Brokers With Micro Accounts
Brokers with micro accounts offer contract sizes one-hundredth of a standard lot. Also known as cent accounts, they essentially reduce entry barriers to popular financial markets, such as forex, where the daily trading volume has climbed from $5 trillion in 2016 to over $6.6 trillion today, attracting a growing number of aspiring investors.
This guide explains how micro trading accounts work, from qualifications to examples. We also compare micro accounts to other popular investing solutions. In addition, our experts have compiled a list of the best brokers with micro accounts in the UK.
Micro Account Brokers
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Founded in Australia in 2010, Pepperstone is a highly regarded broker specialising in forex and CFDs. Serving more than 400,000 clients globally, it provides access to over 1,300 financial instruments through popular platforms like MT4, MT5, cTrader, and TradingView. Its fee structure is both low and transparent. With regulation by reputable bodies such as the FCA, ASIC, and CySEC, Pepperstone guarantees a safe trading environment for traders at every level.
Instruments Regulator Platforms CFDs, Forex, Currency Indices, Stocks, Indices, Commodities, ETFs, Crypto (only Pro clients), Spread Betting FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB MT4, MT5, cTrader, TradingView, AutoChartist, DupliTrade, Quantower Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:500 (Pro) -
Established in Poland in 2002, XTB caters to over a million clients worldwide. This forex and CFD broker offers a robust regulatory framework, a diverse range of assets, and prioritises trader satisfaction. It provides an intuitive proprietary platform equipped with excellent tools to support aspiring traders.
Instruments Regulator Platforms CFDs on shares, Indices, ETFs, Raw Materials, Forex currencies, cryptocurrencies, Real shares, Real ETFs FCA, CySEC, KNF, DFSA, FSC, SCA, Bappebti xStation Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 -
Founded in 1989, CMC Markets is a reputable broker publicly listed on the London Stock Exchange. It holds authorisation from top-tier regulators such as the FCA, ASIC, and CIRO. The brokerage, which has received multiple awards, boasts a global membership exceeding one million traders.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, ETFs, Treasuries, Custom Indices, Spread Betting FCA, ASIC, MAS, CIRO, BaFin, FMA, DFSA Web, MT4, TradingView Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:500 (Pro) -
FXCC, a well-established brokerage since 2010, offers cost-effective online trading. Registered in Nevis and regulated by CySEC, it is distinguished by its ECN conditions and absence of a minimum deposit requirement. The account opening process is efficient, taking under five minutes.
Instruments Regulator Platforms CFDs, Forex, Indices, Commodities, Crypto CySEC MT4, MT5 Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:500 -
IC Markets is an internationally acclaimed forex and CFD broker, admired for its competitive pricing, diverse trading instruments, and superior technology. Established in 2007 and based in Australia, the firm is under the regulation of ASIC, CySEC, and FSA. It has successfully drawn over 180,000 clients from more than 200 nations.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, Bonds, Futures, Crypto ASIC, CySEC, FSA, CMA MT4, MT5, cTrader, TradingView, TradingCentral, DupliTrade, Quantower Min. Deposit Min. Trade Leverage $200 0.01 Lots 1:30 (ASIC & CySEC), 1:500 (FSA), 1:1000 (Global) -
Founded in 2006, FxPro has built a reputation as a reliable non-dealing desk (NDD) broker, providing trading access across more than 2,100 markets to over 2 million clients globally. It has received over 100 industry awards, reflecting its favourable conditions for active traders.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, Futures, Spread Betting FCA, CySEC, FSCA, SCB, FSA FxPro Edge, MT4, MT5, cTrader, AutoChartist, TradingCentral, DupliTrade, Quantower Min. Deposit Min. Trade Leverage $100 0.01 Lots 1:30 (Retail), 1:500 (Pro) -
Founded in 1974, IG is a part of IG Group Holdings Plc, a publicly listed brokerage (LSE: IGG). The company provides spread betting, CFD, and forex trading, offering access to over 17,000 markets. Its platforms and investing apps are notably user-friendly. Over the past 50 years, IG has consistently been an industry leader, excelling in all essential areas for traders.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, ETFs, Futures, Options, Crypto, Spread Betting FCA, ASIC, NFA, CFTC, DFSA, BaFin, MAS, FSCA, FINMA, CONSOB, AFM Web, ProRealTime, L2 Dealer, MT4, TradingView, AutoChartist, TradingCentral, ProRealTime Min. Deposit Min. Trade Leverage $0 0.01 Lots 1:30 (Retail), 1:222 (Pro) -
IC Trading belongs to the reputable IC Markets group. Designed for dedicated traders, it offers highly competitive spreads, dependable order execution, and sophisticated trading tools. However, it operates from Mauritius, an offshore financial centre, allowing high leverage but within a less regulated environment.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities, Bonds, Cryptos, Futures FSC MT4, MT5, cTrader, AutoChartist, TradingCentral Min. Deposit Min. Trade Leverage $200 0.01 Lots 1:500 -
Eightcap, an acclaimed broker regulated by the FCA, offers exceptionally low trading costs. Recognised as the top-rated brand by TradingView's vast user base of 100 million, traders can directly access the platform. UK traders can open a live account with a minimum deposit of just £100.
