South Korea has become an international financial hub and high-tech centre featuring some of the world's most popular breakthroughs.
The tremendous success of its economy and associated wealth, combined with cutting-edge infrastructure, makes South Korea a top Forex market, with growing demand by its highly educated population.
We have reviewed dozens of Forex brokers to compile our South Korea Forex brokers ranking featuring the most competitive trading environments.
- ACY Securities, Swap-free trading with the MT5 trading platform.
- FXTM, Best all-around broker with high floating leverage and fast execution.
- FP Markets, ECN trading with leverage up to 1:500.
Comparison of the Best Forex Brokers in South Korea
| | | |
Regulators | ASIC | CMA, CySEC, FCA, FSC Mauritius, FSCA | ASIC, CMA, CySEC, FSCA |
Year Established | 2011 | 2011 | 2005 |
Execution Type(s) | ECN/STP, Market Maker | ECN/STP, Market Maker | ECN/STP |
Minimum Deposit | |||
Average Trading Cost EUR/USD | 1.1 pips ($11.00) | 0.1 pips | 1.2 pips |
Average Trading Cost GBP/USD | 1.1 pips ($11.00) | 0.2 pips | 1.4 pips |
Average Trading Cost Gold | $0.15 | $0.18 | $0.16 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5 | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based |
Islamic Account | |||
Negative Balance Protection | N/A | ||
| Visit Website | Visit Website | Visit Website |
ACY Securities
In Summary Swap-free trading with the MT5 trading platformI rank ACY Securities among the best Forex brokers in South Korea due to Capitalise AI, enabling algorithmic trading in a code-free environment, a competitive edge few brokers can match. Traders also benefit from deep liquidity via 16 tier-1 global banks and high-speed order execution under 30 milliseconds. The well-balanced asset selection consists of 2,200+ CFDs, including ETFs and futures.
Copy traders can diversify via embedded MT4/MT5 copy trading services, fee-based Signal Start, or SoFinX Copy Trading. ACY Securities maintains competitive, commission-based trading fees with raw spreads from 0.0 pips for a commission of $6.00 per 1.0 round lot.
Pros & Cons
- Large repository of daily analysis and educational content
- Low spreads starting at 0 pips in the Spread Zero account
- 16 payment processors, including cryptocurrencies
- Competitive trading fees in its commission-based accounts
- Only 1 regulator
FXTM
In Summary Best all-around broker with high floating leverage and fast executionThe cutting-edge FXTM trading infrastructure includes a superb price improvement technology that decreases trading fees by an average of $3.00 per round lot. For a minimum deposit of $500, traders get ultra-low trading fees at FXTM in the Advantage account from 0.0 pips for a commission of $0.80 and $4.00 per 1.0 standard round lot. It makes FXTM the best-priced Forex broker among our best South Korea Forex brokers.
FXTM developed its user-friendly mobile app FXTM Trader. Traders also get the MT4/MT5 trading platform.
Pros & Cons
- Excellent commission-based Forex pricing environment and transparency
- Upgraded MT4/MT5 trading platforms plus proprietary mobile trading app
- Quality market research and educational content for beginner traders
- A highly regulated broker with a tier-1 license
- No cryptocurrencies and limited choice of commodities
FP Markets
In Summary ECN trading with leverage up to 1:500FP Markets provides the most upgraded MT4/MT5 environment from our best South Korea Forex brokers. Besides a 12-plugin upgrade package, traders get Trading Central and Autochartist. Licensed account managers can offer traditional account management services via MAM/PAMM. Traders also benefit from competitive, commission-based trading fees and a well-balanced asset selection.
Copy traders can use the proprietary FP Markets solution, the fee-based Signal Start, and the well-known Myfxbook Autotrade service. Alternatively, they can rely on the trusted, embedded copy trading services in MT4/MT5/cTrader. Traders can get daily market reports via the FP Markets newsletter, and FP Markets stands out with its fast payment processing times.
Pros & Cons
- Choice of trading platforms and auxiliary trading tools
- Very competitive cost structure and excellent asset selection
- Low minimum deposit requirement and leverage of up to 1:500
- Well-regulated and trustworthy
- Availability of Iress geographically restricted
Forex Trading in South Korea
South Korea has an exceptional Forex trading infrastructure due to leadership in finance, technology, and education. Over 81% live in urban centres, the internet penetration is almost 98%, while the mobile penetration is just shy of 128%, with social media usage at 92%. Domestic Forex brokers have a dominant presence, but our South Korea Forex brokers are expanding their market share amid cutting-edge trading tools and services.
