Are you based in the Philippines and want to trade forex? There’s a valid question about the legality of trading forex in the Philippines, but here’s a hint: Trade through international brokers based outside of the Philippines.
In this article, we will explore the best forex brokers in the Philippines, highlighting their features, regulations, trading tools and more. Helping you make an informed decision on which broker to choose for your the best chance at success in the forex market.
Quick Look: Best Forex Brokers in the Philippines
- Best Overall: FOREX.com
- Best for CFD Trading: Vantage Markets
- Best for Low Forex Fees: BlackBull Markets
- Best for MT4 Traders: Axi
- Best Trading Platform: AvaTrade
Best Forex Brokers in the Philippines
All of the brokers listed below are reputable and have competent regulatory oversight from at least one major forex regulator. They may also be regulated in more than one jurisdiction.
1. Best Overall: FOREX.com
- Best For:Excellent Trading Conditions and Overall OfferingsVIEW PROS & CONS:securely through Forex.com Europe's website
FOREX.com provides a range of trading platforms, catering to traders of various experience levels and preferences. It includes the widely recognized MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms, favored for their comprehensive charting tools, automated trading options, and customizable features. In addition, FOREX.com has developed its own proprietary trading platform, designed to offer intuitive functionality and advanced tools for market analysis, trading insights, and trade management, which can appeal to those looking for a streamlined user experience.
Why We Picked It: We chose FOREX.com because of its accessible minimum deposit requirement of $100, which makes it a viable choice for beginner traders looking to enter the forex market without a large initial investment. Deposits can be conveniently made through bank transfer, check, or debit card, appealing to those who prioritize traditional banking methods for added security.
2. Best for CFD Trading: Vantage Markets
- Best For:CFD TradersVIEW PROS & CONS:securely through Vantage Markets's website
Vantage Markets is a comprehensive online broker catering to forex traders in the Philippines, offering access to over 1,000 CFD trading products. The platform integrates popular tools like MetaTrader 4, MetaTrader 5, TradingView, and the Vantage App, delivering a versatile, user-friendly experience for both web and mobile trading. Filipino traders can also take advantage of Vantage’s educational resources through the Vantage Academy, where webinars, eBooks, and courses are available to boost market knowledge and trading skills.
Why We Picked It: With over 15 years of service, Vantage Markets has built a reputation for reliability and support, attracting traders from around the world who seek flexible and accessible trading solutions. Its wide array of financial instruments, educational resources, and promotional offers make it an attractive choice for both beginner and experienced forex traders in the Philippines.
3. Best for Low Forex Fees: BlackBull Markets
- Best For:Lightning Fast Execution SpeedVIEW PROS & CONS:securely through BlackBull Markets's website
BlackBull Markets offers competitive trading conditions with low spreads, high leverage, and fast execution speeds, which are key factors to trade efficiently and cost-effectively. The broker provides a wide range of tradable assets including forex, commodities, indices and cryptocurrencies.
Why We Picked It: BlackBull Markets offers multiple trading platforms including MetaTrader 4 and 5. You’ll also have access to various account types with different features and benefits, catering to your diverse needs and preferences, whether you’re a beginner trader or experienced investor.
The broker also provides excellent customer support services, with multilingual support available 24/5 via live chat, email, and phone. Educational resources and market analysis tools are offered to help you improve your trading skills and make informed decisions, ultimately enhancing the trading experience and potential for profit.
4. Best for MT4 Traders: Axi
Axi provides a secure and robust environment for trading CFDs, enhanced by a demo account feature that allows users to practice trading with $50,000 in virtual currency. The platform is powered by MetaTrader 4, a trusted platform in the trading industry, and includes several beneficial tools designed to support both novice and experienced traders. These tools include copy trading, which simplifies the trading process by allowing users to mimic the strategies of successful traders, as well as educational resources to enhance trading knowledge. Additionally, Axi incorporates AI and machine learning tools that adapt to individual trading patterns, helping users make more informed decisions.
Why We Picked It: Axi offers a diverse selection of tradable assets, including over 40 forex pairs, leverage trading options, more than 30 indices, precious metals, oil, commodities, and over 30 leading cryptocurrencies. This broad asset range allows users to build a varied portfolio tailored to their interests and risk tolerance. Axi also maintains competitive fees, with low trading costs, no deposit or withdrawal fees, and a $10 monthly maintenance fee for inactive accounts, making it an affordable and accessible choice for a wide range of traders.
5. Best Trading Platform: AvaTrade
- Best For:Non U.S. Forex & CFD TradersVIEW PROS & CONS:securely through AvaTrade's website
AvaTrade has a strong reputation as a reliable and trustworthy broker, winning multiple awards for its services and innovations in the forex industry. AvaTrade offers a wide range of trading instruments, including forex, stocks, commodities, indices and cryptocurrencies. The broker provides user-friendly trading platforms such as MetaTrader 4 and AvaTradeGO, which are accessible on both desktop and mobile devices.