Instruments Regulator Platforms CFDs, Forex, Stocks, Indices, Commodities ASIC, FCA, CySEC, SCB MT4, MT5, TradingView Min. Deposit Min. Trade Leverage £100 0.01 Lots 1:30 -
Established in 1999, FOREX.com is now integrated into StoneX, a prominent financial services entity catering to more than one million clients globally. The broker is regulated in numerous jurisdictions, including the US, UK, EU, and Australia. It offers a vast array of markets beyond forex, delivering competitive pricing on state-of-the-art trading platforms.
Instruments Regulator Platforms Forex, CFDs, Stocks, Indices, Commodities, Futures, Options, Crypto NFA, CFTC, CIRO, FCA, CYSEC, ASIC, SFC, FSA, MAS, CIMA MT4, MT5, TradingView, eSignal, AutoChartist, TradingCentral Min. Deposit Min. Trade Leverage $100 0.01 Lots 1:30
What Is A Micro Account?
In forex trading, a standard lot is 100,000 units of the base currency. Typically, currency pairs are quoted to four decimal points and so 100,000 units in EUR/USD would be $10 ($0.0001 is one unit). However, a micro lot for this pair would be $0.1 ($0.0001 X 1,000). In addition to micro lots, there are also mini lots (10,000 units of the base currency) and nano lots (100 units of the base currency).
Micro accounts were first introduced in 2006 by the online broker – LiteForex. Since then, the number of providers offering micro trading lots has grown substantially.
Micro accounts primarily provide access to forex, but they can also be used to take positions in other markets, such as cryptocurrencies, commodities, and ETFs.
How Micro Accounts Work
Let’s say the GBP/USD currency pair is currently valued at 1.2100. After a short period, the pair rises in value to 1.2165, representing an increase of 0.0065. With a standard account, this would yield payable earnings (minus lending fees) of $650 (100,000 units X 0.0065 increase). But with a micro account, this is an earning of $6.50 (1,000 units X 0.0065 increase).
Now let’s consider if the pair’s value decreased to 1.2090. With a standard account, this is a loss of $100 (100,000 units X 0.0010 decrease). But with a micro account, this is a loss of $1 (1,000 units X 0.0010 decrease).
So while the potential profit and loss is reduced, retail investors can trade with less start-up capital.
Leverage Explained
Brokers with micro entity accounts often allow their customers to trade on leverage, also known as margin. Leverage acts as a multiplier to a trade’s value whereby a broker lends the investor funds to increase their order size. When the contract ends, the borrowed funds must be returned, along with any fees. But while opening a position with leverage can boost profits, it comes with the added risk of amplifying losses.
Let’s look at how 1:5 leverage would impact the trade in the example above. In the first situation where GBP/USD increases to 1.2165, the micro account earning would be $32.50 ($6.50 earning X 5 leverage). In the second instance where the pair decreased to 1.2090, the micro account loss would be $5 ($1 loss X 5 leverage).
Benefits Of Brokers With Micro Accounts
Brokers with micro accounts are ideal for novices or traders testing out a new strategy. If you are new to forex or trading in general, a micro account can help you gain experience with smaller initial position sizes and less risk.
A demo account can also be useful for practising trading, however, it cannot replicate the pressure that comes with live trading. Practice accounts use virtual funds so there is no risk involved – all losses are simulated, and if your funds run out, you can simply reopen the account and start again.
