Swedish Finansinspektionen (FI) regulates financial markets locally, and the Swedish Krona (SEK) fulfills a significant role in global Forex trading and the world’s economy.
It is a component of the US Dollar Index (DXY) with a 4.2% weighting, and Sweden for other countries is a vital exporter of precision technology for the automotive and defense industries. My Forex brokers in Sweden review covers the core aspects Forex traders in Sweden should consider before opening an account.
- BlackBull Markets, Best ECN trading environment, with scalping and hedging.
- ActivTrades, .
- Eightcap, Competitive pricing + excellent daily videos.
- Pepperstone, Great ECN execution on MT4/5, cTader, TradingView and Pepperstone proprietary platform.
- FP Markets, ECN trading with leverage up to 1:500.
Best Sweden Brokers Comparison
| | | | | |
Regulators | FMA, FSA | CNMV, CONSOB, FCA, FSC Mauritius, SCB | ASIC, CySEC, FCA, SCB | ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB | ASIC, CMA, CySEC, FSCA |
Year Established | 2014 | 2001 | 2009 | 2010 | 2005 |
Execution Type(s) | ECN/STP, No Dealing Desk | Market Maker | ECN/STP, Market Maker | No Dealing Desk, NDD | ECN/STP |
Minimum Deposit | |||||
Average Trading Cost EUR/USD | 1.3 pips | $10.00 | 1.0 pips | 1.1 pips | 1.2 pips |
Average Trading Cost GBP/USD | 2.0 pips | $14.00 | 1.2 pips | 1.4 pips | 1.4 pips |
Average Trading Cost Gold | $0.90 | $42.00 | $0.12 | $0.15 | $0.16 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, cTrader, Trading View | Other, MetaTrader 4, MetaTrader 5, Proprietary platform, Trading View+ | MetaTrader 4, MetaTrader 5, Trading View | Other, MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Trading View+ | MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Web-based |
Islamic Account | |||||
Negative Balance Protection | N/A | ||||
| Visit Website | Visit Website | Visit Website | Get Started Visit Website75-95% of traders on margin lose | Visit Website |
BlackBull Markets
In Summary Best ECN trading environment, with scalping and hedgingBlackBull Markets ranks amongst the Forex brokers in Sweden with the broadest choice of Swedish Krona currency crosses and ultra-low trading fees. Swedish-resident Forex traders get the AUD/SEK, EUR/SEK, GBP/SEK, NOK/SEK, SEK/JPY, and USD/SEK, where the latter has an average spread of only 24.9 pips. Demanding algorithmic Forex traders can connect their own technology to the superb BlackBull Markets trading infrastructure via FIX API access.
Copy traders can diversify via BlackBull Social, ZuluTrade, Myfxbook Autotrade, and embedded MT4/MT5 services. Deep liquidity and VPS hosting cater to high-intensity strategies like algorithmic trading and scalping in the commission-based ECN style account.
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
ActivTrades
In SummaryWith a well-balanced asset selection of 1,000+ CFDs, including the EUR/SEK and three Swedish equity CFDs, plus commission-free cost featuring ultra-low swap rates for leveraged overnight positions, ActivTrades places highly on my best Forex brokers in Sweden listing. ActivTrades can execute 100K orders per second with an average order execution speed below 0.004 seconds.
Traders get MT4/MT5 for algorithmic trading, the proprietary ActivTrader for web-based trading, and TradingView, where social traders can connect with 50M+ peers. ActivTrades offers a €20,000 investor compensation fund or compensation for up to 90% of deposits, and enhanced client protection with funds secured up to $1M.
Pros & Cons
- Demo Account
- Highly Regulated
- Low Spreads
- No Choice of Trading Accounts
Eightcap
In Summary Competitive pricing + excellent daily videosEightcap brings Capitalise AI to Forex traders in Sweden, enabling the automation of strategies in a code-free environment. It makes Eightcap one of the Forex brokers in Sweden with the most technologically advanced trading environment. Swedish-resident Forex traders get the USD/SEK with a minimum spread of 0.1 pips and an average of 35.09, making it one of the cheapest Forex brokers for trading the Swedish Krona.
