Best CFD Brokers in Malaysia for 2025

TOP 5 Comparison

In order to choose the Best CFD Brokers in Malaysia in 2025, TU analysts chose 5 best brokers in this country. In the table below, you can see a basic comparison of these companies. Experts selected only the most reliable brokers that are popular among traders in Malaysia.

TU Expert Review for the best CFD Brokers in Malaysia

Anton joined Traders Union as a financial expert and analyst in 2013. He performs comprehensive internal testing of brokers as a trader. Essentially, Anton “test drives” brokers: he checks the operation of the website and user account, the speed and effectiveness of customer support team, stability of the software, deposit and withdrawal processing times, legal documents of companies and also all additional services (VPS, affiliate programs, contests, bonuses, educational programs, etc.). Based on the results of his “inspections”, he prepares expert conclusions about the operation of brokerage companies in the Forex, stock and binary option markets and also of the cryptocurrency exchanges.

His opinion as for the best CFD Brokers in Malaysia is posted below.

XM Group - TU Expert Review

XM Broker can be safely recommended to those who are interested in professional trading with high order processing speed and optimal level of commission. The first thing worth noting is that it has licenses of four leading regulators in the world simultaneously. These are FSC (Mauritius), FSC (Belize, 000261/397), CySEC (Cyprus, 120/10), FSA (Seychelles). The second moment is the types of accounts. The broker guarantees the same quality of execution for all types of accounts, which means a minimum of requotes, slippages and instant overlap of orders with counterparty counter transactions. The level of leverage complies with the European standards (including the MiFID directive that all CySEC licensees work in accordance with). There is an average market spread. The maximum leverage for clients registered under the EU regulated entity of the XM Group is 30:1. Attractive trading conditions for novice traders are also worth noting. The minimum deposit is 5 US dollars; there are cent (micro) accounts with a lot equal to 1,000 units. Thanks to its elaborated service and high-tech platforms, XM Broker is rightfully one of the best companies in the Traders Union rating.

RoboForex - TU Expert Review

Over the years, this broker has shown itself to be a reliable and trusted partner. RoboForex provides clients with the best conditions: tight spreads from 0 pips, the highest execution speed, and micro-accounts with a lot of 0.01. The positive feedback from real traders about RoboForex, instant withdrawal of funds, and operational support are what impress me about this broker. The brokerage company offers quality services to both beginners and seasoned traders. Over the years of cooperation with RoboForex, the broker has not received any significant claims against it. Therefore RoboForex is quite popular among Traders Union clients. All financial issues and claims on the broker's work are resolved by the company's representatives as quickly as possible and within minimum time. RoboForex always meets its clients and partners halfway. Following the mass of positive reviews about the work of roboforex.com, Traders Union recommends this company as a trusted broker with a high trust rating.

Exness - TU Expert Review

Exness has been providing its services since 2008. Over this period, the company has opened its representative offices worldwide, obtained licenses from many regulatory authorities, and provided in-house platforms for active and passive trading. Its client investments are protected by the Compensation Fund of the Financial Commission. Additional security measures, such as holding client funds in segregated accounts, ensure their safety and blocking from unauthorized use. Today, Exness is one of the biggest European and global brokers with a monthly trading volume of $4.44 trillion. This data is provided on the company’s website in the public domain. Also, there are reports of independent audits regularly held by Deloitte, a highly reputable auditor. Exness wants to be a universal broker for traders with any capital, experience, and strategy. Moreover, its partnership programs with favorable conditions allow the broker to expand its already extensive client base.

