| Updated: November 19, 2024- Jump to:
- Main features of the best Japan Forex brokers
- Forex Brokers in Japan Compared by Spread
- Account Types and Commissions
- Forex Legislation
- Financial Regulators
- Payment Methods
- Trading Software
- Mobile Trading
- FAQ
Our team of expert traders tested many regulated and trustworthy forex brokers that accept traders from Japan and compiled a toplist with the best among them. Each broker operating in Japan received a quality score based on several factors, including Trustpilot rating, regulation, fees and commissions, available trading platforms, customer service and more.
Global Prime74-89% of retail CFD accounts lose money- AxiThe vast majority of retail client accounts lose money
- FBS72.12% of retail investor accounts lose money
- Plus50080% of retail investor accounts lose money
- IG70% of retail client accounts lose money
- XM Group72.82% of retail investor accounts lose money
Below you can find a comprehensive comparison table of forex brokers for traders in Japan. We rank them based on several factors including: regulation, spreads and commissions, Trustpilot rating, trading instruments, trading platforms, deposit and withdrawal methods.
Main features of the best Japan Forex brokers
- Min Deposit$50Trading InstrumentsCFDs on Indices, Forex, Shares, Crypto, Futures, Commodities, Options, Interest Rates, Sectors, Bonds, Knock-out tradingRegulatorsASIC, FCA, DFSA, CFTC, FMA, FINMA, BaFin, MAS, JFSA, FSCA, BMA (Bermuda)Trading PlatformsMT4, L2 Dealer, ProRealTime, IG proprietary softwareSpread0.6 pips CFD trading; 0.165 pips DMA tradingLeverage1:30Deposit MethodsVisa, Mastercard, Bank Transfer, Wire Transfer, Visa Electron, Discover, PayPalWithdrawal MethodsVisa, Visa Electron, Mastercard, Discover, Bank Transfer70% of retail client accounts lose money
Offers CFD trading for USD/JPY and 100+ other currency pairs. Binary options trading is available as well. The broker provides direct market access to professional traders. The minimum spread for USD/JPY is 0.7 pips, while average spreads are roughly 1.18 pips. Retail clients will benefit from maximum leverage of 1:25. The broker has obtained approval from the Japanese Financial Services Agency (JFSA). The website is available in Japanese. Customers can reach the support team over the phone by dialing 0120-965-915, 0120-257-734, or 0120-917-968.
- Min Deposit$0Trading InstrumentsRegulatorsCFTC, CIRO, FCA, CBI, Central Bank of Hungary, ASIC, SFC (Hong Kong), SEBI, JSDA, MASTrading PlatformsIBKR Desktop, IBKR Trader Workstation, IBKR Mobile, IBKR GlobalTraderSpreadFrom 0.1 pipLeverage1:20Deposit MethodsBank Wire, Check (USA only)Withdrawal MethodsBank Wire
The broker is authorized by the Kanto Regional Financial Bureau (#187) and has been granted membership in JSDA and JCFA. Japanese customers can trade currencies on the spot with low commissions and tight spreads as narrow as 0.1 pip. The broker streams price quotes from 17 major forex dealers. Consumption taxes of 10% are included in the trading costs. Phone support (+81 03 4590 0711 ) is available in English on workdays from 8:30 to 17:30 JST. One free withdrawal per month.
- Min Deposit$0Trading InstrumentsForex, Stocks, IPOs, Indices, Commodities, CryptocurrenciesRegulatorsASIC, FCA, CySEC, DFSA, FSA (Saint Vincent and the Grenadines)Trading PlatformsMT4 Desktop, MT4 WebTrader, Axi MobileSpreadFrom 0.0 pips (Elite and Pro Accounts), 0.9 pips (Standard Account)Leverage1:30Deposit MethodsVisa, Mastercard, Bank Transfer, Neteller, Skrill, AstroPay, Fasapay, Przelewy24, Boleto, Pix, Bitcoin, Ethereum, Ripple, Litecoin, Tether, StellarWithdrawal MethodsMastercard, Visa, Bank Transfer, Przelewy24, Fasapay, Skrill, AstroPay, Pix, Boleto, Neteller, Bitcoin, Ripple, Ethereum, Litecoin, Tether, StellarThe vast majority of retail client accounts lose money
Axi caters to Japanese customers with over 70 currency pairs tradable via MT4 and MT5. Three account types are available to Japanese customers, with minimum spreads of 0.9 pips for Standard accounts and 0.0 pips for Premium and Elite accounts. All three account types have a minimum trade size of 0.01 lot and support the yen as a base currency. Maximum leverage reaches 1:1000. The deposit options include domestic bank transfers (¥1,340 min), Bitwallet (¥1,340 min), and cryptocurrencies ($30 min).
