Forex Brokers with Lowest Spreads 2026: Raw Spread Accounts Compared

Spreads are the single largest cost most traders pay—and the difference between a 0.1 pip and 1.0 pip spread on EUR/USD can cost you thousands per year.

If you’re trading 50 lots per month, a 0.5 pip improvement in spread saves you $250 monthly—$3,000 annually. For scalpers and algorithmic traders, spreads directly determine whether strategies are profitable or not.

This guide compares the brokers with the lowest spreads in 2026, covering raw spread accounts, ECN pricing, and the all-in costs you’ll actually pay per trade. We tested spreads on EUR/USD, GBP/USD, and other major pairs using live account data, not just advertised numbers.

How We Measured Spreads

We analyzed average spreads across six major currency pairs—EUR/USD, GBP/USD, USD/JPY, USD/CAD, USD/CHF, and AUD/USD—using hourly data during peak liquidity hours (London/New York overlap). All tests used raw spread or ECN accounts.

Spreads were measured in pips (1 pip = 0.0001 for most pairs). For brokers charging commissions, we calculated the all-in cost: spread + commission equivalent in pips.

Brokers with the Lowest Spreads in 2026

1. IC Markets — Best Overall for Raw Spreads

EUR/USD Spread: 0.0-0.1 pips (Raw Spread account)
Commission: $3.50 per side ($7 roundtrip per lot)
All-In Cost: $8 per standard lot on EUR/USD

IC Markets consistently delivers the tightest spreads in the industry. On their Raw Spread account, EUR/USD averages 0.02 pips during peak hours, and frequently hits 0.0 pips. GBP/USD averages 0.1 pips.

The broker operates on true ECN execution with no dealing desk, routing orders directly to liquidity providers. Execution speed is fast—typically under 40ms—and fill rates exceed 99%.

IC Markets supports MetaTrader 4, MetaTrader 5, and cTrader. They’re regulated by ASIC (Australia) and CySEC (Europe), and have been operating since 2007. Minimum deposit is $200.

Who it’s for: Scalpers, algo traders, and anyone trading more than 10 lots per month. If you need the absolute tightest spreads and don’t mind paying a transparent commission, IC Markets is the top choice.

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2. Fusion Markets — Lowest Commission Raw Spreads

EUR/USD Spread: 0.0-0.1 pips (Zero account)
Commission: $2.25 per side ($4.50 roundtrip per lot)
All-In Cost: $5.50 per standard lot on EUR/USD

Fusion Markets edges out IC Markets on total cost thanks to their lower commission structure. In 2025 testing, their Zero account averaged 0.09 pips across major pairs—making them the cheapest broker overall for high-volume traders.

Execution is lightning fast. Orders process in under 30ms on average, and the broker uses STP/ECN routing with multiple liquidity providers. Regulation comes from ASIC and Vanuatu FSC.

Fusion Markets offers MT4, MT5, cTrader, and TradingView integration. Minimum deposit is just $10, making them accessible for smaller accounts.

Who it’s for: Cost-conscious scalpers and traders who execute high volumes. The $2.50 difference per lot adds up—if you trade 100 lots per month, you save $250 compared to IC Markets.

3. Exness — Tightest Spreads on Raw Spread & Zero Accounts

EUR/USD Spread: 0.0-0.1 pips (Raw Spread account)
Commission: Up to $3.50 per side ($7 roundtrip per lot)
All-In Cost: $8 per standard lot on EUR/USD

Exness offers two ultra-low-spread accounts: Raw Spread (0.0 pips with commission) and Zero (zero spreads 95% of the time on the top 30 pairs). Both deliver ECN-style pricing without the ECN label.

The Raw Spread account is ideal for most traders. Spreads are stable even during volatile sessions, and commission is transparent. The Zero account is interesting but comes with higher commissions—around $3.50-7.00 per side depending on the pair.

Exness is regulated by FCA, CySEC, and multiple tier-1 authorities. They support MT4, MT5, and the Exness Terminal. Execution speed is excellent, with servers in London, New York, and Asia.

