An STP broker with a commission of $25 per million. The main features are its good spreads, awesome swap rates, the lot size of 10k (instead of the regular 100k) and the minimum lot size and lot increment of 0.01 which combine to allow proper money management on accounts with a low balance. I will eventually get around to recording and posting some average spread numbers. Since the lot size is 10k, the round trip commission per lot works out to $0.5. For those interested, the GMT shift is 2 (3 during DST).

The change to commission-based STP was performed on 22.08.2011 together with a slight tone down of the execution to meet the complaints of the people who mentioned that it’s unrealistically good. The aim is to provide conditions that closely match those offered in the environment of choice for most people, which seems to be commission based STP/ECN nowadays.

Starting from 2012, PrivateFx also has a cent account type where everything from the balance up to the lot size is expressed in cents. The contract size is $1000 (¢100000), the min lot is 0.01 and the commission is just like above, $25 per million (equivalent to $5 per lot round-trip). The spreads are variable, identical to those for the regular account type.

The fact that PrivateFX is, well, private means that you can’t get an account here. If you want an account with similar lot sizes suited for very small investments, I advise looking into the GO Markets L-Plate account or the LiteForex Floating Spread account – both have very good spreads and a lot size of 10k, min lot 0.01, lot increment 0.01 and all kinds of deposit methods. Although others report having problems with LiteForex, I have many accounts with them and I’ve had no problems at all – so far, during the course of about 1 year, the only time I had to contact support was when I mistakenly entered my birthday incorrectly. Similarly, I’ve encountered no issues with GO Markets, but I only have a single account there because L-Plate accounts are limited to one per individual. If you’re looking for an ECN/STP broker with good execution, good spreads and low commission, try FXOpen.

  • #1 written by Luca August 11, 2011 (5 years ago)

    So there’s no way anyone of us could get an account with your broker?
    How complicated is it to create one?
    Thank you.

  • #2 written by birt August 11, 2011 (5 years ago)

    It’s not that it’s complicated, it’s impossible due to the agreement I have in place. Sorry.

    Anyway, like I said, LiteForex has almost the same trading conditions on the floating spread accounts except swaps are a bit worse, but I don’t think anyone really cares about swap unless they’re using a carry strategy and I haven’t seen any viable carry strategies lately, seeing that the interest rates all over the place after the crisis.

  • #3 written by Luca August 11, 2011 (5 years ago)

    ok, fair enough..
    Is is expensive or complicated to have “your own” private broker?

  • #4 written by birt August 11, 2011 (5 years ago)

    Relatively yes on both counts, but I have a special deal that makes it viable. While I initially planned to give a lot of details about the whole thing, I’m afraid I can’t really disclose more information since it’s part of the agreement.

  • #5 written by DennisL August 13, 2011 (5 years ago)

    Does LiteForex accept citizens of the USA? Even if they do, I’m not sure I would want to open an account there because they have terrible recent reviews at Forex Peace Army.

    Birt, any comments on the recent reviews at FPA?

    • #6 written by birt August 16, 2011 (5 years ago)

      They did accept US citizens at some point but I’m not sure if they still do. Anyway, if you’re planning on depositing something like $500, there’s nothing to worry about, see my comments about FPA reviews in general several posts below. If you’re thinking of high sums, you should likely head to an ECN brokerage.

  • #7 written by Cutedoctor August 14, 2011 (5 years ago)

    I am quite surprised you recommend Liteforex although it is not well regulated and their spreads are high ,
    example EU spread = 3 ?

    • #8 written by birt August 16, 2011 (5 years ago)

      I only recommend it for low deposits, there’s no other reason for having a lot size of 10k with 0.01 min traded lot.

      You mentioned spread 3 and I just checked: you are right, the spread is indeed 3 for EURUSD on regular cent accounts. It used to be 2 when I started using LiteForex cent accounts, no idea when it increased. I probably received a mail about it in the client but I never read those.

