XCM Markets Forex Review 2021

Regulated and trusted across the globe, XCM Markets offers traders the ultimate package of excellent trading and research tools, industry-leading education, competitive pricing, and an extensive list of tradeable products. This fantastic all-round experience makes XCM Markets the best overall broker in 2021.

Top Takeaways for 2021

Here are our top findings on XCM MARKETS:

  • Founded in 2020, XCM Markets is publicly traded and regulated in six tier-1 jurisdictions, making it a safe broker (low-risk) for forex and CFDs trading. All jurisdictions considered, XCM Markets ranks as the most trusted forex and CFDs broker in our 2021 Review.
  • XCM Markets is the ultimate forex broker, finishing 1st Overall in our 2021 ranking. Alongside finishing third for Platforms and Tools and second for Research, XCM Markets finished Best in Class (top 7) for Offering of Investments (19,000+ tradeable instruments), Commissions and Fees, Education, Mobile Trading, Professional Trading, and Cryptocurrency Trading.
  • While XCM Markets also offers MetaTrader and premium MT4 add-ons from FX Blue, only 76 tradeable instruments are available. No question, XCM Markets flagship platform is the better choice between the two.

Special Offer:

  • Established 1974, join 239,000+ traders worldwide Visit Site

Overall Summary

Rank: 1st

FeatureXCM Markets
Overall5 Stars
Trust Score99
Offering of Investments5 Stars
Commissions & Fees5 Stars
Platforms & Tools5 Stars
Research5 Stars
Mobile Trading5 Stars
Education5 Stars

Is XCM Markets Safe?

Trust Score

XCM Markets is considered low-risk, with an overall Trust Score of 99 out of 99. XCM Markets is a publicly traded company, operates a regulated bank, and is authorised by six tier-1 regulators (high trust), three tier-2 regulators (average trust), and one tier-3 regulator (low trust). XCM Markets is authorised by the following tier-1 regulators: Australian Securities & Investment Commission (ASIC)Japanese Financial Services Authority (JFSA)Monetary Authority of Singapore (MAS)Swiss Financial Market Supervisory Authority (FINMA)Financial Conduct Authority (FCA), and the Commodity Futures Trading Commission (CFTC). Learn more about Trust Score.

Regulations Comparison

FeatureXCM Markets
Year Founded1974
Publicly Traded (Listed)Yes
BankYes
Tier-1 Licenses6
Tier-2 Licenses3
Tier-3 Licenses1
Trust Score99

Offering of Investments

Rank: 2nd

The range of markets available to you may vary depending on the XCM Markets entity that you choose. Residents of the UK, New Zealand, Japan, and the US must choose their respective local XCM Markets entity.

Cryptocurrency: Cryptocurrency trading is available through CFDs, but not available through trading the underlying asset (e.g. buying Bitcoin). Note: Crypto CFDs are not available from any broker’s UK entity, nor to UK residents.

The following table summarizes the different investment products available to XCM Markets clients.

FeatureXCM Markets
Forex TradingYes
CFDs (Total)19537
Forex Pairs (Total)104
Cryptocurrency (Physical)No
Cryptocurrency (CFD)Yes
Social Trading / Copy-TradingYes

Commissions and Fees

Rank: 5th

XCM Markets uses its size to provide traders competitive pricing across the board, regardless of the product you trade, and shines for its active trader pricing available through its Forex Direct accounts.

CFD account average spreads: For mini and standard size contracts, typical spreads during the main trading session from Midnight to 9 pm (0000 – 2100, GMT+1 time) averaged 0.745 pips in August 2020. It is worth noting that just like with other brokers, spreads during low-liquid times are higher than normal, averaging 1.39 pips at XCM Markets in August 2020, during the 2100 – 0000 (GMT+1) session.

CFD account active trader rebates: For volume traders who qualify as professionals under EU rules, XCM Markets offers pricing discounts via its active trader rebate program. This program provides three tiers. In tier one, if you transact over £50M worth of forex volume per month, then 10% of the spread is rebated. Meanwhile, if you trade over £300M per month, then as much as 20% is rebated. To put this in context, 20% off of 0.745 pips (August 2020 data from main trading sessions) would have resulted in an all-in cost of just 0.596 pips, which is very competitive.

DMA account (Forex Direct): For the savviest traders seeking more significant discounts than what is offered in the CFD account, the DMA account is the better option than the active trader rebates on XCM Markets’s spread-only pricing. This commission-based offering, Forex Direct, is available via the DMA account and provides traders access to the L2 Dealer platform. The DMA account requires just a £1,000 minimum and uses a tiered pricing scale based on the trader’s previous month’s trading volume.

DMA account average spreads: With average spreads of 0.165 on the EUR/USD for the 12 weeks ending March 19th, 2019, the all-in spread is 1.3 pips using the base tier of $60 per million for traders that do less than $100M per month. Traders that do over 1.5 yards (billion USD in volume) see their per-side commission drop to $10 per million ($20 round-turn), resulting in an effective spread of 0.165 + 0.20 = 0.365 pips, using the 2019 data.

