker founded in 2010, but then, after rebranding, it immediately showed the highest standards of service quality, which earned it the favor of the trading community.

Why does this broker attract traders?

Blacklist 2018: brokerage companies

From the article you will learn about stock market brokers. What do they do, how and what do they earn from. How much do they get? Let's look at the main difference between brokers on the Forex currency market and exchange brokers. How much money do you need to start trading and what to pay attention to. Why do brokers recommend trading more often and is this right?

So, let's go!

Who are stock brokers?

If you don’t go into boring definitions, then in simple words, a broker is an intermediary who allows you to make transactions for the purchase and sale of securities on the stock market.

How does this happen?

Only professional market participants can make transactions directly on the exchange. Having the appropriate licenses. Regular individuals (and legal entities) are not allowed to enter.

To gain access to the stock market, you need to enter into a service agreement with a broker. Deposit money into the account. And you can start trading. That is, buy stocks, bonds, currency, and so on.

The transaction scheme is as follows.

1. You submit a purchase order, for example, I want to buy 100 shares of Gazprom.
2. The broker checks whether there are sufficient funds in your account for the purchase.
3. If everything is fine, the application is submitted to the exchange.
4. The exchange connects you with a seller who has the required number of shares for sale at the best price.
5. The transaction is completed and the exchange transmits the information to the broker.
6. The broker records the fact of purchase in your account (debits money, credits shares).
7. In your portfolio you see the shares you purchased.

All these actions happen literally in a split second. The reverse situation (selling) looks similar.

How do brokers make money?

Considering that the broker is the liaison between you and the exchange, he charges commissions for his intermediation.

For each transaction on the stock exchange, a small percentage is taken from clients. Of course, “percent” is a strong word. Usually we are talking about a reward of tenths and even hundredths of a percent of the transaction amount.

For example, a client purchased shares for 100 thousand rubles. The standard average broker commission is 0.05%. Total 50 rubles.

To people who are far from the stock market, this size of commissions will probably seem completely unrealistic. Everyone is accustomed to the fact that intermediaries in other areas charge much more - 5-10 and even 20%.

How can a broker make money by charging such “ridiculous” percentage points?

The main profit comes from turnover. Imagine that a broker has several hundred thousand clients. And everyone makes several transactions a month. There are clients who make tens or hundreds of transactions in just one day.

And with each such operation, the broker receives a small penny. Considering that the output of transactions to the exchange is automated, the broker can only maintain the functionality of the servers.

The second way brokers make money is through additional services.

How much do brokerage services cost?

As already mentioned, a broker makes money through intermediary services. Charges a certain amount per transaction. It doesn't matter which one. Buying or selling. And it doesn’t matter why. Stocks, bonds, ETFs, currencies, futures or options.

If we take the stock market (stocks and bonds), then the amount of commissions can vary from 0.01 to 0.1% of the transaction amount. It all depends on the tariff connected by the client.

Tariff conditions depend on the amount in the account and the frequency of trading. Someone has millions in their accounts and makes rare transactions. And others, with modest amounts, can make tens or hundreds of transactions in just one day.

Before choosing the “right” tariff that suits your goals and capabilities, you need to know approximately how much you will be operating and how often you will make transactions on the exchange.

A broker will help you with this. He will recommend a tariff that is more favorable for you.

As a last resort, all brokers have so-called “universal” tariffs (or a tariff for beginners). Feel free to choose it. It can be changed later.

Additionally, the broker may set a minimum monthly commission that the client must pay.

Usually it is 200-300 rubles per month.

For example, if for a month 150 rubles were withheld from a client who made transactions in the form of commissions. And the minimum fee from the broker is 200. Then at the end of the month another 50 rubles will be debited. If the client has already paid more than 200 rubles as a result of transactions, then nothing will be written off.

For some brokers, the minimum fee is completely waived when a certain threshold of the minimum amount in the account is reached (50-100 thousand rubles). And all that remains is the “bribe” for performing transactions.

The second point is how much will it cost you? Or the amount of trading costs or commissions. Here you will have to do some analysis of brokers' offers. It is impossible to say for sure that this broker is the most profitable. And the other one is too expensive.

The range of tariffs presented is different for everyone. The most favorable tariff schedule for the long term may be with one broker. But for active trading, the “profitability” is different. With large capital it is better to work with the third one. And the fourth broker allows you to open accounts with small amounts without minimum monthly payments.

The third point is convenience for you. This includes replenishing and withdrawing money from the account (input/output speed, fees for these operations, what methods can be used to replenish the account and withdraw money). Opening an account (online or personal visit to the office). Solving various issues with a broker.

