XM Review – Top CFD & Forex Broker 2021

By | June 29, 2021

XM is a good name in the broking market. In this XM Review, we will discuss the process of opening an XM account, its pros and cons, customer support, and more. 

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What is XM?

XM Review

XM is an online broker who trades only in CFD and Forex. It has its parent company named Trading point holding, which was founded in 2009.

XM is available globally and is regulated by three financial authorities:

The Cyprus Securities and Exchange Commission (CySEC), the Australian Securities and Investments Commission (ASIC), and the International Financial Services Commission of Belize (IFSC).

Account opening

Account opening at XM is hassle-free and fully digital. It has a fast account verification process. You can start trading from an account on the very same day. 

It accepts customers throughout the world but has few countries as exceptions. Unfortunately, you can’t open an XM account if you live in these countries:

  • USA 
  • Canada 
  • China 
  • Japan 
  • New Zealand
  • Israel

What is the minimum deposit at XM?

The required XM minimum deposit is $5 for the Standard and Micro accounts, which is very low.

XM Account Types

MicroStandardXM ZeroXM Ultra LowShares Account
Client countryEEAAustraliaOther countriesEEAAustraliaOther countriesEAAAustraliaOther countries Non-EEA and non-Australian clients
PricingNo commission, but higher spreadNo commission, but higher spreadThere is a commission, but the spread is very lowNo commission and the spread is low Market spread and commission
Base currenciesUSD, EUR, GBP, JPY, CHF, AUD, HUF, PLN, RUB, SGD, ZARUSD, EUR, GBP, JPY, CHF, AUD, HUF, PLN, RUB, SGD, ZAREUR, USD, JPYEUR, USD, GBP, AUD, ZAR, SGDUSD
Minimum deposit$5$5$100$50$10,000
Contract size1 Lot = 1,0001 Lot = 100,000Lot = 100,000Standard Ultra: 1 Lot = 100,000
Micro Ultra: 1 Lot = 1,000
1 share

XM provides accounts in 21 different languages. It doesn’t offer a corporate account. 

XM Account Opening Process:

  1. Fill in your name, country of residence, email address, and telephone number.
  2. Select the trading platform (MT4 or MT5) and account type.
  3. Add your personal information, such as your date of birth and address.
  4. Select the base currency and the size of the leverage.
  5. Provide your financial information and answer questions about your financial knowledge.
  6. Verify your identity and residency. You can upload a copy of your national ID, passport, or driver’s license to verify your identity, while utility bills and bank statements are accepted as proof of residency.

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XM Fees

XM fees

XM fees snapshot

AssetsFee Terms
S&P 500 CFDThe fees are built into the spread; 0.7 points are the average spread cost during peak trading hours.
Europe 50 CFDThe fees are built into the spread; 2.6 points are the average spread cost during peak trading hours.
EURUSDWith Standard, Micro, and Ultra-Low accounts, the fees are built into the spread. For example, 1.7 pips are the Standard account’s average spread cost during peak trading hours. With XM Zero accounts, there is a $3.5 commission per lot per trade and a small spread cost.
Inactivity fee$15 one-off maintenance fee after one year of inactivity, followed by a $5 per month fee if the account remains inactive.

XM CFD fees for a $2,000 long position held for one week

S&P 500 index CFD fee$1.6
Europe 50 index CFD fee$2.4
Apple CFD fee$6.4
Vodafone CFD fee$1.2

XM forex benchmark fees of a $20,000 held for one week

EURUSD benchmark fee$9.5
GBPUSD benchmark fee$8.4
AUDUSD benchmark fee$10.3
EURCHF benchmark fee$9.7
EURGBP benchmark fee$10.5

Stock and ETF commission of a $2,000 trade

US stock$1.0
UK stock$9.0
German stock$5.0

XM stock commission

Stock marketCommissionMinimum commission
USA$0.04 per share$1
UK0.10%$9
Germany0.10%$5

Deposit and Withdrawal

XM’s deposit and withdrawal process is simple and fast. It offers a bank, credit/debit, and eWallet deposit and withdrawal. The only thing is that bank transfer below $200 is chargeable, which incurs a $15 fee.

Trading Platform

XM Trading Platform

XM does not have a trading platform. Instead, its trading platform is provided by MetaTrader. It is highly customizable and provides a clear fee report. In addition, MetaTrader4 is available in 41 different languages. 

It has provided 3 types of trading platforms, and all of them are provided by MetaTrader4 only. Mobile trading platforms also have great functionality, the same as desktop and web platforms. 

Products Offered

 XM only offers trade-in CFDs and Forex. Other real-time assets like stocks and ETFs are missing. it is a CFD and forex broker with a great number of currency pairs available for trading. 

XM product selection

Currency pairs (#)57
Stock index CFDs (#)28
Stock CFDs (#)1240
Commodity CFDs (#)15
Cryptos (#)

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Research

XM’s research tools have two sources:

  • The ‘Research & Education’ section on the website
  • MetaTrader trading platforms

The ‘Research & Education’ section is somewhat limited if you choose a language other than English. However, if you go with English, you can access extra features like:

  • Markets Overview: a summary page of all the latest news on the markets
  • XM Research: a page that consists of analyses, reviews, and comments on market movements
  • Technical Summaries: a short collection of instrument movements by the minute, hour, or day
  • Podcasts

These are all great additions to XM’s research side; not many brokers have such various tools ready.

Safety

Is XM Safe?

Three top financial institutions regulate XM. But it is not listed in any of the stock exchanges. Plus, it does not provide any financial information of any financial year. 

How are you protected?

XM legal entities  

Country of clientsProtection amountRegulatorLegal entity
EEA countries€20,000Cyprus Securities and Exchange Commission (CySEC)Trading Point of Financial Instruments Ltd.
AustraliaNo protectionAustralian Securities and Investments Commission (ASIC)Trading Point of Financial Instruments Pty Ltd.
Rest of the worldNo protectionInternational Financial Services Commission of Belize (IFSC)XM Global Limited

Customer Service

XM Customer Service

 XM’s customer service is available in many different languages. You can contact them via phone, email, and live chat. However, phone support is not available on weekends. 

Pros / Cons

ProsCons
Easy and fast account openingAverage forex and stock index CFD fees
Low stock CFD feesNo investor protection for non-EU clients
No withdrawal feeInactivity fee
Low minimum depositNo two-step (safer) login
Free wire withdrawal above $200No 24/7 Support

XM Review Verdict

XM Review Verdict

XM has a good name for forex trading. Top financial institutions regulate it. It has a good transaction history. The benefit it has is that it provides quality educational and research tools. Also, it doesn’t charge any withdrawal fee.

The drawback lies in limited product availability and customer support.

But overall, it is a good experience to work on XM; as the inactivity fee hits after a year, one can definitely try this. 


FAQs

What is the minimum deposit at XM?

The required XM minimum deposit is $5 for the Standard and Micro accounts, which is very low.

What rate do I get when using AutoFX on XM?

When using AutoFX, the exchange rate you receive will be the spot rate + 0.10%

Can I renew my demo account?

Demo accounts last for 30 days after sign up. Afterward, you will not be able to log in using the demo account credentials. Demo renewals are not available at this time. 

XM Review

9.2

Products

9.2/10

Account Opening

9.0/10

Fees

9.3/10

Education

9.1/10
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