Forex Brokers for Professional Traders

Written by Naylyan Nazifova

Naylyan Nazifova

Naylyan Nazifova is a recognised expert in the online trading field. She has many publications and analysis covering forex trading, stock investing and personal finance. 

, | Updated: June 13, 2024

While trading is equally accessible to beginners and experienced traders, some brokers offer advanced investors the chance to improve their trading conditions, making trades extra cost-effective. Institutional clients, also known as professional traders, comprise a special group of investors that may apply for exclusive broker accounts and unlock benefits that are not available to retail traders.

If you are ready to elevate your forex trading by applying for professional status, we can recommend 10 top-notch forex brokers that offer Institutional accounts. The brands we have reviewed make sure to provide the best trading conditions to their professional clients, offering tighter spreads, competitive commission rates, and higher leverage that exceeds retail limits.

Top 10 Brokers Offering Institutional Forex Trading Accounts

IC Markets

Founded in 2007, IC Markets is one of the prominent names in the forex market. While the broker offers competitive prices on major and minor currency pairs, IC Markets can further reduce the trading cost for professional traders. If you believe you qualify for an institutional trading account, you can opt for an upgrade or open a Professional Client account with the broker. You will be asked to provide several documents to prove your eligibility. With a Professional Client account, traders will access higher leverage (up to 1:500 on major pairs), tighter spreads, and exclusive trading tools and materials. If you feel like going back to retail trading conditions, you can request an opt-down.

Global Prime

Well-experienced in the forex sector, Global Prime is a 2010 broker that strives to meet the preferences of various types of traders. Along with great solutions for retail traders, Global Prime also offers an updated version of trading thanks to its Pro Trading account. Traders who meet the criteria for experience in forex trading or have the capital to place higher-volume trades can apply for Pro accounts and get access to higher leverage ratios (up to 1:500), tight spreads, and faster order executions.

FXCM

In 1999, FXCM joined the forex trading market, offering its clients some of the best trading conditions to this day. When it comes to trading currency pairs, this broker allows its clients to trade over 40 major, minor, and exotic forex pairs, with tight spreads and low commissions offering traders competitively low trading prices. Those who feel experienced enough to trade with higher leverage and fewer restrictions can apply for FXCM Pro accounts. To do that, they will need to provide documents proving their eligibility to trade higher volumes with higher leverage (and risk). Pro traders will enjoy low trading costs and will be able to set up the leverage on major pairs up to 1:400. Residents of certain countries might have their maximum leverage adjusted according to the equity of their accounts.

SAXO

SAXO launched its online trading platform in 1998, making it one of the pioneers in the forex market. Today, the broker strives to provide some of the best trading conditions to its customers, offering competitive prices on more than 185 forex pairs. With three tiers catering to different types of traders, SAXO strives to ensure the best possible price for trades. Meanwhile, those confident in their trading skills can increase the maximum leverage on popular and exotic pairs by applying for a professional trading account at SAXO. If you meet the criteria for a pro trader, you can choose to trade major currency pairs with leverage of up to 1:500.

Fusion Markets

Fusion Markets started offering its clients financial services, including forex trading, in 2017. The broker quickly gained popularity thanks to its competitive prices and overall top-notch trading conditions. With more than 90 forex pairs, tight spreads, and low commission rates, clients can elevate their trading and even unlock higher leverage ratios by opening their Fusion Pro accounts. To do that, they will need to upload a set of documents proving their eligibility and knowledge in trading. By gaining a professional trading status at Fusion Markets, traders can bypass some retail trading restrictions and trade major currency pairs with leverage of up to 1:500.

AvaTrade

You will be able to tailor your forex experience to your liking once you join AvaTrade and start exploring the numerous trading assets this top-shelf broker is offering. You can choose from several account types whenever you start your trading journey at AvaTrade. If you are confident in your trading skills and you are willing to take the risk to trade with higher leverage, you can apply for AvaTrade’s Professional Account. Provided you have the required trading experience and the capital to support riskier orders, you will be allowed to upgrade your trading account and enjoy leverage up to 1:400 on major currency pairs.

Plus500

If you are looking for a reputable broker for your next forex trading sessions, you can trust Plus500, which is one of the prominent names in the forex market. Founded in 2008, this broker offers some of the best trading conditions to various types of traders. While lower spreads and commissions may be available to retail traders, they will also have certain restrictions on the maximum leverage they can use when trading currency pairs. If this is an issue for you, you can apply for a professional trading account, which will allow you to trade major pairs with leverage of up to 1:300. To be eligible to open a Pro account, you will need to prove you have the capital and experience required to place orders with higher leverage, which will also increase the risk related to trading.