Before you start choosing, it is advisable to know about.

How to conclude an agreement and start buying stocks or bonds

After choosing a broker, you have 2 options.

1. You stomp your feet to the office. Taking documents with you (usually a passport, INN and SNILS). You read everything there, sign an agreement and get access.
2. Concluding an agreement online. Nowadays, many brokers provide online account opening services. Leave an application on the website, filling out all the necessary forms. Broker to call back. He will answer your questions and help you choose a tariff. If everything is satisfactory, he will send you a signed contract.

After concluding an agreement, you get access to trading on the exchange. And all you have to do is top up your brokerage account and you can start trading.

Trading is carried out through a trading terminal (in Russia this is mainly Quik).

But here you need to spend time studying its functionality. The websites of all brokers have instructions for setting up the terminal. The terminal is convenient for analyzing and selecting the necessary papers. Monitor price levels and current positions. Submit conditional orders. Analyze price charts using a dozen different technical analysis indicators. Build support and resistance levels. And much more.

The second option is to buy online through applications or your personal account on the broker’s website (not everyone has it). Here we have slightly reduced possibilities. And the transaction procedure itself comes down to buy and sell buttons. And it’s more like an online store.

The third option is “call a friend.” Or rather the broker. What does it look like? Dial a broker (the contact number will be given when opening an account). Says the code word. And say: I want to buy shares of Gazprom - 1000 shares (or 100 thousand rubles). The broker immediately makes the purchase at the current price on your behalf.

What is the difference between a broker and a trader?

As we found out, a broker is an intermediary between clients and the exchange. He acts and makes transactions on behalf and with clients’ money. Like through direct instructions. The same goes for trust management.

A trader is a person who makes transactions on the stock exchange using his own and borrowed funds. Accordingly, through a broker.

In simple words, a trader is a customer. And the broker is the executor of the trader’s “will”.

Accordingly, the broker’s profit is generated through commissions. It doesn't matter to him whether the price rises or falls. Market crisis or economic recovery. Clients make transactions and bring income to the broker.

And the trader has a speculative profit (bought cheaper, sold more expensive). It was successful - it worked. It didn’t work out - I recorded a loss.

Where are shares purchased through a broker stored?

All securities traded on the stock market are in book-entry or electronic form. All information about current owners is stored on special servers - .

They can be independent or operate under the wing of a broker. We can say that a depository is an analogue of a deposit in a bank. Only instead of money, there are securities there: shares, bonds assigned to a specific owner.

In this case, we have higher reliability compared to keeping money in a bank.

Who controls Russian brokers?

All brokerage activities are under the watchful eye of the Central Bank. He also issues licenses. To do this, you need to have a significant authorized capital. Have appropriate financial education.

Failure to comply with or violate established rules may result in the broker losing his license. And as a result, lose the right to provide brokerage services.

A list of brokers with valid licenses to operate is available on the Central Bank website. There are more than three hundred companies in the table (at the time of writing - 372 organizations).

How much do brokers earn?

Indirectly, the level of income of leading brokers can be assessed by the monthly trading turnover of their clients. Top brokers are talking about amounts of several hundred billion rubles.

Multiply by average commissions (0.03-0.06%). And we get the amount of revenue. Minus the costs of maintaining servers, rent, advertising and employee salaries.

A list of brokers by trading turnover is regularly published on the Moscow Exchange website.

If we talk specifically about brokerage company employees, the average salary level depends on the region. The minimum payment starts from 60-70 thousand in Moscow. In other cities it is usually from 30-40 thousand.

This is basically the base salary. Bonuses depend on plan completion. And how there is no such ceiling. Having “hooked” a couple of large clients operating with multimillion-dollar capital, the broker will constantly receive good deductions from their trading.

At its core, the work of a broker comes down to the activity of a sales manager. And not for trading on the stock exchange. “New” clients are assigned to the “sales person”. They trade and the office makes a profit. A certain percentage goes to the broker personally (usually from 10 to 30% of the commissions paid by the client for transactions).

The broker plays the role of an intermediary between you and the foreign exchange market itself. It is the Forex broker that provides you with a platform for further trading.

Choosing a reliable Forex broker is a key factor in achieving success in this business. It's no surprise that finding a broker that meets your expectations can be difficult. In addition, different brokerage companies offer a different set of services, platforms, conditions and trading technologies. Here you can only be helped by a thorough analysis of all company characteristics and an independent, objective and high-quality rating of Forex brokers.

What do we offer

This section includes a list of brokers, starting with leading companies. This procedure was carried out in accordance with the detailed rating of brokerage companies developed by our team. Our independent rating of Forex brokers is based on many criteria and will become an indispensable assistant in assessing and choosing a broker.

