Zero spread accounts are trading accounts offered by brokers that have no difference between the bid and ask price, or spreads that average close to zero. However, there still exists the potential for spreads to widen, and there can still be added trading costs (commissions, for example) depending on the broker and account you choose.
Trading with a zero spread account makes it easy to enter and exit a trade without having to worry about incurring trading costs (provided there are no additional commissions or fees).
Winners Summary
Lowest effective spreads - Tickmill
| Company |
Overall Rating |
Minimum Deposit |
Average Spread EUR/USD - Standard |
Visit Site |
 Tickmill
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 |
$100 |
0.51 info |
Visit Site
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Tickmill is an extremely competitive broker in the commissions and fees category, thanks to its widely available Pro account as well as the broker’s VIP account offering – both of which feature very low average spreads, coupled with very low per-trade commissions.
Pro account: On Tickmill's Pro account, I calculated Tickmill's effective average spread to be just 0.51 pips (determined using October 2023 average spread data of 0.11 pips for the EUR/USD pair including a round-turn commission of $2 per trade, or 0.40 pips per round-turn). Tickmill's Pro account requires just a $100 deposit, making it widely available beyond active traders and high-net worth investors.
VIP account: If you are looking for even lower effective spreads, Tickmill offers a VIP account featuring the same conditions as the Pro account, except commissions are cut in half to just $1 per side or 0.2 pips per round turn (though the account requires a hefty $50,0000 deposit).
With these account options, Tickmill provides some of the lowest effective average spreads in the industry. Simply put, Tickmill is our top choice in 2024 for zero spread forex brokers.
Great pricing for active traders - CMC Markets
| Company |
Overall Rating |
Minimum Deposit |
Average Spread EUR/USD - Standard |
Visit Site |
 CMC Markets
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 |
$0 |
0.61 info |
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CMC Markets has long been a leader within our Commissions & Fees category and delivers some of the lowest average spreads in the industry.
A key move that has helped CMC Markets build its position as a low-cost leader was the launch of its FX Active program, which is akin to a zero-spread account (with minimum spreads of 0 pips), coupled with low per-trade commissions of $2.50 per trade. CMC's commission-based pricing under FX Active delivers average spread values that are among the lowest we have seen.
Aside from its FX Active pricing, CMC Markets offers competitive spreads in its spread-only pricing model. Finally, if you are an active trader, CMC Markets offers an active trader rebate program (in jurisdictions where rebates are permissible) to help you offset trading costs when you surpass certain volume thresholds each month. Read more about CMC Markets' fees and features.
Zero spread investment offerings comparison
When comparing accounts offered by the best forex brokers for zero spread trading, spreads will still vary in most cases, and you may incur other fees, trading costs, and/or commissions. Therefore, it is essential to keep the subtle details in mind when reading the fine print for zero spread trading.
Check out a side-by-side comparison of the spread pricing offered by the best zero spread forex brokers based on our independent testing:
Note: Brokers listed in the above table rank best in class for Commissions & Fees.
FAQs
What is a spread in forex?
The spread in forex is simply the difference between the bid price and the ask price for a given currency pair. The “ask” price is the rate (or, counter-currency price) at which you purchase the base currency in a forex currency pair. The “bid” price, on the other hand, is the rate at which you sell the base currency in a forex pair.
Let’s look at a hypothetical example. If the EUR/USD exchange rate is 1.1234 for the ask price and 1.1232 for the bid price, that means the spread is two pips.
(1.1234 - 1.1232 = 0.0002, or two pips).
Important note about spreads: Though many brokers may advertise “zero spreads” or “zero minimum spreads,” the best way to get a reasonable sense of a broker’s spread-based fees is to calculate the average spread. When rating brokers based on their Commissions & Fees, for example, I always calculate each broker’s average spread by taking all monthly price updates (tick data for the bid/ask prices) and computing the average price.
