Beginner’s guide to top brokers in Guatemala

The Republic of Guatemala is a country located in Central America, with an overall territory of 108,889 square kilometers and a total population of 17,263,239 people, Guatemala is one of the most populated countries in the region.

The local economy is only beginning to establish itself, and the Forex market is still very new to the country residents. Thus, one might find that finding a reliable brokerage to join in Guatemala might be a bit hard. However, it does not mean that you should avoid FX trading there altogether.

However. over the last few years, the country has been developing at an impressive speed, and its tourism-driven national economy seems to be picking up. Every year, the country is attracting thousands of visitors, who wish to explore the unique culture and historical heritage of Guatemala.

In the guide below, you will find a lot of useful information on how best to approach Forex trading in Guatemala, and what are the specifics of the national economy that you can benefit from. Moreover, we will provide you with a complete list of the best Guatemalan Forex brokers to choose from, so that you and your funds remain safe at all times.

List of best Forex brokers in Guatemala

Every trader who is only beginning their journey towards a successful Forex trading career is faced with the same task – finding a reliable brokerage to join. This process usually involves hours upon hours of careful research, assessment of the available options, and, finally, an anxious moment of ultimate decision-making.

Having gone through this entire procedure ourselves once, we are well aware of how confusing and stressful it can be. Thus, we decided to make it a little easier for you, and conduct our own research of the top Forex brokers in Guatemala. What you will find below is the result of our findings – a complete list of only the best, most reliable brokerages that this country has to offer.

XM Group

XM Group Forex Review

Minimum deposit

5 USD

Licences

CySEC, IFSC, ASIC

Maximum leverage

1:30*

US Clients

No

Exness

An in-depth review of Exness Forex broker

Minimum deposit

1 USD

Licences

CySEC, FCA, FSA

Maximum leverage

1:Unlimited

US Clients

No

IQ Option

IQ Option Review – can the broker be trusted?

Minimum deposit

10 USD

Licences

CySEC

Maximum leverage

1:1000

US Clients

No

Forex.com

Forex.com Review

Minimum deposit

100 currency units

Licences

CIMA, FCA, NFA

Maximum leverage

1:200

US Clients

Yes

EagleFX

EagleFX Review – Is it worth your time and money?

Minimum deposit

10 USD

Licences

N/A

Maximum leverage

1:500

US Clients

No

RoboForex

RoboForex Broker

Minimum deposit

0 USD

Licences

CySEC, IFSC

Maximum leverage

1:2000

US Clients

No

How the Forex market in Guatemala regulated?

As mentioned earlier, Forex trading in Guatemala is becoming increasingly popular and it is completely legal in this country. However, the local authorities are yet to establish an efficient regulatory mechanism, which is why you might not be able to find many local brokerages to choose from.

On the other hand, a variety of international brokers are offering their services in Guatemala, and, should you choose the one licensed by a reputable regulatory authority ( such as Cyprus-based CySEC or UK’s FCA) you can rest assured that your funds will not be subjected to any unnecessary risks.

Having said that, we should also note that merely looking for the regulated Forex brokers in Guatemala is not enough. You should always take your time to contact the relevant regulatory body to double-check the license information that the broker provides on its website.

What is the current state of the Guatemalan national economy?

Guatemala is the largest economy in the region of Central America. The country’s GDP reaches 5,200 USD, and with all the social end economic problems the country is yet to resolve, it is also one of the region’s poorest countries in Latin America. The income distribution is very unequal, and, according to the World Bank estimates, more than half of Guatemala’s population is living below the poverty line.

However, not all is grim for the Republic of Guatemala. In 2009, the country’s economy has shown a positive growth of 3% and has been moving towards a recovery ever since. The tourism sector is one of the most major drivers of the Guatemalan national economy. It has been estimated at 1.8 billion USD in 2008, and approximately 2 billion tourists are believed to be visiting Guatemala every year.

The largest component of the country’s GDP is the service sector, making up a total of 63%. It is followed closely by the industry sector ( 23.8 %) and agriculture ( 13.2 %). The country’s main exported goods are flowers, fruits, vegetables, clothes, and handicrafts, as well as the raw materials for biofuel production – such as palm oil and sugar cane.

Overall, although the economy is yet to achieve a state of stability, welfare, and sustainable development, as a trader you can already benefit from some of the features that it has to offer by joining Guatemalan Forex brokers in 2020.

What is the national currency of Guatemala?

The national currency of Guatemala is the Guatemalan Quetzal, coded as GTQ.  The currency has first come into use in 1925 when it replaced the peso. The GTQ is not very popular with the traders, both within and outside of the country. Guatemalan Quetzal is an exotic currency, and professional traders often recommend that the amateur traders avoid them, and resort to the Major currency pairs instead.

If you would like to trade the GTQ, we recommend that you seek the best online trading platforms in Guatemala that accepts payments in this currency. This way you will be able to avoid high commissions on exchange rates, as well as deposit and withdraws your funds easily and hassle-free.

Who can start trading Forex in Guatemala?

Forex trading is regarded as a risky financial enterprise that can potentially result in significant losses or a life-time of debt. Thus, it is no surprise that government authorities across the world are doing their best to keep the minors out of it.

