Best Forex Brokers in France 2018
As the popularity of Forex trading in France grows, so does the amount of complaints leveled at the brokers. Don’t fall foul to a scam broker. Use our well-researched list to discover who are the best brokers to trade with if you are located in France.
Best Forex Brokers in France 2018
While Forex trading has been gaining popularity in France, so too have the number of complaints about French forex brokers. As a result of the increased level of complaints, the French authorities have taken a hard line stance against high-risk investments by banning all electronic advertisements of such products. Nevertheless, it is legal to trade forex in France although as a French trader, you need to conduct your own due diligence to find the best French forex brokers to work with.
The French financial regulator AMF (Autorité des Marchés Financiers) has always maintained a strong stance against financial fraud of any kind. It has always tried to encourage its citizens to invest in more conservative investments such as stocks. To protect its citizens from being lured into investing in high risks investment products, the AMF has totally banned all electronic advertisements of forex products due to the belief that most of the forex brokers in the industry have downplayed the risks involved in forex trading. Consequently, the AMF has now maintained an official list of forex brokers that are unauthorized and unsafe to invest with. Because of the strict monitoring and actions taken by the AMF, most of the unauthorized brokers have moved their operations outside the reach of the AMF or have switched to other products.
Established in 2003 under the Financial Security Act, Autorité des Marchés Financiers (AMF) is the main agency in France that is responsible for safeguarding the stability of the French financial markets. The result of the merger between the Conseil de discipline de la gestion financière (CDGF), the Conseil des marchés financiers (CMF) and the Commission des opérations de bourse (COB), the duty of the French AMF include:
- The protection of investments in financial instruments and other forms of savings and investments vehicle.
- Maintaining order in the financial markets
- Informing and ensuring that investors are provided with all the necessary information before they make an investment.
Trading Platforms & Software
The majority of the French forex brokers are actually local branches of forex brokerage firms that obtained their authorization from the Cyprus Securities Exchange Commission (CySEC). Under the MiFID, these brokers are permitted to operate in France once they have established a local office and registered with the AMF. As the target markets of these brokerage firms are clients from all over the world, these brokers usually adopt the trading platforms that have the widest appeal. The most popular being the MetaTrader platform. Other trading platforms that are normally adopted by the forex brokers in France are the cTrader and the Sirix WebTrader.
Commissions & Spreads
It is the forex industry standard practice not to charge traders any commissions on the trades that they make. In lieu of commission charges, what forex brokers do is widen the spreads which traders have to pay on the assets that they are trading. These spreads can be fixed or floating and typically range from 0.1 pips to 3 pips for the frequently traded currency pairs. For forex brokers operating with a NDD (Non Dealing Desk) business model, only then will traders be required to pay a small commission for each lot traded. French forex traders are likely to encounter the same kind of trading conditions as other forex traders from other parts of the world since the forex market is a global market.
Account Types & Deposit Methods
Forex brokers that cater to the retail forex market generally offer 3 types of trading accounts to their clients. These accounts are normally distinguished by the minimum lot size which a trader can make. For example:
- The Mini/Micro account permits traders to make trades smaller than a standard lot size of 100,000 units.
- Standard accounts on the other hand require traders to make trades based on the standard lot size.
- The final type of trading account is the VIP account which is geared towards high net worth traders or professional traders. These VIP accounts usually come with a wide range of benefits which normal traders will not be able to access.
As for the funding of these accounts, that can be easily done with credit cards, eWallets and Bank Wire transfer.
As a French forex trader, one of the most important criteria that you must take into consideration when making your broker selection is the customer support service. Ensure that the website is available in French and the customer support representatives are able to converse fluently in French. Obviously you would expect a localized telephone number, otherwise phone charges can rack up.
As the forex trading industry is extremely competitive, you often find forex brokers trying to add value to their products and services by providing additional services as a free signal service and VPS. While these services are not essential, they can prove to be helpful sometimes when at a loss to begin your market analysis.
Picking the right forex brokers in France to work with is not an easy task. In order to help our readers make a better choice in their broker selection, we have come up with a list of recommended brokers that are ideal for local traders. These brokers have been thoroughly reviewed based on a set of criteria that we have recommended our readers to look for in a broker and include service, product and offering.
- New Zealand
- South Africa
- South Korea
- Hong Kong
- United Arab Emirates
- Russian Federation
List of Brokers
|BROKER||USER RATING||REGULATED BY||HEADQUARTERS||MIN. DEPOSIT||OFFICIAL SITE|
|ASIC, CySEC, FCA||Israel||$100||Open Account|
|ASIC, BVI, FSA(JP), FSB, MiFID||Ireland||$100||Open Account|
|ASIC, CySEC, FCA||Cyprus||$200||Open Account|
|CySEC, FSB||Cyprus||$100||Open Account|
|BaFin, FCA||United Kingdom||$300||Open Account|