XM.com Review

  • Broker Type: STP

  • Leverage: 1:500

  • Regulation: CySEC,FCA, ASIC

  • Min. Deposit: US$5

  • HQ: Cyprus

  • Platforms: MT4, MT5, XM WebTrader

  • Found in: 2009

XM.com Licenses

  • Trading Point of Financial Instruments Ltd -  authorized by CySEC (Cyprus) registration no 120/10
  • Trading Point of Financial Instruments UK Ltd  - authorized by FCA (UK) registration no. 538324
  • Trading Point of Financial Instruments Pty Ltd - authorized by ASIC (Australia) registration no 443670
  • XM Global Limited - authorized by IFSC (Belize) registration no. IFSC/60/354/TS/18

What is XM.com?

The XM.com broker started its activity in 2009 and so far operating clients from over than 196 countries with a support staff speaking in 30 languages. The main company branch located in Cyprus, however, their offices are truly covering global needs and serving in UK, Australia, Belize and Greece.

About 1.5 Million Traders and investors at FX.com choose from a wide range of XM value products, more than 55 currency pairs and over 700+ trading instruments with advanced technology solutions. The reason for such fast growth and trust to the broker is that XM aims to provide the best user experience in the industry to their clients.

XM.com (Trading Point) website

Indeed, XM achieved a great focus on the Client needs while offers very competitive conditions. At XM the account can be opened regardless net of capital with only 5$ or the trading experience, as XM supports with webinars and research materials. Generally, all procedures from account opening, managing, depositing/ withdrawing, and trading is straightforward, simple and transparent.  For these strives, XM received truly global recognition along with many reputable awards for industry achievements.

XM Forex Awards

To get things more clear you should take into consideration the most important information that broker’s offering consists of. With this purpose, in this review we cover the following highlights:

Is XM safe or a scam?

The XM broker group of entities stuck to enhanced regulatory standards as fully compliant with the necessary regulation policies in particular jurisdictions. As the XM company headquarters in Cyprus, it holds an operational license from the Cyprus Securities and Exchange Commission (CySEC), as well as regulated by the FCA (UK) and the Australian ASIC (Trading Point of Financial Instruments Pty Limited). Therefore, Trading Point of Financial Instruments Ltd (XM.com) considered being a safe broker as clients are operated in accordance with the Markets in Financial Instruments Directive (MiFID) of the European Union. Meaning the whole EU is covered as XM holding registrations at various governmental institutions BaFin (Germany), CNMV (Spain), MNB (Hungary), CONSOB (Italy), ACP (France) and other.  

In addition, XM allowed to offer its services across the globe with its IFSC Belize license, which is, of course, an offshore one that does not actually implement strict overseeing of the trading processes, yet additional heavy regulation of the XM made it an acceptable choice.   

XM entity

Regulation and License

Trading Point of Financial Instruments Ltd

CySEC (Cyprus) registration no 120/10

Trading Point of Financial Instruments UK

FCA (UK) registration no. 538324

Trading Point of Financial Instruments Pty Ltd

ASIC (Australia) registration no 443670

XM Global Limited

IFSC (Belize) registration no. IFSC/60/354/TS/18

The main idea of the regulation is that the trader can trade secure, knowing that clients funds collaborate according to the strictest rules with minimized risks of frauds or unfair use. XM operates its trading environment through investment grade banks and uses segregated accounts, along fall under the Investor Compensation Fund that ensures recovery of funds up to €20,000 in case broker goes insolvent (note that the coverage scheme depends on particular entity). Besides, one of the advantages a trader gets is Negative Balance Protection, so there is no risk to lose more than available balance.

Trading Instruments and Accounts

XM makes trading more pleasant by a huge variety of instruments so traders enjoy a great choice that meets expectations and preferences. With a range of trading instruments available from a single multi asset account, you can choose from about 55 currency pairs and over 700+ trading instruments. And so you are able to trade Forex or CFDs on stock indices, commodities, stocks, metals, energies and Cryptocurrencies at XM from the same trading account.

In regards to the trading accounts, XM made a choice between three main account types – Micro, Standard and Zero Accounts wile all features custom-oriented conditions (see the breakdown below). Each of these accounts, upon clients’ request, can be referred to swap-free/ Islamic account, which implies no swap interest and suitable for traders that follow Sharia laws. 

 

Micro Account

Standard Account

XM Zero Account

Contract size

1 Lot = 1,000

1 Lot = 100,000

Minimum Trading Volume

0.1 lots

0.01 lots

Leverage

 

1:1 to 1:500 ($5 – $20,000)
1:1 to 1:200 ($20,001 – $100,000)
1:1 to 1:100 ($100,001 +)

1:1 to 1:500 ($100 – $20,000)
1:1 to 1:200 ($20,001 – $100,000)
1:1 to 1:100 ($100,001 +)

Minimum Deposit

5$

50 $

Spread on all majors

As Low as 1 Pip

As Low as 0.6 Pips

Another XM’s add- ones are XM VPS, Rapid Trade Execution and remote connection to a Virtual Private Server(VPS). The XM VPS allows non-stop work without your monitoring or even having computer on. Clients that maintain a minimum amount of $5,000 or equivalent, are eligible to request a Free VPS, for the ones’ that can’t meet the requirement, still can request a tool with a monthly cost – $28.

