Top Low Spread Brokers for Nigerian Traders

Forex trading has been quite popular in African countries such as Nigeria. Here are some of the best low spread brokers in Nigeria to check out.

Online forex trading has become one of the most popular investments to generate good fortune, mainly due to its high accessibility, high liquidity, and low starting capital. Thanks to the internet, forex trading is now more inclusive than ever, allowing anyone from anywhere in the world to participate in the market. This presents a huge opportunity for developing countries such as Nigeria to take advantage and make money.

Despite being a relatively new development in the country, forex trading is very popular in Nigeria, especially among those with a financial background. There are at least 300,000 Nigerian retail traders in 2021 and the numbers are only increasing over time. Many brokers have also expanded their business to Nigeria and other African countries, allowing anyone in the region to access the market and trade from home or anywhere through online trading platforms.

The foreign exchange market is monitored by the Central Bank of Nigeria. But unfortunately, there is no official agency that regulates online brokerages for Nigerian traders. This results in the surge of international brokers offering their services in the Nigerian market. In this kind of situation, any broker with international licenses would pass to be considered a credible entity for traders in the country.

When comparing brokers, there are several factors that need to be considered. If you are looking to minimize your trading costs, it's highly suggested to pick brokers that offer low spreads. Spreads can vary from broker to broker, and they can go wider or tighter depending on the market condition. Spreads may expand dramatically when the volatility is high (usually before major economic or political news, such as the Brexit vote or the US elections) or when applied to emerging market currency pairs like USD/THB or USD/SGD. On the other hand, spreads are usually low when the liquidity is high and the volatility is low (usually in major currency pairs during the big forex trading sessions).

Considering the importance of spreads, we won't be just discussing brokers for Nigerian traders but also those who specifically offer low spreads.

If we put the two factors together, here are the criteria for this broker's list:

• Regulated in at least 1 financial jurisdiction (anywhere would do as Nigeria hasn't owned any regulatory agencies yet).
• Offers low spreads (below 1 pip for EUR/USD's minimum spread).
• Allows NGN (Nigerian Naira) deposit.
• Allows an NGN-based account.
• Provides bonuses for Nigerian traders.

And so, here are several brokers that pass the abovementioned criteria:

Exness

Exness is a CFD broker that has been around since 2008. It quickly became one of the leading brokers in the world with over 200,000 clients worldwide and offices in several countries, including Cyprus, the UK, Seychelles, South Africa, and Kenya. Regulated by a few top-tier financial authorities, Exness is considered a low-risk, reliable broker for forex and CFD trading.

When it comes to trading fees, Exness is known to provide some of the lowest spreads in the industry. The spreads can be fixed or variable, and the amount depends on the trading account that you use.

Here are the details of the services provided by Exness for Nigerian traders:

HF Markets

Founded in 2010, HF Markets or previously known as HotForex is a fully regulated broker that operates in over 100 countries in the world, including Nigeria. With a wide range of account types, HFM aims to satisfy both professional traders and beginners with high leverage and low minimum deposits. On top of that, the broker offers a helpful team of customer support that's available 24/7 and excellent market analysis.

Here are the details of the services offered by HF Markets for Nigerian Traders:

Admirals

Admirals is a trusted broker that has been in the industry since 2001 with offices in the UK, Cyprus, Estonia, and Australia. The broker offers access to high-quality tradable assets via transparent pricing and execution system. The trading platforms are conveniently complex yet user-friendly at the same time, making it suitable for all customers throughout the world.

Here are the details of the services offered by Admirals for Nigerian Traders:

Pepperstone

Pepperstone is a multi-asset global broker that was founded in 2010. The award-winning broker provides various trading conditions to satisfy their clients, including some of the tightest spreads in the market and low commissions. Traders can also choose between several top trading platforms and a wide ion of trading tools in this broker.

Here are the details of the services offered by Pepperstone for Nigerian Traders:

Global GT

Global GT (FXGT) is a South African-based broker that was founded in 2020. Although it's still considered new, Global GT is fully regulated and offers various innovative solutions for Nigerian traders. Clients can get easy access to a wide range of financial markets as well as educational resources and around-the-clock customer support. Apart from that, the broker also supports MT5 trading platform for desktop, web, and mobile trading.

Here are the details of the services offered by Global GT for Nigerian Traders:

Final Verdict

It's always a good idea to choose a low-spread broker. There are many low-spread brokers in Nigeria that allow you to minimize your trading cost and earn higher profits from your trades. Low spreads are particularly beneficial for scalpers who tend to open multiple positions within a single day. However, it is worth noting that spread is not the only thing that matters in a broker. You also need to consider other aspects such as regulations and other conditions that make it easier for you to manage your account.

The brokers above are prime examples of how to find low-spread trading providers with legal backgrounds and special features for Nigerian traders. You can also find other brokers that provide low spreads but for gold trading here.