- Min Deposit$5Trading InstrumentsForex, Stocks, Indices, Commodities, Thematic IndicesRegulators(ASIC) (ref. No. 443670), FSC (license no. 000261/397), DFSA (ref. no. F003484), CySEC (license no. 120/10), MiFID, CFTCTrading PlatformsMetaTrader 4 and 5, MetaTrader 4 and 5 on mobile, MT4 WebTrader, MT5 WebTrader, MT4 MultiterminalSpreadFrom 0.0 pips (Zero Account), 0.6 pips (Standard and Micro Accounts)Leverage1:30Deposit MethodsVisa, Mastercard. Skrill, Bank Transfer, Neteller, Apple Pay, Google Pay, UnionPay, MaestroWithdrawal MethodsVisa, Mastercard, China Union Pay, Skrill, Neteller, Bank Transfer72.82% of retail investor accounts lose money
Japanese clients can trade over 50 forex pairs with maximum leverage of 1:1000. Standard and Micro accounts offer minimum spreads of 1.6 pips for EUR/USD and 2 pips for USD/JPY but trading is commission-free. Kiwami accounts have lower spreads of 0.8 pips (EUR/USD) and 0.9 pips (USD/JPY). Customers with Zero accounts can trade EUR/USD with spreads as low as 0.2 pips and a $5 commission per standard lot. New customers are eligible for a ¥13,000 bonus.
- Min Deposit$0 ($25 for Trustly, Visa, Mastercard)Trading InstrumentsRegulatorsFCA, CFTC, KNF, MAS, IIROC, MASASIC, FSA (Japan), FSC (British Virgin Islands)Trading PlatformsMT4, TradingView, Oanda WebSpreadFrom 0.6 pips (Standard Account), 0.1 pips (Commision Account)Leverage1:50Deposit MethodsVisa, MasterCard, Credit & Debit Cards, Bank Wire, Skrill, NetellerWithdrawal MethodsVisa, Bank Wire, Credit & Debit Cards, Skrill, Neteller72% of retail CFD accounts lose money
OANDA is registered with the Kanto Regional Financial Bureau (#2137) and has a membership in FIA Japan, JSDA, and JCFA. The broker’s forex portfolio encompasses over 60 pairs but the exact number depends on the platform and server (Tokyo or New York) customers are using. Platform options include MT4, MT5, TradingView, and fxTrade. Spreads for EUR/USD and USD/JPY are as low as 0.5 and 0.3 pips for discretionary MT5 accounts.
- Min Deposit$100Trading InstrumentsRegulatorsCySEC (license no. 079/07), ASIC (license no. 246566), FSA (license no. SD056), and FSC (license no. SIBA/L/20/1135).Trading PlatformseasyMarkets, MetaTrader 4, MetaTrader 5, TradingViewSpreadLeverage1:30Deposit MethodsVisa, Mastercard, JCB, Amex, Skrill, Neteller, Fasapay, Sofort, iDEAL, Web Money, BPay, Bank TransferWithdrawal MethodsVisa, Mastercard, JCB, Amex, Skrill, Neteller, Fasapay, Sofort, iDEAL, Web Money, BPay, Bank Transfer71% of retail investor accounts lose money
Japanese customers have access to over 60 forex pairs. Maximum leverage is capped at 1:200 (TradingView), 1:400 (MT4), or 1:2000 (MT5). The broker offers USD/JPY spreads of 1.5 pips for TradingView, 1.2 pips for MT4, and 1 pip for MT5. VIP and Premium accounts have fixed spreads, while Standard accounts come with floating spreads. Japanese traders can top up their balance with cards, local bank transfers, cryptocurrencies, and e-wallets like Neteller, Skrill and Bitwallet.
