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.
- FP Markets, ECN trading with leverage up to 1:500.
- BlackBull Markets, Best ECN trading environment, with scalping and hedging.
- Eightcap, Competitive pricing + excellent daily videos.
- Octa, A commission-free broker with a proprietary copy trading service.
- XM, Exception range of assets + negative balance protection.
Comparison of the Best Forex Brokers in South Korea
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Regulators | ASIC, CMA, CySEC, FSCA | FMA, FSA | ASIC, CySEC, FCA, SCB | CySEC, FSCA, MWALI International Services Authority | ASIC, CySEC, DFSA, FSC Belize |
Year Established | 2005 | 2014 | 2009 | 2011 | 2009 |
Execution Type(s) | ECN/STP | ECN/STP, No Dealing Desk | ECN/STP, Market Maker | Market Maker | Market Maker |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 1.2 pips | 1.3 pips | 1.0 pips | 0.9 pips | 0.1 pips |
Average Trading Cost GBP/USD | 1.4 pips | 2.0 pips | 1.2 pips | 1.3 pips | 0.2 pips |
Average Trading Cost Gold | $0.16 | $0.90 | $0.12 | $0.30 | $0.19 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based | MetaTrader 4, MetaTrader 5, cTrader, Trading View | MetaTrader 4, MetaTrader 5, Trading View | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 4, MetaTrader 5, Proprietary platform |
Islamic Account | |||||
Negative Balance Protection | N/A | ||||
| Visit Website | Visit Website | Visit Website | Visit Website | Visit Website |
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
BlackBull Markets
In Summary Best ECN trading environment, with scalping and hedgingBlackBull Markets was founded in 2014 in New Zealand. Like many antipodean Forex brokers, BlackBull Markets is an ECN broker, offering raw spreads and commissions. They are regulated in New Zealand by the Financial Services Providers Register (FSPR) and offer a maximum leverage on some Forex currency pairs as high as 500 to 1. In addition to their global headquarters in New Zealand, BlackBull Markets also has presences in the form of branch offices in New York and Malaysia. BlackBull Markets offers a relatively tight range of tradable assets: 27 Forex currency pairs and crosses, gold, silver, crude oil, natural gas, and 6 major equity indices. That should be sufficient for those traders with more focused strategies not requiring wide diversification.
Pros & Cons
- ECN/NDD execution model with deep liquidity
- Institution-grade pricing for retail traders via proprietary price aggregation
- ZuluTrade and Myfxbook for social trading
- Leverage of up to 1:500
- Limited deposit options
Eightcap
In Summary Competitive pricing + excellent daily videosTraders at Eightcap get Capitalise AI, which allows algorithmic trading in a code-free environment. MT5 traders get an upgraded trading experience via the FlashTrader plugin, and Crypto Crusher is a dedicated solution for demanding cryptocurrency traders. It makes Eightcap the broker from our best South Korea Forex brokers with the most advanced trading tools.
VPS hosting enables low-latency 24/5 algorithmic Forex trading, and news traders benefit from the AI-powered economic calendar. Copy traders get the embedded MT4/MT5 services, and Eightcap connects social traders to the active TradingView with 50M+ traders. Beginner services consist of Eightcap Labs and Eightcap Trade Zone.
Pros & Cons
- Low minimum deposit and high leverage of up to 1:500
- Competitive cost structure
- Excellent technology infrastructure and seasoned management team
- Daily research and quality educational content
- Limited leverage in some areas
Octa
In Summary A commission-free broker with a proprietary copy trading serviceFounded in 2011, Octa is a “Straight Through Processing” (STP) broker, which means they do not have an internal dealing desk. They simply connect buyers and sellers directly. With this model, Octa aims to be more cost-effective than anyone else in the market. They offer low spreads and claim 97.5% of trades are executed without slippage.
Octa offers their clients a choice of three Forex trading platforms: the world’s most popular MetaTrader 4 (MT4) and MetaTrader 5 (MT5). All of these can be traded as a desktop application, and on Android and iOS devices.
Octa is an unregulated broker but continues to earn the trust of traders around the globe, with more than 1,500,000 accounts opened. One reason for the ongoing success of this market maker is appealing bonus campaigns. This broker paid out almost $3,000,000 in bonus funds. Octa offers traders the MT4 and MT5 platforms, and a proprietary mobile trading platform. Octa additionally grants their clients Autochartist, but traders require a Silver Level in the Status Program. Traders have a choice between fixed and floating spreads, and the overall cost structure remains competitive.
Asset selection remains the distinct weakness at Octa, making it most suitable for new retail traders. A series of short educational articles offers a basic Forex introduction, and this broker maintains an excellent arsenal of research and analytics tools.
Pros & Cons
- Quick withdrawals and deposits
- 0% commission and no overnight charges
- Space with personalised trading ideas
- Customer Support 24/7
- Mobile copy trading services available only for Android
XM
In Summary Exception range of assets + negative balance protectionI rank XM among the best Forex brokers for beginners as it provides exceptional education, with the live education room available Monday through Friday between 06:00 and 15:00 GMT at its core. Beginners also receive actionable trading recommendations, and the $5 minimum deposit ensures accessibility to all traders, boosted by deposit bonuses.
XM rewards active traders with a four-tier loyalty program and supports algorithmic traders with VPS hosting. The well-balanced asset selection exceeds 1,000 assets, and the proprietary copy trading service pays signal providers up to 50% profit share. Swap-free trading and low trading fees ensure a competitive edge.
Pros & Cons
- Outstanding trading tools and loyalty program
- Low minimum deposit, high leverage*, and competitive trading cost
- Excellent research and education
- Trustworthy and transparent with generous bonuses and incentives
- Inactivity fee
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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