About zero spread forex brokers
A zero spread forex broker attempts to offer a spread of zero pips. The spread is the difference between the bid price (where you can sell) and the ask price (where you can buy), measured in pips (fractions of a currency). These seemingly small trading costs can quickly add up, because trading forex takes place from within a margin account (that is, uses leverage), especially as your trading volumes increase.
A zero-pip spread may range from 0 to several fractions of a pip – or even more during volatile market conditions. An account that advertises zero spreads (or spreads close to zero) might make sense if your trading strategy is spread-sensitive or if you just want to reduce your trading costs as much as possible -- but there are potential trade-offs.
Pros of zero spread pricing
- A scalping strategy or other high-frequency trading program based solely on latency, or price delays that cause arbitrage, will likely require that you have lower costs (i.e., cost-sensitive) to be profitable.
- High-frequency algo trading based on technical indicators can perform better on zero spread accounts, even if there are execution delays or price requotes during fast markets.
Cons of zero spread pricing:
- You'll need to watch out for added commissions and fees.
- Execution quality can suffer in a zero spread account if your trading strategy relies on specific execution qualities, such as avoiding slippage (where your order can get filled at a worse price).
Is there a broker with 0 spread?
While many brokers advertise zero spreads, it can be misleading to look only at the minimum spread or the lowest spread of the day -- it's possible that the spread is worse (higher) the majority of the time.
That is why it is important to only trust the average spreads to determine the true cost of a broker claiming to offer zero-pip spreads. A zero spread implies there is no difference in pips between the bid price and ask price; they are exactly the same price when the spread is 0.
In our research, there are only a few brokers that truly average close-to-zero-pip spreads on the EUR/USD, but you still must pay a per-trade commission, thus the effective spreads average out to be higher. Any broker claiming to offer zero pips with no commissions should be considered carefully, as it could turn out to be either a potential forex scam or offer questionable execution practices. That's why it's always important to only use trusted, highly regulated brokers.
For example,
Tickmill,
FP Markets, and
IC Markets feature spreads close to 0 for their commission-based accounts, with their effective spreads averaging anywhere from 0.42 to 0.62 on the EUR/USD pair (using monthly spread data obtained during our testing), helping them finish best in class in this category.
How does a zero spread forex broker earn money?
A zero-pip spread that is fixed, and doesn't vary, will likely include a commission. The broker may also be operating a dealing desk to attempt to make money when you trade, by being on the opposite side of each trade.
The way forex and CFD brokers earn money depends on their business model and available execution methods. All brokers will ultimately do one or more of the following:
- Add a spread markup or earn a rebate (agency broker) when you trade with them, as they route your order to a third-party market-maker in return for compensation.
- Charge a commission (agency broker) in lieu of any spreads when routing your order.
- Manage risk as a dealer (agency broker or market maker) on zero spread accounts.
Pro tip: Some zero spread brokers combine some of these execution methods into a hybrid offering. Some brokers let you choose execution type from within your account or open an account specific to a particular execution method.
What forex brokers have the lowest spreads?
In order to really know which broker has lower spreads compared to the competition, we obtained average spread data for over 60 forex brokers and factored in any per-trade commissions to calculate their effective spreads. An effective average spread allows you to determine your true trading costs.
Tickmill provides the tightest spreads after factoring in trading costs (i.e., any commissions or added fees). CMC Markets follows closely in second place, with its competitive FX Active pricing. FX Active features zero-pip spreads on select major currency pairs, along with low per-trade commissions. .
Brokers with the lowest effective spreads in 2024 are as follows, based on average price data obtained for the EUR/USD pair:
currency_exchangePro tip:
Read my guide to the best forex brokers to see how these low-cost brokers stack up against the top brokers in the industry, and check out our guide to the best forex trading apps to see which low-cost brokers deliver the best mobile trading experience.
Is a zero spread account right for me?
While it's nice to avoid fees, a zero spread account can still end up costing you a per-trade commission, and even worse -- spreads can potentially widen in a zero spread account even if it is commission-free.