      However, I was talking specifically about Floating Spread accounts. I’ve just taken a look at one of my Floating Spread accounts and the EURUSD spread was between 1.0-1.2 pips for the whole minute I stared at it (a couple of hours into the London session).

  • #9 written by RantandForex August 15, 2011 (5 years ago)

    Liteforex is certainly not a broker to be recommended in general. In reference to MDP its an absolute disaster…

    E.g. Liteforex is using the famous MT4 Dealer Plugin… Having had an execution time of 12 (twelve) seconds it was surprisingly reduced to 2 seconds after shooting a complaint on the spot…

    Further, you will not get rebates on trades closed under a certain time limit…

    Birt are affiliate matters becoming more important these days, than solid recommendations?


    • #10 written by Cutedoctor August 15, 2011 (5 years ago)

      I hope not

    • #11 written by birt August 16, 2011 (5 years ago)

      I’m speaking from my personal experience. I don’t really pay a lot of attention to user reviews because:

      1. Content users almost never go out of their way to write such reviews, which results in only the discontent users writing. More often then not, the discontent users are unhappy about a problem that arises through their own fault (mostly the fact that they’re never reading the agreements and other documentation provided), not from the broker, yet they write in hope of damaging the object of their rage somehow.
      2. It is very well known that brokers ask their employees to write good reviews about their brokerage and bad reviews about others. It’s pretty much impossible to filter out such bullshit from real reviews. Even Dukascopy which is definitely a good brokerage has a whole bunch of unsubstantiated 1 star reviews on FPA.

      Getting back to the topic, like I said, in my personal experience with LiteForex, I’ve encountered no difficulties whatsoever. Granted, I only have small accounts, I believe their sum is under USD 1500, but still, I encountered nothing worrisome. It could be that there are problems with larger accounts, but I never heard that from a reliable source and I’m certainly not recommending them for large account sizes. On the contrary, I mentioned the lot sizes and stuff because they are suited for low account balances. If you want to deposit 5k+ you’re likely best off going to an ECN broker such as FxOpen but naturally you won’t be able to trade 0.001 lots there.

      Sure, the rebates aren’t awarded for short trades and the same applies to the deposit bonus – you only get it when trades abide to certain conditions (I believe they have to last more than two minutes and to close at a minimum of 4 pips distance from the open). But, to be fair, these are mentioned in their agreements that you have to read & sign when joining (I know for a fact the bonus thing is, but I haven’t checked the rebates) so I don’t see anything wrong with it. It’s simply their protection against aggressive trading strategies designed to make money from rebates and bonuses by trading very frequently and closing as soon as the trade goes into the positive.

      As for affiliate matters becoming more important than other things, let me give you an insight in my introducing broker “business” with LiteForex: I have about 3-4 introduced clients, all of them with very small account sizes and in the last half an year it earned me less than $50, probably somewhere between $20 and $30.

      The only reason I have for recommending them is that in my experience, they are a good brokerage for accounts with balances below $1k. Like I explained above, they have a nominal traded lot size of 10k (as opposed to the regular 100k) which means that trading 0.01 lots here is the equivalent of 0.001 lots on a regular broker. There’s no limit to the account size, positions size, the number of accounts you can hold etc. This makes them a pretty unique broker; the only other broker I know of that has similar conditions is GoMarkets with their L-Plate accounts, but there are certain limitations there, including only one such account per customer. This reminds me: I should mention them in the article as well.

      Finally, if you know of any other brokerages that allow similar trading conditions (chiefly 10k lot size and min lot 0.01), I am eager to hear about it as I would like to provide more options for the readers that want to start with low deposits.

  • #12 written by Cutedoctor August 16, 2011 (5 years ago)

    What do you think about Nordfx Broker.
    What is the broker you are using on MDP ?


    • #13 written by birt August 17, 2011 (5 years ago)

      I don’t know much about Nordfx and I don’t know anyone using them so I can’t provide any relevant feedback.

