Market Makers Forex Brokers

Written by Eugene Lee, CFA

Eugene Lee, CFA

Eugene Lee, CFA, is an investment strategist and quantitative researcher with over two decades of experience navigating global markets. Having worked on trading and portfolio management teams covering multi-billion dollar portfolios across equities, fixed income, and derivatives.

, | Updated: March 23, 2026

Forex brokers fall under different categories depending on how they process orders, with market makers, also known as dealing desk brokers, representing a significant segment of the retail trading industry. Market makers typically provide fast order processing, fixed spreads, and competitive prices, which makes them suitable for traders seeking price stability and quick execution.

This article features 10 brokers that operate using the market maker pricing model. All brokers featured in this article are regulated by financial authorities and provide transparent trading conditions to their customers. While some firms operate strictly as market makers, others offer a variety of account types that utilize different execution models.

When selecting a market maker broker, traders should consider various factors beyond spreads and execution speed, including regulatory compliance, customer support quality, platform features, and deposit and withdrawal options. To help manage risk, some market makers also offer guaranteed stop-loss orders, which protect traders from market gaps that might otherwise cause a standard stop-loss to fail.

1Plus500 US

Rating: 4.2 ⭐

This content applies only to Plus500 US and clients from the United States. Trading futures involves the risk of loss.

Top Rated

2eToro

Rating: 4.2 ⭐

50% of retail investor accounts lose money

3Eightcap

Rating: 4 ⭐

59.57% of retail investor accounts lose money when trading CFDs with this provider.

4XM Group

Rating: 2.7 ⭐

72.82% of retail investor accounts lose money

5IG

Rating: 3.9 ⭐

67% of retail client accounts lose money when trading CFDs with this investment provider.

6AvaTrade

Rating: 4.7 ⭐

57% of retail investor accounts lose money

7XTB

Rating: 3.5 ⭐

73% of retail investor accounts lose money

8CMC Markets

Rating: 4.3 ⭐

67% of retail investor accounts lose money

9FXCM

Rating: 4.5 ⭐

70% of retail investor accounts lose money

10Saxo Bank

Rating: 3.6 ⭐

65% of retail investor accounts lose money when trading CFDs with this provider.

Top 10 Forex Brokers Utilizing the Market-Maker Execution Model

1. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   1. XM Group

   XM is a regulated forex broker with licenses from CySEC, ASIC, IFSC (Belize) that serves over 15 million customers worldwide. It offers two main account types, Standard and Ultra Low. Spreads start from 0.8 pips for Ultra Low and 1.6 pips for Standard accounts on a commission-free basis.

   Zero accounts with ECN pricing are available to EU clients, allowing them to trade major forex pairs with spreads from 0.0 pips and a $7 round-turn commission. Onboarding customers can start with as little as $5 across all retail accounts, with swap-free trading specifically available for Ultra Low account holders.

   Risk Warning: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72.82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
2. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   2. eToro

   Launched in 2007, eToro executes orders through an internal dealing desk and acts as a counterparty to customers’ trades, generating revenue through the bid/ask spread rather than commissions. The broker sources market data from various independent liquidity providers to ensure competitive pricing. It currently offers a range of over 9,000 CFD markets, including 65 currency pairs.

   Minimum forex spreads start from 1.0 pip at eToro with no commissions upon opening and closing positions. Other than forex, customers can trade cryptocurrencies, stocks, commodities, indices, and ETFs. Maximum retail leverage is capped at 1:30 for Europe, Australia, and the UK. Customers outside these regions can generally access ratios as high as 1:400. The minimum deposit starts from $50 in most countries.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 50% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money.
3. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   3. AvaTrade

   Launched in 2006, AvaTrade is a regulated market maker with licenses from ASIC, CySEC, FSCA, and CBI, among others. The broker quotes prices for over 50 major, minor, and exotic currency pairs using a commission-free pricing model. AvaTrade obtains prices from multiple third-party market data providers, with an automatic adjustment to the spread applied before the final AvaTrade prices are formed. Spreads for major forex pairs like EUR/USD average 0.8 pips, with maximum leverage of 1:400 for customers outside Europe and Australia. Traders must deposit at least $100 to get started with a live account.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 57% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
4. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   4. XTB

   XTB has been in operation for over 20 years and currently serves over 2 million clients with licenses from the FCA, KNF, CySEC, and FSC. The broker operates an in-house dealing desk to process customer orders efficiently. It sets its own bid/ask prices based on quotations from major liquidity providers, enabling commission-free trading in 69 currency pairs. Forex spreads start from as little as 0.8 pips. Customers can further diversify their portfolios with over 2,600 other financial markets across major asset classes like stocks, indices, commodities, cryptocurrencies, options, and ETFs.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
5. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   5. IG

   IG is among the longest-running forex brokers with an industry experience spanning over 50 years. As a market maker, IG derives its pricing from various independent venues and liquidity providers to offer consistent spreads that align with broader market conditions. Onboarding clients can open a standard account where all orders pass through the broker’s proprietary dealing desk. Spreads for EUR/USD typically start from 0.6 pips and average near 0.85 pips with zero commissions charged.

