A stockbroker purchases and sells stocks, forex and other investment assets on behalf of its customers in return for a commission fee. It acts as an intermediary between the trading markets and the investor. A stockbroker can provide a comprehensive management service for your investment portfolio that can make choices on your behalf, advise you on how to manage your own trading transactions or simply conduct your instructed transactions without offering advice. Generally, stockbrokers will be financially regulated in one or multiple countries.
The 10 Best Stockbrokers in Mexico
Now that you know about the different types of stockbrokers and the key factors to consider before choosing one, here are the 10 best stockbrokers to use in Mexico. This list is not exhaustive, and you should always check that a stockbroker is regulated and suitable for your needs before you hand over any money. Please note: Pepperstone only offers CFDs, not the underlying asset. Pepperstone is an Australian CFD broker with a focus on forex. It does not provide the chance to trade in any physical assets, only via CFD. It is regulated by the FCA, BaFin, CySEC, ASIC, DFSA, SCB and CMA. In addition to its platform analytical tools and indicators, Pepperstone provides in-house research material and resources from third-party suppliers, including daily articles, in-house videos, weekly webinars, economic calendar, AutoChartist software, Smart Trader Tools and Delkos risk management tools. Educational resources are focused on forex rather than CFDs and include articles, trading guides, webinars, MetaTrader 4 course, forex trading course and educational videos. Pepperstone provides 24/5 customer service through telephone, email or live chat. To find out more, read our Pepperstone Review. Spread bets and CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 78.8% of retail investor accounts lose money when trading spread bets and CFDs with this provider. You should consider whether you understand how spread bets and CFDs work and whether you can afford to take the high risk of losing your money. It offers a 20% welcome bonus up to $10,000, according to regulation and a free 21-day demo account with $100,000. Instruments include:
Metals Commodities Stocks FX Options Oil ETFs Options Crypto currencies CFDs Indexes Shares Spread betting Indices Forex Bonds
AVATrade EU Ltd is regulated by the Central Bank of Ireland. (No.C53877) Ava Trade Markets Ltd. is regulated by the B.V.I Financial Services Commission. It is also highly regulated in Australia, South Africa, Japan, Middle East, Cyprus and Israel You can not trade with AvaTrade in the US, North Korea, New Zealand, Iran or Belgium. Mínimum deposit of $100, no withdraw limit and no fees.
XTB is a forex and CFD stockbroker regulated by the FCA, CySEC, KNF, CNMV and IFSC. XTB’s research offering is not as extensive as many of its competitors, including analytical tools accessed through its platform, Market Newsfeed, forex price tables and a market calendar. Its ‘Learn to Trade’ section includes courses for all levels of trading experience through the ‘Trading Academy’, live webinars and articles. For European clients, customer service is available 24/5, with no weekend cover. However, if you live outside Europe, customer service cover is 24/7. Contact can be made by telephone or email. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Interactive Brokers is regulated by the FCA, US SEC and CFTC. Research resources include technical analysis tools, a newsfeed and a ‘Traders Calendar’. It provides educational resources and courses via IBKR Campus, including Traders Academy, IBKR webinars, Traders Insight, IBKR Quant blog and Student Trading Lab. There are also educational videos and a trading glossary.
City Index is a forex and CFD broker. It is regulated by the FCA, ASIC and MAS. City Index has quite a generous research offering in their ‘News’ and ‘Market Analysis’ section, including the latest research, market insights, economic calendar, trading ideas and alerts. Educational resources are suitable for all levels of experience and include videos, webinars, and articles in the extensive training section of their website. City Index offers a 24/5 telephone-based customer service.
Saxo Bank is regulated by the FCA, FSA, the Swiss Federal Banking Commission and several other regulatory bodies globally. Saxo Bank offers a good range of technical analysis tools and interactive charts. Its research resources are a high standard, including its real-time newsfeed, access to commentary by trading experts, market reports and trading idea generators. Their educational resources include courses, video guides, events and webinars. Saxo Bank customer service is 24/5 via email or telephone.
FP Markets is a forex and CFD broker, regulated by ASIC and CySEC. They also offer a social copy trading service. Research and education resources are accessed via the FP Markets Traders Hub. It includes technical and fundamental analysis resources such as the Daily Report, Market Insights, and Forex News and articles on a variety of trading topics. Educational resources include articles and eBooks. FP Markets offers 24/7 customer service by telephone, email or live chat.