VT Markets - TU Expert Review

The VT Markets brokerage is part of the Vantage Group with its main office based in Australia. In 2016 it opened a representative office in the Cayman Islands, which is currently regulated by the local Cayman Islands Monetary Authority. VT Markets serves over 10,000 clients, providing them with access to trading currency pairs and different types of CFDs. The broker offers ECN and STP accounts, so traders with different trading experiences will feel comfortable here. Muslim clients can trade from swap-free accounts. VT Markets strives to provide favorable terms both for active market participants and for investors who prefer passive strategies. There is an affiliate program with high remuneration based on the CPA model. The VT Markets firm provides standard leverage, retains average trading fees, and provides twenty-four/seven support on trading days. The broker offers a lot of analytics, trading tips, and market overviews, but most of them are available to clients who have deposited $1,000 or more. Another disadvantage of VT Markets is the lack of opportunity to make transactions with cryptocurrencies. Also, remember the regional restrictions. They concern residents of the USA and many other countries.

TeleTrade - TU Expert Review

Traders Union has been working with the company since 2012. Over this time, a lot of reviews have been received about the broker from the TU clients, which you can find on this page. All reviews are moderated and then published. Therefore, they contain relevant information about traders’ experience of working with TeleTrade. Each TU client who opened an account with a brokerage company is entitled to free legal support, as well as advice on general issues related to the broker’s performance. TeleTrade Company offers its clients the opportunity to trade over 60 currency pairs, as well as metals, indices, stocks and energies. Cryptocurrency trading is also available. Traders canopen a free demo account and trade virtual funds. The broker also provides several types of real accounts, which allows you to choose the best option in terms of conditions. Thanks to a large analytical section and loads of educational information, the company attracts a lot of novice traders. A wide range of technical analysis tools and the possibility to use various strategies, including pipsing, are the main reasons why experienced traders open an account with TeleTrade.

What Is CFD Trading?

CFD trading is a type of investing that allows traders to speculate on the price movements of various financial instruments, such as shares, indices, commodities, and currencies. CFDs are a derivative instrument that allows investors to follow market trends without actually owning any underlying asset. Instead, investors enter into an agreement with their chosen broker, which allows them to buy or sell a certain number of contracts at a predetermined price. If the price moves in the trader's favour, then they stand to make a profit.

Pros of CFD Trading

Before you start trading with CFDs, it’s important to understand the key benefits of this type of investing. Some of the top benefits traders can expect from this type of trading include:

1. Leverage

CFDs allow traders to use leverage. That means you can access larger positions and take greater risks with a small amount of capital. This gives traders the ability to make much bigger profits than they would be able to with their limited funds.

2. Low-Cost Trading

Unlike other forms of trading, CFD trading is relatively inexpensive. Generally, there are no commissions or exchange fees. This means traders can maximize their profits by reducing their transaction costs and trading more frequently.

3. Low Margin Requirements

With CFDs, you only need to put up a small fraction of the total trade value as margin. This is known as margin requirement and is typically much lower than in traditional forms of trading such as stocks and futures. This enables traders to take bigger positions with less capital, thus increasing their profits.

4. Access to a Wide Range of Markets

CFD trading enables traders to access markets all across the world. You can trade stocks and indices from any country, commodities from different exchanges, and even currency pairs. This provides great opportunities for diversification and risk management, as well as more potential profits.

5. The Ability to Short Sell

With CFD trading, you can enter into a trade and benefit from a drop in prices rather than only being able to profit from rising markets. With most traditional forms of trading, traders are often limited by their long positions, but with CFDs, they can take advantage of both sides of the market.

Cons of CFD Trading

Despite the many advantages of CFD trading, it also has its drawbacks. Some of the potential risks of this type of trading include:

1. Lack of Ownership

Unlike traditional markets, you do not actually own the underlying asset when trading CFDs. This means you won't benefit from any dividends or get to decide how the company is managed.

2. Overnight Financing Costs

CFD trades typically involve an additional fee known as overnight financing which is charged when you hold a position through the end of a trading session. This can eat into your profits, so it's important to factor this cost into your trading strategy.

Why Is CFD Trading Risky?