      Re: MDP, it’s using PrivateFx just like all other new forward tests. The broker is listed on the forward test page (if you click the title in the EA Top or Forward Tests pages.

  • #14 written by karlo August 30, 2011 (5 years ago)

    hi, can you give me the link for PRIVATEFX, please.

    LITEFOREX is´nt good for MDP >>> “But you should note, accourding our company rules any open position should stay open at least 2 minutes, otherwise it may be admitted as improper.”

    some trades from MDP are shorter than 2 minutes.

    sorry for my bad english. 🙂

  • #15 written by carl August 31, 2011 (5 years ago)


    Are you free to forward test with a different broker ? – this would be of more practical value.


    • #16 written by birt August 31, 2011 (5 years ago)

      Sure: if you can find a commission-based STP broker that has a lot size of 10000 and a min lot of 0.01, accepts Paypal deposits and allows unlimited accounts with these conditions, I’m willing to consider it based on its execution and spreads.

      On a different note, I toned down the execution on PrivateFX over a week ago and it should be very much in line with other STP/ECN brokers. Take a look at the MDP thread, I’ll post a screenshot of the chart report in a few minutes.

      • #17 written by Kevin September 24, 2011 (5 years ago)

        The Pepperstone Razor account comes pretty close. This a commission based STP. The lot size is standard 100k but the minimim lot size is 0.01. Instead of Paypal they accept Moneybookers. They also accept deposits from other broker accounts too.
        You can open more than 1 account.
        I measured the average spreads a few months ago on a Monday between 2.30pm and 3.30pm UK time:
        EURUSD =0.61.
        and between 10pm and 11pm UK time:
        EURUSD = 1.0. Maximum spread = 5.0.
        Can’t say anything on execution as I do not have a live account yet. They say the price feed for demo and live accounts is the same; I checked the IP addresses for demo and live account servers, and they are the same address.

        • #18 written by birt September 24, 2011 (5 years ago)

          I’ve heard some good things about Pepperstone but, since the lot size is 100k, I’d have to use $3000 for each account to have the same money management depth that I have with $300 on PrivateFX. While I wish I could afford that, I’m afraid I can’t 🙁

  • #19 written by carl August 31, 2011 (5 years ago)

    re MDP and PrivateFx

  • #20 written by carl August 31, 2011 (5 years ago)


    For you yes: But for others, your tests with a broker -they can access and trust- would help more.

    Thanks for listening

  • #21 written by flash September 13, 2011 (5 years ago)


    So you don’t even trade privately..? That’s a concern. Sounds like your private broker is your own integral set-up. How do you change execution?? broker plugin??

    Regards Flash

    • #22 written by birt September 13, 2011 (5 years ago)

      I’ve stopped trading privately over 1 year ago. I was trading mostly Asian scalpers back then and the end result was that I was extremely stressed, unable to sleep at night and going to the computer every 30 min to check the open positions. Needless to say, that was not pleasant and after several discussions with my wife (fiancée back then), I came to the decision that I’d rather hold my finances in bank deposits than live like that.

      As for changing the execution, yes, you are correct, it is by means of a server plugin.

  • #23 written by Ben September 14, 2011 (5 years ago)

    Thanks for teasing us. 🙂

    I’d be willing to pay big money to get into this broker.

  • #24 written by Anthony September 24, 2011 (5 years ago)

    Just to clear the air a bit…..anyone can get an account similar to this. You just need a few hundred thousand dollars. Get your own liquidity feed and setup your own server. Lots of people do it.

    • #25 written by birt September 24, 2011 (5 years ago)

      It’s below $200k actually. There is also the alternative to rent the whole setup for monthly amounts that are usually close to $10k.

      I don’t have the money to afford either of the above options, so I was only able to do it through a special deal which, among other things, involves not opening accounts for anyone directly or indirectly. The deal also involves the soul of my firstborn and, for some peculiar reason, a live chicken.

