Compare the best spread betting brokers

Looking for the best spread betting brokers to trade forex with? We’re here to help with this handy guide.
By: Harry Atkins
Harry Atkins
Harry joined us in 2019, drawing on more than a decade writing, editing and managing high-profile content for blue… read more.
Updated: Jun 4, 2021
Tip: our preferred broker is, eToro: visit & create account

We compare all the top forex brokers, providing the information and guidance you need to make the right decisions. Our guide takes you through all the key criteria you need to know when picking the best account, with a focus on regulation, design and ease of use, and fees. 

Where can I find the best forex spread betting platforms?

Right here! Our website enables you to search and compare the best options, listing all the most important selection criteria at a glance. The best websites are regulated by legally recognised agencies, provide an intuitive design that makes it easy to open an account, simple to deposit funds, and helpful in its educational content.

1
Min. Deposit
$50
Exclusive promotion
user-score
10
Join the Social Trading revolution. Connect with other traders, discuss trading strategies, and use our patented CopyTrader
eToro is the world’s leading social trading platform, offering a wide array of tools to invest in the capital markets
Largest number of currency pairs to trade
Start Trading
Description:
eToro is a multi-asset investment platform with more than 2000 assets, including FX, stocks, ETF’s, indices and commodities. eToro offers a wide range of currency pairs and other trading instruments. eToro users can connect with, learn from, and copy or get copied by other users.
Payment Methods
Bank Transfer, Wire Transfer
Full regulations list:
CySEC, FCA
Cryptoassets are highly volatile unregulated investment products. No EU investor protection. eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro. Your capital is at risk.
2
Min. Deposit
$10
Exclusive promotion
user-score
9.3
55+ currency pairs available
Trade on a trusted platform
24/7 support via live chats, email or phone call
Start Trading
Description:
LonghornFX is a true ECN STP broker dedicated to delivering a superior trading experience to traders no matter their level of experience. Their services are based on transparency, innovation and efficiency, ensuring an unparalleled trading experience for all.
Payment Methods
Bitcoin, Credit Card, Debit Card, Visa
Full regulations list:
LonghornFX offers high-leverage trading on a wide variety of assets. Trading with leverage carries a degree of risk which may result in losing more than your investments. Clients should practise risk management to protect themselves from losing more than they can afford when trading with leverage.
3
Min. Deposit
$10
Exclusive promotion
user-score
8.7
Can fund with BTC
64 global companies including Netflix and Amazon
Free deposits and withdrawals
Start Trading
Description:
EagleFX is an online digital asset, Forex and CFD broker providing traders across the globe with cutting edge technology to trade the world’s markets. Our focus has been to change the way people trade Digital Assets and Forex. We are driven to provide traders with incredibly low-cost pricing across all Digital assets, FX, stocks, indices, commodities and futures along with industry-leading 24/7 live customer support.
Payment Methods
Bitcoin, Credit Card, Debit Card, Wire Transfer
Full regulations list:
EagleFX offers leveraged trading on a range of assets within its platform. CFD and Spot Forex trading do carry a degree of risk which may result in you losing more than your initial investment. Please ensure you fully understand the risks involved with leveraged trading and ensure this is not detrimental to your personal or institution's financial well being.

What are spread betting trading platforms?

They are companies that provide retail traders with access to online and app-based platforms that allow them to bet on the price movement of pairs of currencies. The best broker platforms are easy to use, well regulated, and carry strong reputations acquired through years of steady operation and stellar customer service.

What is spread betting in forex trading?

It is an investment vehicle that lets you speculate on the movement of pairs of currencies, without actually transacting in the foreign exchange market. 

The practice, which can be done for forex or other markets, consists of three main components:

  • The spread of the instrument
  • The direction of the trade, up or down
  • The size of the bet

A broker offering currency this service usually provides two price quotes, the bid and the ask. The gap between the bid price and the ask price is called ‘the spread’. Traders bet on whether the price of the currency pair will be lower than the bid price, or higher than the ask price. 

For spread bettors, the narrower the spread is, the more attractive the currency pair becomes. That’s because narrower spreads mean lower transaction costs for those wanting to enter and exit a trade.

Let’s use an example to illustrate how it works with a currency pair: 

Say a broker quotes you an ask price of 1.1155 on the EUR/USD (Euro/U.S. Dollar) pair, with a bid price of 1.1150. If you think the euro will strengthen compared to the dollar, you could bet €0.5 for every point (also known as a “pip”) the euro rises above 1.1155. If the EUR/USD pair climbs to 1.1165, you would earn a profit of €5 (€0.5 x 10 pips). If the price of the Euro instead falls to 1.1145, you would lose €5.

The better you get at fx spread betting, the more you might consider using leverage. This allows you to borrow money from the broker to place bigger bets than you would normally be able to make using your own money alone.

How does a brokers work?

These platforms enable clients to buy or sell assets online or via a mobile app. Simply open your account, deposit funds, and you can start betting on the price movement of currency pairs. Just remember: the smaller the spreads you can find on a given platform, the lower your transaction costs will be.

So I don’t technically ‘own’ the assets I’m trading?

Technically, no, you don’t own the assets; however, this is normal. In the same way that trading commodities doesn’t require you to actually own any of the commodities whose price movement you’re betting on, doing so with forex doesn’t require you to own any of the currency pairs whose price movement you’re betting on.

You will, however, have to have money in your account in order to execute transactions. The currency you need usually corresponds to wherever the spread betting platform you’re using is located. For instance, a site in the United Kingdom would require British pounds (GBP) as capital.