- Min Deposit$100Trading InstrumentsCrypto, Indices, Commodities, Stocks, Options, ETFsRegulatorsFSA (No.4.1-1/18), FCA (No. FRN 509909), CySEC (No.250/14), FMA (No.47546), SFSA (No. SD039), MAS (No. CMS100648), DFSA (No. F005651), ASIC (No. 417727)Trading PlatformsProprietary desktop and mobile platformsSpread0.8 pipsLeverage1:30Deposit MethodsMastercard, Visa, Skrill, PayPal, Bank Transfer, Apple Pay, BPAYWithdrawal MethodsPayPal, Bank Transfer, Visa, Mastercard, Skrill80% of retail investor accounts lose money
Plus500 is a member of JSDA and FFAJ. The website is available in the local language and provides Japanese customers with a choice of over 60 forex pairs with average spreads of 1.3 pips for EUR/USD. The broker uses a proprietary platform and offers two deposit options – Quick Deposit and Bank Transfer. Plus500 partners with major Japanese banks like Rakuten, Mizuho, and Sumitomo Mitsui. The broker charges monthly inactivity fees of ¥1,000 after three months.
- Min Deposit$100Trading InstrumentsForex, Major stock indices, Cryptocurrencies, Commodities, Bonds, Individual Shares, ETFsRegulatorsFFAJ (License No.1574),CySEC (No. 347/17) ISA (No. 514666577), IIROC, ADGM / FSRA (No.190018), CBI (No.C53877), BVIFSC (No. SIBA/L/13/1049), FSCA(No.45984), ASIC(No.406684)Trading PlatformsMetaTrader4, MetaTrader5, WebTrader, AvaTadeGO, AvaSocial, AvaOptions, DupliTradeSpreadFrom 0.9 pips (retail), 0.6 pips (pro)Leverage1:30Deposit MethodsVisa, Mastercard, Skrill, WebMoney, Neteller, bank wireWithdrawal MethodsVisa, Mastercard, Skrill, WebMoney, Neteller, bank wire76% of retail investor accounts lose money
Licensed by the JSFA (#1662), AvaTrade provides over 50 currency pairs, tradable via the MT4, MT5, Ava DupliTrade, and AvaGO platforms. Japanese customers have access to relatively narrow spreads of 1.3 pips for USD/JPY, 1.8 pips for EUR/JPY, and 0.9 pips for EUR/USD. The broker caters to clients from the country with extensive educational content and forex guides in Japanese. Customers can fund their accounts with bank transfers. AvaTrade works with over 380 local financial institutions, including Japan Post Bank and various regional and city banks.
