XM Review 2024
KEY TAKEAWAYS
- There is no additional commission on all accounts.
- Investor protection is €20k for EU clients and $0 for others
- You will only need 5 minutes to finish opening the account and in the earliest cases, you can start trading within 30 minutes.
- XM is not available in the United States
Best for:
| CFD trading | 88% |
| Low spread forex trading | 90% |
| Investing online | 95% |
Customers can trade a variety of assets using XM, an online broker and trading platform. To serve a variety of international clientele, the broker provides both flexible trading conditions and an innovative trading platform. XM’s proficiency stems from its extensive comprehension and familiarity with the worldwide financial markets. The broker is dedicated to offering superior services. These consist of trading equities indexes, precious metals, CFDs, currencies, and energy.
Overview
Fees
Trading Platform
Customer Support
| Founded | 2009 |
| Headquarters | Cyprus |
| Broker Type | Market Maker |
| Products offered | Currency Pair, Commodities, Crude Oil, Gold, Metals, Equity Indices, Stocks (non-CFDs), Futures |
| Available base currencies | USD, EUR, GBP, JPY, CHF, AUD, HUF, PLN, RUB, SGD |
| Conversion fee of deposits in non-base currency | Exchange rate received from liquidity providers plus a markup. We used the EURUSD trading fees for the calculation. |
| Deposit with bank card | Available |
| Deposit with electronic wallet | Available |
| Time to open an account | 1 day |
| Demo account provided | Yes |
| Trading Platforms | MetaTrader 4, MetaTrader 5, Proprietary platform |
| Regulators | ASIC, CySEC, DFSA, FSC Belize |
| Tier 1 Regulator(s)? | Yes |
| Owned by Public Company? | No |
| Minimum Deposit | $5 |
| Max Leverage | 1:30 (only for EU regulated Entity and AU). For all the other countries – 1:1000. |
| Negative Balance Protection | Yes |
| Islamic Account | Yes |
| Signals | Yes |
| US Person Accepted | No |
| Managed Accounts | No |
| Average Trading Cost EUR/USD | 0.1 pips |
| Average Trading Cost GBP/USD | 0.2 pips |
| Average Trading Cost WTI Crude Oil | $0.050 |
| Average Trading Cost Gold | $0.19 |
| Withdrawal Fee | $0 |
| Inactivity Fee | Yes |
| MT4 | Yes |
| MT5 | Yes |
| cTrader | No |
| Proprietary Platform | Yes |
| Automated Trading | Yes |
| DOM? | Yes |
| Guaranteed Stop Loss | No |
| Scalping | Yes |
| Hedging | Yes |
| One-Click Trading | Yes |
| OCO Orders | No |
| Interest on Margin | No |
| Customer Support Methods | Email, Live Chat |
| Support Hours | 24/7 |
| Website Languages | English, Arabic, French, German, Chinese, Russian, Portuguese |
XM Pros and Cons
Pros
- Wide variety of assets
- No withdrawal fees
- High leverage up to 1000:1 (not all Group entities can access this leverage)
- Negative Balance Protection
- Non-expiring demo account
- MetaTrader and XM Mobile App platforms are available
- 24/7 customer support (24/5 for an EU-regulated entity)
- Education for beginners and live analysis
Cons
- Inactivity fee
- ETF trading is not supported
- Limited product portfolio
- Average Forex and stock index CFD fees
- Funding with PayPal is unavailable
- No investor protection for non-EU clients
XM Group: A Summary
XM Group is one of the leading European brokers in the financial market founded in 2009. It provides traders with the full MetaTrader platform suite by MetaQuotes Software Corporation.
The XM Group has developed into an online multi-asset broker with 1000 CFDs and 57 currency pairings. Additionally, five CFDs covering Bitcoin, Dash, Ethereum, Litecoin, and Ripple are available.
There are 2.5 million XM customers worldwide, spread over 196 nations. It has completed over 1.4 billion trades to date with an astounding 0 rejections or requotes. With almost thirty languages available for support, XM has a wealth of experience. It also has 16 full-feature trading platforms for clients to choose from.
Note: XM Group does not accept clients from the US.
What types of accounts does XM offer?
XM lets clients choose from four main types of accounts:
- Micro Account: This account is designed for beginners, offers a lower minimum deposit, no commission, competitive spreads, leverage up to 1:1000, and hedging capabilities, with an optional Islamic Account and a minimum deposit of $5.
- Standard Account: Experienced traders will find this platform appealing as it provides competitive spreads, longer trading volumes, leverage up to 1:1000, and extra options including an Islamic account with a $5 minimum deposit.
