FXCM Review 2023
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FXCM is #42 in our rankings of CFD brokers. |
| FXCM Facts & Figures |
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FXCM is a respected forex and CFD broker, established since 1999. The British-headquartered broker has won multiple awards and operates in various jurisdictions, including the UK and Australia. With zero commissions, over 400 assets, and a range of analysis tools, FXCM is a popular choice. The broker is also FCA regulated and authorized in Australia and South Africa. |
| Pros |
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| Cons |
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| Instruments | CFD, Forex, Stocks, Spreadbetting |
| Demo Account | Yes |
| Min. Deposit | $50 |
| Payments | |
| Min. Trade | Variable |
| Regulated By | FCA, CySEC, ASIC. |
| MetaTrader 4 | Yes |
| MetaTrader 5 | No |
| cTrader | No |
| DMA Account | No |
| ECN Account | No |
| Social Trading | Yes |
| Copy Trading | Yes |
| Mobile Apps | iOS and Android |
| Islamic Account | No |
| Commodities |
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| CFDs | Trade a range of CFD instruments on one of FXCM's multi-asset platforms with fast execution and zero/positive slippage. Daily market analysis can also be used to inform trading decisions. |
| Leverage | 1:30 |
| FTSE Spread | 1.18 pts var* |
| GBPUSD Spread | 0.5 pips* |
| Oil Spread | 0.05 (var)* |
| Stocks Spread | 0.2% Var* |
| Forex | Access over 40 currency pairs with no commissions and low spreads from 0.78 pips for EUR/USD. Forex can also be traded 24/5 on a choice of reliable platforms. |
| GBPUSD Spread | 0.5 pips var* |
| EURUSD Spread | 0.2 pips var* |
| GBPEUR Spread | 0.5 pips var* |
| Assets | 40 |
| Currency Indices |
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| Stocks | FXCM offers a strong suite of shares from US, UK, Hong Kong, Australia and Europe. We particularly rate the commission-free pricing model and that you can scale positions in increments of 1/10th of a share. |
| Spreadbetting | UK traders can enjoy tax-free spread bets with competitive stakes from £0.07 per point. There is also no commission and clients can trade around the clock on hundreds of popular assets. |
Find out all you need to know about day trading with Forex Capital Markets (FXCM). This review offers a comprehensive insight into every aspect of the broker, from forex spreads and leverage to trading platforms and asset lists. We also cover the broker’s UK regulatory status. Let’s see if FXCM is the broker for you.
About FXCM
FXCM is a leading online forex and CFD broker. Since its inception in 1999, the company has connected traders to the world’s largest financial markets and trading instruments, including spread betting.
In 2015, FXCM was bought by Leucadia Investments which forms part of the Jeffries Financial Group. Today, FXCM has over 130,000 customer accounts globally with a long list of British traders supported from the broker’s London headquarters.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76.31% 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.
Platforms
Trading Station
Trading Station is FXCM’s proprietary forex and CFD platform. The powerful web-based solution is popular, owing to its intuitive interface and variety of features:
- Automated strategies
- Advanced market analytics
- Desktop and mobile compatible
- View historical and order flow data
- Custom live charts and pre-loaded indicators
- Economic calendars and the latest market news
Trading Station
MetaTrader 4
FXCM also offers the hugely popular MT4 platform. The gold-standard for retail forex trading, the user-friendly terminal has a lot to offer beginners, in particular:
- VPS hosting
- 3 execution modes
- 30 built-in indicators
- Mobile app download
- EAs for automated trading
- Set guaranteed stop loss and take profit orders
- Execute with precision using 0.01 micro lot sizes
MetaTrader 4
If you are new to the MetaTrader platforms, use the risk-free MT4 demo account to get familiar with the features.
Note, FXCM does not support the MetaTrader 5 (MT5) downloadable platform.