Keep in mind the quote from the renowned professional trader Yvan Byaejee: “reaching any goal in trading requires specific domain knowledge and technical skills. But then, after that, it’s all mindset management.” So while demo accounts are a useful tool for beginners, brokers with micro accounts are an excellent step up to start trading with real money.
Furthermore, micro accounts are accessible as they often have lower minimum deposits and sometimes zero commission trading conditions. For example, the ECN and PAMM FXTM micro account minimum deposit is £50 whereas the standard account has a limit of £500.
Brokers With Micro Accounts
BDSwiss
BDSwiss offers a cent account (another name for a micro entity account) which permits micro-lot trading on up to 70+ forex pairs and commodities with up to 1:500 leverage.
The minimum deposit is £10 and the broker does not charge a commission.
IC Markets
IC Markets offers three different types of accounts that all facilitate micro lot trading. These are cTrader, Raw Spread and Standard. Clients can trade on 60+ major, minor and exotic currency pairs with a maximum leverage of 1:500.
The minimum deposit for all account types is £200.
XM
XM is an established forex business with a micro trading account. There are 11 base currency options including GBP, USD, and EURO. The broker does not charge commission and the minimum deposit is just £5. XM also offers some of the best forex rates.
One of the biggest benefits of trading with XM is the option to use both MetaTrader4 (MT4) and MetaTrader5 (MT5).
Exness
Exness is amongst the best forex brokers with micro accounts. Clients can start trading with as little as £10 and the brokerage offers Islamic trading conditions and a free paper trading option. Joint accounts are not available but investors can trade with margin or cash.
The broker also has a global presence so the account is available in many countries, including the UK. Exness holds a license with the Financial Conduct Authority.
FBS
With an initial deposit of just £1, FBS is another good option. For retail traders, the leverage is limited to 1:30, however, investors that meet the criteria for a professional account can trade with 1:500.
Clients can use either MT4 or MT5 to trade the broker’s 25+ currency pairs, precious metals, energies, and 10+ indices. The firm’s platforms are open 365 days a year.
FxPro
FxPro is an online broker based in London. Trading is available on forex, commodities, shares, cryptos and indices, including the Nasdaq. And while the broker does not offer a micro-specific account, all standard accounts can trade in micro lots.
Requirements upon login include submitting identity verification and proof of address. The minimum deposit is £100. The broker also offers secure management login.
Bottom Line On Brokers With Micro Accounts
Brokers with micro accounts are ideal for day trading beginners looking for a bridge between demo accounts and standard trading accounts. Generally, micro accounts have lower minimum deposits and a smaller contract size meaning reduced risk.
Check out our list of the top UK brokers with micro accounts to start trading today.
FAQ
What Are The Best Brokers With Micro Accounts?
This is no exhaustive list of the best brokers with micro accounts. Each broker has its own advantages and disadvantages. To help find the best brokerage for your needs, consider the markets you wish to trade on, such as e-mini futures, the minimum receivable deposit, plus the platforms and tools on offer. The top brands also offer beginner-friendly trading tutorials, courses and investing guides.
What Can I Do If I Have Issues With Brokers With Micro Accounts?
Firstly, you can seek direct advice from the broker’s customer support team. Popular platforms offer support via chatbot, email or telephone. Alternatively, you can turn to online trading groups on social media and forums such as Discord, Telegram and Reddit.
Can I Use An Expert Advisor With Brokers With Micro Accounts?
Generally, brokers with micro accounts will allow clients to use Expert Advisors (EAs). These automated trading bots are typically available on the MetaTrader 4 and MetaTrader 5 platforms. You can also trial EAs on demo accounts and use backtesting services.
How Do Brokers With Micro Accounts Make Money?
Micro accounts often appear to be “free” because some brokers don’t charge a commission, however, traders will normally pay through the spread. The spread is the difference between the bid and ask price of an asset, and brokers usually apply a markup to turn a profit.
Where Can I Read About Brokers With Micro Accounts?
There are many brokerage reviews on our website. You can also read customer reviews on websites such as Reddit, Trustpilot and YouTube. Keep in mind that these are just opinions – you may not be able to trust everything you read. For news and announcements, websites such as Yahoo Finance are a good resource.