Along with that, every client can enjoy numerous educational materials, research data and other necessary information that brings trading to the new level. You should never skip education and your personal improvement, as those who have data can make much smarter decisions and XM will support your strives in this regards too. Additionally, if you are new to trading a demo account is another useful tool to test trading potential which XM is offering for free use.

XM Research and Education

Trading Platforms

In terms of the trading software, XM clients access to make transactions and trades throughout well-known and nearly perfectly-developed trading platforms MetaTrader4 and MetaTrader5.  XM choose their technology on a most popular industry platforms MT4 and MT5 not by case, but obviously for traders advantage, as the platforms are very known and allow you to get numerous extensions or access comprehensive education on how to use tools.

XM MT4 Platfrom

Directly accessible just from one account all platforms are integrated with a full site of technical analysis, indicators and comprehensive tools, stop or trailing orders. Automated trading or the trading robots are also available with unlimited use of charts and EAs for those that prefer technological trading. Though XM made a software even more advanced and suitable through 16 Trading platforms, which cater just any device including web, mobile, and even multiple accounts trading, so you can get full account functionality and make the trading process at ease and comfort.

XM Leverage

Depending on the account type and the entity under which the XM follow different regulatory obligations, you can choose the leverage on a scale from 1:1 to 888:1. As of the recent updates on protective measures the European clients and brokers can use a maximum leverage level up to a maximum of 30:1, while still, the Australian regulation allows up to 300:1.

On one hand, by using leverage you can significantly increase your potential income, yet that rule works reversal as well. Therefore, choose your leverage smartly, as well as the entity under which you would like to trade. As an instance, the XM Global that operates through Belize license may offer a very high leverage level of 888:1.

XM Trading Fees

XM operates with variable spreads, just like the interbank forex market and imposes no restrictions on trading during news releases. And that’s definitely good news to the traders, as usually fixed spreads are higher than a variable once, as well are more flexible to different trading strategies. That means all trading costs are calculated into a spread with no hidden fees and tightest spread offering.

In addition, XM spread also is a fractional pip price that gets the best prices from XM’s various liquidity providers. Meaning, instead of regular 4-digit quoting prices you can benefit from the smallest price movements by adding a 5th digit, known as a fraction. So let see on average spread reference calculated throughout the day on a Standard account on most popular instruments, yet for the accurate data check official website or XM trading platform.

Asset/ Pair

XM Fee Terms

EUR/USD

0.00016

Crude Oil WTI

0.05

Gold

0.3

BTC/USD

5

XM overnight fee or the fee that trader pays in case the position is opened longer than a day and is agreed through a swap contract that comes as a cost for traders. Every currency has a different interest rate which comes as a calculation. As an example assume that the interest rates in Japan and the US are 0.25% p.a. and 2.5% p.a. respectively, with an open position, you can either gain USD 6.16 per day or lose USD 6.16 per day, as the rollover calculated as an interest to borrowed currency or earned on the purchased currency.  

 Check out and compare XM fees with another broker Plus500.

XM Deposits and Withdrawals

The funds transaction at XM are managed in a customer-oriented way too, traders having a choice of various payment options including commonly used Credit cards, Bank wire and E-wallets (Neteller, Moneybookers Skrill, Western Union, MoneyGram, WebMoney, China UnionPay, SOFORT, iDEAL and even Bitcoin). As well company again taking care of their clients’ comfort and introduced a local bank transfer option, which enables to fund the account through local banks and currency with no conversion charges.

XM Minimum Deposit amount is 5 USD for multiple payment methods supported in all countries. However, the amount varies according to the chosen payment method and trading account validation status. Yet, you can read and find all necessary info in the Members Area.

XM Deposit

0% Withdrawal Fee applies traders and offers zero fees on deposits & withdrawals. Very pleasant addition indeed, as the XM company got all the transfer fees covered including e-wallets, major credit cards, instant account funding, and wire transfers with no hidden fees or commissions.

Conclusion on XM.com

In conclusion, XM as a well-regulated broker by numerous highly respected regulators delivers truly transparent conditions and is extremely customer friendly broker. Be sure, with XM you will find your own preferences and satisfy your needs, with advantages throughout all the process from A to Z, and attentive, always on-hand XM staff. All together do really assists in pleasant trading for both, new and experienced traders.

The fact that XM firm has quickly passed through its early development stage and in prevalence obtaining very favorable reviews made to be sure of its offering. No re-requotes and no hidden fees or commissions policy, as well Negative balance protection, all together brings very comfortable as well the strict real-time market execution policy and brings XM very welcomed among brokers offering. And one of the most generous proposals in the industry makes XM a truly human broker.

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