NinjaTrader
NinjaTrader offers access to forex, futures and equities. A strategy builder, advanced analytics and the proprietary NinjaScript programming language mean you can customise and refine automated trading strategies. Users also benefit from:
- Rapid order execution
- Custom workspace options
- Advanced charting and alerts
- Backtesting and optimisation
- Free NinjaTrader demo account
NinjaTrader
ZuluTrade
ZuluTrade is a peer-to-peer social trading platform that lets users interact with other traders and replicate their market positions. This is a great option for beginners looking to learn more about trading shares for example. Users can follow free market signals or pay to copy established investors.
ZuluTrade
API trading is also supported. For more information regarding Rest API, Java API or API Python, head to the ‘API trading tab’ under the algorithmic trading tab on the broker’s website.
FXCM Ltd
FXCM boasts a variety of tradeable markets:
- Forex – Trade on the largest and most liquid market in the world. A long list of popular currency pairs are offered, including GBPUSD and EURUSD
- Stocks CFDs – Trade shares in the world’s most talked about stocks, including Amazon, Tesla and Gamestop
- Commodities CFDs – Enjoy commission-free trading on popular commodities like XAUUSD, XAGUSD and Oil
- Indices CFDs – Speculate on the largest indices, including the FTSE 100, NASDAQ 100, US 30, DAX 30, JPN 225 and S&P 500
Note, crypto trading products are no longer available to UK retail traders.
Fees
The spreads offered by FXCM are generally competitive. Forex spreads start from 1.3 pips on EUR/USD and 1.8 pips on GBP/USD according to FXCM’s spread report (2020 Q4). Active Trader account holders benefit from more competitive rates but require a larger upfront deposit.
FXCM offers commission-free* trading, so users only need to take into account floating market spreads. Clients will, however, have to pay rollover or ‘overnight’ fees if positions are left open into the next day. A £50 inactivity fee is also charged by the broker if no trades are made for a year.
* FXCM can be compensated in several ways, which includes but are not limited to adding a mark-up to the spreads it receives from its liquidity providers, adding a mark-up to rollover, etc. Commission-based pricing is applicable to Active Trader account types.
Leverage Review
In line with regulatory requirements, FXCM limits retail leverage for UK traders to 1:30 with some variation between assets:
- Major forex pairs – 1:30
- Minor forex pairs – 1:20
- Commodities & indices – 1:10
Leverage is a risky tool that should only be used alongside effective risk management strategies and with an eye on margin requirements. Leverage is a double-edged sword and can dramatically amplify your profits. It can also just as dramatically amplify your losses. Trading foreign exchange/CFDs with any level of leverage may not be suitable for all investors.
Mobile Apps
FXCM’s Trading Station and the MT4 platform are available for use on mobile devices. The apps host many of the features available on the desktop terminals but with the added flexibility of investing on-the-go. Mobile users can log in to their portals from any WiFi-enabled location. The apps are available to download from the App Store or Google Play store.
Mobile trading
Deposits & Withdrawals
There are no fees for depositing or withdrawing cash. Funding your FXCM account can be done via several methods:
- Bank wire transfer – CHAPS, SWIFT, BACS and SEPA are all accepted. Transfers take between 1 – 5 days
- Skrill and UnionPay – these can take between 1 and 2 days to be credited to your account
- Credit and debit cards – payments are usually processed the same day
The methods listed above also apply to withdrawals. However, debit and credit card withdrawals can only amount to the sum originally deposited. If the sum is larger, it will need to be processed via bank transfer. To request a withdrawal, select ‘withdraw funds’ in the MYFXCM portal.
Note, for any payment problems, contact customer service.
Demo Account
FXCM offers a demo account to all prospective traders. A demo account is a great way to get to grips with a new broker, trial strategies and explore novel instruments. The demo account is credited with £50,000 virtual funds and traders can choose between trading platforms, including NinjaTrader and ZuluTrade.
FXCM Regulation
The FXCM Group LLC operates globally, under several jurisdictions. Its services are regulated by some of the world’s leading financial authorities, including the UK Financial Conduct Authority (FCA) under license number 217689. This is great news for traders who benefit from multiple measures, including leverage limits, negative balance protection, segregated client funds and a compensation fund.