Other benefits include the MT4/MT5 platforms, Crypto Crusher, the active TradingView community, VPS hosting for low latency, 24/5 market access, deep liquidity pools, high leverage with negative balance protection, and excellent order execution.
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
Pepperstone
In Summary Great ECN execution on MT4/5, cTader, TradingView and Pepperstone proprietary platformPepperstone, founded in 2010 and headquartered and regulated in Australia, the U.K., and Dubai, is probably the most well-known ECN Forex broker in the world. As an ECN broker, Pepperstone offers raw spreads and low commissions. Taken together, Pepperstone’s “Razor” account offers one of the most competitive costs of trading in Forex that you will find anywhere. In addition to their global headquarters in Australia, Pepperstone also have presences in London, England, where they enjoy full regulation by the Financial Conduct Authority (FCA), and in Dubai, where they are regulated by the Dubai Financial Services Authority (DFSA). Pepperstone is also regulated by the Cyprus Securities And Exchange Commission (CySEC) in Cyprus, the Capital Markets Authority of Kenya (CMA) in Kenya, the Securities Commission of The Bahamas (SCB) in The Bahamas and the Bundesanstalt für Finanzdienstleistungsaufsicht (BaFin) in Germany.
Pros & Cons
- Excellent choice of trading platforms consisting of MT4/MT5, cTrader, TreadingView and Pepperstone Platform
- Market-leading MT4/MT5 upgrade package, Autochartist, and API trading
- Social trading support via Signal Start, MetaTrader Signals, Copy Trading by Pepperstone, DupliTrade
- Leverage of up to 1:400 depends on jurisdiction and superb trade execution
- Demo accounts have 60-day time limits
FP Markets
In Summary ECN trading with leverage up to 1:500FP Markets offers the following Krona currency pairs, USD/SEK, EUR/SEK, GBP/SEK, whilst the USD/SEK, is the most liquid pair and has a minimum spread of 0.0 pips but averages out at 55.0 pips in the commission-based Raw spreads account. This makes FP Markets one of the leading Forex brokers in Sweden, traders also benefit from NDD order processing, lack of requotes, high leverage, and deep liquidity.
Twelve plugins, Trading Central, and Autochartist upgrade the core MT4/MT5 trading platforms. Copy traders get the proprietary FP Markets Copy Trading solution, Myfxbook Autotrade, Signal Start, and embedded MT4/MT5 copy trading services.
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
Get Started with Forex in Sweden
The below tips will help beginners minimize avoidable mistakes and shorten their learning curve.
Consider the below steps before starting with Forex trading in Sweden:
1. Traders should begin with in-depth Forex education, much information is available for free, Forex trading is a high-skilled profession and requires work to understand how to do it.
2. Master the aspects of trading psychology and understand the importance of leverage and its crucial relationship to risk management.
3. Open an account with one of our highlighted Forex brokers in Sweden to ensure a competitive edge and a trustworthy counterparty. Starting with a demo account with no real funds at risk is a wise move.
4. Define and follow a suitable trading strategy and adopt an appropriate risk management profile, understand the impact of trading costs, how to use leverage intelligently, and have realistic expectations.
5. Follow and analyze market events, which can create price action, break trends, and cause significant volatility.
6. Learn how to place take profit and stop loss orders. Placing them with each entry order ticket is good practice as is not adjusting these levels once in a trade.
How to Choose a Forex Broker in Sweden
My 12-point checklist below will help Forex traders resident in Sweden with choosing a Forex broker.
Swedish Forex traders should consider the following:
- Regulation - A clean operational history exceeding ten years significantly reduces the counterparty risk.
- Local-currency accounts - If SEK base accounts are unavailable, a US Dollar account is the most suitable choice.
- Local payment methods - All brokers offer bank wires and credit/debit cards, but localized payment options also exist.