The easy-to-use proprietary platform is available on the web, desktop and mobile, and you can trade indices, commodities, cryptocurrencies, shares and currency pairs with the best in technical indicators, charts and multiple order types at your fingertips. In addition, the AI technology analyses your trading behaviour to help you make more powerful decisions. Capital.com has no fees for traders – which means that you can deposit, withdraw and trade without commissions or costs. Capital.com make their money for the platform through the spread, which is like many other brokers. The spread cost is completely transparent, with the costs incorporated into the quote, not as an additional cost. There are three different accounts available, and the one you choose depends on the minimum deposit, which starts at just $20.
Standard accounts have a minimum deposit of up to $3,000 The Plus account is from $3,001 – $9,999 The Premium account is from $10,000
User experience is the same in all account types, so you will enjoy the same trading no matter what your deposit level. One of the most impressive parts of the Capital.com offering, especially for beginners, is education. With a custom-built app called Investmate, users can set goals for their learning and the pace at which they want to learn – and have the trading knowledge that they need in their pocket. 30+ courses using varied learning materials are all in the application, to be used as and when they are needed. You can also find a glossary, guides on different trading instruments and strategies – including how to trade using spread betting and margins. The Capital.com trading platform is speedy, intuitive and simple, with a smooth interface and great customisation options, and with a demo account and premium research, education and trading experience it is an excellent choice of platform with minimal negatives. 75.26% of retail investor accounts lose money when spread betting and/or trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. Regulated by the FSA, CySEC, and ASIC, IC Markets is an Australian forex and CFD broker. Its research offering includes its Market Analysis blog, forex calculator and glossary, and an economic calendar, in addition to the technical analysis tools available from its trading platform. Educational resources include articles, tutorial videos and webinars. The IC Markets customer service is 24/7 and available by email, telephone and live chat.
Do you want your portfolio to be completely handled by your stockbroker? Do you want investment guidance, or do you want total control over your trading transactions?
Full-Service Brokers
Full-service brokers offer a complete and wide-ranging portfolio management service, including:
Investment research and advice Carrying out trading transactions on your behalf Portfolio analysis and building Tax advice Reporting General wealth management
You may well be assigned a personal stockbroker to manage your portfolio. Full-service brokers are the most expensive of the three types; however, for that extra cost, you will generally benefit from access to an extensive research team. Advantages: You can hand over your portfolio and know it will be completely managed on your behalf, so you do not have to spend time on research (unless you want to) and transactions. Disadvantages: This service is the most expensive, and you do not have the same level of control as more limited service providers.
Discount Brokers
The service offered by a discount broker will be less costly than that of a full-service broker but also less extensive. A discount broker will carry out trading transactions on your behalf but will not offer financial advice. Advantages: This service is less expensive than a full-service broker and leaves you in control of your portfolio. Disadvantages: You have to do all the research yourself as a discount broker offers no financial advice.
Online Stockbrokers
Online stockbrokers offer you direct access to their trading platform. Although they are often used by new traders, they are most suitable if you already have a level of trading experience. This type of stockbroker generally offers research and educational resources; however, this will vary from an online broker to broker. Advantages: Less costly than a full-service broker, using an online stockbroker service puts you in control. Disadvantages: Research and educational resources are available; however, there is no personalized advisory service.
How Do Stockbrokers Make Money?
Whichever type of stockbroker you trade through, it will make its money from the commission and fees you pay for its service, leverage and interest earned on uninvested client funds.
Are Stockbrokers in Mexico Regulated?
To trade on the Mexican stock exchanges, a stockbroker must be authorized by Mexico’s National Banking and Securities Commission (Comisión Nacional Bancaria y de Valores, or CNBV). However, it is always recommended that you use a stockbroker who has tier-1 regulation, for example, FCA (Financial Conduct Authority) and ASIC (Australian Securities and Investment Commission).
How to Choose a Stockbroker in Mexico
Any financial endeavor carries a level of risk, and when it comes to trading, one of those risks is the stockbroker you use. So how do you find not only a trustworthy stockbroker but one that serves your purposes? For example:
Do you want a full-service that will take the entire process off your hands but offer plenty of research and advice? Are you confident enough in your own trading knowledge and research skills to make all the trading decisions yourself? Or do you simply need a broker to make the transactions for you without offering advice? Would you like to carry out transactions online, but also have access to easily available research and education resources? Do you want one-to-one advice and personalized service? What can you afford to spend in trading and fees? What volume of trading do you want to carry out?
