The Best Forex Brokers in Vietnam of 2020
Finding the best forex brokers in Vietnam is slightly more challenging than in other Asian countries. This is because, unfortunately, the State Bank of Vietnam (SBV) banned floor foreign exchange trading in 2014. Luckily, however, there’s still a wealth of great forex opportunities available to you.
Although the SBV’s decision means there are no forex brokers registered in Vietnam, our experts have created a list of the best international, forex brokers that welcome Vietnamese traders. With these brokers, you can trade legally and securely.
To find the very best forex brokers in Vietnam, our experts have reviewed hundreds of sites looking out for specific features. This includes regulation from other top Asian authorities, such as ASIC and MAS, Vietnamese language options and localized customer support.
Use the table below to pick the best brokers for Vietnam forex traders, or continue reading to learn more about:
- The legal situation surrounding forex trading in Vietnam
- The benefits of using an offshore broker
- How to open a forex account as a Vietnamese trader
Our list of the best forex brokers in Vietnam are:
- AVA Trade
- Plus 500
- IQ Option
Top Vietnamese forex brokers September 2020
Is forex trading legal in Vietnam?
The short answer is yes, but it is a little bit complicated.
Although it is illegal to set up a forex brokerage in Vietnam and to trade with a forex broker based in Vietnam, there are currently no laws or regulations around clients using offshore brokers. This means you can trade safely in Vietnam by using a major global forex broker.
Why did Vietnam ban forex trading?
The ban on forex trading in Vietnam was brought in to control the exchange rate of the Vietnamese dong. The Vietnamese dong has historically been plagued by inflation and so, as forex trading affects the value of a currency, the State Bank of Vietnam decided to prohibit the practice.
Fortunately, the SBV did not restrict trading with reputable offshore forex brokers. With these brokers, you still cannot trade the Vietnamese dong, but you will have access to exciting trading opportunities.
How is forex trading regulated in Vietnam?
The State Bank of Vietnam is the main financial regulatory body in the country. It is classed as a ministerial agency of the government and performs several functions, including:
- Managing monetary and banking activities, including foreign exchange
- Issuing money
- Acting as the bank of credit institutions
- Providing monetary services for the government
- Managing public services under the jurisdiction of the SBV
The SBV claims that its operations are aimed at stabilizing the value of the Vietnamese dong, ensuring the safety of banking operations and credit institutions, ensuring the safety and efficiency of the national payment system, and contributing to the country’s socio-economic development.
Trading with an offshore forex broker in Vietnam
To trade safely and successfully in Vietnam, you’ll first need to register with an offshore forex broker. Whilst being able to trade with international brands gives you a wealth of forex brokers to choose from, it’s important to remember that they were not all created equally.
The best forex brokers offering their services in Vietnam boast licenses from respected authorities, such as the Monetary Authority of Singapore (MAS), the Australian Securities and Investment Commission (ASIC), the UK Financial Conduct Authority (FCA), or the Cyprus Securities and Exchange Commission (CySEC).
As a Vietnamese trader, however, you will usually be trading with the global arm of a forex broker. These branches are often regulated by alternative authorities, such as the St. Vincent & the Grenadines Financial Services Authority (SVG FSA) or the International Financial Services Commission (IFSC) of Belize. Generally, these smaller regulatory bodies aren’t as well respected as the likes of ASIC, CySEC and the FCA. However, so long as a broker has both a top tier license and a secondary license for offshore traders, you’ll be perfectly safe.
If you are concerned about using an offshore broker, our advice would be to only trade with one of the brokers listed on this page. All of the firms on our list of best Vietnam forex brokers are well-known, reputable, and highly regulated. Sign up with any of these firms for a great Vietnam forex trading experience.
The benefits of trading with an offshore broker in Vietnam
The biggest benefit of choosing an offshore broker is that you’ll be able to trade forex in Vietnam. As the SBV deems forex trading illegal, you won’t be able to find a Vietnamese forex broker to work with. Trading with offshore forex brokers is your best, legitimate option.
Some other benefits of working with offshore forex brokers include:
- Safety – Offshore brokers are bolstered by globally respected licenses. Many offshore brokers have also been operating for decades, serving millions of clients across the world. This gives you peace of mind, as you can rest assured that they aren’t going to disappear with your money.