Depending on your strategy and trading needs, a zero spread account might not be good for you if certain order types or execution methods are not available. The key is knowing what the average spreads are, and whether there are any per-trade commissions -- this allows you to calculate the effective spread.
Which forex broker is best for scalping?
IC Markets is an excellent forex broker for scalping, and provides zero spreads (plus commission) via its Raw Spread Account. IC Markets is used by a significant number of algorithmic traders and provides access to third-party trading platforms like cTrader and MetaTrader. These platforms allow you to run automated high-frequency trading programs such as scalping-based strategies and can even place orders in between the spread. Want to use MetaTrader, but not sure which version to choose? My MT4 vs MT5 guide can help you make an informed choice (I've been using MetaTrader since 2005).
If you want to learn more about algorithmic trading and automated high-frequency trading systems, check out my guide to high-frequency trading or my guide to the best algo trading software.
Pro tip: Whether brokers are market makers or claim to offer Straight Through Processing (STP) or an Electronic Communications Network (ECN), these descriptions are not as important as how your broker's business model actually operates, including its order execution policy during fast markets when spreads can widen.
What's the difference between raw spread and a standard account?
A standard account refers to the smallest trade size of 100,000 units of currency, which is also known as a standard lot size. A raw spread refers to the cost of trading reflected in the bid/ask price, where the broker is not adding any markup but instead provides the price as is (i.e., raw spread) straight from their liquidity providers.
Pro tip: In most cases, raw spread forex brokers will add a per-trade commission to make money or act as market makers.
Best forex brokers for zero spread accounts in 2024
Now that you've seen our picks for the top low-cost forex brokers, check out our rankings of the best brokers for zero spread accounts. We've evaluated over 60 forex brokers, using a testing methodology that's based on 100+ data-driven variables and thousands of data points. Check out our full-length, in-depth forex broker reviews.
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Why you should trust us
Steven Hatzakis, Global Director of Online Broker Research and lead writer for ForexBrokers.com, has over 25 years of experience in the forex industry. Steven holds a Series III license in the U.S. as a Commodity Trading Advisor (CTA) and has placed thousands of trades over his career. He actively trades forex, futures, crypto, stocks, ETFs, and options. Steven has held roles as a journalist, consultant, advisor to fintech companies and crypto startups, and as a registered commodity services representative for internationally regulated online forex brokers.
Blain Reinkensmeyer, founder of ForexBrokers.com and StockBrokers.com, has been investing and trading for over 25 years. After having placed over 2,000 trades in his late teens and early 20s, he became one of the first in digital media to review online brokerages. Blain also oversees all testing and rating methodologies for our sister site, StockBrokers.com.
For this guide:
- Whenever possible, we use our own brokerage accounts for testing. For several brokers, we used a test account that was provided to us.
- We collected 6,634 data points (107 per broker).
- We tested each online broker's website, browser-based trading platform (where applicable), downloadable desktop trading platform (where applicable), and of course, the mobile app (or apps in the case of several brokers).
- We met with the product teams of 18 online brokers.
How we test
Our research team maintains active, funded online brokerage accounts for testing. In certain circumstances, demo accounts are provided by the broker.
Our team collects data, tests products, and conducts research on an ongoing basis. Broker ratings and rankings are not held static between year-end Annual Awards periods. Instead, our research team has the scope and flexibility to continually update our findings, allowing for more accurate content and deeper engagement with the forex industry.
As part of our research process, we meet virtually with broker representatives throughout the year as new products and services roll out. We also conduct live, in-person meetings towards the end of the calendar year to gather year-end insights about new features, tools, and trading products.
Learn more about our testing methodologies by visiting our How We Test page.
