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Best Forex Brokers in Malaysia for 2022

Toni Nasr, CFA, FRM| Updated December 6th, 2022
forex malaysia

Best Forex Brokers in Malaysia for 2022

While several Forex brokers accept clients from Malaysia, picking the best one might be challenging. As a result, we examined the services of many Forex brokers and evaluated several factors such as the currency pairs available, spreads, fees, trading platform, regulations, and more. We’ve gathered all this information for you in this article.

Let’s move right on to our findings:

  1. Interactive Brokers: Best for a wide range of currency pair offerings and advanced tools.
  2. XTB: Best for high leverage and great customer service.
  3. eToro: Best for social trading and user-friendly platform.
  4. Plus500: Best for low Forex fees and free deposits and withdrawals.

Let’s take a closer look at the key characteristics before delving thoroughly into each broker’s services.

Best Forex Brokers in Malaysia for 2022 compared

Broker

Interactive Brokers XTB eToro

Plus500

Number of currency pairs

100+ 48 45

60+

Maximum leverage

1:40 

(depends on account type and currency pair)

1:500 1:400

1:300

Minimum deposit

$0 $0 $50

$100

Spreads starting at

(pips)*

0.1 (subject to commission) 0.9 (standard account)

0 (pro account)

1

0.8

Deposit method

Bank transfer Bank transfer, credit/debit card, Skrill. Bank transfer, credit/debit cards, PayPal, Neteller, and Skrill, and more.

Bank transfer, credit/debit cards, PayPal, Skrill.

Withdrawal fees

1 free withdrawal per month $20 on amounts below $100; Free above $100 $5

$0

  *The above spreads are mentioned as presented on the broker’s website.     

You can check below the spreads of those brokers on the most used currency pairs.

Spread comparison of the best Forex brokers in Malaysia

Currency

IBKR

XTB eToro

Plus500

EUR/USD

0.1

0.9 1.0

0.8

GBP/USD

1.5

1.4 2.0

1.3

AUD/USD

0.5

1.3 1.0

0.8

USD/JPY

100

140 1,300

100

USD/CAD

1.0

1.8 1.5

2.0

CAD/CHF

0.5

2.2 4.0

4.0

Gold (XAU/USD)

900

2,500 4,500

4,100

Silver (XAG/USD)

70

250 500

220

Spreads are in pips (equal to 0.0001).

The spread in forex trading is the difference between the ask price and the bid price on a particular currency pair. Spreads are not fixed. They vary depending on the currency pair, liquidity, and market events. Brokers have the ability to increase or widen the bid-ask spread, which would result in an investor paying more when buying and getting less when selling. Accordingly, it is a key factor in selecting the best forex brokers.

Top Forex brokers in Malaysia Reviewed

1# Interactive Brokers

interactive brokers logo
Visit Interactive Brokers

Interactive Brokers at a glance

Number of currency pairs100+
Maximum Leverage1:40 (depends on account type and currency pair)
Minimum Deposit$0
Forex feesSpreads starting 0.1 pip and tier pricing commission
RegulatorsFINRA, SIPC, SEC, CFTC, IIROC, FCA, CBI, AFSL, SFC, SEBI, MAS, MNB

Founded in 1978, Interactive Brokers is one of the largest international brokers listed on the NASDAQ exchange (Ticker: IBKR) and regulated by many international top-tier regulators. They are at the top of our list of the best Forex brokers in Malaysia for their wide range of currency pairs, their great research tools and advanced trading platforms.

There are several account base currencies at Interactive Brokers without any minimum required amount, but the only way to fund them is through a bank wire transfer. They offer one of the tightest spreads on Forex, but you are subject to a tiered commission based on the monthly volume of your trading activity. Below is a sample of the spreads applied to major currency pairs:

Interactive Brokers spreads on major currencies

Currency pair Spreads in pips
EUR/USD spread 0.1
GBP/USD spread 1.5
AUD/USD spread 0.5
USD/JPY spread 100
USD/CAD spread 1
CAD/CHF spread 0.5
XAU/USD spread 900
XAG/USD spread 70

In addition to low spreads and margin rates, Interactive Brokers does not charge an inactivity fee, and you are entitled to one free withdrawal per month.