  • #26 written by Mark September 24, 2011 (5 years ago)

    Birt — can you tell me where to look for the alternative option to rent or buy the “Private” style brokerage setup?

    Any direction on this would be great since it sounds like you have found something unique with your own “PrivateFX” relationship.

    thank you

  • #28 written by Mark September 24, 2011 (5 years ago)

    Thank you so much Birt. This will give me a good start.

    Out of curiosity are you seeing much slippage on your MDP orders with your PrivateFX acct? Your “myfxbook” history shows some very good trades and I am assuming with your PrivateFX broker you are able to use STOP orders rather than market orders and still have very little slippage or requotes. Is that true?

    Thanks so much.

    • #29 written by birt September 25, 2011 (5 years ago)

      No, I wasn’t seeing any slippage and yes it was using stop orders. It’s actually the reason it was working so well. I switched stop orders off now to better portray what happens on other brokers.

      Please note that if STP’ing trades to an ECN liquidity provider, you would in all likelihood see slippage on stop orders and the reason I wasn’t seeing any was that PrivateFX runs as market maker.

      • #30 written by Alec November 19, 2011 (4 years ago)

        Hi Birt,

        So that’s why you also turn off Hard Stop Trailing. Right?

        What about AutoApply ECN? I don’t even get what’s the use of it. Can you tell us why you have it set to false?


        • #31 written by birt November 19, 2011 (4 years ago)

          If AutoApply_ECN is enabled, the EA will auto-reset the stop order options to true in case your broker is suitable. Since I wanted them set to false, I had to disable this one as well.

          • #32 written by Alec November 19, 2011 (4 years ago)

            Thanks Birt!

  • #33 written by Jean-Paul October 19, 2011 (5 years ago)

    to help the conversation on broker as it seems key to running MDP profitably on
    you can have VPS (no idea how good this is) for free to use. spread as low as 0 and constant very low.

    i’m running on demo (for 3 days only) which is said to be the same as real. unfourtunately i missed some trades compared to you life test birt. profitable and unprofitable tough.

    lot 100k with 0.01 min. accepts small amounts STP for $10 per Lot round trip.

    • #34 written by birt October 29, 2011 (4 years ago)

      Just so you know, demo will turn out to be 100% different from live.

  • #35 written by bryan October 27, 2011 (4 years ago)

    hey birt i was wondering do you think hotforex is a good broker for mdp?

    • #36 written by birt October 29, 2011 (4 years ago)

      I’m afraid I have no idea. Try searching for someone running MDP on Hotforex on myfxbook and check out their results.

  • #37 written by Naif November 1, 2011 (4 years ago)

    Hi Birt ,
    Does your Privatefx offer Swap free accounts ?

    • #38 written by birt November 1, 2011 (4 years ago)

      Well, it doesn’t offer accounts at all as a rule, with the sole exception of eareview forward testing. To answer your question, currently it’s not possible for me to create swap free accounts for the forward tests and this is not planned for the future either.

  • #39 written by GregoryPoet December 30, 2011 (4 years ago)

    Hello birt:

    I’m a noob in the forex world and I’ve found your blog just absolutely super-helpful. My question is about brokers, I checked out Liteforex and GO Markets and it doesn’t seem that they accept clients from the United States. Can you recommend a broker that accepts U.S. Residents so I can open a small $300-$500 account to use MDP with? Thanks!

    • #40 written by birt January 9, 2012 (4 years ago)

      Glad you found my blog helpful!

      You could try MB Trading, but I don’t know how MDP is going to perform there. I’d advise looking for some live results of MDP running on MB Trading accounts on sites like myfxbook prior to opening an account. If you’re a beginner, MDP is definitely not the best starting EA that you could choose.

  • #41 written by GregoryPoet January 9, 2012 (4 years ago)

    Really!? Which would you recommend?

    • #42 written by birt January 10, 2012 (4 years ago)

      I try to make a habit of not recommending EAs. That’s what I made the EA Top for – everyone should be able to choose a profitable EA that matches their trading style.