Forex Brokers in Japan Compared by Spread
| Broker | EUR/USD | USD/JPY | GBP/USD | USD/CHF | AUD/USD | EUR/GBP | USD/CAD |
|---|---|---|---|---|---|---|---|
| 1. Interactive Brokers | 0.1 | 0.5 | 0.4 | 0.5 | 0.3 | 0.3 | 0.4 |
| 2. easyMarkets | 0.7 | 1.0 | 0.9 | 1.5 | 1.2 | 1.0 | 2.3 |
| 3. XM Group | 0.8 | 0.9 | 0.9 | 2.1 | 0.75 | 1.5 | 2.4 |
| 4. IG | 0.85 | 0.9 | 1.40 | 1.95 | 1.01 | 0.9 | 2.1 |
| 5. AvaTrade | 0.9 | 1.3 | 1.3 | 1.3 | 1.1 | 1.2 | 1.8 |
| 6. Axi | 1.2 | 1.4 | 1.2 | 1.5 | 1.3 | 1.1 | 1.4 |
| 7. Plus500 | 1.2 | 1.5 | 1.5 | 1.7 | 1.3 | 1.5 | 2 |
| 8. Oanda | 1.6 | 1.8 | 2.1 | 1.6 | 1.2 | 1.3 | 1.9 |
Account Types and Commissions
| Broker | Min Deposit | Account Types | Commission per Lot | Trustpilot Rating |
|---|---|---|---|---|
| 1. easyMarkets | $100 | Web/App VIP, Premium, and Standard; MT4 VIP, Premium, and Standard, MT5 | $0 | 4.5 |
| 2. AvaTrade | $100 | Retail, Professional, Islamic, MAM | $0 | 4.4 |
| 3. Axi | $0 | Standard, Elite, Professional, Demo, Islamic | $0 on Standard Account; $7 round trip on Pro Account | 4.3 |
| 4. Oanda | $0 ($25 for Trustly, Visa, Mastercard) | Standard account | $3.50 on Zero Accounts | 4.1 |
| 5. Plus500 | $100 | Demo Account; CFD Account; Invest Account, Pro Account, Islamic Account | $0 | 4.1 |
| 6. IG | $50 | Spread Betting Account, CFD Trading Account, Limited Risk Account, Islamic, Professional, Demo, Options and Share Dealing Accounts* | $0 | 3.7 |
| 7. Interactive Brokers | $0 | IBKR Lite, IBKR Pro | From 0.08 to 0.20 bps x trade size | 3.1 |
| 8. XM Group | $5 | Ultra Low Micro, Ultra Low Standard, XM Zero | $0 Ultra Low Micro and Ultra Low Standard Accounts; $3.50 per side XM Zero Account | 2.9 |
Located in East Asia, Japan is one of the world’s largest financial centers, with a thriving economy and a gross domestic product of US$5.51 trillion for 2019. The country is remarkable for its impressive rate of economic growth, driven by its aggressive export trading policies. Its free-market economy largely relies on the manufacturing and service sectors.
Japan is among the biggest exporters of steel, consumer electronics, and automobiles but lacks in natural resources such as fossil fuels and minerals. Arable land is scarce which causes the country to depend on imports for most of its food needs.
The Land of the Rising Sun, as the country is frequently called, is also home to the Tokyo Stock Exchange (TSE) whose operations date as far back as 1878. The TSE merged with the Osaka Stock Exchange at the beginning of 2013, creating one of the biggest stock exchanges in the world based on market capitalization.
The most important stock market index on the TSE is the Nikkei Stock Average (est. 1950). The latter is also known as the Nikkei 225 because it measures the performance of 225 of the largest publicly owned companies in the country across various sectors like retail, banking, securities, machinery, insurance, communications, mining, and manufacturing. Nikon, Yamaha, Toyota, Sony, Fuji, and Mitsubishi are among the biggest Japanese companies whose stocks are included in this index.
Japan’s capital Tokyo is one of the largest hubs for foreign exchange trading, along with New York, London, Shanghai, Hong Kong, Zürich, Frankfurt, and Chicago. The country uses the Japanese Yen (JPY, ¥), which is among the most traded currencies in the world together with the USD, EUR, GBP, AUD, CAD, and CHF.
As of April 2019, the JPY accounted for approximately 17% of the global Forex market turnover, ranking in third place for the period, surpassed only by the EUR and the USD. The Yen’s supply is controlled by the country’s central banking institution, the Bank of Japan.
The Forex sector is well-regulated in Japan and falls under the oversight of the Japanese Financial Services Agency (JFSA). Japanese-licensed brokerages are considered some of the safest to trade with due to the strict regulatory regime in the country.
Japan Forex Legislation
The country’s financial watchdog, the JFSA, does its best to restrict local traders from investing with brokers licensed in other jurisdictions. This is among the main reasons why many foreign trading companies looking to penetrate this thriving Forex market have decided to set up offices in the Land of the Rising Sun. However, before they can do that, they must receive authorization from the local financial regulator.
Many of the rules outlined by the JFSA were influenced by the events of January 2015, when the Swiss National Bank (SNB) unexpectedly decided to scrape off the peg for the EUR/CHF pair, provoking panic and chaos on the global financial market.