Execution method: Forex Direct streams from interbank liquidity providers where XCM Markets acts as an agency broker and doesn’t add on any additional spread. Instead, XCM MARKETS adds a commission to each trade you make (similar to IC MarketsFP Markets, or FOREX.com‘s DMA account). Finally, in the CFD account, users can switch between the execution method via the available order types, depending on if they want to force open a trade with potential slippage, compared to orders that can be rejected if the price is no longer available.

Account Types

Choose an account type and experience a trading platform with unique advantages.

Standard


Access all our instruments commission-free and with any balance
.$100 Minimum
Base Currency: $
Minimum Lot Size 0.01
Commissions: 0 (FX, CFD & Metals)
Spread minimum: 7 pips
Leverage: up to 1: 400
Order Execution: STP
Trading Platform: MT4
Server Location: LD4
Mobile Trading: Yes
Maximum Lot Size 100
Application Type: Market
Application Speed: 50ms average
Margin Call/Stop out: %20
Hedge Margin: Biggest Position

GOLD

Suitable for IntraDay transactions, with
low commission rates.
$5000 Minimum
Base Currency: $
Minimum Lot Size: 0.01
Commissions: 0 (FX & Metals)
Spread minimum: 6 pips
Leverage up to 1: 400
Order Execution: STP
Trading Platform: MT4
Server Location: LD4
Mobile transaction: Yes
Maximum Lot Size: 100
Application Type: Market
Application Speed: 50ms average
Margin Call/Stop out: %20
Hedge Margin: Biggest Position

Platinum


Try our top tier account to take advantage of low commissions .
$10000 Minimum
Base Currency: $
Minimum Lot Size: 0.01
Commissions: 0 (FX, CFD & Metals)
Spread minimum: 5 pips
Leverage: up to 1: 400
Order Execution: STP
Trading Platform: MT4
Server Location: LD4
Mobile transaction: Yes
Maximum Lot Size: 100
Application Type: Market
Application Speed: 50ms average
Margin Call/Stop out: %20
Hedge Margin: Biggest Position

Diamond


Try our top tier account to take advantage of low commissions .
$20000 Minimum
Base Currency: $
Minimum Lot Size: 0.01
Commissions: 0 (FX, CFD & Metals)
Spread minimum: 4 pips
Leverage: up to 1: 400
Order Execution: STP
Trading Platform: MT4
Server Location: LD4
Mobile transaction: Yes
Maximum Lot Size: 100
Application Type: Market
Application Speed: 50ms average
Margin Call/Stop out: %20
Hedge Margin: Biggest Position

Platforms and Tools

Rank: 3rd

XCM MARKETS provides an outstanding selection of trading platforms and tools. The functionality is widespread and serves traders of all experience levels. Besides the L2 Dealer and ProRealTime charting platform, I focused my testing on XCM MARKETS‘s flagship web platform.

XCM MARKETS web platform features: XCM MARKETS‘s proprietary web-based platform comes loaded with a vast selection of features. Usability is at the heart of the experience. For example, charts open from nearly any view where live market prices or streaming bid/ask rates are shown. There are also endless research and trading tools, including risk-management modules integrated directly. The only minor caveat is you must take a few minutes to set up the layout, as the default view is mostly empty. Multiple custom layouts can be saved.

XCM MARKETS web platform charting: The default charts within the platform feature 30 optional studies and advanced functionality, such as adding up to four alerts on any of 11 supported indicators. Besides five chart types, there is also a tick chart, which not all brokers offer. I also greatly appreciated that zooming in and out, alongside resizing the view across timeframes, felt very fast and smooth. Lastly, trading from the chart with an integrated trade ticket shows risk/reward ratios and allows you to drag any stops/limits with great precision.

Additional platforms: XCM MARKETS offers the MetaTrader4 (MT4) platform and its L2 Dealer platform, where Forex Direct and Direct Market Access (DMA) are available for share trading. While I do not recommend MT4 due to the limited product range, L2 Dealer can be a viable option due to the discounts available for active traders, and for its support of advanced algorithmic order types.

FeatureXCM MARKETS
Virtual Trading (Demo)Yes
Proprietary PlatformYes
Desktop Platform (Windows)Yes
Web PlatformYes
Social Trading / Copy-TradingYes
MetaTrader 4 (MT4)Yes
MetaTrader 5 (MT5)No
cTraderNo
DupliTradeNo
ZuluTradeNo
Charting – Indicators / Studies (Total)30
Charting – Drawing Tools (Total)20
Charting – Trade From ChartYes
Watchlists – Total Fields14
Order Type – Trailing StopYes

Research

Rank: 2nd

XCM MARKETS provides traders a vast selection of excellent quality market research from both in-house and third-party providers. Overall, the amount of content in XCM MARKETS‘s platform is only matched by Saxo BankTD Ameritrade (US residents only), and Interactive Brokers.