- Competitive spreads – Large offshore forex brokers must offer fair fees and attractive spreads to compete effectively.
- Attractive bonuses – To stand out in the global marketplace, many offshore brokers offer great bonuses to new and loyal customers. While restrictions apply, it’s still a great way for you to get a little extra cash to trade with that will help you maximize your profits.
How we find the best forex brokers for Vietnamese traders
As a trader in Vietnam, finding a forex broker can be a challenge. The good news is that we’ve done all the hard work for you. We’ve reviewed hundreds of firms to find the best Vietnam forex brokers for you.
We evaluated each broker using our proprietary, highly strict methodology that we developed based on our many years of professional trading experience. Our process includes evaluating and testing each firm using over 200 points spread out over 10 key categories, ranging from licensing and reputation to payment methods and security.
When looking for the best Vietnam forex brokers, our forex broker review team also considers various features important to you as a Vietnamese trader, such as:
- Regulation – We only recommend brokers to Vietnam forex traders that are regulated by highly reputable authorities. This ensures that you are safe at all times when trading forex in Vietnam.
- Localized payment methods – We understand that you may be hesitant to fund your trading account from your Vietnamese bank, given the murky legal situation in Vietnam. For this reason, we recommend forex brokers that offer alternative payment methods, such as Neteller, Skrill, and even Bitcoin. These payment methods will allow you to keep your forex trading earnings separate from your regular bank account. Our best Vietnam forex brokers also provide localized payment methods, including Mobiamo, VTC Pay and Mint.
- Islamic accounts – If you are a Muslim Vietnam forex trader, you don’t have to worry. We ensure that all the firms on our best Vietnam forex brokers list offer Islamic accounts that are 100% compliant with Shariah law.
- Good spreads on important currency pairs for Vietnamese traders – As the Vietnamese dong is a non-deliverable forward (NDF) currency which cannot be traded on the forex market, many Vietnamese traders turn to USD-based currency pairs. All the forex brokers we recommend offer highly competitive spreads on such currency pairs, including popular majors such as EUR/USD, GBP/USD, and USD/JPY, and exotic pairs such as the USD/CNY, the USD/KRW, and the USD/SGD.
- Customer service and websites in Vietnamese – All of our best Vietnam forex brokers offer Vietnamese language websites and customer support in Vietnamese too. This ensures that you can fully understand your account details and terms and conditions, and you’ll also have access to help when you need it.
What you will need to trade forex in Vietnam
Opening a forex account as a Vietnamese trader will differ based on the offshore broker you decide to work with. Some forex brokers will only require basic personal information, such as your name, address, email, phone number, date of birth, and nationality.
Other brokers might require additional information, such as the name and address of your employer, what your net worth is, how much money you earn, and so on. You might also have to answer a series of questions that will allow the broker to determine your level of experience and expertise with forex trading.
Usually, you’ll also need to provide a copy of a government-issued ID or passport as proof of identity, and a utility bill as proof of address. Once this is complete, your account will be verified, and you will be able to trade forex in Vietnam to your heart’s content.
Islamic accounts for Vietnamese forex traders
Cham Muslims and Vietnamese Muslims for other minority groups may be concerned about whether or not their trading activity is Sharia-compliant. Luckily, you needn’t worry, as there are plenty of trusted global brokers offering Islamic accounts.
Islamic accounts do not:
- Charge swap or rollover fees, or pay out interest on your margin deposit
- Hold transactions. All currencies are transferred immediately, and all costs are paid off at the same time
When looking for an Islamic account to trade forex in Vietnam, however, you need to be extra cautious. Many forex brokers advertise that they offer Islamic accounts yet, when you dig a little deeper, you’ll find that not all these accounts are 100% compliant with Shariah law.
For example, some brokers only offer the swap-free condition for a limited time, such as up to 14 business days. Others claim not to charge swaps but then work them in as commissions or hide them among other fees, which is not in line with Shariah law.
To help you to avoid brokers like these, our list of the best Vietnam forex brokers only includes those that offer 100% compliant Islamic accounts. To request an Islamic account with any of our recommended brokers, you’ll simply need to register as normal and then contact customer services.