Canadian traders can only trade with a Forex broker regulated by the Investment Industry Regulatory Organization of Canada (IIROC). Traders who choose IIROC-regulated brokers will also be protected by the Canadian Investor Protection Fund which covers their deposits up to $1,000,000 in the event of their broker’s insolvency. Read more :https://theinvestorscentre.com/ca/trading/best-forex-broker-canada/
All IIROC-regulated Forex brokers must follow strict rules and regulations regarding how they hold their clients’ funds, how much leverage they can offer and what information is required to be disclosed to their clients. For example, Canadian brokers must limit their maximum leverage to 50:1 for major currency pairs and 20:1 for non-majors. This is significantly lower than the leverage caps applied to Forex trading in the USA and most other OECD countries.
Side-by-Side Comparison of Canadian Forex Brokers
Spreads – Top Canadian Forex brokers typically provide tight spreads on the most popular currency pairs, with lower spreads available for less liquid pairs. However, it is important to take into account other trading costs, such as commissions and swap rates (overnight fees) when evaluating a broker’s overall cost of trading.
Customer Support – A good Forex broker should offer multiple channels of customer support, with knowledgeable representatives available around the clock. Traders should look for brokers with phone support, live chat and email support as well as detailed FAQ sections and educational resources.
A good Forex broker in Canada should also offer a wide range of deposit and withdrawal methods, including e-wallets. In addition, a reputable broker will use high encryption levels to protect their clients’ financial data and will have teams of cyber security monitoring their servers 24/7.