Finally, their trading platform, TWS (desktop version), is one of the best trading platforms with advanced features and a high degree of customisation. Moreover, they offer a web interface, IBKR GlobalTrader, and a mobile app that are also well-designed.

Interactive Brokers trading features

Islamic account No
Trading platforms

IB Trader Workstation (TWS), Client Portal (Web-based platform), IBKR Mobile and IBKR GlobalTrader (another mobile app).

Limit orders Yes
Stop loss & take profit orders Yes
Negative Balance Protection No
Guaranteed stop loss No

We recommend you check out our comprehensive Interactive Brokers review.

2# XTB

XTB Review - XTB Logo
Visit XTB
79% of retail CFD account lose money.

XTB at a glance

Number of currency pairs48
Maximum Leverage1:500
Minimum Deposit$0
Forex Fees$0 for standard accounts, but spreads starting at 0.9 pips apply
RegulatorsCySEC, FCA, KNF, CNVM, and IFSC

XTB is a global CFD broker established in 2002 with more than 495,000 clients. Compared to other brokers, it is widely known for having an outstanding customer service team. Additionally, they provide high leverage on forex trading that can go as high as 1:500. Spreads are reasonably low, starting at 0.1 pips, and there are 48 currency pairs available for trading.

XTB spreads on major currencies

Currency pair Spreads in pips on standard account
EUR/USD spread 0.9
GBP/USD spread 1.4
AUD/USD spread 1.3
USD/JPY spread 140
USD/CAD spread 1.8
CAD/CHF spread 2.2
XAU/USD spread 2,500
XAG/USD spread 250

The spread depends on the type of account that you choose and the market that you trade on.

XTB offers beginner and experienced traders a dynamic trading experience with its two trading platforms, xStation5 (desktop-based) and xStation (mobile), which have advanced charting tools and indicators. You can fund your account via bank wire transfer, credit or debit card, or Skrill, and there is no minimum amount to open an account.

XTB trading features

Islamic account Yes
Trading platforms

XTB Web Trade Platform, xStation 5 desktop trading platform, xStation Mobile application.

Limit orders Yes
Stop loss & take profit orders Yes
Negative Balance Protection No
Guaranteed stop loss No

On the downside, XTB charges a $20 fee for withdrawals of less than $100, but they do not impose a fee on withdrawals over that amount. Additionally, they charge a $10 monthly fee after 12 months of inactivity.

Read our XTB review for further insights.

3# eToro

etoro logo
Visit eToro
79% of retail CFD accounts lose money.

eToro at a glance

Number of currency pairs45
Maximum Leverage1:400
Minimum Deposit$50
Forex fees$0, but spreads starting 1 pip apply
RegulatorsFCA, CySEC, ASIC

eToro has been well-known for its social trading platform since 2007, where you may copy the trades of other successful investors and discuss current market news with a reasonably large investor community of over 25 million users.

eToro trading fees are generally low and built into the spread, which starts at 1 pip on average, and depends on trading hours and the currency pairs.

eToro spreads on major currencies

Currency pair Spreads in pips
EUR/USD spread 1
GBP/USD spread 2
AUD/USD spread 1
USD/JPY spread 1,300
USD/CAD spread 1.5
CAD/CHF spread 4
XAU/USD spread 4,500
XAG/USD spread 500

The web platform is user-friendly for beginners and has an intuitive layout with many features that enhance your trading experience, such as one-click trading, limit orders, and advanced charting tools.

eToro trading features

Islamic account Yes
Trading platforms

eToro web-based trading platform, eToro mobile application.

Limit orders Yes
Stop loss & take profit orders Yes
Negative Balance Protection Yes
Guaranteed stop loss No

Although eToro is one of the best brokers for new forex traders, it might not be the best choice for day traders or professional traders. This is  because some currency pairs have wider spreads compared to other brokers. Additionally, USD is the only account currency available, and withdrawal fees are a bit high if you plan to withdraw funds frequently ($5 per withdrawal).

Read our in-depth eToro review for a complete evaluation.

4# Plus500

Best Forex Brokers in Malaysia for 2022 1
Visit Plus500
79% of retail CFD accounts lose money.