Trading platforms tested
We tested 41 online trading platforms for this guide:
ACY Securities, Admirals, AvaTrade, BDSwiss, BlackBull Markets, Capital.com, City Index, CMC Markets, Eightcap, eToro, Fineco, FlowBank, FOREX.com, FP Markets, FXCM, FxPro, HFM, HYCM, IC Markets, IG, Interactive Brokers, LegacyFx, Moneta Markets, MultiBank Group, OANDA, Octa, Pepperstone, Plus500, Saxo, Swissquote, TD Ameritrade, Tickmill, TMGM, TopFX, Trade Nation, Trade360, Trading 212, Vantage, VT Markets, XM Group, XTB
Methodology
At ForexBrokers.com, our online broker reviews are based on our collected quantitative data as well as the observations and qualified opinions of our expert researchers. Each year we publish tens of thousands of words of research on the top forex brokers and monitor dozens of international regulator agencies (read more about how we calculate Trust Score here).
We conduct meticulous research that covers the entire spectrum of industry fees and commissions in order to provide the most accurate, up-to date information on the costs of using the online brokers that we review.
We examine each broker’s bid/ask spreads as well as the average spread information for the most popular forex currency pairs, the existence and eligibility requirements of Active Trader or VIP rebates and discounts, inactivity or custody fees, minimum deposit requirements, execution methods, and a host of other data-driven variables.
All websites and web-based platforms are tested using the latest version of the Google Chrome browser. Our Desktop PCs run Windows 11, and we use MacBook Pro laptops running macOS 12.5 to test trading on the go. We also test on mobile devices; for Apple, we test using the iPhone XS running iOS 15, and for Android we use the Samsung Galaxy S9+ and Samsung Galaxy S20 Ultra devices running Android OS 12.
All content on ForexBrokers.com is handwritten by a writer, fact-checked by a member of our research team, and edited and published by an editor. Generative AI tools are not a part of our content creation or product testing processes. Our ratings, rankings, and opinions are entirely our own, and the result of our extensive research and decades of collective experience covering the forex industry. Read our Generative AI policy to learn more.
Ultimately, our rigorous data validation process yields an error rate of less than .1% each year, providing site visitors with quality data they can trust. Click here to learn more about how we test.
Forex Risk Disclaimer
There is a very high degree of risk involved in trading securities. With respect to margin-based foreign exchange trading, off-exchange derivatives, and cryptocurrencies, there is considerable exposure to risk, including but not limited to, leverage, creditworthiness, limited regulatory protection and market volatility that may substantially affect the price, or liquidity of a currency or related instrument. It should not be assumed that the methods, techniques, or indicators presented in these products will be profitable, or that they will not result in losses. Read more on forex trading risks.
About the Editorial Team
Steven Hatzakis
Steven Hatzakis is the Global Director of Research for ForexBrokers.com. Steven previously served as an Editor for Finance Magnates, where he authored over 1,000 published articles about the online finance industry. A forex industry expert and an active fintech and crypto researcher, Steven advises blockchain companies at the board level and holds a Series III license in the U.S. as a Commodity Trading Advisor (CTA).
John Bringans
John Bringans is the Senior Editor of ForexBrokers.com. An experienced media professional, John has close to a decade of editorial experience with a background that includes key leadership roles at global newsroom outlets. He holds a Bachelor’s Degree in English Literature from San Francisco State University, and conducts research on forex and the financial services industry while assisting in the production of content.
Joey Shadeck
Joey Shadeck is the Content Strategist and Research Analyst for ForexBrokers.com. He holds dual degrees in Finance and Marketing from Oakland University, and has been an active trader and investor for close to ten years. An industry veteran, Joey obtains and verifies data, conducts research, and analyzes and validates our content.
Blain Reinkensmeyer
Blain Reinkensmeyer has 20 years of trading experience with over 2,500 trades placed during that time. He heads research for all U.S.-based brokerages on StockBrokers.com and is respected by executives as the leading expert covering the online broker industry. Blain’s insights have been featured in the New York Times, Wall Street Journal, Forbes, and the Chicago Tribune, among other media outlets.
IG
CMC Markets
FOREX.com
XTB
eToro
AvaTrade
Plus500
Tickmill
FP Markets