What should I look for in a broker?

It pays to do your homework and find the best platform that checks as many of the boxes below as possible:

  • Look for regulated platforms – The Financial Conduct Authority (FCA) regulates forex brokers in the United Kingdom. If you’re not in the UK, check to make sure the broker you’re using is regulated.
  • Good reputation – The best brokers should come with positive user reviews regarding such key criteria as opening trading accounts and seamless funds withdrawal. Awards, accolades, and positive publicity can also be useful markers when gauging a platform’s reputation.
  • Design and ease of use – You want a platform that makes the process as quick and easy as possible. Firstly, because you don’t want to get confused and make the wrong move. And secondly, because you’re betting on the very narrow windows between the bid and ask prices of currency pairs, making pinpoint accuracy essential. 
  • Analysis tools – The practice requires diligent analysis and tremendous discipline. The best trading platforms will offer advanced technical analysis tools to assist in key areas such as pattern recognition.
  • Customer service – You want to be sure you’re well taken care of on whichever platform you choose. That means insisting on live-chat capabilities 24 hours a day, seven days a week, and longer queries taking no more than one business day to produce a reply. Testing the broker’s customer service before depositing a large sum of money is a good idea.
  • Fees – This one is simple: The lower the spread-based transaction fees you have to pay, the better off you’ll be.

Will I have to verify my account?

Yes. To open your online account, you’ll need to go through the verification steps to comply with financial service regulations. Verification will usually involve providing proof of identity, proof of address, and various financial proofs. This is often an automated process that will require you to upload documents such as a valid passport or driving license, bank statement or mortgage statement. In some cases, you might be required to take and upload a selfie too, for facial recognition purposes.

Is online trading secure?

Yes. Reputable spread betting brokers (UK) use many of the same digital safeguards that you’ll find in a typical stock account run by a big brokerage to guard against hackers. Regulatory agencies provide further security by closely monitoring forex trading in places like the UK, as well as many smaller nations. 

What if I forget my password?

Just like other online platforms, most accounts allow you to reset your password using your email address and/or password recovery questions. Make sure to choose a secure password (ideally using non-common words, at least one capital letter, at least one digit, and at least one punctuation mark), so that others can’t access your account.

Can I trade multiple currency pairs?

Yes. The seven major forex pairs are:

  • The Euro/US Dollar Pair (EUR/USD) 
  • The US Dollar/Japanese Yen (USD/JPY) 
  • The British Pound Sterling/US Dollar (GBP/USD) 
  • The US Dollar/Swiss Franc (USD/CHF) 
  • The Australian Dollar/US Dollar (AUD/USD) 
  • The US Dollar/Canadian Dollar (USD/CAD) 
  • The New Zealand Dollar/US Dollar (NZD/USD)

However, many companies will let you bet on the price movement of 60 or more currency pairs.

Will I be charged a fee to trade?

Yes. Brokers make money through the spreads they charge clients, both when entering and exiting a trade. 

What are the advantages of using an online spread betting service?

They bring together all of the world’s biggest currencies and currency pairs. Some of the advantages of making forex spread bets through brokers include around-the-clock market hours, high liquidity, and the ability to use leverage. Trading on leverage refers to borrowing money from the broker to make bigger bets, which in turn net bigger profits when you successfully predict which way a currency pair is going to move.

And what are the drawbacks?

The practice typically takes experience and significant attention to detail to do well. Also, buying any asset using leverage, be it foreign currencies, commodities, stocks, or others, comes with increased risk. If you bet wrong, you’ll owe a lot more than you would have had you only invested your own money. 

Should I use a forex spread betting platform?

That depends on your goals, and your risk tolerance. One way to mitigate risk is to implement stop-loss orders. With a standard stop-loss order, the order will close out your position at the best available price once the set stop value has been reached. Meanwhile, a guaranteed stop-loss order guarantees to close your position at the exact value you have set, regardless of the underlying market conditions. Guaranteed stop-loss orders typically incur an additional charge from your broker. 

You can also mitigate through the use of arbitrage, which is betting two ways simultaneously. Arbitrage lets investors exploit the difference in prices between two markets, specifically when two companies offer different spreads on identical assets.

FAQs

ℹ Is online spread betting legal?
ℹ Can I transfer from a spread betting account into my PayPal account?
ℹ Can I use a forex spread betting platform on my mobile phone?
ℹ Can I remain anonymous?
ℹ Are there minimum and maximum deposit/withdrawal amounts?
ℹ Is it possible to short forex?
ℹ Can I access my full trading history?
ℹ Is it easy to switch brokers?
ℹ Can deposits be made in cryptocurrency or just fiat currencies?
ℹ Do I have to pay tax on any profits made through forex spread betting?
ℹ Are forex spread betting platforms regulated?

Fact-checking & references

Our editors fact-check all content to ensure compliance with our strict editorial policy. The information in this article is supported by the following reliable sources.

Risk disclaimer

Invezz is a place where people can find reliable, unbiased information about finance, trading, and investing – but we do not offer financial advice and users should always carry out their own research. The assets covered on this website, including stocks, cryptocurrencies, and commodities can be highly volatile and new investors often lose money. Success in the financial markets is not guaranteed, and users should never invest more than they can afford to lose. You should consider your own personal circumstances and take the time to explore all your options before making any investment. Read our risk disclaimer >

Harry Atkins
Financial Writer
Harry joined us in 2019, drawing on more than a decade writing, editing and managing high-profile content for blue chip companies, Harry’s considerable experience in the… read more.