OTC Forex Brokers

  1. What are OTC Brokers?
  2. Best OTC Trading Brokers
  3. What Broker to use for OTC Stocks?
  4. Which broker trade OTC Stocks in extending hours?
  5. OTC Brokers List

What is OTC Broker?

OTC Forex Brokers operate Over-the-Counter and are among the most common trading service providers. The execution model means that deals are conducted via the counter while the broker acts as a market maker broker for bid and ask prices when the client requests the order. The trading is made between two parties without the supervision of exchange, while stocks are passed via a dealer network.

OTC Brokers allow traders to trade small company stocks that do not meet requirements to be listed on a standard market exchange such as the NYSE, but they may still be subject to regulations. For more information read OTC Wikipedia article.

💰 SpreadFixed Spread typically from 1 pip or Variable Spread from 0.6 pip
📊 CommissionNo / Yes (Depending on instrument)
🔒 RejectionNo
📈 StrategiesNo Restrictions

What is OTC Platform?

OTC Platform means a trading platform provided by a broker that operates via OTC execution type, meaning that it operates as a market maker broker taking the opposite side of a trade without third-party interference.

Here we listed some points related to OTC trading before you consider choosing an OTC broker. We also came up with the advantages and disadvantages of OTC trading:

  • Some instruments can be traded only by OTC models, Stocks are usually traded on OTC since the majority of trading brokers can’t get into the official exchange listing due to the Stocks requirements with high capitalization.
  • The trading cost in OTC condition is a defined mark-up – the spread, most commonly fixed spread (Also check the list of fixed spread forex brokers), depending on the instrument commission might be the applicant (typically for Stocks trading).
  • The advances of OTC providers are their usual bonuses for deposits along with more smooth quotes at volatile conditions, compared to the STP brokers or NDD brokers, which is a great advantage to various trading strategies.
  • Among the OTC disadvantages are less transparency and regulation of this type of exchange, since trading is decentralized and done through improvements in the electronic quotation provided by the OTC broker. However, in order to have reliable trading, OTC Brokers should be sharply regulated by the industry authorities, as this is the only factor that controls brokerage at all times of its operation.
OTC Trading AdvantagesOTC Trading Disadvantages
Fixed SpreadsThe conflict of interests may appear
Can offer guaranteed stop-losses, zero negative balances and fixed spreadsLack of Transparency
Ability to invest in comoanies that are not listed on exchange Slightly more expensive costs for fixed spread
A continuous price position during trading hours
All deals are conducted with a single party

Top 5 Best OTC Trading Brokers

We made a list of the Best selected Brokers in the category of OTC Brokers that consist of only Regulated Brokers with good conditions and transparency based on our thorough research and expert findings:

What Broker to use for OTC Stocks?

Firstly you should select the Best Forex Broker among the regulated ones depending on availability based on your residency, then see suitable trading conditions, and availability of the Stock or Shares instrument or platform you look for. One of Brokers as OANDA and InteractiveBrokers.

Which broker trade OTC Stocks in extending hours?

There are some Brokers that offer trade Stocks OTC extended hours, as one of the example check Fidelity for US Stock OTC Trading.

What are the best Bitcoin OTC Brokers?

There are no precise instructions on how to choose the best OCT broker for Cryptocurrency trading, you should choose the right broker for you based on your needs after examining the brokers’ offerings. Most important the broker should be highly regulated for money safety.

List of OTC Forex Platforms

Here we created a more extended list of highly regulated brokers offering OTC Trading with great conditions and favorable services:

Broker Detail
HFM
Min. Deposit: 5 US$
Max. Leverage: 1:30 | 1:1000
Trading Platforms: MT4, MT5
Regulation: CySEC, FCA, DFSA, FSCA, FSA, CMA
1
HFM Review
BlackBull Markets logo BlackBull Markets
Min. Deposit: 0 US$
Max. Leverage: 1:500
Trading Platforms: MT4, MT5
Regulation: FMA, FSA
2
BlackBull Markets Review
FPM logo FP Markets
Min. Deposit: 100 US$
Max. Leverage: 1:30
Trading Platforms: IRESS, MT4, MT5
Regulation: ASIC, CySEC, St. Vincent and the Grenadines
3
FP Markets Review
Pepperstone Review Pepperstone
Min. Deposit: 200 US$
Max. Leverage: 1:30 to 1:400
Trading Platforms: MT4, MT5, cTrader, TradingView
Regulation: ASIC, FCA, DFSA, SCB, CMA, CySEC, BaFIN
4
Pepperstone Review
BDSwiss Review BDSwiss
Min. Deposit: 100 US$
Max. Leverage: 1:500
Trading Platforms: MT4, MT5, BDSwiss Webtrader and App
Regulation: FSC, FSA
5
BDSwiss Review
Axiory
Min. Deposit: 10 US$
Max. Leverage: 1:777
Trading Platforms: MT4, MT5, cTrader
Regulation: FSC
Axiory Review
FBS
Min. Deposit: 1 USD
Max. Leverage: 1:3000
Trading Platforms: MT4, MT5, FBS trader
Regulation: CySEC, FSC, FSCA, ASIC
FBS Review
Eightcap
Min. Deposit: 100 US$
Max. Leverage: 1:500
Trading Platforms: MT4, MT5, TradingView
Regulation: ASIC, SCB
Eightcap Review
Orbex Review Orbex
Min. Deposit: US$100
Max. Leverage: 1:500
Trading Platforms: MT4
Regulation: MFSC
Orbex Review
FXCC Review FXCC
Min. Deposit: No minimum deposit
Max. Leverage: 1:30 | 1:500
Trading Platforms: MT4
Regulation: CySEC, SVG FSA
FXCC Review