FXCM Overview
FXCM is a U.K.-based online broker offering forex, CFDs, and spread betting services using its proprietary platform for trading forex and CFDs called Trading Station, along with MetaTrader 4 and NinjaTrader.
In this FXCM review, we’ll dig deeper into the broker’s services, features, and other important aspects for you to consider when choosing the broker that best fits your trading preferences.
FXCM Background & Safety
A Leucadia-owned company, Forex Capital Markets (FXCM) was founded in the U.K. in 1999 to provide retail brokers, small hedge funds and emerging market banks access to wholesale execution and liquidity, while providing high and medium frequency funds access to prime brokerage services via FXCM Prime. Leucadia Investments is part of the merchant banking arm of Jefferies Financial Group.
The broker prides itself in providing innovative technology solutions, quality pricing, and transparent execution that will help its traders navigate and trade the financial markets. The companies that make up the FXCM Group are regulated in several jurisdictions. Forex Capital Markets Limited (FXCM LTD) is regulated by the Financial Conduct Authority (FCA) in the UK.
With its affiliation with the UK’s regulatory body, FXCM observes FCA client money rules of segregating client funds. Hence, client funds cannot be used to benefit other creditors. Over the years, FXCM has amassed several accolades and recognitions while promoting the advancement of the forex and CFD. Some of these include TOP RATED 2020 – FOREX TRADING PLATFORM by Investors Chronicle, Best Education & Best Trading Tools by Personal Wealth 2020, and Best Online Trading App by Compare Forex Brokers 2020.
FXCM also offers dedicated 24/5 customer support, with global offices in London, New York, Hong Kong, Sydney, and more. Unfortunately, FXCM services are not available in certain countries including the USA, Ukraine, Turkey, Russia, Iran, and many more.
FXCM Features & Fees
Market Coverage
FXCM provides access to several financial markets including forex (39 pairs comprising majors and commodity pairs), shares (zero commissions), indices (13 indices traded as contracts for difference), (9) commodities, and (5) cryptocurrencies.
Account Types
FXCM has four account types based on ownership: Individual, Joint, Corporate, and Trust Account. Variable spreads are available with trading fees charged irrespective of the account type. The typical spread for the EURUSD starts from 0.7 pips for the UK website and 1.3 pips for others. The maximum leverage for European clients is 1:30 while other clients are offered 1:400.
If you are a high-volume trader, FXCM’s Active Trader account would be the best option for you. This account has better spreads and customer support compared to the standard accounts. There is a one-time fee of $300 if you open a corporate account. This fee is deducted from your first deposit.
For opening an account, FXCM employs three easy steps for investors to follow. On FXCM’s official site, click on ‘Open Account’ found on the top right-hand corner of any page. Upon signing in, you are to stipulate your country of residence and your preferred trading platform, then, click ‘Begin Application’.
FXCM also provides free and unlimited demo accounts to enable traders to test the different trading platforms and conditions.
Other Fees
FXCM charges an inactivity fee worth $50 for accounts that are not active for one year.
Funding Methods
FXCM accepts payments through various payment methods. These include bank transfer, credit/debit card, Skrill, Neteller, and UnionPay.
The broker does not charge deposit fees. Moreover, does not accept cash deposits. The broker also rejects checks and funds transferred from exchange houses and other third parties. This is in compliance with the Anti-Money Laundering (AML) procedures.
For withdrawals, the same options are available as for deposits. The broker also does not charge a withdrawal fee for credit/debit card transfers. But bank transfers may cost up to $40.
FXCM Trading Platforms & Tools
FXCM has good platform offerings for its traders. It offers its proprietary platform Trading Station, along with MetaTrader 4 and NinjaTrader.
Trading Station is available in several versions:
Trading Station Web 2.0 – built on HTML5, it runs on web browsers across all operating systems. It is optimized for viewing on all screens. The platform is accessible from the FXCM website.
Trade Station Mobile – can be downloaded from the Google Play Store or Apple store. It is equipped with powerful trading tools for efficient trading and market analysis.
Trade Station Desktop – This can be downloaded and installed on a windows computer. Some of its features include chart customizations over multiple timeframes, price alerts, trading analytics, and news and economic calendar.
FXCM’s MT4 offering is available as a windows desktop downloadable application and also as mobile app for iOS and Android devices.
NinjaTrader is a high-end platform that features advanced trade management, complex charting capabilities, and 100 inbuilt indicators, and numerous drawing tools.
Other trading tools of FXCM include MT4 VPS, ZuluTrade, Live Forex charts, FXCM Plus, FXCM apps, Market Scanner, and Daily Technical Levels.
Bottom Line
FXCM is an established and regulated broker. It offers advanced technical solutions for your ultimate trading experience, enabling you to trade with confidence. If there’s one thing it needs to improve on, the broker needs to widen its covered trading instruments across financial markets.