As a result of the rapid jump in the value of the CHF, many brokerages went out of business overnight and were unable to return their customers’ money. The balances of traders worldwide went severely in the negative due to the huge leverage offered for some products (up to the impressive 500:1 in some cases). Many people were afraid their brokerages would insist on them to restore the money so they can cover the massive losses.
These events caused financial regulators worldwide, including the Japanese one, to introduce restrictions on the maximum leverage retail customers can use. Many adopted negative balance protection policies to prevent retail traders from losing more than what they have in their accounts. Unfortunately, Japan is yet to introduce negative balance protection for local retail customers.
Locally authorized brokerage companies must comply with certain leverage restrictions. Leverage in Japan was reduced on two occasions. The first change occurred shortly after the Great Financial Crisis of 2008. It was then that the JFSA decided to cut the maximum leverage threshold to 50:1.
The financial regulator then decided to make further reductions in this respect to help mitigate the volatility associated with currency swings. Leverage was further reduced to 25:1, which is the lowest such ratio in the entire world.
All locally regulated brokers must comply with this reduction when servicing Japanese retail customers who trade the Forex markets with margin. The only entity that is exempt from the limitations is the Tokyo Financial Exchange (TFX) where futures are traded, the reason being it does not deal in over-the-counter (OTC) products.
In 2017, the Japanese regulator considered another jab at the local Forex industry and announced plans to further reduce the cap on leverage from 25:1 to 10:1. However, these plans were ditched in May the following year due to vehement opposition on behalf of traders and Forex trading operators alike.
Nevertheless, locally licensed brokers that offer margin trading are expected to undergo stress tests to make sure they have sufficient capital to withstand unexpected price movements like those that happened in 2015.
Forex traders who use leverage have nothing to worry about for the time being but the same cannot be said about those who trade cryptocurrencies on margin. In January 2020, the JFSA proposed a new measure that aims at cutting the leverage cap for cryptocurrency margin trading from the current rate of 4:1 to 2:1. The regulator plans to enforce the measure in April of the same year.
Japan Financial Regulators
The Forex trading sector in Japan falls under the vigilant regulations of the Japanese overseer the Financial Services Agency (JFSA). This strict watchdog was established in the early 2000s and accounts directly to the Japanese Ministry of Finance.
The headquarters of the JFSA is located in the country’s capital Tokyo, one of the largest foreign exchange trading hubs in the world and the home of the Tokyo Stock Exchange or Tōshō. The JFSA is tasked with several major responsibilities pertaining to the Japanese financial sector.
Among those are issuing licenses to commercial banks based in the country, Forex brokerages, and insurance companies, ensuring a healthy national economy, protecting investors’ interests, and controlling Japan’s securities markets.
The watchdog performs regular audits on the financial companies it oversees and closely monitors their activities. It handles complaints on behalf of investors and actively partakes in their resolution. Locally authorized financial companies that fail to comply with the regulator’s requirements are penalized. In some instances, violating brokerage firms even have their accounts blocked by the JFSA.
The Japanese regulatory body is tailored after Great Britain’s governing regulator, the Financial Conduct Authority (FCA). All Forex brokerages looking to conduct trading activities in the country must apply for licenses from the JFSA and supply all the necessary documents for verification.
The regulator prohibits its licensees from offering scalping and hedging to local customers. Japanese traders are also restricted from claiming welcome bonuses. This, along with the low cap on maximum leverage, is among the main reasons why some local Forex traders seek the services of offshore-licensed brokerages.
Japan Forex Payment Methods
All Japan brokers give local customers the option to practice with demo accounts. We believe this is the best course of action for Japanese traders who are just wading into the vast world of Forex trading.
Another benefit of opening a demo account is that it enables you to test new trading strategies without exposing any real money to risk. This way, you can also test the platform of the brokerage to determine whether it appeals to you or not.
Those who already have significant experience would probably want to skip the demo and open live accounts so they can make real-money investments on the Forex markets. Luckily, Japan-friendly brokerages work with a range of globally and locally available methods Japanese customers can use to fund their real-money balance.