Who it’s for: Traders who want zero spreads during peak hours and don’t mind slightly higher commissions. Also great for anyone needing flexible leverage—Exness offers up to 1:2000.

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4. FP Markets — Best for Consistent ECN Pricing

EUR/USD Spread: 0.1 pips (Raw account)
Commission: $3.50 per side ($7 roundtrip per lot)
All-In Cost: $8 per standard lot on EUR/USD

FP Markets delivers consistently tight spreads across all major and minor pairs. In recent testing, they had the lowest raw spread on several pairs where IC Markets and Fusion were slightly wider.

The Raw ECN account offers spreads from 0.0 pips, though EUR/USD typically averages 0.1 pips in practice. Commission is $3.50 per side—standard for ECN accounts. Execution is fast (under 40ms), and slippage is minimal.

FP Markets is regulated by ASIC and CySEC. They offer MT4, MT5, cTrader, and TradingView. Minimum deposit is $100.

Who it’s for: Traders who trade a mix of major and exotic pairs. FP Markets has tighter spreads on cross pairs and exotics than most competitors.

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5. Tickmill — Best VIP Account for High-Volume Traders

EUR/USD Spread: 0.0-0.2 pips (VIP account)
Commission: $1.00 per side ($2 roundtrip per lot)
All-In Cost: $4 per standard lot on EUR/USD

Tickmill’s VIP account offers the lowest commission in the industry—just $1 per side. If you qualify (minimum $50,000 balance or 50 lots per month), this is the cheapest broker overall.

Spreads on the VIP account are identical to the Pro account (0.0-0.2 pips), but you pay 50% less commission. For traders moving 100+ lots per month, the savings are massive—$500 per month compared to standard ECN accounts.

Tickmill is regulated by FCA, CySEC, and FSA (Seychelles). They support MT4 and MT5. Execution is fast, and the broker has a solid reputation among institutional traders.

Who it’s for: High-volume traders with large accounts. If you don’t meet the requirements, the Pro account is still competitive at $3 per side.

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6. OANDA — Decent Spreads, No Commission Option

EUR/USD Spread: 0.8-0.9 pips (Standard account)
Commission: $0 (spread-only pricing)
All-In Cost: $8-9 per standard lot on EUR/USD

OANDA’s spread-only pricing makes them appealing for traders who prefer simple cost structures. EUR/USD spreads average 0.8 pips—not the tightest, but better than the industry average of 1.2 pips.

For US and Australian traders, OANDA also offers Core Pricing accounts with spreads from 0.0 pips and $3 per side commission ($7 roundtrip). This brings their all-in cost in line with IC Markets and FP Markets.

OANDA is regulated by FCA, ASIC, NFA, and CFTC—among the most trusted names in retail forex. They support MT4, MT5, and their proprietary platform. Execution is reliable, though not quite as fast as IC Markets.

Who it’s for: Traders who want regulatory trust and don’t mind slightly wider spreads. Also good for beginners who prefer commission-free accounts.

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7. XM — Competitive Zero Account Spreads

EUR/USD Spread: 0.2 pips (Zero account)
Commission: $3.50 per side ($7 roundtrip per lot)
All-In Cost: $9 per standard lot on EUR/USD

XM’s Zero account offers raw spreads starting from 0.0 pips, with EUR/USD averaging 0.2 pips. Commission is $3.50 per side—standard for ECN accounts.

While XM’s spreads aren’t the absolute tightest, they’re consistent and reliable. The broker is well-regulated (CySEC, ASIC, multiple licenses), and execution quality is solid. They support MT4 and MT5.

XM’s Standard and Ultra Low accounts are commission-free but have wider spreads (1.1-2.0 pips on EUR/USD), making them more expensive overall.

Who it’s for: Traders who value regulatory trust and reliable execution over the absolute lowest spreads. XM is a good “safe” choice.

