Choosing a Broker - Better in your own currency?

Beginner Questions
1

Hi all,

I am in Australia currently looking at signing up with a Forex broker.

I’ve narrowed it down to:

  • Alpari UK
    Fast execution, good customer service, very low spreads.
    for me I would open an account in USD

Then theres

  • GoMarketsAus
    Decent spreads, local Australian broker, easy to get ahold of…
    and accounts in AUD.

I’ve demoed both and Alpari UK has the edge with my EAs, getting better and ore frequent trades, but the comparison is tight…

Now my question is this:
Would I be better off going with a broker who can execute better and
offer better spreads… or a Broker that deals in my local currency?

ie. I could lose on exchange if i were to withdraw my funds, both in terms of fx and fees… but I might not have as good success on the local broker using my EAs that require tighter spreads.

What would you choose?

(its probably all much of a muchness in the end)
cheers:)

2

In general terms I often advise going with an account based in your own currency as otherwise you’re taking a long-term position in the exchange rate between it and your account currency. That said, if the trade-off is that you suffer serious profitability degradation using the local account then it’s probably best to go with the non-local option.

3

Thats my thoughts too… But this morning I woke up and check my demo account… Alpari was way ahead of my GoMarkets demo.
Even in US dollars was better than GoMarkets in AUS. I suppose execution speed may have been an issue as I noticed in the event log GoMakets experienced slippage.

Would be a pity though to say one day have the account grow steaduly and the exchange rate works against me when I really need to wirhtdraw the funds.

4

Does nobody else share an awful paranoia that one day the broker will go bust and some CEO will take off with all your money and see out his days in luxurious exile somewhere sunny, one hand around an elaborate looking ****tail the other one around a cosmetically enhanced stunner half his age?

I sure do but try not to think about it too much! For that reason, I use an FSA governed broker in my country. I figure it offers me the best chance if the worst happens.