Plus500 at a glance

Number of currency pairs60+
Maximum Leverage1:300
Minimum Deposit$100
Forex fees$0, but spreads starting 0.8 pip apply
RegulatorsCySEC, FMA, MAS, SFSA, FSCA, ASIC, FCA

Plus500 is another broker included in our list of the best forex brokers in Malaysia. It is an ideal broker if you want to reduce your fees, as it provides tight spreads in addition to free deposits and withdrawals.

Plus500 was founded in 2008, and they have their own well-designed web trading platform and a mobile application that gives you access to over 60 currency pairs.

Plus500 spreads on major currencies

Currency pair Spreads in pips
EUR/USD spread 0.8
GBP/USD spread 1.3
AUD/USD spread 0.8
USD/JPY spread 100
USD/CAD spread 2
CAD/CHF spread 4
XAU/USD spread 4,100
XAG/USD spread 220

Plus500 offers a wide range of indicators and drawing tools that assist you in analyzing trends and market movements. You can open an account online, and you can fund it by bank transfer, credit or debit cards, PayPal, or Skrill, and the minimum deposit is $100.

Plus500 trading features

Islamic account Yes
Trading platforms

Plus500 Web Trader platform, Plus500 Mobile application.

Limit orders Yes
Stop loss & take profit orders Yes
Negative Balance Protection Yes
Guaranteed stop loss Yes

On the downside, Plus500 provides very little educational materials and research reports compared to other brokers. Additionally, if you don’t access your account for three consecutive months, a $10 monthly fee will be charged. This is a shorter timeframe than some other brokers, who typically impose this fee after one year of inactivity.

You can read our Plus500 review for further details.

79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.

What Makes a Good Forex Broker?

Whether you are a beginner or an experienced trader, there are numerous characteristics and features that should be taken into account when choosing a good Forex broker. The following are a few of the most important factors to consider:

  • Regulation: This is the most crucial factor because you need to make sure the business is legitimate before depositing your money. As a result, we advise you never to select a broker who is not regulated by a recognized authority.
  • Commissions: Although spreads vary depending on the currency pair, good Forex brokers often provide tight spreads and have reasonable commissions.
  • Deposit and withdrawal methods: A good broker will make it easy and convenient for users to deposit and withdraw funds by offering several methods, such as wire transfer, debit or credit card, or other electronic payment methods such as PayPal or Skrill.

The bottom line

It can be difficult to compare different trading conditions and find the best Forex broker in Malaysia. It takes time to collect all the data and make the best decision for your needs due to the various parameters to be checked. Our analysts completed this work for you and presented their results and their analysis of the “Best Forex Brokers in Malaysia”, which is summarized below:

Best Forex Brokers in Malaysia
#1 Interactive Brokers Best for wide range of currency pair offerings and advanced tool
#2 XTB Best for high leverage and great customer service
#3 eToro Best for social trading and user-friendly platform
#4 Plus500 Best for low Forex fees and free deposits and withdrawals

To find out which broker could be ideal for you, you can always use our “Help Me Choose” tool. You can also look at our comparison table for a detailed breakdown of the key features of various global brokers. And for additional details about the products and services each broker provides, you can read our reviews.

We hope this article saved you some time while researching  the best Forex brokers in Malaysia. We advise you to conduct your own research to determine which online broker is  best for you. Keep in mind that a demo account might always be helpful.

Other FAQs

How to trade Forex in Malaysia?

First, you have to open an account with a Forex broker in order to get access to the Forex market. Then, you need to analyze the markets using fundamental or technical analysis, depending on your trading strategy. After that, you can place your trades in line with your analysis.

Can I trade Forex in Malaysia with $10? And $100?

Yes, you can trade Forex with amounts as low as $100 or even $10. We have listed in this article a few brokers that do not require any minimum amount to start trading. But the trade size will be small.

When can I trade forex in Malaysia?

You can trade forex 24 hours a day, regardless of where you are physically located. You need to be aware of the opening and closing of various trading sessions. For instance, in Malaysia, the London and New York sessions occur at night.

Toni Nasr, CFA, FRM
Fintech Analyst

Toni is a Fintech Analyst with over 8 years of experience in the financial industry where he worked as a financial control analyst at a regional bank and later conducted independent investment research analysis.

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