CFDs are a high-risk investment and can lead to large losses as well as big profits. Leverage is a two-edged sword, meaning that it can magnify both gains and losses. As such, it’s important for traders to understand the risks involved before starting with CFD trading. Additionally, there are other important factors to consider, such as overnight funding costs, margin requirements, commission, and taxes which can all have a major impact on your profits.

How to Choose a CFD Broker in Malaysia

One of the most significant steps to successful CFD trading is finding a reliable CFD broker. Your broker is the middleman between you and the markets, so finding the right one can mean the difference between a successful trading experience and not. To help you make an informed decision when it comes to choosing a CFD broker in Malaysia, here are five tips to consider.

1. Verify the CFD Broker's Regulatory Status

One of the top distinguishing factors between trustworthy brokers and unreliable ones is regulatory status. Generally, you want to work with CFD trading companies that are regulated by the appropriate authorities. In Malaysia, the Securities Commission (SC) regulates all CFD brokers. The best CFD brokers in Malaysia will also usually be regulated by other major international financial institutions such as CySEC, FCA, and ASIC.

2. Check the Trading Conditions

Trading conditions can impact your trading experience and profitability, so it's important to take them into consideration. You'll want to compare things like spreads, available markets, leverage limits, margin requirements, and more. Generally speaking, the better the conditions are for traders, the better your overall CFD trading experience will be.

3. Availability of Passive Income Options

Passive income options such as copy trading and PAMM accounts are becoming increasingly popular among top CFD brokers. These options allow you to take advantage of the expertise of experienced traders without having to do any of the hard work yourself. Make sure that your chosen CFD broker offers these options if you're looking for an easier way to make money in the markets.

4. Good Customer Support

In the event that you encounter an issue while trading, it's important to be able to get in touch with customer service quickly and easily. Look for CFD trading brokers offering multiple support channels such as email, phone, live chat, and more. Also, consider the quality of the service provided. A good indicator is how quickly they respond to queries.

How to Start Trading CFDs in Malaysia

Now that you've found the best CFD trading platform possible for your needs, it's time to start trading. The process for getting started is usually quite straightforward and involves the following steps:

1. Learning the Basics

The most practical way to give yourself the best chance of success when trading CFDs is to arm yourself with knowledge. Read up on topics such as risk management, technical analysis, and other fundamental concepts related to CFD trading. There are plenty of informative resources online to learn from, but consider taking a formal course for more in-depth training.

2. Developing and Testing Your Trading Strategy

All seasoned traders have their own trading strategies for entering and exiting trades. Take the time to develop your own strategy, or you can use an existing one designed by experienced traders. Test out your strategy to make sure it works the way you expect and make necessary adjustments.

3. Learning How to Control Risks

CFD trading is risky. High leverage can work in your favor but also carries the potential for large losses. Make sure you understand how to control risks by setting stop-loss and take-profit orders and using other risk management techniques.

4. Practicing

The best CFD brokers offer traders the option to open a demo account. This allows you to trade with virtual money, so you can practice without having to risk your own capital. Use this opportunity to hone your skills and get familiar with the trading platform before going live.

Is CFD Trading Legit in Malaysia?

Yes, CFD trading is completely legal in Malaysia, provided that the broker is regulated. The Securities Commission (SC) regulates all CFD brokers operating in Malaysia to ensure that they adhere to strict standards of conduct. These rules are designed to protect investors and ensure a fair and orderly market for everyone.

Can I Work With Internationally Regulated Brokers?

Yes. Besides the SC, there are several other respected regulatory bodies all over the world that oversee CFD trading, such as CySEC (Cyprus), FCA (UK), and ASIC (Australia). If you prefer to work with an internationally regulated broker, make sure to do your due diligence and check that they meet the same standards of conduct as the SC.

Is CFD Trading Taxable in Malaysia?

The Malaysian government taxes forex trading as income tax. However, traders are exempt from capital gains tax. It's important to understand the regulations surrounding taxes so that you don't end up facing a large bill at the end of the financial year.