Why We Picked It: They offer competitive spreads and leverage options, educational resources, market analysis, and customer support in multiple languages, including Tagalog. You’ll also have access to various account types, including demo accounts, Islamic accounts, and VIP accounts. AvaTrade also provides a range of trading tools and features, such as automated trading, social trading and trading signals.
Overview: Forex Trading in the Philippines
The Philippine Securities and Exchange Commission (SEC) issued an advisory in 2016 and again in 2018 that stated that foreign exchange trading is illegal in the Philippines. The advisory was issued after complaints of steep losses exceeded initial deposits on the forex market.
The SEC also intended to avoid investor losses due to people representing themselves as “experts” and acting as brokers or agents of brokers without Philippine regulatory licenses.
The advisory also cites a Philippine Supreme Court case that states that gains made from market fluctuations were “purely gambling and declared null and void by law.” The advisory concludes by encouraging people to report others “operating foreign exchange trading and those acting as agents of these operators” to the Commission.
Despite the ban, more experienced Philippine forex traders have no intention of closing their existing accounts. They claim that the SEC’s advisories were simply designed to discourage the general population from opening accounts with local unregulated “experts” and that they merely impose possible “administrative fees” to be levied if not in compliance.
Features of a Great Forex Broker
Regardless of where a forex broker is located, the best forex brokers generally share some of the following features:
- Strictly regulated in their jurisdiction
- Good reputation with existing clients
- Affordable minimum deposit requirement
- Account type that fits your needs
- Sufficient leverage ratio for your trading strategy
- Competitive dealing spreads
- Protection against negative balances
- Minimum order slippage
- Segregated client funds
- Reasonable deposit and withdrawal options
Another important element to consider is the broker’s trading platform. A demo account with a prospective broker will give you an idea of how its trading platform works.
Many brokers offer popular third-party platforms, in addition to their own proprietary platforms. These options typically include MetaTrader 4, NinjaTrader and cTrader.
Start Trading the Foreign Exchange Market in the Philippines
Trading in the forex market carries risks not found in other tradable assets like stocks. You buy and sell an asset at a price and often remain unleveraged when you trade in the stock market. On the other hand, the FX market requires you to use leverage and position yourself long or short based on an exchange rate view in the forex market.
Your losses are generally limited to your investment when buying stocks but can be much greater when trading currencies on margin if you do not have negative balance protection in your forex trading account.
Also, know that many experienced traders based in the Philippines have disregarded the advisories issued by the SEC, but a crackdown on forex traders in the Philippines might occur in the future.
Frequently Asked Questions
Is forex legal in Philippines?
Yes, forex trading is legal in the Philippines. The country’s central bank, the Bangko Sentral ng Pilipinas (BSP), regulates and supervises foreign exchange trading activities. However, individuals or companies engaging in forex trading must ensure compliance with the necessary licenses and documentation requirements set by the BSP.
Is forex trading taxable in Philippines?
Yes, forex trading is taxable in the Philippines. According to the Bureau of Internal Revenue (BIR), any income generated from forex trading is subject to income tax. Traders are required to keep records of their transactions and report their earnings accurately to comply with tax regulations.
What is the best time to trade forex in the Philippines?
The best time to trade forex in the Philippines is during the overlap of major trading sessions in different global financial centers. This typically occurs during the Tokyo and London sessions, which is from 3:00 AM to 11:00 AM local time. During this time, there is increased liquidity, higher trading volume, and potential opportunities for profit. However, it is important to note that individual trading strategies and preferences may also influence the best time to trade forex. It is recommended to research and develop a trading plan based on personal goals and market conditions.
Get a Forex Pro on Your Side
FOREX.com, registered with the Commodity Futures Trading Commission (CFTC), lets you trade a wide range of forex markets with low pricing and fast, quality execution on every trade.
You can also tap into:
- EUR/USD as low as 0.2 with fixed $5 commissions per 100,000
- Powerful, purpose-built currency trading platforms
- Monthly cash rebates of up to $9 per million dollars traded with FOREX.com’s Active Trader Program
Learn more about FOREX.com’s low pricing and how you can get started trading with FOREX.com.
About Jay and Julie Hawk
Jay and Julie Hawk are the married co-founders of TheFXperts, a provider of financial writing services particularly renowned for its coverage of forex-related topics. With over 40 years of collective trading expertise and more than 15 years of collaborative writing experience, the Hawks specialize in crafting insightful financial content on trading strategies, market analysis and online trading for a broad audience. While their prolific writing career includes seven books and contributions to numerous financial websites and newswires, much of their recent work was published at Benzinga.