  • #43 written by vaderd January 28, 2012 (4 years ago)

    what is url location Privatefx??

    • #44 written by birt February 11, 2012 (4 years ago)

      There is none other than this. Like I explained, this is a brokerage reserved exclusively for forward testing and it is not open for public signups.

      • #45 written by jerome March 4, 2012 (4 years ago)

        I understand this its not available to the public.
        its what I don’t understand… its not possible to open an account but you were able to open an account here!!!
        so if its not possible how are you able to do it???
        is it an hidden broker available to a group of person participating in an event? or to companies only?
        or is it an intermediate broker (or liquidity provider) and you have your own MT4 Server?

        its not clear.

        • #46 written by birt March 4, 2012 (4 years ago)

          Running a MT4 server of your own costs either $100k+ as a one-time fee + monthly maintenance or some $10k+ per month. I was offered a deal through which I have access to a MT4 server that is exclusively available to at a much lower monthly cost. The deal came with a set of terms, one of which being that public accounts are not available, neither retail nor at institutional level. The server only hosts forward tests.

          Finally, to answer your question, opening accounts and funding/withdrawal is an automated process performed via a secure web interface, much like many brokers allow you to open additional accounts, with the exception that I can configure the account name and I can only use Paypal for depositing and withdrawing.

          • #47 written by op March 8, 2012 (4 years ago)

            birt since you mentioned fxopen as a good alternative for small account, can you speak about the big slippage? testing their demo i get average of 0.2 pips slip on my stop losses and looking at some real fxopen accounts on sharing sites i see big slips there too.

            If you add the spread+commission+slippage of 0.2 both ways we get a 1.4 pips cost per trade. Is this the best we can hope for us scalping retailers? Have you tried thinkforex and do they slip as much?

            • #48 written by birt March 8, 2012 (4 years ago)

              FXOpen is not a very good alternative for small accounts. Sure, they have cent accounts which are quite decent (I have several myself) but the spreads are not at all low.

              I was mentioning FXOpen for their ECN accounts which are only suited for larger deposits.

            • #49 written by birt March 8, 2012 (4 years ago)

              Re: slippage, given the commissions practiced, 0.2 pips is not that bad even if it’s always against you. There are much worse ECN brokers out there.

              As for ThinkForex, I’ve never held an account with them so I can’t say anything about their conditions.

              On a somewhat related note, a while ago I’ve had a mind to make a free tool that each MT4 trader could install to measure and log their execution conditions (duration, slippage, requotes etc.) and centralize all data on a server. While the concept was (and still is) good, the development costs are rather prohibitive.

              • #50 written by opt March 9, 2012 (4 years ago)

                Well it was 0.2 negative on stops as an average over few hundred trades on ecn demo. Positive and neg slips combined.

                Even with their best spread of 0.4-0.5 we get to a spread of 1.4-1.5 on eurusd that’s if we assume the demo execution=real and the slippage on stops/orders is only 0.2p. Do you mean fxopen is only good for >50k so that you can get their lower 1.8 comm? I’m open if you have any alternatives either mm or ecn, 1.4 seems too high.

                Re the tool, myfxbook and the like would prolly be best suited to implement a slippage measurement as they already have tons of stats on their hands, suprised they haven’t done it by now.

                • #51 written by birt March 9, 2012 (4 years ago)

                  Sorry to burst your bubble but the slippage measured on demo is as good as worthless. It’s mostly caused by your latency to the server. To be honest, I was positively impressed by the 0.2 figure you mentioned; I suppose it’s a bit larger live. Slippage is not a big problem if it occurs in your favor about half the time, as it should.

                  I didn’t mean 50k as deposit size, I meant enough deposit to handle a min lot of 0.1 which is typically 10k, but I just checked and they now have min lot 0.01 on ECN so I guess even lower sized deposits would work (although I wouldn’t recommend below 1k and it’s not even possible unless you try hard).