In addition, we have prepared a set of tools for you to make this search easier. You can sort the list according to the specified categories, which are presented on the left, or using the filtering options. You can also view on the map exactly where the offices and branches of various global brokers are located.

Whatever method you use in your search, we are always ready to assist in such an important matter as choosing the most optimal Forex broker for you.

Forex brokers are companies specializing in providing intermediary services in the international foreign exchange market. Individuals cannot directly participate in trading on the currency exchange, so transactions are performed through licensed Forex brokers or dealing centers (DCs), whose activities are regulated by government agencies and public organizations.

Brokerage companies operate according to two main models:

"Kitchen"

These are dealing centers or market makers who make money mainly not from spreads, but from client deposits. “Kitchens” do not transfer traders’ money to the interbank foreign exchange market, but leave it within the company. It must be said that responsible brokers never act this way. The “kitchens” do not benefit from the trader’s profitable trading and do their best to eliminate successful investors from the company. “Unsportsmanlike” methods are used, such as deteriorating order execution, substituting market quotes, delaying the withdrawal of funds or refusing payment.

Brokers and banks

Brokers differ from dealing centers in that transactions are immediately routed through liquidity providers to the interbank market, which includes investment funds, banks and large brokers. A trader benefits from cooperation with a broker because:

• orders are executed without requotes and at high speed;
• when slipping, losses and profits are equally possible;
• the trader gets the best price with a minimum spread;
• complete anonymity during trading operations is guaranteed;
• the trader has the opportunity to monitor his own and other people’s orders in the order book.

The broker is interested in the successful play of traders, since he acts only as an intermediary between the investor and the liquidity provider. Profit does not become a loss for the broker, so the money earned is withdrawn without delay. Moreover, the broker’s earnings depend on the number of trader’s transactions, regardless of the success of trading operations. Brokerage companies with a banking license are especially reliable, although they are more demanding in terms of the minimum deposit size and withdrawal methods.

Main functions of a Forex broker

The main function of a Forex broker is to help the trader obtain maximum profit.

Other important broker functions:

• Concluding Forex transactions as a commission agent or client's attorney.
• Providing the client with comprehensive information on transactions, which is especially important regarding risks. Brokers are well versed in the “undercurrents” in the foreign exchange market and are able to identify hidden risks that are invisible to the average investor.
• Maintaining client financial documentation in accordance with current legislation and the requirements of the Federal Service for Financial Markets.
• Bringing information to the client about transactions with securities, as required by current legislation.
• At the client's direction, the broker evaluates the prospects or futility of certain transactions.

The listed useful functions of Forex brokers attract investors to cooperate with them.

How to choose a reliable broker

To avoid a situation where the dealing center refuses to pay you the money you have earned, you must carefully choose a broker. Our rating of brokerage companies will help you determine the right broker.

When choosing a broker, consider the following factors:

• Date of foundation of the company, history and duration of its successful work on Forex.
• Place of registration of the company, address of its main office and branches.
• Regulator of the company.
• Opportunity to communicate with the administration.
• Availability and level of licenses.
• Trading conditions.

Brokerage companies may have different trading conditions, but, in any case, the main criterion when choosing should be the speed of order execution and the minimum spread. To ensure these conditions, brokers use advanced technologies to provide services.

The trading “philosophy” of a brokerage company is always individual, and this allows the trader to choose an effective intermediary. When planning to trade positionally (holding trades open for a long time), you can choose any reputable broker with a large turnover and active traders.

Most new traders prefer to trade at least one trade every day. In this case, you need to pay attention to the commissions that the broker is entitled to - with a large commission, cooperation may be unprofitable. Brokers with fixed spreads often add inflated percentages to quotes, which also makes the trader's trading ineffective and sometimes unprofitable.

When to choose an ECN broker

An attractive feature of the ECN broker is real interbank quotes without markups. The broker typically charges $15-25 per 1 million trade turnover, with commissions decreasing as turnover increases. An ECN broker is not interested in traders' losses, so cooperation with him is obviously more profitable than with a dealing center. However, a professional ECN broker has real market conditions with spread widening, slippage, etc.:

• When breaking news comes out on the market.
• During the opening of the trading week on Monday night.
• When the market closes on Friday.

Professional traders with serious trading turnover choose it as one of the best on the market. With this broker you can trade quickly, with low spreads and minimal costs. Beginning traders may well start trading at a dealing center in order to learn how to make money under softer conditions.

Criteria for choosing the best Forex broker

When choosing a Forex broker, you need to consider the following significant factors:

1. Company age

Stable companies have held positions in the foreign exchange market for quite a long time. Such brokers are trustworthy, they always have followers and a good reputation.

