Forex Brokers for US Traders
This is a list of Forex brokers that work with the currency traders from the United States of America. These brokers are either registered with NFA (and regulated by CFTC) or are offshore companies that cater to the US traders despite the Dodd-Frank Wall Street Reform and Consumer Protection Act that prohibit doing so. According to the US spot Forex market regulations, only properly registered brokers may solicit and offer service to residents of the USA. The same regulations also limit their trading conditions severely. To comply with the American FX regulatory environment, a broker must offer a leverage not higher than 1:50 for major currency pairs (even lower for minor and exotic pairs) and support no-hedging accounts. A regulated broker must also maintain at least $20 million capital and comply with rather strict monitoring, supervision, and risk management standards. This actually results in higher security of funds but may seem rather restrictive to many Forex traders. You will find 12 brokers listed in the table below.
There are only three real reasons to seek a broker that accepts US traders:
- You are a US resident, so only this category of companies will offer live trading to you.
- You are planning a move to US and you would not want to change brokers when this happens.
- You are looking for a high level of funds security and regulatory scrutiny in your Forex broker — brokers from the United States jurisdiction are usually very reliable in this regard.
