Forex Brokers with Fixed Spreads

The Spread is the difference between the Bid and Ask prices. It is calculated in pips. The spread could have a significant impact on the profitability of most trading strategies. The size of the spread is an important factor during trading since a high spread results in an important part of the loss for the client during active trading.

What is the fixed spread?

As can be assumed from the name, the fixed spread does not change depending on the time or the fluctuations and volatility of the market in general. However, in case of low liquidity and high volatility, the margin can be changed temporarily, that is, transferred to the new level of fixed margin and when the market returns to its normal state, the spread returns to its normal level. However, despite these rare situations, fixed spread trading is more convenient and beneficial for clients, since it is more predictable and therefore less risky.

In recent years, under conditions of high competition, brokerage companies are constantly trying to offer innovations to their clients, and this also refers to the spread. An increasing number of companies are adopting the floating spread along with the fixed spreads

Here is a list of the best online brokers that offer accounts with fixed spreads:

BrokerRegulationBroker TypeTrading InstrumentsTrading conditionsMinimum DepositBroker Review
Avatrade
Bank of Ireland, ASIC and otherMarket Maker-Forex
-Commodities
-CFD
Spreads: From 1.0 pips

Leverage: 1:500
$100Review
HYCM
FCA
CySEC
Market Maker-Forex
-Commodities
-CFD
Spreads: From 2.0 pips

Leverage: 1:200
$250Review
EasyMarkets
CySEC
ASIC
Market Maker-Forex
-Commodities
-CFD
-Forex options
Spreads: From 1.0 pips

Leverage: 1:400
$250Review
NordFX
CySECECN/STP-Forex
-Commodities
-CFD
-Crypto
Spreads: From 0.0 pips

Leverage: 1:1000
$10Review
Forex4you
-NDD/STP-Forex
-Commodities
-CFD
Spreads: From 0.5 pips

Leverage: 1:500
$10Review
EXNess
CySECECN/STP-Forex
-Commodities
-CFD
Spreads: From 0.5 pips

Leverage: 1:1000
$1Review
ForexTime
CySEC
IFSC
Market Maker/ECN-Forex
-Commodities
-CFD
Spreads: From 0.1 pips

Leverage: 1:1000
$5Review
RoboForex
http://www.roboforex.com/?a=ufb
CySECECN/STP-Forex
-Commodities
-CFD
Spreads: From 0.5 pips

Leverage: 1:1000
$10Review
Alpari
-ECN/STP-Forex
-Commodities
-CFD
Spreads: From 0.0 pips

Leverage: 1:1000
$10Review
FXPrimus
http://www.fxprimus.com/open-an-account?r=15010
CySECNDD/STP-Forex
-Commodities
-CFD
Spreads: From 0.5 pips

Leverage: 1:500
$200Review
FBS
CySEC
IFSC
ECN/STP-Forex
-Commodities
-CFD
Spreads: From 0.5 pips

Leverage: 1:1000
$1Review

What are the best brokers with fixed spreads?

When trading through an online broker with fixed spreads, the differential between the Buy price and the Sell price (bid and ask respectively) of the investment instruments it offers (currencies, precious metals, commodities, stocks, indices, etc. .) is set at a certain number of pips and is fixed. The number of pips will depend on the conditions of each broker and may be different for each investment instrument.

When trading with brokers with fixed spreads, you can know in advance the buy and sell prices. Whatever these prices are, the difference between them will always be the same. Brokers with variable spread dynamically offer the best price available at all times, depending on liquidity conditions in the market. However, and naturally, offering the best available bid and ask prices at all times, causes considerable oscillations in the available spreads depending on the moment in which the trade is executed. Although most of the time variable spreads tend to be lower than fixed spreads, working with fixed spreads can be a good option for beginners or to execute certain trading strategies that require it, such as those that need to execute trades at times of less liquidity, for example.

Many traders are interested in fixed spreads to avoid the sudden changes that variable spreads can have at certain times of great volatility, such as when certain economic news is given. Working with a broker with fixed spreads is not always a guarantee that we will not have spreads changes at specific times, although the behavior is usually much more stable. Many brokers with fixed spreads include clauses in their trading conditions that specify that the spreads will be kept “in normal market conditions”, that is, the spreads may be altered in exceptional circumstances in the market.

As a general rule, Market Makers brokers are the ones that usually offer fixed spreads to their clients. These types of online brokers execute trading orders on your trading desk. Orders do not reach the market as the broker act as a counterparty to the trader.

In contrast, STP/ECN brokers (Electronic Communication Network) execute the trader’s orders in the market as it is interconnected with various liquidity providers and, thus, able to offer the best Bid and Ask price available at every moment. Therefore, these types of brokers are those that can offer variable spreads. Therefore, ECN Forex brokers are the ones that can offer variable spreads.

In summary, trading with fixed spreads is usually in line with the type of online broker in which we register, despite the fact that some brokers offer accounts with fixed spreads and accounts with variable spreads (acting as Market Maker or as ECN/STP, according to the case).

After having analyzed numerous online brokers, the ones you can see in the table above are the ones we consider the best brokers with fixed spreads. You should be aware that some of them offer several different trading accounts, some with fixed spreads and others with variable spreads (ECN/STP accounts).