- Spread sizes - Competitive spreads in commission-based accounts should not exceed 0.1 pips for major currency pairs.
- Fees - Trading fees should max out at $6.00 per 1.0 standard lot with volume-based rebate programs available.
- Products - Leading Forex brokers offer 60+ currency pairs, allowing traders to diversify.
- Asset diversity - Commodities, index CFDs, and cryptocurrencies rank among the leading diversification options for Forex traders.
- Customer service in native language - All brokers offer English customer support, which is widely spoken and understood in Sweden, when Swedish-language support is unavailable.
- Demo account - Unlimited demo accounts with customization options remain a vital tool for all traders.
- Mobile trading - The MT4/MT5 mobile apps are widely available at most brokers.
- Deposits/Withdrawals - Traders should consider third-party processing costs and currency conversion fees.
Basic Forex Trading Strategies
Traders should define their strategy according to their preferences, personality, and risk appetite.
Here are some Forex strategies Swedish traders can consider:
- Copy trading: A passive approach where traders copy signal providers automatically.
- Social trading: Social traders engage with a community but place trades manually.
- MAM/PAMM trading: Traditional third party account management that includes performance fees.
- Short-term approach that usually requires algorithmic trading solutions for efficient results.
- Day trading: Traders hold positions intra-day for minutes up to several hours.
Swedish Forex Payment Methods & Trading Fees
All Forex Brokers in Sweden offer bank wires and credit/debit card deposits. Swedish FinTech company Klarna/Sofort is a leading online payment processor, while Skrill and Neteller are widely available.
Here is an overview of trading fees Swedish Forex traders should understand:
Trading fees consist of:
- Spreads (the difference between the bid and the ask price of an asset)
- Commissions (competitive Forex traders have cheaper commission-based cost structures than commission-free alternatives)
- Swap rates (a financing debit or credit charged on leveraged overnight positions)
- Currency conversion fees (applicable each time the P&L currency of the asset differs from the account base currency)
Non-trading fees consist of:
- Deposit fees (deposits are usually free of charge)
- Withdrawal fees (few brokers penalize traders for withdrawals, but third-party payment processing fees may apply)
- Inactivity fees (most traders never face them)
- Currency conversion fees (for deposits and withdrawals in currencies that differ from the account base currency)
The Pros & Cons of Forex Trading in Sweden
Swedish-resident Forex traders should consider the pros and cons of Forex trading in Sweden.
The pros of Forex trading in Sweden are:
- 24/5 decentralized trading.
- Lower capital requirements than other asset classes
- Algorithmic trading accounts for 80%+ of daily FX volume
- Copy trading can help portfolio diversification.
- Passive income opportunities, via affiliate programs
- Frictionless financial transactions
The potential cons of Forex trading in Sweden are:
- A fundamental misunderstanding of Forex trading, its requirements, and possibilities
- Demo trading can lead to a false sense of accomplishment.
- Overtrading, frustration, and inefficient trading amid a lack of sufficient trading capital mixed with unrealistic trading expectations
- Disrespect of Forex trading as a high-skilled profession
- Inadequate risk management
Is Forex Trading Legal in Sweden?
Forex trading in Sweden is legal, regulated by the FI, and compliant with the European MiFID framework. There are no legal restrictions on assets, including cryptocurrencies, which many Forex brokers in Sweden add to their asset selection.
Trading the Swedish Krona
Swedish-resident Forex traders may prefer trading the Swedish Krona, which many brokers (apart from those we have highlighted) fail to offer. Those with a balanced asset class selection usually include the USD/SEK, the most liquid SEK currency cross, followed by the EUR/SEK.
Bottom Line
Forex in Stockholm, and Forex trading in Sweden, continues to expand, and the Swedish Krona is one of the major currencies in global trade. The Swedish Forex market remains well-regulated, and Swedish Forex traders have access to innovative trading platforms, competitive fees, and no restrictions on financial instruments.