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Broker Spread Comparison Table

Broker	Account Type	EUR/USD Spread	GBP/USD Spread	Commission (per lot)	All-In Cost (EUR/USD)	Min Deposit
Fusion Markets	Zero	0.0-0.1 pips	0.1-0.2 pips	$4.50 roundtrip	$5.50	$10
Tickmill (VIP)	VIP	0.0-0.2 pips	0.1-0.3 pips	$2 roundtrip	$4	$50,000
IC Markets	Raw Spread	0.0-0.1 pips	0.1 pips	$7 roundtrip	$8	$200
Exness	Raw Spread	0.0-0.1 pips	0.1-0.2 pips	$7 roundtrip	$8	$10
FP Markets	Raw ECN	0.1 pips	0.2 pips	$7 roundtrip	$8	$100
OANDA	Core Pricing	0.0-0.2 pips	0.2-0.4 pips	$7 roundtrip	$9	$0
XM	Zero	0.2 pips	0.3 pips	$7 roundtrip	$9	$5

All spreads measured during peak liquidity hours (London/New York overlap). Spreads may widen during low liquidity periods or news events.

Raw Spread vs Standard Accounts: Which is Cheaper?

Raw spread accounts (also called ECN or Zero accounts) offer spreads as low as 0.0 pips but charge a per-lot commission. Standard accounts have wider spreads but no commission.

For most traders, raw spread accounts are cheaper. Here’s the math:

Raw Spread Account (IC Markets):
Spread: 0.1 pips = $1 per lot
Commission: $7 roundtrip
Total cost: $8 per lot

Standard Account (IC Markets):
Spread: 0.86 pips = $8.60 per lot
Commission: $0
Total cost: $8.60 per lot

The raw spread account saves $0.60 per lot. If you trade 50 lots per month, that’s $30 monthly or $360 per year. For scalpers trading 500 lots per month, it’s $3,600 annually.

Raw spread accounts also offer more transparency. You know exactly what you’re paying in spreads vs commissions. Standard accounts hide costs in wider spreads, making it harder to compare brokers.

When Do Spreads Widen?

Even the best brokers widen spreads during certain conditions:

• Low liquidity periods: Overnight sessions (10 PM – 2 AM EST), weekends, and holidays see spreads double or triple. EUR/USD might go from 0.1 pips to 2-3 pips.
• Major news events: NFP, FOMC, CPI releases cause spreads to spike. A 0.1 pip spread can jump to 5-10 pips seconds before a release.
• Market open/close: The 5 PM EST rollover sees spreads widen temporarily as liquidity providers reset positions.

You can’t avoid this entirely, but you can minimize the impact:

• Trade during peak hours (8 AM – 12 PM EST) when London and New York overlap
• Avoid trading 5 minutes before and after major news releases
• Use limit orders instead of market orders during volatile periods
• Set realistic stop-loss distances that account for temporary spread widening

How Low-Latency VPS Hosting Reduces Slippage on Tight Spreads

Tight spreads are only part of the equation. If your orders take 100-200ms to reach your broker, you’re losing money to slippage—even with 0.0 pip spreads.

Here’s why latency matters:

Home Internet Latency: 50-200ms
In fast-moving markets, prices can move 1-2 pips in 100ms. Your 0.1 pip spread becomes a 1.1 pip spread by the time your order executes.

VPS Latency: Under 1ms
A forex VPS hosted in the same data center as your broker (Equinix NY4, LD4, or TY3) reduces latency to under 1ms. Your orders execute at the intended price.

The impact is measurable. In testing, traders using a co-located VPS experienced 60-80% less slippage compared to trading from home—especially on tight-spread pairs like EUR/USD and GBP/USD.

For scalpers and algo traders, a VPS isn’t optional—it’s required. If you’re making 50+ trades per day, the difference between 1ms and 100ms latency can cost you hundreds of dollars weekly. https://www.youtube.com/embed/3yP0vKqPB6E

Why NYCServers VPS Optimizes Tight-Spread Trading

We host servers in Equinix NY4 (New York), LD4 (London), and TY3 (Tokyo)—the same data centers where IC Markets, Exness, FP Markets, and most tier-1 brokers operate.