Additional Features
FXCM’s range of additional resources is comprehensive with something for traders of all abilities. Users benefit from regularly updated market news, live forex charts and quotes, plus economic and position size calculators. FXCM also offers sentiment indicators and a host of video tutorials, blogs and online classes.
The bank of resources is extensive and an advantage of trading with FXCM. Novice traders, in particular, stand to gain a lot from the wealth of materials on offer.
Market Scanner
FXCM Accounts
FXCM offers three account types:
- Standard – The standard account has no minimum deposit requirement and traders can choose between several powerful trading platforms. The standard account is the broker’s most basic offering but rates remain competitive.
- Active Trader – Targeted at high volume traders, the Active option comes with dedicated support, tailored solutions and an optimised commission structure.
FXCM does not offer an Islamic trading account but clients can operate joint accounts from a single web login.
Opening An Account
Opening an account with FXCM is relatively straightforward. First, you will need to register and supply details regarding your financial history and employment status. Once the necessary KYC information has been submitted and approved, you can log in to your account via the MYFXCM portal.
Benefits
Trading with FXCM has a number of benefits:
- Low fees for standard account holders
- 2FA secure logins on web terminals
- A wide range of trading platforms
- Valuable educational resources
- MT4 demo account login
- Copy trading solution
- Positive user reviews
- No deposit bonuses
- Yen index basket
Drawbacks
Downsides of trading with FXCM include
- Overnight charges
- No Islamic account
- No managed accounts
Trading Hours
Opening hours vary depending on the instrument and market you wish to trade. Forex trading is open 24/5 Monday to Friday, for example. Note, spreads are likely to widen during periods of low liquidity and public holidays, including Christmas, often come with different trading hours.
Contact Details
UK traders can contact FXCM via:
- Email – info@fxcm.co.uk
- Phone number – +44 (0)207 3984 050
- Live chat – click on the chat icon in the MYFXCM portal
- Address – 20 Gresham Street, 4th Floor, London, EC2V 7JE
FXCM can also be found on Twitter, Facebook and YouTube.
Client Safety
FXCM is a regulated broker offering decent levels of security. The trading platforms are password-protected with two factor authentication (2FA) available at the login stage on the MetaTrader terminals. Mobile apps are also secure to prevent hacks and the broker follows industry-standard data privacy regulations.
Should You Trade With FXCM?
FXCM has a lot to offer prospective traders. Forex and CFD spreads are competitive with a variety of trading platforms to choose from. The suite of educational resources and additional tools are also impressive. Overall, FXCM is a good option for both beginners and experienced traders.
FAQ
Is FXCM A Good Broker?
FXCM is regulated by the UK’s FCA and offers a suite of automated and manual trading platforms. Market scanners, heat maps, live forex charts and rates are also offered. With no payment fees and interactive mobile trading, we’re happy recommending FXCM to our readers.
Is FXCM A Legitimate And Regulated Broker?
Yes, FXCM is regulated by leading regulatory authorities including the FCA in the UK and the CySEC in CySec. Both are among the most respected agencies and are a good sign the broker can be trusted.
How Do I Find My FXCM Account?
To sign in to your account head to the MYFXCM portal on the broker’s website. From there you can manage your account and trading operations, including making deposits, withdrawing profits and loading the online platforms. You can also speak to the customer support team if you get stuck.
Does FXCM Offer Mobile Trading?
Yes, clients can trade CFDs and forex from mobile devices. FXCM’s Trading Station and MetaTrader 4 can both be downloaded for free to Android and iOS devices. They both promise an intuitive mobile trading experience with free deposits, one-click trading a host of analysis tools.
Is FXCM A Market Maker?
Yes, FXCM does act as a market maker. This is why the broker can offer lower entry requirements vs most ECN brokers. It also helps FXCM offer access to a wide range of financial markets with decent liquidity.