The debit/credit card remains the leading payment method in the country and accounts for around 71% of all transactions. Local banks issued an impressive 278 million credit cards in 2017.
The good news is brokers commonly accept payments with Maestro, Visa, and Mastercard, although some would also support cards issued by the local brand JCB. This company has more than 82 million card carriers across 190 countries worldwide. American Express is another option, albeit a less popular one.
Many brokers with a strong presence on the Asian markets provide the option to deposit with cards by the Chinese company UnionPay. You can apply for UnionPay cards at the Japanese Mitsui Sumitomo Bank, which has received authorization to issue them.
The other broadly available payment options are the bank transfer and the e-wallet. The former can hardly be described as time-efficient since deposits take a couple of business days. Waiting times for withdrawals via standard bank transfers are even longer, around three to five business days.
Many traders from Japan prefer to use e-wallets because they allow for faster and anonymous transactions. Neteller, PayPal, and ecoPayz are among the three most common e-wallet options. Skrill is unavailable in Japan. The UK-based payment services provider decided to exit the Japanese market in October 2016.
Popular Trading Software in Japan
Since the Japanese government does everything within its means to prevent local traders from accessing unauthorized foreign brokers, most licensed Forex companies choose to develop their platforms in-house.
This is due to the fact many turnkey trading platforms developed in foreign jurisdictions do not cover the requirements laid out by the JFSA. Of course, each proprietary platform has its own peculiarities in terms of features. You should test such platforms in demo mode to get a good feel of how they function.
Still, many brokers that service the Japanese Forex market continue to use a third-party software, with the most broadly available option being the MetaQuotes’ MetaTrader 4 (MT4). This one is geared toward the needs of Forex traders in particular.
It appeals to traders worldwide because of its easy-to-use layout. There are tons of handy functionalities that allow for in-depth analysis of discernible market trends, including 30 technical indicators.
Seasoned traders from Japan who want to diversify their portfolios often have the chance to install the more advanced version of this software, the MetaTrader 5 (MT5). It enables them to trade futures, bonds, options, and stocks in addition to spot Forex.
This version is also richer in terms of features and analysis tools. It has 21 timeframes, 38 indicators, and over 40 graphical objects plus 3 types of charts – candlesticks, bars, and lines. Both MetaQuotes platforms have dedicated mobile applications, available in the Japanese language.
Few Japan-friendly brokers use the less popular platform ActTrader. This feature-rich desktop software was designed by a development company called ActForex in the proprietary language ActFX. The software is fully customizable.
One of its biggest claims to fame is that it allows traders to pull price data into other programs such as Microsoft Excel. The other useful features of ActTrader include automated and single-click trading, mobile compatibility, and tools for advanced trading analysis.
Mobile Trading in Japan
Japan has a very well-developed technology sector so it only makes sense portable devices have become ubiquitous in the Land of the Rising Sun. There is a rich mobile-phone culture in the country where such devices are called “kentai denwa” by the locals.
The number of smartphone users in the country was quite impressive at 72.5 million in 2019 but is expected to rise even further in the years to follow. Forecasts suggest that as many as 76.3 million Japanese people would own a smartphone by 2022.
The Japanese use their mobile devices for all kinds of activities, from gaming and browsing to making purchases and, of course, trading on the foreign exchange markets. We previously mentioned that most trading platforms are fully compatible with portable devices. You will experience no difficulties in finding a reliable Forex app if you live in Japan.
The MetaQuotes platforms MT4 and MT5 are most broadly used for trading on the fly. You can get them at no cost either from the App Store or Google Play, depending on what type of portable device you own.
Having said that, many reputable Forex brokers that operate on the Japanese market have designed their own native applications, with performance and features varying between different apps.
Using one such app is a great idea if you want non-stop access to the latest market prices. You will have real-time quotes at a glance so you can react and take advantage of favorable price movements.
The apps are usually available in Japanese as well so language is not a barrier. Apart from trading, most of them are equipped with extra tools for market analysis, charts, and educational materials.