All of these considerations will inform the type of stockbroker you choose. Find a wide range of stockbroker reviews to get a genuine picture of a stockbroker’s performance, and bear in mind that traders vary in what they need from a stockbroker. Try to find reviews from traders who are similar to you. It is always recommended that you use a stockbroker that has tier-1 regulation and also multiple regulations. In Mexico, the stockbroker must be authorized by the National Banking and Securities Commission (Comisión Nacional Bancaria y de Valores, or CNBV). A stockbroker’s website should make it clear whom it is regulated by. Separating client funds in this way adds an extra level of security and transparency. Before you consider a stockbroker, find out whether it trades the assets of your choice. Before you decide to trade through a stockbroker, you must be fully aware of exactly what fees you will be expected to pay. Some stockbrokers charge a flat-fee to their trading clients, while others take a percentage fee. Some have a maximum commission charge, while others set no such limit. What non-trading or administrative fees does it charge? For example, will you be charged an inactivity fee if you do not trade for any period? What trading platform does the stockbroker provide, and what type of access does it offer you to that platform? What type of analysis tools does the platform have? How customizable is it, and does it suit your level of expertise? Do you have free access to the platform, or does it come at a cost? Copy trading is the method of replicating the transactions of more experienced traders. You buy what they buy and sell when they sell. Social copy trading combines this with using the trading community and research and educational resources to increase your level of trading knowledge. If you are interested in social copy trading, find a stockbroker who offers copy trading, research and educational resources, and a community of traders that you can interact with. For more information, read What Is Social Copy Trading? The level to which you personally use technical analysis tools will vary depending on how much control you want to hand over to your stockbroker. However, if you want to use their trading platform yourself, a good level of suitable analytical tools is important. Are you able to interrogate the platform with a variety of indicators such as volume and moving averages? Is it easy to apply a filter and change views and charts? Do the available analytical tools suit your needs? Its learning materials might include:
Articles Newsfeed Videos Webinars Courses
However, the details of that customer service may vary between brokers. What do you need?
24/7 coverage, or would 24 hours Monday to Friday suffice? Customer service in Spanish? Contact by telephone, or are you happy with email or live chat?
Make sure the customer service provided suits your requirements. Forex trading is not the most popular form of trading in Mexico, but any traders that are interested in forex can register with an FX or CFD brokerage firm. The central bank in Mexico is one of the main overseers of forex trading. The websites Babypips, Myfxbook and Earnforex are forums where established forex traders congregate. Having access to these forums will enable you to interact with investors who have had success in trading forex. You can also use social trading platforms like International Brokers. However, these are best for established traders who have experience with trading forex. You are legally required to file for a US annual tax return whether you pay taxes in Mexico or not. On top of this, you can expect to pay taxes in Mexico. US citizens who live in Mexico may be expected to pay a maximum of 30% of their total income. The more money you earn, the higher your tax bracket will be. The platform is a category A member of the Financial Commission (FinaCom), meaning it is a highly reliable and safe service to use. Not only is it reliable to use in Mexico when you trade in forex or any other method, but it is also one of the most reliable platforms you can use wherever you are in the world. While these stocks and shares are regulated by US law, there is nothing to state that you cannot invest in the US market. Before investing in any US stocks, ensure that you are aware of the federal laws surrounding the US stock market. It has been in operation since 2013, but it is not available outside the US. You cannot get access to Robinhood’s financial services for Mexico or any country other than the US. There were plans to open up Robinhood’s services in 2020 to other international markets, but they have been postponed for now. The exchange mainly deals with equities, derivatives and fixed income products. In 2021 it was recorded that there were a total of 148 companies on the exchange that had a combined market capitalization of $530 billion. To Invest in the NYSE from Mexico you can use a list of international online brokers who have NYSE stocks listed. Pepperstone is a good platform for investing in international stocks. The only way to get access to a Robinhood account if you live outside the US is to have a US visa. Illegal immigrants cannot use Robinhood and anyone who does not have the above requirements cannot use Robinhood either. It is a continuous market, meaning that trade continues consistently between the hours of operation. The Mexican Stock Exchange does not open during weekends, and it does not shut down during lunch hours. The other stock exchange is known as the Institutional Stock Exchange, or the Bolsa Institucional de Valores (BIVA). The BIVA is also located in Mexico City and has been in operation since 2018. The reason why there are two stock exchanges in Mexico City is because of low stock performance. The operation of two stock has increased the stock liquidity, meaning an increase in the availability of certain stocks to match with the demand.
How much trading do you want to carry out personally? Would you rather simply instruct a broker to carry out your transactions for you? What do you want to trade in? Are you interested in forex, for instance, or commodities? Do you want your stockbroker to provide financial advice and research, and educational resources? How much money do you have to invest? How well is your money protected in their hands?
When considering a stockbroker, check their level of regulation, their reputation within the trading community, and whether they hold client funds separately from their own. Ultimately, your choice of a stockbroker will come down to what is the best fit for you. WikiJob does not provide tax, investment, or financial services and advice. The information is being presented without consideration of the investment objectives, risk tolerance, or financial circumstances of any specific investor and might not be suitable for all investors. Past performance is not indicative of future results. Investing involves risk including the possible loss of principal.