                  • #52 written by opt March 9, 2012 (4 years ago)

                    Hey again, I’m aware slippage is diff on demo, that’s why I’m asking real money traders as yourself for tips to lower my cost per trade.

                    Also I’m only talking about slippage on stops, so latency is not issue cos they’re server side. It depends on the brokers latency to it’s pool. I repeat again this was -0.2 averaged over few hundred trades positive and neg together, some orders got slipped 1-2 pips pos/neg side.

                    I don’t see why you would get positive slippage the same amount as negative, stops get triggered when price comes into them so naturally if broker’s execution to it’s pool is slow, you will get filled worse on average by the time the order is filled. Even my tests on demo seem to show this.

                    Have to point out my style of trading uses stops to enter and exit so my latency doesn’t matter only the broker’s execution to it’s pool. Still open to tips on lowering the 1.4 cost for retailers.

                    On related note, the slippage for your private fx seems very low, hope to trade up to that level of execution some day. I was wondering if the liquidity you get at this broker would ever justify the price tag/maintanance costs, since I noticed you’re only trading small amounts there now. Can you speak about the liquidity/spreads you get there?

                    • #53 written by birt March 9, 2012 (4 years ago)

                      I currently hold only accounts with low sizes (below 1k) and I don’t keep any slippage statistic so I’m afraid I can’t really offer any insight.

                      Regarding stops, you are perfectly right, slippage is mostly going to be against you. However, I was talking about the open slippage when entering at market price – that slippage should be about even for honest brokers.

                      A cost of 1.4 is already very low. You should expect to see a slight increase when trading the same thing live. I don’t think you will be able to get any better than that. If you do, it would be very interesting to hear more.

                      Re: PrivateFX slippage, it only appears to be low. It’s working in MM mode, the spreads are similar to FXOpen and it’s using Virtual Dealer (search the site for the configuration details, I posted them somewhere) so there’s quite a lot of slippage, most of it in the favor of the broker.

  • #54 written by Reuben September 2, 2012 (4 years ago)

    why do you set Hard stop, trailing stop to false. Will the trades automatically close with the robot if they are set to false?


    • #55 written by birt September 12, 2012 (4 years ago)

      The robot automatically closes the trades, yes.

  • #56 written by Reuben September 12, 2012 (4 years ago)

    Thank you, how often does the ea make trades?

  • #57 written by Reuben September 12, 2012 (4 years ago)

    I’m talking the million dollar software that is, how often does the ea trade?

    • #58 written by jerome September 12, 2012 (4 years ago)

      when there is big moves on the market… so the EA can trade 5 or 6 times in 1 day… and no trade for a full month…

  • #59 written by Bernard November 4, 2012 (3 years ago)

    If there is a big move slippage can be an issue. You need a broker with deep liquidity like Dukascopy or IC Markets.

  • #60 written by zane December 12, 2012 (3 years ago)

    Hi, I’m new to managed forex accounts, can anyone vouch for the legitimacy and validity of PrivateFX’s managed account product? They don’t seem to have their own website, they seem VERY private and their compounded return rates seem unbelievable…even though I know how gearing can be used to achieve these results. Thanks!

    • #61 written by birt December 12, 2012 (3 years ago)

      That PrivateFX managed account has absolutely nothing to do with this website. It’s probably some kind of scam that takes advantage of the PrivateFX name.

  • #62 written by zane December 12, 2012 (3 years ago)

    Thanks for your response Birt, my apologies

  • #63 written by Amr Saleh March 3, 2013 (3 years ago)

    Hello, one question, this broker actually goes to the market? or is the same as running an mt4 server on demo (orders never reach market)?

    • #64 written by birt March 4, 2013 (3 years ago)

      It’s not like a demo, but it’s not DMA/STP either. It’s just like any regular b-book broker.

  • #65 written by Sharath May 15, 2013 (3 years ago)

    Its with IBFX

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