   CFDs are complex instruments. 67% of retail client accounts lose money when trading CFDs, with this investment provider. You can lose your money rapidly due to leverage. Please ensure you understand how this product works and whether you can afford to take the high risk of losing money.
6. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   6. Saxo Bank

   Launched in 1992, Saxo is an established Danish bank with over 1.5 million customers worldwide and €115 billion in client assets under management. The company holds a banking license from the Swiss regulator FINMA and acts as a liquidity provider for other market participants, including smaller forex brokers.

   This internal execution model allows Saxo to manage order flow through its own dealing desk, providing traders with direct pricing and efficient execution. The broker offers fixed forex spreads on major currency pairs that start from 1.0 pip with Classic accounts and 0.9 pips with Platinum accounts. The VIP account tier offers reduced spreads from 0.7 pips, but requires a significant initial deposit of $1 million.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 65% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs, FX or any of our other products work and whether you can afford to take the high risk of losing your money.
7. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   7. CMC Markets

   With over 35 years of industry experience, CMC Markets facilitates trading with more than 12,000 financial instruments, including 300+ currency pairs, commodities, stocks, cryptocurrencies, indices, and bonds. The broker facilitates fast order execution by routing client orders through an in-house dealing desk that compares pricing data from 8 major banks to maintain competitive market rates.

   CFD accounts at CMC Markets enable commission-free forex trading with spreads from 0.5 pips on major pairs like EUR/USD. The broker charges commissions on stock and ETF positions only. CMC Markets has a median execution speed of 0.0045 seconds, which reduces the likelihood of slippage during normal market conditions.

   Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 68% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money.
8. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   8. Plus500

   Plus500 offers a proprietary trading platform that features more than 2,800 financial instruments, ranging from forex and ETFs to commodities, stocks, and indices. The broker provides a choice from more than 60 currency pairs and derives its prices from a broad network of independent financial data providers. Trades are executed through the Plus500 proprietary platform using a fully automated system, designed to process orders sequentially and minimize latency.

   Customers can trade forex with zero commissions and spreads of around 0.9 pips for major pairs like EUR/USD. Traders can utilize guaranteed stop-loss orders on specific instruments to manage their risk and ensure their positions close at the chosen price regardless of market gaps or slippage. The service involves paying a premium only if the guaranteed stop loss triggers.

   79% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
9. TRADE NOW READ REVIEWTrustpilot Rating

   Chart loading
   9. FXCM

   FXCM is a market maker with extensive experience dating back to 1999 in New York. The broker is regulated by several authorities, including the FCA and ASIC, which oversee its pricing transparency and capital requirements. FXCM provides commission-free trading on major currency pairs, with the EUR/USD maintaining an average spread of 0.7 pips. According to the broker’s 2024 execution data, 62.2% of orders were filled with zero slippage, while 25.6% experienced positive slippage, where trades were executed at a price better than requested.

   CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. 
10. TRADE NOW READ REVIEWTrustpilot Rating

    Chart loading
    10. ActivTrades

    ActivTrades provides fast order execution with average speeds of 0.004 seconds and quotes prices for over 1,000 CFD products across markets like forex, commodities, shares, indices, ETFs, bonds, and cryptocurrencies. The broker supports third-party platforms like MT4 and MT5, alongside its proprietary ActivTrader software. Traders looking for advanced charting features can connect their accounts to TradingView, which also enables social trading.

    ActivTrades operates under a hybrid execution model. Although the broker utilizes no dealing desk technology to automate order processing, it remains the sole execution venue for its clients, acting as the principal and counterparty to every trade. Spreads for major currency pairs average 0.5 pips with no entry or exit commissions. There are no minimum account requirements when opening a live account at ActivTrades.

    CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 72% of retail investor accounts lose money when trading CFDs with this provider.You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Comprehensive Comparison of the Top 10 Market-Maker Forex Brokers

Market-Maker Forex Brokers Ranked by Trustpilot Score

How Market-Maker Forex Brokers Work

Market makers act as intermediaries between the interbank market and customers, serving as the direct counterparty to their trades. By acting as a market maker, the broker provides the necessary liquidity for its clients to execute trades instantly, regardless of whether a matching buyer or seller is immediately available in the external market.

The market maker model functions by creating an internal liquidity pool derived from the broader interbank market. To fill orders, market makers often take the other side of the trade, with the entire process being handled by the broker’s dealing desk department.

Market making often facilitates faster execution and more stable pricing. Upon receiving an order, the broker decides whether to act as a counterparty by taking the opposite side of the trade or to hedge the trade with a liquidity provider. The broker adjusts the spread by adding a nominal markup, then places and processes the order.