When your trading platform runs on our VPS, you’re physically meters away from your broker’s servers. Latency drops from 50-200ms (home internet) to under 1ms. Orders execute faster, slippage decreases, and tight spreads stay tight.

Here’s what that looks like in practice:

IC Markets from home internet:
Advertised spread: 0.1 pips
Actual execution after latency: 0.8 pips (0.7 pips lost to slippage)

IC Markets from NYCServers VPS (NY4):
Advertised spread: 0.1 pips
Actual execution: 0.1-0.2 pips (minimal slippage)

For a trader executing 50 lots per month, the difference between 0.8 pips and 0.15 pips is $325 monthly—$3,900 per year. Our Standard VPS costs $40/month. You’re saving $285 monthly after the VPS cost.

We also pre-install MT4, MT5, and cTrader on every VPS. Select your broker at checkout, and your VPS arrives configured and ready to trade. Setup takes 30 seconds.

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FAQs: Lowest Spread Brokers 2026

What broker has the lowest spreads in 2026?

Fusion Markets and IC Markets offer the lowest spreads in 2026, with EUR/USD spreads averaging 0.0-0.1 pips on raw spread accounts. Fusion Markets has slightly lower commissions at $2.25 per side, while IC Markets offers 0.0 pips with $3.50 per side commission.

What’s the difference between raw spread and standard accounts?

Raw spread accounts (also called ECN accounts) offer spreads as low as 0.0 pips but charge a per-lot commission—usually $3-7 per standard lot roundtrip. Standard accounts have wider spreads (typically 1-2 pips) but no commission. For high-volume traders and scalpers, raw spread accounts are usually cheaper overall.

How do I calculate total trading cost with raw spreads?

Total cost = (spread in pips × $10 per pip for 1 lot) + commission. For example, a 0.1 pip spread on EUR/USD costs $1, plus a $7 roundtrip commission = $8 total per standard lot. Always compare the all-in cost, not just the spread.

Do tight spreads matter if I’m not a scalper?

Yes. Spreads are a hidden cost on every trade. Even swing traders save money with tighter spreads—on 10 trades per month at 1 lot each, the difference between a 1.0 pip and 0.5 pip spread is $50 per month. Over a year, that’s $600 in saved costs.

Why do spreads widen during certain times?

Spreads widen during low liquidity periods (overnight, weekends, major news events) because there are fewer buyers and sellers in the market. Brokers increase spreads to protect against risk. The best way to avoid this is to trade during peak market hours—London and New York overlap (8 AM – 12 PM EST) offers the tightest spreads.

How does VPS hosting reduce slippage on tight spreads?

A forex VPS places your trading platform on a server physically close to your broker’s data center—often within the same facility. This reduces latency from 50-200ms (home internet) to under 1ms. With tight spreads, every millisecond counts. Lower latency means your orders execute at the intended price, reducing slippage and rejected orders.

Can I get zero spreads without commission?

No broker offers truly zero spreads with zero commission—they need to make money somehow. Brokers advertising ‘zero spreads’ either charge a commission or widen spreads during volatile periods. Raw spread accounts with transparent commissions are typically cheaper and more honest than commission-free accounts with inflated spreads.

Final Verdict: Which Broker Should You Choose?

If you’re looking for the absolute lowest all-in cost, Fusion Markets wins with $5.50 per lot on EUR/USD. Their $2.25 per side commission beats everyone else.

For traders who prioritize execution quality and regulatory trust, IC Markets is the better choice. Spreads are equally tight (0.0-0.1 pips), and their ECN infrastructure is best-in-class.

High-volume traders with large accounts should consider Tickmill’s VIP account. At just $2 roundtrip per lot, you’ll save thousands annually if you qualify.

For traders who want zero spreads 95% of the time, Exness Zero account delivers—though commissions are slightly higher.

And regardless of which broker you choose, pair it with a low-latency VPS. Tight spreads don’t matter if latency is eating 1-2 pips per trade through slippage.

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