2. Location and number of branches

You should pay attention to whether the company has opened a single office in Cyprus or whether its branches operate in different parts of the world.

3. Financial turnover and number of clients

The more active clients a company has, the more trust it enjoys. Reliable brokers have high incomes and a stable position in the market.

4. Who is the brokerage company regulated by?

Brokerage companies are usually regulated by NFA (USA), FSA (UK), KROUFR (Russia), etc. The trader must have confidence that he can turn to external independent authorities (court, arbitration).

5. Reputation of the brokerage company

This criterion is difficult to evaluate. You can judge a broker's reputation by reviews from traders. A good indicator is a large number of reviews, both positive and negative. The presence of exclusively positive reviews should alert you, but their complete absence indicates that no one is interested in the company.

6. Client Agreement

First of all, read the contract carefully. The text must clearly state the terms of cooperation between the broker and the trader, the procedure for executing and accepting the results of transactions. Familiarize yourself with the regulations governing transactions in the foreign exchange market. Sometimes brokers specify in the contract conditions for canceling the results of the transaction, upon execution of which the profit may not be paid at all.

7. Broker's trading conditions

In trading conditions, you should pay attention to the following points:

• Ability to select currency pairs and trading instruments.
• Commission terms: spread (floating or fixed), turnover commission. You should be wary of the spread, the value of which is significantly lower than that of competitors.
• You must understand from what source the broker receives information about currency quotes. Does the broker generate quotes independently, take them on the interbank market, and who supplies liquidity?
• Consider the possibility of “slippage” when closing trades. How is this problem solved?
• You must have a guarantee that your orders will be executed in a timely manner.
• The adjustment of open positions when depositing/withdrawing funds must be taken into account.
• With a Forex broker, pay attention to the user-friendly terminal interface, available technical support, constant connection with the server, secure exchange of information, and the ability to work on a demo account.

Forex broker ratings and traders' reviews

The popularity of Forex is increasing every year, and along with this, more and more intermediaries are appearing offering their services. Russian and foreign brokerage companies declare specific trading conditions. A rating of Forex brokers was created for beginners and professional traders. The purpose of the rating is to analyze and select the best brokers, dealing centers and trading platforms for trading in Russia, Ukraine, Europe, Asia or the USA. Every day, based on the results of voting by site visitors, an analysis of the popularity of brokers is compiled.

BBF is an independent rating of Forex brokers and dealing centers (DCs). Our rating contains only reliable data. Visitors to the rating can cast their vote for the best broker, and they can vote only once a day, which allows them to receive objective assessments to form the top. By clicking on the name of the broker, you can learn more about trading conditions, platforms, methods of depositing and withdrawing funds, etc. Anyone who visits the rating can easily leave a review about the broker. We also publish reviews from professionals about the work of Forex brokers. You will be able to get acquainted with detailed information about the company you are interested in.

For beginners, we recommend choosing brokers from the top of the rating, as there are companies that have been working successfully in the foreign exchange market for a long time. These Forex brokers value their reputation, are attentive to each trader, and you do not risk getting into the “kitchen”. Using the filter, you can sort brokers by spread size, trading platforms and payment systems used, as well as by minimum position size and deposit size.

Convenient sorting of brokers

Traders' approach to choosing a broker may be different. Some people focus on the size of the spread, others look for a broker for scalping or choose based on the principle of calculating swaps. Beginner traders pay attention to the size of the minimum deposit, while professionals are looking for favorable trading conditions, ECN accounts, the convenience of the trading platform and the ability to work with many financial instruments. To simplify your search, we have made a list of brokers sorted by category. In each category there are TOP brokers recommended for Forex trading.

Review and comparison of brokers

In addition to the main rating, you can read a brief overview of each broker. You will receive information about the company's branches and representative offices with addresses and telephone numbers, year of foundation, regulator, trading platforms and payment systems, account currency and method of contacting support. The convenience of this service is that traders do not need to go to each broker’s website to find the information they need. After comparing the advantages of brokers, you can go to the company’s official website using the link to learn more about trading conditions. Using our rating, you can quickly choose a broker that best suits your needs and trading strategy. Brokers who have not passed the test for honesty and integrity in trading are posted in the “” section.

Risks and liability

The site administration is not responsible for inaccuracies in these companies and for the content of reviews. We are also not responsible for your possible profits or losses. The information is for informational purposes only, and you can find out more details directly on the website of the broker you have chosen. A novice trader must be aware that trading on the currency exchange involves all his money. Even an ideal broker does not guarantee that unforeseen situations will arise when trading online.