Compare FXCM with Other Brokers
These brokers are the most similar to FXCM:
- Vantage FX - Founded in 2009, Vantage offers trading on 1000+ short-term CFD products to over 900,000 clients. You can trade Forex CFDs from 0.0 pips on the RAW account through TradingView, MT4 or MT5. Vantage is ASIC-regulated and client funds are segregated. Copy traders will also appreciate the range of social trading tools.
- Pepperstone - Pepperstone is a leading online broker with over 400,000 clients in more than 175 countries. The top-rated brokerage offers excellent market access, industry-leading platforms in MT4, MT5, TradingView and cTrader, plus low fees with no hidden charges. Pepperstone is also heavily regulated with a high trust score, holding licenses with reputable bodies, including the FCA, ASIC, DFSA, and CySEC.
- Avatrade - AvaTrade is a leading forex and CFD broker, established in 2006 and regulated across 9 jurisdictions. Over 400,000 users have signed up with the broker which processes over 2 million trades each month. The firm offers multiple trading platforms, including MT4, MT5, and a proprietary WebTrader. 1250+ financial instruments are available for trading, alongside a comprehensive education center and multilingual customer support.
FXCM Feature Comparison
| FXCM | Vantage FX | Pepperstone | Avatrade | |
|---|---|---|---|---|
| Rating | 3.5 | 4.7 | 4.8 | 4.9 |
| Markets | Forex, Stocks, Commodities | Forex, Stocks, Commodities | Forex, Stocks, Commodities, Crypto | Forex, Stocks, Commodities |
| Minimum Deposit | $50 | $50 | $0 | $100 |
| Minimum Trade | Variable | 0.01 Lots | 0.01 Lots | 0.01 Lots |
| Demo Account | Yes | Yes | Yes | Yes |
| Regulators | FCA, CySEC, ASIC. | FCA, ASIC, FSCA, VFSC | FCA, ASIC, CySEC, DFSA, CMA, BaFin, SCB | ASIC, CySEC, FSCA, ISA, CBol, FSA, FRSA |
| Bonus | - | - | - | - |
| Education | No | Yes | Yes | Yes |
| Platforms | MT4 | MT4, MT5 | MT4, MT5, cTrader | MT4, MT5 |
| Leverage | 1:30 | 1:500 | 1:30 (Retail), 1:500 (Pro) | 1:30 (Retail) 1:400 (Pro) |
| Visit | ||||
| Review | FXCM Review |
Vantage FX Review |
Pepperstone Review |
Avatrade Review |
Trading Instruments Comparison
| FXCM | Vantage FX | Pepperstone | Avatrade | |
|---|---|---|---|---|
| CFD | Yes | Yes | Yes | Yes |
| Forex | Yes | Yes | Yes | Yes |
| Stocks | Yes | Yes | Yes | Yes |
| Crypto | No | No | Yes | No |
| Commodities | Yes | Yes | Yes | Yes |
| Oil | Yes | Yes | Yes | Yes |
| Gold | Yes | Yes | Yes | Yes |
| Copper | No | Yes | Yes | Yes |
| Silver | Yes | Yes | Yes | Yes |
| Corn | No | No | Yes | Yes |
| Futures | No | No | No | No |
| Options | No | No | No | Yes |
| ETFs | No | Yes | Yes | Yes |
| Bonds | No | Yes | No | Yes |
| Warrants | No | No | No | No |
| Spreadbetting | Yes | Yes | Yes | Yes |
| Volatility Index | No | Yes | Yes | Yes |
FXCM vs Other Brokers
Compare FXCM with any other broker by selecting the other broker below.
Popular FXCM comparisons:
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| FXCM is a respected forex and CFD broker, established since 1999. The British-headquartered broker has won multiple awards and operates in various jurisdictions, including the UK and Australia. With zero commissions, over 400 assets, and a range of analysis tools, FXCM is a popular choice. The broker is also FCA regulated and authorized in Australia and South Africa. | ||