News and Market Analysis: XCM MARKETS‘s research tools include staples such as streaming news from Reuters and an economic calendar. Advanced tools include a customizable screener for various asset classes, including CFDs on global stocks, forex, and cryptocurrencies. Demonstrating its innovation, content is even personalized with the new “Recommended News” section that aims to tailor headlines based on your account traits. There are also numerous streaming videos from Reuters and XCM MARKETS, with multiple videos daily covering global financial markets.

Trading signals and premium content: XCM MARKETS integrates Autochartist and PIA First into its platform, allowing traders to view trade signals generated by automated pattern-recognition and technical analysis. These trading ideas conveniently enable a trader to copy them with a single click, which pre-populates the trade ticket window.

DailyFX and XCM MARKETS Community: XCM MARKETS powers DailyFX, a blog-style news website that provides XCM MARKETS‘s clients with news content and various research tools. Finally, XCM MARKETS Community, a recently launched social network resembling an advanced forum, brings together over 80,000 users. While the content is crowdsourced, I found it to be of value because XCM MARKETS hand picks the best research articles. There is also a time-line, akin to a social network showing member’s actions, such as new joins, follows, and comments on threads.

FeatureXCM MARKETS
Daily Market CommentaryYes
Forex News (Top-Tier Sources)Yes
Weekly WebinarsYes
AutoChartistYes
Trading Central (Recognia)No
Delkos ResearchNo
Social Sentiment – Currency PairsYes
Economic CalendarYes

Education

Rank: 1st

XCM MARKETS is a leader for its educational content, offering a vast selection of formats including video, written articles, and even progress tracking and quizzes. In addition, XCM MARKETS even has its own mobile app for education, in addition to educational courses by experience level on XCM MARKETS Academy, numerous weekly webinars, and guides provided by Daily FX.

DailyFX: With eight trading guides for beginners, five advanced guides, and written materials in a course designed with progress tracking, DailyFX has a good array of educational content. For example, there are seven articles about risk-management with Bollinger Bands. In addition to educational content, there are 17 beginner articles, and support is also available for additional languages.

IG Academy: There are eight courses organized by experience level, where each one provides multiple chapters with quizzes incorporated throughout, creating an interactive experience. I also liked that specific chapters had video content included, in addition to lesson summaries.

Videos: In addition to numerous archived content and playlists on its various YouTube Channels, XCM MARKETS provides multiple webinars per week. Its in-house staff covers educational topics live, such as the Technical Analysis Masterclass. Even archived webinars are organized by experience level, making it easy to find what you need quickly.

XCM MARKETS Community: As noted in the research section above, the XCM MARKETS Community produces content that is curated by XCM MARKETS, and this includes educational articles. For example, there are traders sharing their personal views, such as regarding any past trading failures and success

FeatureXCM MARKETS
Has Education – ForexYes
Has Education – CFDsYes
Client WebinarsYes
Client Webinars (Archived)Yes
Videos – Beginner Trading VideosYes
Videos – Advanced Trading VideosYes
Investor Dictionary (Glossary)Yes
Tutorials/Guide (PDF or Interactive)Yes

Mobile Trading

Rank: 1st

XCM MARKETS‘s mobile app competes with the best in the industry as the app comes packed with plenty of features that will satisfy both casual and advanced traders.

Tools: XCM MARKETS‘s mobile app includes features such as alerts, sentiment readings, an economic calendar, and watch lists, including detailed market information for each instrument, all packed within a well-designed layout. Watchlists automatically sync with XCM MARKETS‘s web platform.

Charting: XCM MARKETS‘s mobile app is also loaded with 30 technical indicators, 20 drawing tools, and 16 time frames to select from across five chart types, including tick charts. If you take the time to access the menu, setting up charts is easy. The only drawback is that chart indicators added in the web do not automatically sync in mobile, although they can be saved as presets. Still, it was an absolute pleasure to use XCM MARKETS Mobile charts, as they felt fast with high precision when zooming in and out across timeframes.

Research: In the XCM MARKETS Mobile app, research is limited to news headlines from Reuters, signals from Autochartist, and PIA First.

Educational videos: For educational content, XCM MARKETS offers a separate standalone mobile app called XCM MARKETS Academy.

MetaTrader: While I do not recommend using MetaTrader with XCM MARKETS, the app is available.

FeatureXCM MARKETS
Android AppYes
Apple iOS AppYes
Alerts – Basic FieldsYes
Watch ListYes
Watch List SyncingYes
Charting – Indicators / Studies30
Charting – Draw TrendlinesYes
Charting – Trendlines MoveableYes
Charting – Multiple Time FramesYes
Charting – Drawings AutosaveYes
Forex CalendarYes

Final Thoughts

Retail forex and CFD traders who want a trusted, low-cost broker with brilliant tools, research, and access to nearly every global market (over 19,500 tradeable assets) will find that XCM MARKETS is a fantastic choice. XCM MARKETS finished Best in Class across multiple categories in 2021, including Offering of Investments, Commissions and Fees, Platform and Tools, Research, Education (1st), Mobile Trading (1st), Professional Trading, Crypto Trading, Trust Score (1st), and Overall (1st).

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