Forex Brokers in Germany

When one thinks of foreign exchange trading in Europe, one immediately thinks of London as being the center of activity, but on the continent, Frankfurt is a major financial center and transaction hub for a major portion of European turnover in this market. Retail forex trading in Germany has also flourished in recent years as technology has transformed the activity across the globe.

The recognized leader in global foreign exchange is none other than Deutsche Bank, which controls nearly 20% of global turnover. Participants in the local market include the Central Bank, authorized banks, investment management firms, commercial companies, hedge funds, and retail forex brokers. As a matter of fact, Frankfurt forex operations open an hour before London, giving an early hint as to the direction that European pricing behavior might take for the day.

Broker	Features	Regulator	Platforms	Next Step
Your capital is at risk Founded: 2014	User-friendly platform with great trade-analysis tools Leverage Up To 1:500 Spreads as low as 0.00 pips Quality trade execution thanks to high-spec IT infrastructure $0 minimum account opening balance 26,000 tradeable instruments Not available in all jurisdictions Regulatory infrastructure Read BlackBull Review	FSPR	MT4	Sign Up OPEN FREE DEMO ACCOUNT Read BlackBull Review
73% of retail CFD accounts lose money Founded: 2014 73% of retail C...	Well regulated Ultra-fast and high leverage trading Spreads as low as 0.0 pips Comprehensive research tools Relatively limited number of markets Does not accept US traders Read Tickmill Review	FSA SC	MT4, MT5	Sign Up TEST TICKMILL Read Tickmill Review
Your capital is at risk Founded: 2006 Europe* CFDs ar...	Multi-asset broker offering a wide variety of markets Strong regulatory framework Innovative risk management tools Choice of market-leading platforms Wide spreads on some markets Expiry date on Demo Accounts Read AvaTrade Review	ASIC, FSA, FSB, MiFID	MetaTrader4, Sirix, AvaOptions, AvaTrader, Mirror Trader	Sign Up OPEN FREE DEMO ACCOUNT Read AvaTrade Review
Between 74-89% of CFD traders lose Founded: 2010 Between 74-89 % of retail investor accounts lose money when trading CFDs	Low trading costs Great market flow Research and analysis which helps spot trades Wide range of Copy and Social Trading options Limited range of non-forex markets Read Pepperstone Review	ASIC, FCA	MetaTrader 4, MetaTrader 5, cTrader	Sign Up OPEN FREE DEMO ACCOUNT Read Pepperstone Review
77% of CFD traders lose Founded: 2007 77 % 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.	Social and Copy Trading Platform Beginner Friendly Risk-free Demo Account Top-tier regulation Limited means of raising queries Withdrawal process isn’t really ‘client-focused’ Read eToro Review	ASIC, CySEC, FCA	eToro Platform	Sign Up OPEN FREE DEMO ACCOUNT Read eToro Review
Your capital is at risk Founded: 2009, 2015, 2017	Low minimum deposit Super- tight bid-offer spreads Impressive trading platforms Tier-1 regulators Difficult to contact tech support No Crypto Read XM Group Review	ASIC, CySEC, IFSC	MT4 Terminal, MT4 for Mac, Web Trader, iPhone/iPad Trader, Droid Trader, Mobile Trader, MT5	Sign Up OPEN FREE DEMO ACCOUNT Read XM Group Review
Your capital is at risk Founded: 2006	Very well regulated Comprehensive education section Fantastic customer service No cryptocurrencies Fees could be more competetive Read FxPro Review	CySEC, DFSA, FCA, FSB, SIA	MetaTrader4, MetaTrader5, cTrader, FxPro Edge (Beta)	Sign Up OPEN FREE DEMO ACCOUNT Read FxPro Review

Germany is part of the Eurozone, but each country has its own set of regulations that govern the trading of currencies on a local basis. Having to call your broker by phone is in the distant past, as faster telecom speeds, software technology, and ECN brokers have upgraded the industry to the point that all is needed is a PC and access to the Internet. According to some reports, as much as ten percent of forex turnover in Germany is handled online from the retail sector. Commercial companies, however, continue to operate directly through their local banks, choosing to maintain those relationships rather than take advantage of online trading.

Previous regulations on a commercial basis required companies to concentrate their respective foreign exchange activities within their primary banking relationship, a rule used to put general controls on credit granting, but these rules have been changed over time, allowing for more flexibility and growth in the entire forex industry in Germany. Anticipating this regulatory relaxation, many global forex brokers have opened local offices in the past few years to support both commercial and retail forex trading activities.

As a result of the global stampede to open local offices in Germany, there are ample choices for the retail forex trader to make among a host of reputable firms. For the newcomer, there are literally thousands of brokers in today’s market to choose from, but one must be careful to avoid the ones that are shadier in their operations. In Germany, the financial services sector is regulated by the Deutsche Bundesbank and the Federal Financial Supervisory Authority, Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin).

Choosing a broker with a local presence is always the best policy. Their local office must comply with local rules and regulators, usually in addition to where their home office might be located. If you choose to use an offshore broker, then you may encounter fraud or difficulty in pressing your legal rights whenever a dispute arises. This lesson is generally difficult to accept, but it occurs more frequently than most would like. Let caution be your guide when it comes to safety and security.

When conducting your search for a forex broker in Germany, be sure to focus on safety and security, low trading costs, and efficient trade execution. By choosing someone that has a local office, you will be assured that you will not encounter language issues with customer service. Check also for local trader testimonials to confirm that whatever reviews have been written are true factual accounts and not just another advertising venue.

Choosing an “unseen” business partner on the Internet can be a daunting task, but take the time to comparison shop and validate various business credentials before making your final decision. Due diligence on the front end will ensure a favorable trading experience down the road, free from problems, especially when you request a withdrawal of funds from your account. The above list presents forex brokers trusted by us at Forextraders.com.

Read our reviews of more forex brokers that did not make our top list above: