The FOREX market is where global currencies are traded. Over six trillion dollars trades hands on this market every day, making it the largest and most liquid financial market in the world.

Arincen

Q: Is FOREX trading legal in Malaysia?

Yes, trading FOREX is legal in Malaysia. As many Malaysian nationals observe the Islamic religion, FOREX brokers in Malaysia need to provide Shariah-compliant trading conditions.

Q: What is FOREX trading?

FOREX trading involves buying and selling currencies that are paired against each other. FOREX trading at the retail level is conducted via FOREX brokers.

Q: What costs and commissions are associated with FOREX trading?

Much of FOREX trading involves calculating the spread, which is the difference between the bid (sell) price and the ask (buy) price of a currency pair. This differential often contains the broker’s fees, especially when they tell you they do not charge commissions. If your broker does charge commission, this is simply the revenue-generating premium that brokers place on every deal a trader executes.

Q: How important is good customer service in FOREX trading?

FOREX markets are open 24/5, meaning that you must pick a brokerage firm that is able to provide good customer support around the clock. Company representatives must be easy to reach, well-trained and knowledgeable enough to be of use in times of difficulty.

Q: Is FOREX trading taxable in Malaysia?

FOREX trading is taxable in Malaysia. It is regarded as income and is, therefore, taxable by law. You will need to speak to a tax expert to ascertain your tax liability relative to your trading profits and your other sources of income.

With many years of meticulous FOREX broker testing, Arincen stands out as a voice of authority. Our analyses, shaped by exhaustive data collection, are trusted by many. Each year, we gather 120 data points from more than 100 brokers. Our team of more than 20 people collaborate extensively to produce high-quality broker reviews like this one. For a detailed explanation of how we test brokers, navigate to the bottom of this article.

Choosing the right broker from a long list of the best FOREX brokers is a big deal. Whether you are selecting your first broker, or changing from an existing one, you must go through a range of steps to get the best deal.
We'll help you with that. Malaysia is a thriving country for FOREX traders and choosing the best trading company for your needs is a rewarding exercise. As a trader, you will know that preparation is key to success, so undertaking a thorough broker vetting exercise will allow you to concentrate solely on your trading activities down the line. For this reason, we have prepared a list of the best FOREX brokers in Malaysia today. This list is the result of a detailed review process carried out by experts at Arincen. We will share our review methodology so you can understand why we chose the companies we did.

Best FOREX Brokers in Malaysia for 2024

Company Name	Regulations	Minimum Deposit	Main Branch	Open Account
ICM Capital	FCA	500$	United Arab Emirates	Open Account Review ICM Capital
Tradeview	FCA	250$	USA	Open Account Review Tradeview
XTB	FCA	500$	UK	Open Account Review XTB
IG	FCA	500$	UK	Open Account Review IG

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Top Tips for Selecting the Best FOREX Brokers in Malaysia

In Malaysia, the FOREX market boasts a wide array of top-notch brokers committed to delivering exceptional service quality. To secure and enhance your financial investments, it's important to choose a Malaysian broker with an established history of market success. This could be a broker that is founded and headquartered in the country, or a reputable foreign broker with a license to operate in Malaysia.
When evaluating FOREX brokers in Malaysia, here's some advice you should always follow:

• Regulatory compliance is non-negotiable; the broker should be overseen by the local Malaysian regulator or another internationally accredited regulatory body.
• Investigate the broker's fee model carefully. It should be both competitive and transparent.
• You must opt for a broker that offers an extensive range of financial assets. Although this article is about the best FOREX brokers in Malaysia, few traders concentrate on only one asset. Diversification is key.
• You will very likely require customer service support. Find a broker whose support staff is prompt and helpful.
• Make sure your chosen broker has taken the time to craft a strong selection of educational content. As an ambitious trader, you will never stop learning.

Best FOREX Brokers in Malaysia 2024

After a deep dive into the pros and cons of each broker, here are the best FOREX brokers in Malaysia ranked according to different criteria:

ICM - Capital 91.10: Best Deposit and Withdrawal Broker
Tradeview: 90.00: Trusted broker that offers very low trading costs as well as comprehensive financial literacy materials for its clients.
XTB - 85.55: Best Customer Service Broker
IG - 85.45: Best Regulations Broker plus Convenient Platform
Saxo Bank - 80.09: Excellent Private Trading Platform
CMC Markets - 80.07: More than 9,000 Assets
ThinkMarkets - 80.05: Aimed at the Audience of Traders

ICM capital Broker

ICM Capital is considered the industry leader in deposits and withdrawals, whereby each withdrawal does not take more than five business days. Moreover, the company offers its customers a handy credit card to withdraw their profits, in addition to enabling customers to use various deposit methods. The company, which is licensed by the UK's FCA, has several branches around the world. Among other things, it has a rich portfolio of assets, especially stocks, offers a low spread, as well as the ability to use MT4.

Broker Evaluation	8.11
Regulations	FCA
Minimum Deposit	500$
Islamic Account	yes
Payment Methods	Bank transfer - credit card - Electronic Banks - Crypto
Main Branch	United Kingdom
Customer Service	24/5
Demo Account	yes
Trading Platforms	MT4 - MT5 - C TRADER -Web Platform

Pros

Segregated client funds.
Regulated by the UK’s FCA.
Established in 2009.
More than 10,000 ICM Capital users and traders.
Reasonable minimum deposit from $500.
Decent funding options.
No swaps.
MetaTrader4 (MT4) desktop and mobile download.

Cons

Does not allow scalping.
Not ASIC-regulated.
Relatively limited range of instruments.
Slow live-chat service.
Relatively high trading fees.
Limited range of trading tools and resources

Open Account

Tradeview Broker

Tradeview Forex, interchangeably known as Tradeview Markets, was established in 2004 and is headquartered in the Cayman Islands, setting itself up as a significant player in the online FOREX and CFD trading world. Regulated by the Cayman Island Monetary Authority (CIMA) and the Malta Financial Services Authority (MFSA), Tradeview Forex is a reliable platform in a competitive market. The broker’s commitment to offering a broad and accessible trading environment shines through with its low deposit requirement and how it provides various advanced trading platforms to clientele.

Broker Evaluation	7
Regulations	FCA
Minimum Deposit	$450
Islamic Account	Yes
Payment Methods	Bank transfer - credit card - Electronic Banks - Crypto
Main Branch	USA
Customer Service	24/5
Demo Account	Yes
Trading Platforms	Proprietary Platform-MT4 - MT5 -Web Platform

Pros

Established in 2004.
Variety of trading platforms, such as MT4, MT5, cTrader, and Currenex, catering to different trading preferences and strategies.
Low minimum deposits.
beginners and experienced traders looking to refine their strategies.
Supports automated trading through the use of Expert Advisors (EA) on MT4 and MT5 platforms.
Decent leverage levels of 1:200 available in some jurisdictions.
Regulated by CIMA, MFSA, and will soon be regulated by the UK’s Financial Conduct Authority (FCA).

Cons

While regulated by CIMA and the MFSA, the broker is still in the final stages of becoming regulated by the tier-one FCA.
Trades on the Innovative Liquidity Connector® account are subject to commission charges, which may add to trading costs.
While offering high leverage up to 400:1 can be an advantage, it also introduces significant risks, especially for new traders.

Open Account

XTB Broker

What distinguishes XTB is the fact that it offers the best customer experience among all the companies we have surveyed. Indeed, it boasts the fastest response rate from all the companies under investigation. This is especially relevant, since the market is always on-the-go, and so you need to act fast. XTB offers lots of asset classes, as well as the ability to use the MT4 trading platform. Finally, it maintains a relatively low spread, which is suitable for quick deals.

Broker Evaluation	8.55
Regulations	FCA
Minimum Deposit	500$
Islamic Account	yes
Payment Methods	Bank transfer - credit card - Electronic Banks
Main Branch	United Kingdom
Customer Service	24/5
Demo Account	yes
Trading Platforms	MT4 - MT5 -Web Platform

Pros

Long history of operation.
Globally recognized, having won multiple awards.
Some of the lowest FOREX spreads in the market.
Regulated by the FCA (UK).
Offers protection for client accounts.
Emphasis on customer service.
Excellent support, learning and research tools.

Cons

Does not accept US clients.
Non-FOREX spread costs are relatively high.
No GSLO.
No back-testing or automated trading capabilities.
Conditions vary according to regulation and entity.

Open Account

ig markets Broker

IG is arguably the best broker when it comes to security and trust, boasting, as it does, licenses from 10 regulatory bodies, including the all-important FCA from the UK. The company is also a bank and is a publicly traded company in London. It is known for offering more than 10,000 asset classes of currencies, commodities, future contracts, ETFs, indices, cryptocurrencies etc. Further, it has its own state-of-the-art trading platform and offers a relatively low spread.

Broker Evaluation	7.54
Regulations	FCA
Minimum Deposit	250$
Islamic Account	yes
Payment Methods	Bank transfer - credit card - Electronic Banks
Main Branch	United Kingdom
Customer Service	24/5
Demo Account	Yes
Trading Platforms	Proprietary Platform -MT4 - Web Platform

Pros

Easy-to-navigate platform that is simple for beginners to master.
Margin rates are easy to understand and affordable.
Mobile and tablet platforms offer full functionality of the desktop version.
Accepts US clients.
Access to more than 100 currency pairs
Emphasis on education and research.
Regulated by the FCA (UK), as well as the CFTC and the NFA (US).
Offers protection for UK/EU client accounts.

Cons

US traders can currently only trade FOREX.
No GSLO for US-based traders.
No account protection for US clients.
Relatively high share-CFD fees.
No copy trading or back-testing integration on IG platform.

Open Account

SAXO BANK Broker

Saxobank is considered one of the best investment banks in the area of financial markets and currencies, as it offers the very best trading platform and tools from all the companies we have reviewed. Meanwhile, its spread is very low and, as such, suitable for short-term deals; and it offers a large number of asset classes, including currencies, commodities, indices etc. Finally, its customer service is excellent and very responsive to traders' needs.

Broker Evaluation	6.09
Regulations	FCA
Minimum Deposit	5000$
Islamic Account	No
Payment Methods	Bank transfer - credit card
Main Branch	Copenhagen, Denmark
Customer Service	24/5
Demo Account	No
Trading Platforms	SaxoTrader

Pros

Extensive range of offerings.
Regulated by the FCA (UK) and other top regulators.
Great trading platform.
Among the industry’s best research.
Superior user interface.
Offers protection for client accounts.

Cons

High bond, options and futures fees.
Lack of emphasis on customer service.
Confusing instrument fee structures.
High minimum deposit.
Does not accept US clients.
No MT4.
Lacks live chat.

Open Account

CMC MARKETS Broker

CMC Markets is thought of as one the best companies, offering some 9,000 asset classes that encompass currencies, commodities, indices, cryptocurrencies, bonds and stocks. The company offers a relatively low spread, the MT4 platform, and fast customer service. It is most suited for traders looking for diversity in asset classes.

Broker Evaluation	7.07
Regulations	FCA
Minimum Deposit	0$
Islamic Account	No
Payment Methods	Bank transfer - credit card - Electronic Banks
Main Branch	United Kingdom
Customer Service	24/5
Demo Account	not
Trading Platforms	Proprietary Platform -MT4 - Web Platform

Pros

Extensive range of offerings.
Regulated by the FCA (UK).
Low FOREX fees.
Emphasis on education and customer service.
Great Web and mobile platforms.
Offers protection for client accounts.
Research amenities are industry leading.

Cons

Does not accept US clients.
Limited product portfolio.
High stock CFD fees.
High CFD spreads for certain indices.
Differences between Next Generation and MT4.
Complicated account verification.
No back-testing or automated trading capabilities.

Open Account

think markets Broker

Originally founded in New Zealand in 2010, and moving to Australia within the space of their first two years, Think Markets is a global online brokerage focusing on FOREX and CFD trading. In addition to a range of major and minor currency pairs. Think Markets has an array of CFDs on offer. This includes indices, as well as hard and soft commodities.

Broker Evaluation	8.05
Regulations	FCA
Minimum Deposit	0$
Islamic Account	yes
Payment Methods	Bank transfer - credit card - Electronic Banks - Crypto
Main Branch	Australia
Customer Service	24/5
Demo Account	not
Trading Platforms	Proprietary Platform -Web platform-mt4- mt5

Pros

Beginner assistance offered through 24/6 channels.
Spreads are as low as 0.0 pips.
24/7 expert customer service.
CFD shares and indices come at no extra fee.
Zero broker fees for FOREX trading.
Technical analysis and quality market information.
Percentage allocation management module (PAMM) and Multi-account manager (MAM) accounts available.

Cons

Direct share trading is on a separate platform.
No binary options offered.
Commissions charged for two account types.
After a strong early start, ThinkTrader user ratings have slid to 3.4 stars.
No US, Canada or Japan clients allowed.

Open Account

There is a high degree of risk involved in trading securities like FOREX, or CFDs, which are highly complex instruments. As a trader, you could be exposed to excessive leverage, questionable broker tactics, market volatility, and limited regulatory protection. Despite your best trading techniques and risk management strategies, your efforts may not be profitable, and you could suffer losses.

What Is FOREX and Why Do We Need a Broker to Trade?

Not all traders, even experienced ones, know that the FOREX market is the largest financial market in the world. Some six trillion dollars’ worth of trade changes hands daily in all the thriving FOREX centers across the world. When we say 'centers', it's not that FOREX is traded in one physical place like a stock market headquarters. The FOREX world is a decentralized market that straddles global time zones, facilitated by rapid electronic communications. So, the word 'centers' refers to key financial capitals like New York and London, from which many institutional traders (they drive the bulk of all transactions) operate.
Retail traders make up a comparatively small proportion of overall trade. The FOREX market is open 24 hours a day and five days a week (Monday through Friday), except for international holidays. The best online FOREX trading firms act as a key entry point into this market for retail traders by enabling you to buy and sell through a trading platform.

Is FOREX trading Halal or Haram?

The question of whether FOREX trading is considered Halal (permissible) or Haram (forbidden) in Shariah law has been a subject of debate among Islamic scholars and financial experts. In general, many experts agree that FOREX trading is Halal, but always take note of these key considerations:

Avoid paying interest as Shariah law strictly prohibits earning or paying interest (riba)
FOREX trading could be considered gambling, which is Haram, but the majority of scholars believe FOREX trading is not the same as gambling
FOREX trading must always be conducted transparently and fairly to align with Shariah principles
FOREX trading involves the immediate exchange of currencies, which is viewed favorably from an Islamic 'hand to hand' perspective

If you are still unsure, seek guidance from a qualified Islamic scholar or a financial expert well-versed in Islamic finance. They can provide specific advice based on your individual circumstances and help you determine where you stand in terms of abiding by Shariah rules.

How to Open an Islamic Account

For retail traders in Islamic countries like Malaysia, ensuring financial practices adhere to Shariah principles is paramount. To open an Islamic trading account, start by researching reputable brokers that offer Shariah-compliant trading options. These accounts don't accrue interest, which aligns with Islamic finance norms. Once you've chosen a broker, complete their application process, making sure to select the 'Islamic Account' option. It may require additional documentation or a declaration of faith. After your account is approved, you can confidently trade, knowing your activities align with your religious values. Always consult with a knowledgeable Islamic finance expert to ensure full compliance.

How Do I Choose the Best FOREX Broker in Malaysia?

As we have mentioned, choosing the best FOREX broker for you is an involved process. There are so many excellent brokers around the world that it is negligent to engage with a shoddy broker through a lack of research. For a start, your broker must demonstrate an acceptable level of management oversight and operating standards, no matter where they are domiciled. How will you know this?

The broker must be regulated by a vigilant regulator. This is the key to finding a good broker. History has proven many times that when they are left to their own devices, badly run brokers can lose your money through scams or by going bust. We'll explain more later in the article.
You must ensure that the broker you have selected offers you access to a compensation scheme in the event it goes under. This is not always possible, as only the most stringent tier-1 regulators demand this of brokers. However, there are still other ways you can ensure your broker is being honest. Even tier-2 regulators and beyond ask brokers to demonstrate that they are running a tight ship through reporting and disclosures.
You must also check the strength of the broker's features and overall offering. This includes their trading platform, access to markets, and their speed of execution.
Having good liquidity is especially important in a market as fast moving as the FOREX market. You would want your broker to have good liquidity partners as well as strong customer support, trader-friendly account deposit and withdrawal methods and access to educational materials.
Naturally, with Islam being Malaysia’s official religion, you will need to ensure that the broker allows for Shariah trading of FOREX through interest-free accounts.

Regulation and Licensing

We don't mind reiterating the importance of working with a broker that is regulated. It is the number one golden rule of choosing the best FOREX broker for you. Malaysia offers traders resident in the country a range of FOREX broker options from which to choose. Any internationally licensed FOREX broker can accept clients from Malaysia, but it is always a good idea for Malaysia-resident traders to seek out a broker that holds a Capital Markets Services License (CMSL) from the Securities Commission of Malaysia (SCM) or the lesser-known Labuan Financial Services Authority (LFSA). The central bank of Malaysia, Bank Negara Malaysia (BNM), also has authority over the local foreign exchange markets.

It's important to make sure that the broker you choose is regulated by a reputable authority. You can learn more about some of the best-regarded regulators by reading our article on regulation. However, if your local broker is regulated by a solid local regulator like the SCM and the LFSA, you don't have to use a broker with international regulation. Here are some major reasons why your broker needs critical oversight:

Fund safety:

A regulated broker must comply with strict regulations to protect client funds, including segregating client funds from the company's own funds.

Fair trading practices:

A regulated company must adhere to strict guidelines ensuring products and services are offered fairly and without manipulation, helping create a level playing field for all clients.

Transparency:

Regulated brokers are required by law to be transparent with clients, which assures you of safe, fair trading. In practice, this looks like brokers admitting openly that FOREX trading is highly risky and you could lose your money.

Fraud busting:

Regulatory authorities protect clients from fraudulent activities and scams and ensure that FOREX brokers operate within set guidelines that safeguard their clients' interests.

To ensure that your broker is legit, you can follow these steps:

Ask if the broker is licensed to sell you the investment
Check if the broker is registered with a top-tier regulator or at least the applicable regulator in your area
Ask if your broker is part of a compensation scheme
Check your statements regularly to ensure that everything is in order

Remember that it's important to comply with all applicable requirements, including any self-regulatory organizations to which brokers belong, and not just those mentioned here.

One of the first things to do in identifying if a FOREX broker is, indeed, regulated by the SCM is to ascertain the registry number from the disclosure text at the bottom of the broker's Malaysia homepage. The second thing is to look up the firm on the SCM website to validate the current regulatory status of the FOREX broker in Malaysia.

Make sure your broker is regulated by a reputable authority. Not all brokers are regulated by tier-one regulators, but you can still rest easy if your broker works with the regulator in your area. To verify if your broker is registered with a regulator, navigate to the regulator’s official website.

Leverage

Depending on the regulator that your broker works under, you will encounter different policies relating to leverage. Key regulators have implemented specific rules to limit the leverage offered to retail traders as a means of consumer protection. Remember, even if your broker is not regulated by these international brokers, if they are regulated by a competent local regulator, that’s a good enough start.

Here are selected leverage rules according to some key regulators:
SCM in Malaysia:
The maximum leverage ratio allowed for trading on margin in Malaysia can be up to 1000:1, but this ratio could vary depending on the account's equity level. For example, accounts with over 5,000 CCY can be moved to a leverage of up to 400:1, while larger accounts with more than 50,000 CCY can be moved to a more conservative leverage of 100:1.
Financial Conduct Authority (FCA) UK:

30:1 for major currency pairs

20:1 for non-major currency pairs, gold, and major indices

10:1 for commodities (excluding gold) and non-major equity indices

5:1 for individual equities and other reference values

2:1 for cryptocurrencies

These limits are in place to reduce the risk of significant losses for retail traders.

Australian Securities and Investments Commission (ASIC) Australia:

30:1 for major currency pairs

20:1 for non-major currency pairs, gold, and major stock market indices

10:1 for commodities other than gold and minor stock market indices

5:1 for equities (stocks) and other underlying assets

2:1 for cryptocurrencies

Swiss Financial Market Supervisory Authority (FINMA) Switzerland:

FINMA has not set specific leverage limits like the FCA or ASIC. However, Swiss brokers must adhere to rigorous capital and risk management requirements, ensuring they don't offer excessively high leverage that could endanger their solvency or their clients' funds.

It's worth noting that these rules apply to retail clients. Professional or institutional clients might have access to different levels of leverage, depending on the regulatory environment and the broker's policies. As we can see, leverage is a double-edged sword because you can make a lot of money, but you can just as easily become financially ruined!

High leverage can amplify potential profits, but it equally magnifies potential losses. It can put a stop to your trading career if not used carefully. The allure of high returns is tempting, but the risk associated with such strategies is highly dangerous. We strongly urge traders to approach leverage with caution, fully grasping its mechanics and implications.

Stop Out

A stop out is an unwanted situation where your broker freezes your account because you are on the verge of going into the negative on your trading account. This means things have not gone well for you, and it's a way for the broker to protect you from financial ruin while retaining any margin they may have extended to you. Here are the common stop out percentages:

Stop out of 0%:

Your broker won't close any of your positions, even if your margin level reaches rock bottom. This is because some brokers allow you to end up in the red, which means you might owe them money if your trades keep losing.

Stop out of 50%:

Once your equity dwindles to half of your used margin, the stop-out alarm goes off. Your broker steps in and starts closing your trades, beginning with those least profitable. This continues until your margin level bounces back above the stop-out level.

Stop out of 100%:

When your margin level hits 100%, your broker takes the drastic step of automatically closing all your open positions. In some setups where the broker separates margin-call and stop-out levels, the margin call happens at 100% and the stop out at 50%. If your margin level plunges to 50%, your trading platform springs into action with a stop out, closing your trade at the market price.

Keep in mind that the specific percentage and the order in which positions get closed can vary from broker to broker. So, it's crucial for traders to know their broker's stop-out policy. It's worth noting that while stop-out measures are designed to shield traders from going into the red, they can also result in substantial losses, especially in volatile markets where positions are swiftly closed automatically, especially if the market suddenly reverses post-stop out. That's why you should always employ protective strategies like setting stop-loss orders and avoiding excessive leverage.

Commissions and Fees in Malaysia

Trading fees can be tricky to keep track of, so it's important to compare them with industry standards. Here are some fees of which to be aware:

Spreads:

There are two main kinds of spread, one is fixed, and the other is variable. The spread refers to the difference between two prices, such as the bid/ask rate in a currency exchange rate. An example of a good spread is 1.4 pips for the EUR/USD (the narrower the better, this means that a spread of 1.4 pips is better than a spread of 2 pips). You can learn more about this concept in this article.

Commission:

This is the service charge that brokers require for carrying out transactions on behalf of their clients.

Rollover fees: When you leave a trade open overnight, the broker normally charges a rollover fee for the facility of holding your trade open for that period. This is because they assume the risk of the market changing adversely. You should know as a Muslim trader that it is Haram to pay conventional rollover fees. This is why you should only trade with a broker that offers Islamic swap-free trading. Just be aware that the spreads are likely to be wider.

Withdrawal and deposit fees:

Some platforms might charge fees for depositing or withdrawing funds. Pay attention to this. It's important to be aware of these and any associated limits or conditions.

Subscription or inactivity fees:

Certain platforms have monthly charges or fees for inactive accounts. Ensure you're aware of these potential costs.

To keep track of trading fees, you can follow these steps:

Research different brokers and trading platforms.
Compare the fees and charges of each platform.
Choose a platform that offers competitive fees and suits your trading needs.

Remember that trading fees can have a significant impact on your trading profits, so it's important to choose a platform that offers competitive fees and suits your trading needs.

ICM Capital

Tradeview

XTB

Saxo Bank

CMC Markets

Think Markets

	Spread	Commission	Swap	Islamic Account
Currencies	Starting from 1.3 Pips	0$	No	Available
Stocks	Starting from 18 Pips	0$	Yes	Unavailable
Commodities	Starting from 2.3 Pips	0$	No	Available
Indices	Starting from 4 Pips	0$	Yes	Unavailable

Tradable Assets and Instruments

Retail trading offers a diverse range of financial instruments, each with its own set of opportunities and challenges. Although this is a FOREX article, we think you should know about the other financial assets out there for when you are ready to diversify. Here are the most common tradable assets and instruments. Before we go on, Islamic traders, remember that common instruments such as bonds, futures, and CFDs are not open to you because the nature of these assets is to speculate on underlying assets you do not own, or to receive interest, which is Haram. Be sure to check that your broker provides Shariah-compliant trading accounts to trade these financial assets:

FOREX

With the largest trading volume globally, the FOREX market allows you to speculate on the future movements of currency prices, trading pairs like EUR/USD, GBP/JPY, and many more.

Commodities

Whether it's precious metals like gold and silver, or energy commodities like oil and natural gas, commodities trading offers a chance to profit from the tangible assets that drive global economies. Be sure to check which ones are Shariah-compliant first.

Equities or Stocks

These represent ownership in a company and constitute one of the most popular avenues for retail traders, given their potential for substantial returns and the thrill of being a part of the corporate world. Remember you cannot, by Shariah finance laws, invest in companies that deal in gambling or alcohol.

Indices

These are baskets of stocks representing a particular market or sector, like the S&P 500 or the Nasdaq, giving traders exposure to broader market movements.

Cryptocurrencies

Digital coins like Bitcoin, Ethereum, and countless altcoins offer both high rewards and volatility.

Brokers	Currency pairs	Stocks	Indices	Commodities	Crypto	ETFs
ICM Capital	67 Pairs	89 Shares	17 Indices	12 Commodity	6 Coins	Unavailable
Tradview	80 Pairs	5000 Shares	10 Indices	10 Commodity	30 Coins	Unavailable
XTB	57 Pairs	1848 Shares	36 Indices	22 Commodity	22 Coins	135 ETFs
IG	81 Pairs	21714 Shares	49 Indices	39 Commodity	11 Coins	12858 ETFs
Saxo Bank	320 Pairs	22000 Shares	49 Indices	39 Commodity	9 Coins	6700 ETFs
CMC Markets	330 Pairs	8000 Shares	80 Indices	100 Commodity	18 Coins	200 ETFs
Think Markets	46 Pairs	3750 Shares	15 Indices	11 Commodity	21 Coins	350 ETFs

Payments, Deposits, and Withdrawals in Malaysia

Brokers operating in the Islamic world know that if they are to be profitable and continue growing, they must facilitate a smooth account funding and withdrawal process for their clients. With the proviso that as long as a financial transaction does not include interest and is therefore permitted under Shariah Law, there is no reason to delay it in any way. Deposits and withdrawals carried out with Malaysia-based brokers must be able to match regular brokers in terms of speed and convenience.

ICM Capital

Tradeview

XTB

Saxo Bank

CMC Markets

Think Markets

Method	Credit Card	Wire Transfer	Skrill	Neteller	Cryptocurrency	PayPal
Deposit fee	0$	$0 + Bank commission	1.9%	2.5%	Unavailable	3.75%
Withdrawal fee	0$	$15	1%	$0	Unavailable	2%

FOREX Trading Customer Service

As a newbie trader, or even an experienced one, there is nothing like being in the middle of a productive trading session and you are interrupted by a technical or account issue. At times like these, all you want is to speak to a knowledgeable customer service representative who is responsive and who can solve your problems. That's why you must pick a brokerage firm that can provide good customer support that matches the global FOREX trading cycle. The best online FOREX trading companies in Malaysia can do this. If company representatives are easy to reach, fast, and polite, it will spare you from having to worry about trouble later on.

ICM Capital

Tradeview

XTB

Saxo Bank

CMC Markets

Think Markets

	Email	Live Chat	Phone	WhatsApp
Available	Available	Available	Available	Available
Quick response	Very Fast	Very Fast	Very Fast	Very Fast

Technical Aspects of the Broker’s Website

One of the major differentiating factors among brokers is speed of execution. This does not come easily, as brokers must invest in the infrastructure to make it happen. From a technical aspect, you should be on the lookout for websites with

low latency,
high uptime, and
rapid execution.

When it comes to sharing sensitive personal information online, such as a credit card, cyber security is paramount. You should, therefore, always look out for

SSL certification,
two-factor authentication, and
don't forget to use a strong password.

Trading Platforms, Tools, and Features

When choosing a trading platform, you should consider a range of features that cater to both novice and seasoned traders. Here are some elements to keep in mind:

Shariah-compliant accounts: You should be able to access a swap-free account that is consistent with the dictates of Shariah Law.
Technical analysis tools: The platform should have robust technical indicators to help traders make informed decisions.
Customization and user interface: You should be able to customize the platform according to your preferences, allowing you to set up your trading environment precisely how you want. We find that the products from the MetaTrader suite, especially MT4, offer excellent features for this purpose.
Platform accessibility: A top-notch trading platform should offer flexibility in terms of access, whether it's web-based or a downloadable application.
Risk-management tools: Trading inherently comes with risks, and a high-quality platform should provide instruments that allow traders to set stop-losses, take-profits, and other risk management tools.
Performance and reliability: Beginner traders especially need a platform that operates seamlessly with minimal downtimes or glitches. This ensures a smooth trading journey, allowing them to focus on market movements rather than technical hiccups. Truthfully, this is true for all traders. There's no reason to accept glitchy platforms.
Learning and educational resources: If your chosen broker is the best trading platform in Malaysia, they will offer an experience that is not only intuitive but also comes with tutorials, and guides to assist you in navigating any challenges you might face.

To select the perfect trading platform, here’s some advice:

Determine your trading style and needs.
Research different platforms and compare their features.
Test the platforms with a demo account to see which one suits you best.
Choose a platform that offers the features you need and is user-friendly.
Ensure that the platform is reliable and has a good reputation in the industry.

Remember that the trading platform you choose can have a significant impact on your trading success, so it's important to choose wisely.

Ask Other Traders on Our Network

Arincen’s Website is home to a social network of traders who feed off each other’s investment successes. Through social copy trading, successful strategies are quickly replicated in the community. This friendly rivalry leads to more strategies being trialed and implemented as traders try to stay ahead of the game. Many of the traders who have made a home of Arincen’s website will happily attest to the value of the trading community Arincen has created.

Tip: Invest in Your knowledge
For every aspiring retail trader, knowledge is key to a successful trading journey. We invite you to delve into Arincen's goldmine of insights, strategies, and expert analyses. Whether you're just embarking on your trading venture or trying to level up your trading game, our resources are designed to give you all the information you need. Visit our educational resources here.

FOREX Trading Scams and How to Avoid Them

It is an unfortunate reality that fraudulent activity features heavily in the history of the trading world. FOREX scams used to be rife, but with improved oversight and regulation, they have been reduced significantly.
One of the most pervasive and dangerous FOREX scams remains the spread differential scam that is perpetuated by unscrupulous brokers themselves. This is as good a reason as any for you to ensure that your broker is regulated properly.
With the spread differential scam, brokers write code into their pricing and quoting interfaces that inflates the spread between buy and sell to the broker’s advantage. It is very hard to spot by a retail trader unless you have a very strong grasp of prevailing spreads, and you can prove the inflation of your broker’s spreads over a period. This is beyond the capability of the average trader.
To protect yourself, it is best to spend a lot of time making sure the broker is in good standing with a top-tier regulator that can perform all the checks and oversight on your behalf. For Malaysia-based FOREX traders, make sure you follow the social feeds of the SCM as you will receive warning notices should the regulator come to know of a new scam.

The choice of a regulated broker isn't merely a matter of preference—it's a protective measure. When a broker is regulated, it undergoes stringent assessments to ensure transparency, fair trading practices, and your financial security. Opting for an unregulated broker brings with it significant risks. For a list of the best regulators, read our article here.

Will Your Money be Protected if Your Broker Becomes Insolvent?

Malaysian brokers regulated by the SCM are obliged to contribute to the Capital Market Compensation Fund Corporation (CMC), which is a “compensation fund of last resort for customers of licensed brokers, derivatives dealers, fund managers, unit trust management companies and Private Retirement Scheme providers.”
The CMC provides an avenue for individual investors in the event a CMSL license holder fails to pay amounts owed to its investors through fraud or mis-selling, which leads to insolvency. The CMC will step in to work toward compensating individual investors’ investments up to a fixed maximum amount, depending on the merits of the case. This process is not as cut and dried as it is with other international regulators such as the FCA, which first of all mandates compensation for aggrieved traders, and stipulates a clear compensation amount.

The Dos and Don’ts of FOREX Brokers

One of the first things a new FOREX trader ought to do is to check the extent to which the FOREX company abides by the rules and regulations governing its operation. Emphasis must be placed on what it can and cannot do.
There are seven things brokerage firms cannot do:

The FOREX brokerage firm cannot recommend a buy or sell;
The FOREX brokerage firm must not provide price or market expectations (rise/fall);
The FOREX firm cannot control your financial dealings (deposit/withdrawal);
The FOREX brokerage firm should not “manage” your portfolio under any circumstance;
The FOREX brokerage firm cannot grant a client a bonus unless there are clear terms guiding it beforehand;
The brokerage firm must not use bank accounts not under its name; and
FOREX brokerage firms cannot have or offer the service of account managers.

In short, the role of brokerage firms is strictly confined to facilitating buyers and sellers to come together toward an agreed-upon commission. FOREX brokerage firms that violate any of the seven rules aforementioned should be avoided.

Which FOREX Broker Has the Best Platform?

Many brokers spare themselves the trouble of developing their own bespoke platforms by using MetaTrader’s MT4 and MT5 platforms, commonly thought to be the best third-party platforms around. However, if you want to break from the crowd and use a proprietary platform that has innovative features not tied to legacy architecture, try Saxo Bank’s progressive proprietary platform.

Which FOREX Broker Charges the Lowest Fees?

You will find that ICM charges the lowest fees in the market on its ECN account.

Which FOREX Broker Offers the Most CFDs?

Based on our research, the FOREX brokers that deal in the most CFDs are CMC Markets and IG, both of which offer extensive CFD selections. Just remember that In Islamic finance, there is a debate about whether CFD trading is permissible. Some scholars argue that CFD trading resembles gambling and is Haram in Islam due to the absence of an underlying asset in a contract. Others point out that CFDs are derivative instruments, and the value of the contract is derived from another contract, which could render it Haram from a Shariah perspective. It's always best to check with a religious authority on these matters.

Which FOREX Broker Offers the Most Assets?

If you are the type of trader who is always on the lookout for new assets to try, and at the same time, you are constantly frustrated by the limited range offered by your broker, spend some time looking into the extensive range of assets on offer from CMC and IG, two brokers synonymous with endless asset class choice.

Which FOREX Broker is Best for Professionals?

Professional traders often want to have the best of everything. They did not reach a position where they can trade FOREX as a full time job by accepting any less. If you are one such trader and you need a platform with advanced indicators, access to day trading and advanced trading orders, look for a broker that offers MT4.

Who is Arincen and What Do we Do?

Put simply, Arincen is a social networking platform that brings together traders and experts to exchange expertise and ideas. Together, we evaluate the best FOREX companies in the world while offering a comprehensive suite of services and tools, all in one place. The platform is so rich, that one can create his own private portfolio of traders and experts they like and, at the same time, follow their recommendations and investment sentiments.

Further, thanks to Arincen, users can keep an eye on market-price developments, as well as the latest news. Users can also benefit from the network’s educational courses on offer, to say nothing of exciting webinars – all done in a modern and fast-paced work environment. Get all that you need in one place. Our motto at Arincen: We Meet to Simplify the Trading World.

Conclusion

Trading FOREX on the best trading apps in Malaysia can be both a thrill and richly rewarding. You could, however, lose money as many traders to. Whichever way your trading fortunes go, remember the key message to take away from this article is that the FOREX brokerage firm you pick must be legally licensed and well-regulated.
Trading with the best FOREX brokers in Malaysia gives you the peace of mind that your interests and your capital is protected. You can also rest easy that a responsible regulator will research whether its products are Shariah-compliant. Besides regulation, check that your chosen broker has a wide array of assets, stable platforms, competitive fees, good customer service, and ready liquidity.

Recommended Brokers

Arincen’s review methodology

The team at Arincen collected more than 120 pieces of data covering in excess of 100 licensed FOREX companies. Data collection was done in three ways:

Companies’ Websites.
Other Websites that have ranked FOREX companies.
A survey questionnaire (referred to here as Survey “1”) we had sent to the companies invited to participate in the exercise. We have identified 13 criteria for our assessment, each containing several aspects and carrying its own relative weight. These include licensing, deposits and withdrawals, number of assets, etc.

Afterward we validated the data by:

Registering with FOREX companies as a secret shopper and/or as Arincen.
Survey number “2,” in which we asked these companies’ customers for important feedback and experience.

The next step saw us evaluate and rank each company, relying on the arduous work of 15 Arincen employees. We were careful in ensuring the most accurate assessment possible, including considering different languages, as well as the various mobile-app operating systems, e.g., Apple, Samsung etc.

To add credibility to our research project, we sent a final and third survey (referred to here as Survey “3”) to enable participating FOREX companies to evaluate our own research and whether it accurately reflects the realities on the ground. We were fortunate enough to receive a mark of 9.9 out of ten! We have kept to a minimum the margin of error, which stood at a measly 1%. To learn more about how we came up with the evaluation, please click here.

Forex Risk Disclaimer
Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to trade foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.

Best FOREX Brokers in Malaysia for 2024

Best FOREX Brokers in Malaysia for 2024

Top Tips for Selecting the Best FOREX Brokers in Malaysia

Best FOREX Brokers in Malaysia 2024

ICM capital Broker

Pros

Cons

Tradeview Broker

Pros

Cons

XTB Broker

Pros

Cons

ig markets Broker

Pros

Cons

SAXO BANK Broker

Pros

Cons

CMC MARKETS Broker

Pros

Cons

think markets Broker

Pros

Cons

What Is FOREX and Why Do We Need a Broker to Trade?

Is FOREX trading Halal or Haram?

How to Open an Islamic Account

How Do I Choose the Best FOREX Broker in Malaysia?

Regulation and Licensing

Leverage

Stop Out

Commissions and Fees in Malaysia

Tradable Assets and Instruments

Payments, Deposits, and Withdrawals in Malaysia

FOREX Trading Customer Service

Technical Aspects of the Broker’s Website

Trading Platforms, Tools, and Features

Ask Other Traders on Our Network

FOREX Trading Scams and How to Avoid Them

Will Your Money be Protected if Your Broker Becomes Insolvent?

The Dos and Don’ts of FOREX Brokers

Which FOREX Broker Has the Best Platform?

Which FOREX Broker Charges the Lowest Fees?

Which FOREX Broker Offers the Most CFDs?

Which FOREX Broker Offers the Most Assets?

Which FOREX Broker is Best for Professionals?

Who is Arincen and What Do we Do?

Conclusion

Recommended Brokers

Arincen’s review methodology

FAQ

Is FOREX trading legal in Malaysia?

What is FOREX?

What is FOREX trading?

What costs and commissions are associated with FOREX trading?

How important is good customer service in FOREX trading?

Is FOREX trading taxable in Malaysia?