- XM Ultra Low Account: It is tailored for low spreads and versatile strategies, providing leverage up to 1:1000, ultra-low spreads from 0.6 Pips, minimum trade volumes for different tiers, hedging capabilities, no swaps, optional Islamic Account, and a minimum deposit of $5.
- Shares Account: Uniquely enables trading of actual shares, tailored for stock market enthusiasts, featuring no leverage, spreads based on underlying exchange rates, a minimum trade volume of 1 Lot, $10,000 required as a minimum deposit and no hedging is permitted.
Note:
- All account types have exceptional trading conditions and unlimited access to MT4/MT5 with Expert Advisor trading.
- Additionally, XM provides the same execution quality for all account types and the option to trade standard or micro lots. Technical analysis and free, daily intraday market updates are available. Personal Account Managers and bilingual client service are also available.
- Every XM account type is made to accommodate different trading styles, so every trader can choose the account type that works best for them.
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| Particulars | Micro Account | Standard Account | XM Ultra Low Account | Shares Account |
|---|---|---|---|---|
| Base Currency Options | USD, EUR, GBP, JPY, CHF, AUD, HUF, PLN, SGD, ZAR | USD, EUR, GBP, JPY, CHF, AUD, HUF, PLN, SGD, ZAR | EUR, USD, GBP, AUD, ZAR, SGD | USD |
| Contract Size | 1 Lot = 1,000 | 1 Lot = 1,000 | Standard Ultra: 1 Lot = 100,000, Micro Ultra: 1 Lot = 1,000 | 1 share |
| Leverage | Up to 1000:1** | Up to 1000:1** | Up to 1000:1** | No Leverage |
| Negative balance protection | Yes | Yes | Yes | Yes |
| Spread on all majors | As Low as 1 Pip | As Low as 1 Pip | As Low as 0.6 Pips | As per the underlying exchange |
| Commission | No | No | No | Yes |
| Maximum open/pending orders per client | 300 Positions | 300 Positions | 300 Positions | 50 Positions |
| Minimum trade volume | 0.1 Lots (MT4), 0.1 Lots (MT5) | 0.01 Lots | Standard Ultra: 0.01 Lots, Micro Ultra: 0.1 Lots | 1 Lot |
| Lot restriction per ticket | 100 Lots | 50 Lots | Standard Ultra: 50 Lots, Micro Ultra: 100 Lots | Depending on each share |
| Hedging allowed | Yes | Yes | Yes | No |
| Swaps* | Yes | Yes | No | No |
| Islamic Account | Optional | Optional | Optional | Yes |
| Minimum Deposit | 5$ | 5$ | 5$ | 10,000$ |
*On selected instruments. For the full list of swap-free forex instruments click here and for metals here.
**For available leverage click here.
XM Islamic Account
With an Islamic account, a flat commission is charged if you hold your leveraged position overnight instead of the percentage-based financing rates.
Islamic accounts exclusively cater to Muslim traders who strictly adhere to Sharia law. Sharia law prohibits its followers from paying any kind of interest, such as overnight fees, which is seen as wasteful or exploitative.
In normal trading accounts, overnight fees are charged if traders have to keep positions open for a longer period after the end of the trading day. But Islamic accounts allow them to waive such fees or interest should they keep the position open for a longer period.
- XM offers an Islamic account option on all account types offered, and while the broker does charge additional fees on such accounts, XM also does not waive additional fees on Muslim traders who have these types of accounts.
- Furthermore, Muslim traders do not face spreads when using XM’s Islamic account, and there are no time limits on the length of time positions can be kept open. There are also no hidden costs and no re-quotes on the XM Islamic account.
Muslim traders who wish to open an Islamic account with XM can apply for one of four account types by following the standard account opening procedures.
As soon as the live account is approved, the trader can send a request to the XM Account Department to convert his account to an Islamic account.
However, traders should acknowledge that XM reserves the right to cancel any application that is deemed an attempt to abuse the account option.
What about XM Group Commissions & Fees?