Similarly, in Guatemala, you have to be aged 18 or older in order to legally qualify to become a Forex trader. Having met this condition, the only other set of requirements that you need to worry about is the one that the broker of your choice will have in place. However, those, too, will be pretty straightforward, and will usually concern your employment status or monthly income. Overall, you will find that it is relatively easy to join the Forex market in Guatemala.

Is it free to become a Forex trader in Guatemala?

It is and it is not at the same time. It is true that it won’t cost you a dime to sign up with a brokerage, or even use the demo account to practice out your trading. However, as mentioned earlier, Forex trading is a form of financial investment, and in order to access the FX market, you will be required to make a deposit.

The size of the deposit will depend entirely on the brokerage that you will end up joining. The minimum deposit requirement usually ranges between 5 – 500 USD or equivalent, and you will come across a vast variety to choose from on the list of best Forex brokers in Guatemala.  Minimum deposit requirement should always be an important factor when choosing a broker to join, and you should only deposit what you would feel comfortable losing.

Which trading platforms are used in Guatemala?

When it comes to the trading software used by the brokers in Guatemala, there, too, you will also be a able to find a variety to choose from. Since trading software is the single most important component of your successful trading career, you should carefully look through the options available, and choose the one that suits you best.

Some brokers develop their own, custom-made software for their clients, while others resort to some of the more popular alternatives – such as cTrader, MetaTrader 4 and MetaTrader 5. The latter two were developed by the Russian company, MetaQuotes, MT4 has both revolutionalized the industry and even created a whole new segment of the automated trading.

As a beginner, with MT4 and MT5 you will appreciate the simple, user-friendly interface, as well as large volumes od educational material available for this software. Moreover, this trading software has gained popularity among the traders from all over the world and Forex trading brokers in Guatemala because of its efficiency and reliability.

Which payment methods will you be able to access in Guatemala?

There are a lot of different payment methods that you can use with your Forex trading brokers in Guateamala. The most popular one still, is the the use of credit and debit cards (Visa, MasterCard), since they are often used by the local population in the everyday lives.

On top of that, you will be able to use direct wire transfers, e-Wallets and online payment solutions, such as PayPal, which is becoming more and more widely used in Guatemala. Finally, you will also be able to access payments in cryptocurrencies, that are often used by the loal youth and are accepted by the international brokers that operate in Guatemala.

Overall, as with great deal of other factors, we recommend that while looking through the best Forex brokers in Guatemala in 2020, you pay a special attention and choose those that suit you best, as it will both help you withdraw and deposit easily, and avoid significant losses on the commission fees.

Are there any bonuses and promotions in Guatemala?

Bonuses and promotions are used by the brokers from all over the world to expand their customer base, and maintain the existing one. Many regulatory authorities ban the provision of such bonuses as an aggressive form of marketing of something that can potentially become a risky financial investment. Luckily, Guatemala is not one of them.

There are two main types of bonuses that you are likely to come across:

  • Welcome bonuses – are the bonuses that the traders who newly signed woth a broker can get. It is either issued after the first deposit has been made, or immediately after the registration is complete.
  • Refill bonuses – are issued periodically to the returning customers. They are announced in advance by the broker, and their sizes will depend on the size of the deposit you make.

Both the welcome and the refill bonuses cannot be withdrawn, and can only be used to maximize your future profits. Moreover, the bonuses are often issued under certain conditions, such as the time periods withing which you should use them in trading, thus, you should always make sure that you look through the terms and conditions carefully before jumping at the opportunity. Otherwise, if bonsues are something that you are looking for, you can definitely find them with the best Forex platforms in Guatemala.

Pros and cons of trading Forex in Guatemala?

It is hard to make a decision on whether or not you should join the field of Forex trading in your country, as it can both bring a lot of profit, or result in significant financial risks. Below, we will provide a list of the main pros and cons of trading Forex in Guatemala to help you make the right decision.

Pros: 

  • In the absence of strong regulatory mechanisms, you will be able to trade with high leverage
  • The national economy is recovering steadily, and has a potential of becoming one of the largest on the region

Cons: 

  • Due to its unregulated nature, Forex trading can still be very dangerous for all the parties involved
  • The national economy is still struggling to overcome the income inequality and widespread poverty
  • It might be hard to find locally-registered best Forex broker in Guatemala

Forex trading in Guatemala: The final verdict

What you are probably looking for right now is a final verdict of whether or not you should be joining Forex trading market in Guateamala. To put it shortly, it is definitely worth it, but let is step back and remember why.

It is true that the national economy of this country is still struggling to overcome some major issues, however, it has also been showcasing some positive growth over a few years, which means that eventually it could become one of the strongest in the region. Moreover, the diversity of the exported goods in this country means that you can trade anything from commodities to CFDs ( contracts for differences) and foreign currency pairs.

Similarly, although the local Forex market lacks efficient regulation, it could, too, become both bigger and more secure for all the parties involved. Moreover, in order to keep yourself and your hard-earned funds safe, you could always join some international, best trading platform in Guatemala, and begin your career as a Forex trader in no time.