What to Look for in a Forex Broker from South Korea
All competitive South Korea Forex brokers should offer the following:
- Regulation - 10+ years clean regulatory track record.
- Low trading fees - Low trading fees and swap rates, including positive ones.
- Trading platforms - Algorithmic and copy trading plus a user-friendly mobile app.
- Asset diversity - A choice of liquid assets.
- Deposits/Withdrawals - No internal transaction fees and low minimum requirements.
Forex Trading Regulations in South Korea
The Bank of Korea announced sweeping new regulations that welcome offshore brokers, like the ones listed here, while extending interbank Forex trading hours. The Financial Services Commission and the Bank of Korea regulate the Forex markets, and the Electronic Financial Transaction Act regulates all electronic financial transactions. It is also leading cryptocurrency regulations, with the Bank of Korea proposing similar rules and oversight for crypto as Forex and other financial assets.
How Much is Forex Leverage in South Korea?
South Korea has a very restrictive maximum leverage environment, with maximum Forex leverage capped at 1:10. All brokers on our South Korea Forex brokers list offer negative balance protection. Forex traders should always use proper risk management when trading leveraged accounts.
How to Start Forex Trading in South Korea?
Before opening an account with these South Korea Forex brokers, beginners should consider my tips below.
- Begin with quality education.
- Respect Forex trading as a skilled profession.
- Trading psychology separates 90% of unprofitable traders from profitable ones.
- Learn the relationship between leverage and risk management.
- Leverage magnifies profits and losses.
- Risk management is as important as the trading strategy.
- Choose a suitable trading strategy that reflects your personality.
- Low trading fees are paramount to a competitive trading environment.
- Master appropriate take profit and stop loss placement.
What is the Best Trading Platform in South Korea
With 80%+ of daily Forex trading volume algorithmic, any competitive trading platform should support it. MT4 is the leading algorithmic trading platform, and all brokers on our South Korea Forex brokers list offer it, making it the best trading platform in South Korea. It fully supports algorithmic, API, and copy trading, and traders can upgrade it via 25,000+ custom indicators, plugins, and EAs. A user-friendly mobile app is also available. MT5 and cTrader come in as the second and third-best choices, as they lack the versatility of MT4.
Forex Trading Taxation in South Korea
Our South Korea Forex brokers review only found that a 10% personal income tax applies to Forex trading income, which can increase to 11% and 14%, depending on total annual income from all sources. The South Korean Forex landscape, including taxes, continues to evolve and become more competitive while already ranking among the best in many areas, except leverage. South Korean Forex traders should consult a legal professional to seek tax advice in South Korea to ensure compliance with local rules and regulations.
Pros & Cons of Forex Trading in South Korea
Before funding a Forex trading account with any of our South Korea Forex brokers, traders must evaluate the pros and cons of Forex trading in South Korea.
The pros of Forex trading in South Korea are:
- Lower capital requirements versus other assets
- Low-latency algorithmic trading
- 24/5 decentralized trading
- Mobile trading
- PAMM/MAM accounts
- Copy and social trading
- Passive income opportunities
The cons of Forex trading in South Korea are:
- Lack of respect for Forex trading as a high-skilled profession
- Unrealistic trading expectations
- Disconnect between leverage and its relationship to risk management
- Misleading marketing campaigns
- Emotion-based decision-making
- Demo trading that results in a false sense of accomplishment
Bottom Line
South Korea is an excellent hub for Forex traders, and unlike many jurisdictions, it has introduced regulatory changes to welcome offshore brokers. South Korea has a vibrant domestic brokerage scene, which has the advantage of offering trading accounts denominated in South Korean Won. However, trading from US Dollar-denominated accounts eliminates many currency conversion fees. All brokers from our South Korea Forex brokers review accept credit/debit deposits in South Korean Won but convert them into the account base currency. In addition, most accept cryptocurrency deposits.
Traditional account management services, algorithmic trading, and copy trading are leading strategies, and South Korea is also a leading cryptocurrency hub.
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