XM has low trading fees for CFDs and no withdrawal fees. On the other hand, forex and stock index fees are only average, but there is an inactivity fee.
| Account Type | Minimum Spread Value | Withdrawal Commission |
|---|---|---|
| Micro | From $0.1 | No |
| Standard | From $10 | No |
| XM Ultra Low | From $6 | No |
| XM Shares | From $3.5 | No |
Overview of XM fees
| Assets | Fee Terms |
|---|---|
| EURUSD | The fees are built into the spread with Standard, Micro, and Ultra-Low accounts. The average spread cost for the Standard account is 1.7 pips during peak trading hours. There is a small spread cost and a $3.5 commission per lot per trade with XM Zero accounts. |
| US Stock Fee | 0.04% with a $1 minimum. Only available for clients onboarded under IFSC. |
| Inactivity Fee | The broker charges a $15 one-off maintenance fee after one year of inactivity. If the account remains inactive you will have to pay a $5 per month fee. |
| Europe 50 CFD | During peak trading hours 2.6 points are the average spread cost, the fees are built into the spread, however. |
| S&P 500 CFD | The fees are built into the spread, 0.7 is the average spread cost during peak trading hours. |
How to open an XM account
XM’s account opening process is hassle-free and straightforward. All the registering procedures will be finished online and you will not be bothered such as in the postal mail or FAX. You may be able to start using your account already on the same day.
- First of all, you have to register your profile on the XM web portal.
- After the registration of your profile for XM, you log in to the XM member page and register your information in the real account registration form. You will receive login information for the MT4/MT5 account.
- Once you upload the certificates through your member page or XM official application, the “XM application,” the approval procedure will be done within 30 minutes to one day, and then your real account will be validated.
- With the validation of a real account, you will be able to utilize all the services of XM, such as receiving bonuses, deposits, and withdrawals, and trading on MT4 and MT5.
Is XM safe?
XM Broker is one of the largest forex brokerage companies, with numerous accolades to show for more than a decade in business. XM is a reputable and secure broker that has grown significantly since its founding in 2009. XM is regulated by three financial authorities globally through its parent company, including the top-tier ASIC. Although it is a well-known brand, it does not reveal financial information and is not listed on any exchange.
FAQs
Who should choose XM?
Anyone interested in professional trading with fast order processing and an ideal commission structure can safely recommend XM Broker. The broker is focused on providing professional trading services because its policy does not provide for passive investment programs. However, as an aid to active traders, the company provides several support services, which are worth considering in more detail.
Is XM good for beginners?
XM offers a friendly platform for novice traders who are just learning. They have invested in research and training sections that allow new traders to become familiar with the basic functions of the broker’s platform.
Broker affordability is one of the factors traders consider before opening an account. When we analyzed the costs associated with XM and compared it with top competitors, we concluded that the commissions paid to XM are among the lowest in the market, meaning they are an affordable broker. They have low trading fees, low inactivity fees, and no withdrawal fees for CFDs. The broker charges average fees for Forex and stock indices, which means you can use XM even if you trade frequently, such as daily or several times weekly.
Understanding all this, it can be concluded that XM is an affordable option for beginners and experienced traders.
What are the options for withdrawing funds?
Various options are available to withdraw funds, including Visa and MasterCard bank cards, Skrill, Neteller, and international wire transfers.
Who Should Choose MT4?
The trading platform known as MT5 was formerly known as MT4. The MT4 platform at XM allows you to trade currencies, CFDs on cryptocurrencies, stock indexes, gold, and oil. It does not, however, allow you to trade stock CFDs.
Customers can keep using existing MT4 accounts and open another MT5 account at any moment if they choose not to open an MT5 trading account.
Access to the MT4 platform is available for Micro, Standard, or XM Ultra Low as per the types of trading account table above.
Who Should Choose MT5?
The MT5 platform offers a vast array of instruments to its clients, including CFDs on currencies, cryptocurrencies, stock indexes, gold, and oil, as well as stocks.
You can use your MT5 login credentials to access not only the desktop (downloadable) MT5 and its companion apps, but also the XM WebTrader.
Access to the MT5 platform is available for Micro, Standard, or XM Ultra Low as shown in the types of trading account table above.
What is the Main Difference Between MT4 Trading Accounts and MT5 Trading Accounts?
The main difference is that MT4 does not offer trading on stock CFDs.
Can I Hold Multiple Trading Accounts?
You certainly can. Each XM customer is allowed to have one share account and up to ten active trading accounts.
XM Review Methodology
To compile broker reviews, we thoroughly investigate, verify, examine, and compare the elements that we consider the most important to consider when choosing any broker. It contains the benefits, drawbacks, and overall grades our research determines. We aim to help you find the ideal broker for your investor needs. You can read more about our review process by visiting this page.
75.33% of retail investor accounts lose money when trading CFDs with this provider. CFDs are complex instruments, with a high risk of losing money rapidly due to leverage. Consider whether you understand how CFDs work and can afford the high risk of losing your money.