FP Markets

Being one of the leading brokers in the trading sector, FP Markets knows how to cater to the preferences of different traders. Retail traders have the chance to pick from Standard and Raw account variants, with the latter option offering tighter spreads that start as low as 0.0 pips. While both account types are great for casual traders, the mandatory leverage limits may not be appreciated by well-experienced traders. Investors looking for the chance to win big by using higher leverage will be able to apply for a Pro Account, which can increase the leverage ratio on major currency pairs up to 1:500. To qualify for a professional trading status, FP Markets clients need to provide several documents that will prove their trading experience as well as the capital required for higher-volume trades.

CMC Markets

With extensive experience in the trading industry, CMC Markets has proven to be one of the best destinations for online forex traders. Offering competitive CFD prices on more than 300 currency pairs, CMC Markets allows any trader to pick the trading experience that suits their requirements the best. While retail forex traders have the chance to trade with spreads that start as low as 0.0 pips, there will be certain leverage limits applied to their accounts. To bypass such restrictions, traders can apply for the Pro Trading account option at CMC Markets. Obtaining professional trading status will allow investors to trade major currency pairs with leverage up to 1:500.

IG

IG is a UK-based trading company that started its business back in 1974. With many years of experience in the financial sector, this broker knows how to offer the best trading conditions to any type of forex trader. With more than 80 currency pairs to trade, IG customers can choose between Retail, Pro Level 1, and Pro Level 2 account types. Those who wish to keep enjoying the best trading price and increase the leverage ratio on their forex trades can apply for professional status. That is possible thanks to the submission of documents that can prove the clients’ eligibility for bigger-volume trades that will also increase the risk level by applying leverage of up to 1:250 on major currency pairs.

What Is an Institutional Trading Account?

Institutional trading accounts, also known as professional accounts, are specifically catering to traders or institutions that prefer to make orders of higher volumes. Many forex brokers allow their clients to apply for institutional accounts that will allow them to handle bigger trades. Professional accounts typically come with better trading conditions that may include higher leverage, tighter spreads, and low commission rates.

Since institutional accounts handle customers with larger capitals, it is common for brokers to offer professional traders access to markets with higher liquidity. This type of investor will also have the option to use advanced tools for market analysis and dedicated account managers that can help pro clients with any trading questions.

The vast variety of advanced features that come with professional trading is available only to traders who qualify for institutional accounts. To be able to open such a trading account, investors or institutions must provide several documents that will prove their eligibility for professional trading.

Who Qualifies as an Institutional Client?

While anyone interested in trading with a small budget can qualify as a retail trader, there are specific institutions and individuals that fall under the category of professional/institutional clients. Typically, institutional investors are companies or organizations that trade funds on behalf of some individuals or groups of investors.

Some examples of entities that may apply for professional trading accounts include hedge funds, pensions, and insurance companies. Since institutional traders are buying and selling substantial amounts, they are often considered the more sophisticated participants in the forex and overall trading market. In addition to non-bank institutions, individuals who are well-experienced in the financial market and have the capital to trade higher amounts can also apply for professional trading accounts at many reputable forex brokers online.

Application Process and Requirements for Institutional Accounts

The application process for professional trading accounts can be slightly different depending on the broker you plan to join as an institutional investor. That said, most forex brokers supporting professional trading accounts will require traders to provide somewhat similar documents to guarantee their eligibility for institutional trading.

If you want to upgrade your retail trading status or open a new institutional account with a forex broker, you will need to provide several documents. Those will serve as proof of your tradable capital and trading experience. While there are three main qualification criteria for professional traders, it is possible to qualify by meeting just two of them.

Professional traders must:

• Have placed at least 10 large-volume trades per quarter in the last 12 months
• Have previous or current working experience of at least one year in the financial sector
• Have a financial portfolio of at least €500,000

Depending on your country of residence and the regulator overseeing forex trading services in your jurisdiction, the minimum portfolio requirement may have a different limit that needs to be surpassed by professional traders. Usually, brokers consider trades of €10,000, €50,000, or higher to meet the condition for large-volume trades. However, if the broker has not specified what counts as a larger tradable amount, you can contact the support team and ask for additional information. Copies of trading activity statements, investment portfolios, and proof of working experience are some of the documents you may be asked to provide during the institutional account application process.

Benefits of Using Institutional Accounts

To help you decide whether institutional accounts are the right trading solution for you, we suggest you compare the strengths and weaknesses of this trading option.

N. Nazifova