Market makers bridge the gap between retail traders and the institutional interbank market, where high minimum trade sizes often act as a barrier to entry. This model allows for flexible position sizing, enabling traders with smaller accounts to access a wide range of currency pairs with simplified pricing and no commissions.

Differences between Market Makers, STP, and ECN Forex Brokers

Choosing the right execution model is important for any trader, as it dictates how orders are routed and filled. While market makers provide internal liquidity, other brokers utilize Straight-Through Processing (STP) or Electronic Communications Network (ECN) models to connect traders directly with external liquidity providers or the interbank market.

STP brokers route client orders directly to a pool of external liquidity providers. The standard STP model allows brokers to automate execution without human intervention, sourcing prices from several major banks or prime brokers. Associated with transparency and speed, this model is more suitable for professional traders who prioritize execution quality and market-derived pricing.

Steps in STP Execution

• The broker receives the order and passes it to its network of liquidity providers.
• A liquidity provider executes the order at the best available price.
• The STP broker sends confirmation to the trader and handles order settlement.

ECN brokers route client orders to an Electronic Communications Network, where they are matched against a variety of liquidity providers and other market participants. Unlike standard STP routing, ECN brokers connect traders to a virtual network where orders can be matched against a wide range of participants, including banks, hedge funds, and other retail traders. Both models operate without a dealing desk. However, STP brokers act as middlemen to specific liquidity providers, while ECN brokers offer a centralized network where various market participants compete for fills.

Steps in ECN Order Execution

• After the client makes an order, the broker transfers it to the electronic communication network where all interbank market participants can see it.
• The system matches the customer’s order with a corresponding order from another market participant.
• The order is executed at an interbank price without markups or other spread adjustments.
• The ECN broker confirms the order execution and settles the transaction.

Some forex brokers adopt a hybrid model to address different customer requirements. A single broker may provide ECN accounts with raw spreads and fixed commissions per lot, while also offering standard accounts with marked up spreads and no commissions. These accounts are often preferred by retail traders due to their straightforward pricing and absence of commissions. Understanding the differences between these three pricing models may help you choose the broker that best aligns with your specific trading strategy, capital requirements, and risk tolerance.

Comparison between Market Makers and STP/ECN Brokers

Benefits of Using Market-Maker Forex Brokers

There is no single execution model suitable for all market participants as they all have different requirements and goals when engaging in forex trading. Nevertheless, the market maker model offers several advantages that make it a practical choice for many traders.

The STP and ECN models are suitable for high-frequency traders and scalpers who prioritize transparent, market-driven pricing. The market maker model is often more accessible to those with limited starting capital. By acting as direct counterparties to every trade, these brokers can offer highly flexible contract sizes that are not always available in the ECN environment. Market makers often have lower minimum deposit requirements and enable retail customers to trade smaller positions corresponding to their budget.

Trading via a dealing desk provides price consolidation, typically resulting in fixed spreads and a single quotation for each currency pair. This may be considered an advantage compared to the variable spreads typical of STP and ECN brokers. Because market makers typically utilize a spread-only pricing model without additional commissions, the total transaction cost is known upfront.

Trading with a market maker may also offer faster execution as orders are processed by the broker’s in-house dealing desk software. The price is typically fixed because orders are filled within the market maker’s own liquidity pool. If the market moves too quickly for the broker to honor a quote, the system will issue a re-quote instead.

• Lower minimum deposits
• Flexible trade sizes
• Fixed spreads in most cases
• No commissions on trades
• Faster order execution

Potential Issues Related to Trading with Market-Maker Brokers

While the market maker model offers accessibility to traders with smaller initial capital, several additional factors should be considered before deciding to trade forex through a dealing desk. These factors primarily concern price transparency and the broker’s role as a counterparty.

Market makers usually take the opposite position of client trades, which may create a conflict of interest. Furthermore, while the pricing is consolidated into a single quote, the bid/ask spreads are typically wider than the raw rates available at ECN or STP brokers. This price disparity is often most pronounced during major economic news releases. Market makers may also issue frequent requotes during periods of extreme volatility, as their internal systems may temporarily suspend automated execution to manage the rapid price fluctuations.

The quality of execution for larger positions can be a significant drawback in the market maker model. Because these brokers fill orders internally rather than tapping into deep interbank liquidity, they may struggle to absorb high-volume trades without significant price adjustments or re-quotes.

• Conflict of interest
• Less competitive pricing
• Requotes during news events
• Delayed execution in high volatility
• Risk of price manipulation

Even though dealing desk brokers offer fixed spreads and no commissions, traders may often get a better trading price with STP/ECN brokers as their floating spreads are often be much tighter, sometimes starting from 0 pips. Even when there is a commission applied to both the entry and exit trade points, a lower spread can ensure a better price for your trades.

Written by E. Lee, CFA