Nigeria, Africa’s most populous country, has some of the youngest and most tech-savvy individuals in the continent. This has led to the country witnessing a surge in forex trading activity in recent years. The forex market has become an attractive investment avenue for Nigerians seeking to diversify their portfolios and capitalize on global financial markets. As the demand for forex trading services rises, numerous brokers have entered the Nigerian market, offering brokerage services. Brokers like Exness operating in Nigeria have attracted a significant number of traders from the country. In this article, we will look at the top forex brokers with the biggest presence in Nigeria. We will look at their features and regulations to determine how suitable they are for traders. Let’s jump in.
Exness
Exness is a well-known global broker that maintains a significant presence in Nigeria. This broker participates in various expos in the country allowing it to engage with the local trading community. The company also organizes Partner Development Program seminars to establish a network of traders and a collaborative environment.
Notably, Exness has a deep collection of market products for online trading. These include a total of over 200 different assets which include CFDs on forex, indices, energies, metals, stocks, and cryptocurrencies. As such, traders do not need to leave the platform to diversify their portfolios. The trading platforms available to use include MetaTrader 4, MetaTrader 5, Exness Terminal, and Exness Trade App.
The spreads are fairly low starting from 0.2 pips on the two standard accounts and from 0.0 pips on the three professional accounts. However, traders should not that trading on the professional accounts comes with a commission except on the Pro account.
Finally, Exness is regulated by several organisations around the world. In Africa, it is under the regulation of the CMA in Kenya and the FSCA in South Africa. Elsewhere, it is regulated by the FCA in the UK, the CySEC in Cyprus, and the FSC in Mauritius, among others.
FXTM
FXTM probably has the most significant presence in Nigeria. This broker actually has a physical office in Nigeria located on the 3rd Floor, 5, Allen Avenue, Ikeja, Lagos, Nigeria. That’s not all. The company has set up learning centres in Lagos and Port Harcourt. These centres are always buzzing with seminars and workshops led by top market analysts. The company boasts of over 28 educational events held per year throughout Lagos and Port Harcourt.
Notably, this broker allows its traders to access a variety of market products. These include forex, metals, indices, commodities, forex indices, stocks, stock CFDs, and stock baskets. This allows investors to diversify their portfolios as they wish. To invest in these markets, traders have access to three main trading accounts which include MetaTrader 4, MetaTrader 5, and FXTM Trader. This way, traders can pick the platform that best suits them.
To better serve Nigerian traders, FXTM offers Naira-based accounts for convenience and easier operations. There are various accounts for traders to use on this broker site. The Micro account is the smallest and requires a deposit of 10,000 NGN. The advantage and the advantage plus accounts both require a minimum deposit of 80,000 NGN. The Micro and the Advantage Plus accounts have spreads that start from as low as 1.5 pips with no commissions required. The advantage account, however, has spreads from 0.0 pips plus a commission between $0.4 to $2.
FP Markets
While FP Markets doesn’t have a physical office in Nigeria, the broker has a significant presence and participates in a plethora of activities. This broker has participated in forex workshops and forex-related events all over the country. Notably, FP Markets has participated in events based in Lagos, Port Harcourt, Abuja, Ibadan, Enugu, and other locations.
Nigerian traders get access to some of the world’s best trading platforms to use while investing. These include MetaTrader 4, MetaTrader 5, cTrader, Iress, and the newly added TradingView. These platforms allow traders to access over 10,000 different market instruments. These include CFDs on metals, shares, commodities, cryptocurrencies, indices, bonds, and ETFs alongside over 70 different currency pairs.
Further, FP Markets is appealing to Nigerian traders by offering low spreads when trading. The standard account on this broker site has spreads that start from as low as 1.0 pips with no commission required. On the other hand, the raw account of the broker has spreads from 0.0 pips plus a commission as low as $3 per side per lot.
Finally, let’s take a look at how FP Markets’ activities are regulated. Well, this broker is duly regulated by the FSCA in South Africa, the ASIC in Australia, and the CySEC in Cyprus, among others. Such regulations are attractive to traders.
XM
Another broker with a significant presence in Nigeria is XM. Like FP Markets, XM does not have a physical office in Nigeria. However, it regularly participates in activities like forex expos in Nigeria. This helps the country interact with the locals in Nigeria to understand what they need from a brokerage firm. Moreover, the company even has an educational centre in Lagos, Nigeria.
XM has regulations by the FSC in Belize, the FCA in the UK, and the ASIC in Australia, among other regulators. Regulations from multiple organisations are always a good sign to traders. Additionally, this broker offers a diverse collection of market instruments. Traders have access to over 1,000 CFDs on forex, stocks, precious metals, energies, indices, shares, and cryptocurrencies. The trading platforms available to use include MetaTrader 4, MetaTrader 5, and the XM Trading App.
The spreads on this broker site are competitively low starting from 1.0 pips on the standard and the micro accounts. In comparison, the XM Ultra Low account has spreads from 0.6 pips with no commission. Even better, this broker does not charge any commissions on forex and CFDs. The only account that charges commissions is the shares account.
OctaFX
OctaFX also has a noteworthy presence in Nigeria. This broker has a partnership with one of the top banks in Nigeria, Guaranty Trust Bank (GTBank). This allows traders to make deposits via online transfers, in cash at the bank, or via ATMs. It also allows traders to make deposits with no need for currency conversions, no commissions, no intermediaries, and commission-free.
In terms of market products, the broker allows traders access to forex currency pairs, indices, stock CFDs, cryptocurrencies, and commodities. The spreads offered by the broker are fairly low with all accounts having spreads from as low as 0.6 pips. The trading platforms available to use include MetaTrader 4, MetaTrader 5, and OctaTrader.
While not regulated in Nigeria, this broker has supervision and regulation by the FSCA in South Africa and the CySEC in Cyprus.
Closing Remarks
The forex market in Nigeria has seen a significant influx of brokers catering to the growing demand from tech-savvy traders. Among the top brokers with a notable presence in Nigeria are FXTM, FP Markets, XM, and OctaFX. These brokers offer diverse trading platforms, extensive market instruments, and competitive spreads to appeal to Nigerian traders. Additionally, their participation in local events and initiatives demonstrates a commitment to understanding and serving the needs of Nigerian traders. Overall, the presence of these reputable brokers in Nigeria signifies a positive change for the forex trading landscape in the country.
