XM has come a long way since its establishment in 2009. Registered as Trading Point Holdings Limited, XM is an international forex broker that offers over 100 trading instruments, 60 currency pairs, and around 356 CDFs. Also, XM launched CDFs in 2017 on key cryptocurrencies such as Bitcoin, Litecoin, Dash, Ripple, and Ethereum.
With its head office in Limassol, Cyprus, XM is governed under strict rules and several regulatory bodies within Europe among them being CySEC in Cyprus, FCA in the UK, BaFin in Germany, and ASIC in Australia.
Since its establishment, XM has managed to gain a corporate reputation of their high merit of first-rate trading conditions, professional customer support, and business transparency.
Types of Accounts
A trader has to undergo a basic compliance check before being allowed to trade at XM. Before Opening an account the client will be asked to provide:
- A scanned copy of his passport, national identification card, or driving license.
- A bank statement or utility bill from the past three months.
There are three types of accounts for different kinds of traders. A trader can choose the type of account to open based on his situation and base currency option for EUR, USD, AUD, JPY, GBP, and CHF. These are the Micro account, Standard account, and Executive account.
- The Micro trading account– is the first level account that is mostly preferred by the first time clients who are still learning about Forex trade and also those who are cautious about taking huge risks. One can open an account with as little as five dollars. One micro lot is equal to 1,000 base currency units.
- The Standard trading account– This is the next level account that is mainly used by experienced traders who are comfortable with risking a moderate amount. One standard lot is equal to 100,000 base currency units.
- The Executive trading account– This is a higher risk, higher gains account that can only be activated by a deposit of a minimum of $100,000. It is mostly used by clients who trade in large volumes. One standard lot is equal to 100,000 base currency units.
XM also has a demonstration account with $ 100,000 virtual currency provided for users who want to try out the platform before they can finally make a decision.
It also offers Islamic accounts for Muslim clients who prefer to trade under the Sharia law principles.
Commissions and Spreads
The spreads and commissions at XM will vary depending on the type of account. The spread can begin as little as one pip.
There are three types that a trader can choose from.
- The commission-free Micro- Has an average spread on the EUR/USD listed at 1.7 pips
- Standard account- Also has its average spreads on the EUR/USD listed at 1.7 pips.
- The commission-based Zero account- This is the account with the most competitive prices. Their spreads on the EUR /USD are listed as 0.1 pips without including the commissions.
XM has tight spreads on more than 60 currency pairs that are offered to all account types. It also allows the client to trade on tighter spreads and get accurate quotes by providing fractional pip prices.
It offers leverage of 1:888 that is unique to the forex industry, and more than 100 trading instruments such as precious metals, currencies, CDFs, stocks, oil, and forex can be traded online or through the phone.
Since XM makes its profits on the spreads of the trade, there are no hidden charges and commissions to the clients. Also, there is no re-quotes or rejections of orders at XM.
Platforms and Tools
XM has two main trading platforms, the Meta Trader 4, and the Web Trader.
The Web trader allows the user access to instantaneous market information directly through the website without the need to download any software. It is mostly preferred by those with inadequate hard disc space and those who wish to use their smartphones to access their accounts.
Meta Trader 4 is currently the most popular system because it is easy to use and gives clear prices and movements which increase the performance of the trader. This platform works with numerous numbers of both demo and real accounts, and also supports Expert Advisors (EAs).
The trading software that is currently available is MT4 Terminals; MT4 for Mac; iPhone trader; Web trader; iPad trader; Droid trader; Mobile Trader.
Also, with the XM MAM Trader, several users are able to manage and use several accounts with limitless use of charts and EAs.
Customer support is available for 24 hours on weekdays to all XM clients with both real or demo accounts. Traders can be able to access the professional support through live chats, emails, and telephones. The professional customer support staff can communicate in more than 14 languages including English, French, Arabic, German, Chinese, Hindi, Japanese, Italian, Greek, Hungarian, Korean, Russian, Spanish, Malay, Portuguese, Thai, and Turkish.
Clients are provided with unlimited helpful forex materials and with free interactive webinars every week and also a uniquely made MT4 video tutorial. The traders are also provided with forex news articles and market analysis from financial experts at XM. This helps them to follow and understand the market changes and make informed trading decisions.
Traders get the opportunity to meet and interact with XM’s representatives through international seminars and workshops that are held regularly.
Withdrawal and Payment
The clients’ funds are secured by being kept in Tiel segregated Barclays accounts. The account funding is automatically processed 24/7 and same day withdrawals are allowed.
XM provides a variety of different transfer and withdrawal method. Some of these are:
- Western union
- Credit cards( VISA, VISA Electron, MasterCard, Solo, Switch)
- China UnionPay
- Moneygram etc
It also recently introduced the local bank transfer option which allows users from over 58 countries to fund their accounts through their local banks and in their local currency.
The client does not incur any hidden charges or commissions through money transfer and XM covers all the money transfer fees.
Pros / Cons
- Licensed and regulated in the EU
- Leverage of up to 1:888
- No hidden charges and commissions
- Tight spread
- Fast and Easy withdrawals
- Offers numerous international seminars
- Automated web and phone trading
- 24 hours multilingual support
- Customer support unavailable during the weekends
- Does not support PayPal money transfer
- Other than the risks and trading volumes, there is no much difference between the three accounts
- The minimum deposits of $100,000 in the upper level only cater for the wealthy
XM has numerous benefits and has become one of the most popular forex brokers catering to traders of different trade skills. Their many benefits range from their easy to use platforms, excellent and professional customer support, no order re-quote or rejection, and their leverage of up to 1:888.
Their traders are provided with all the forex information and analysis they need from financial experts and weekly webinars. This enables them to make informed trading decisions.
Also to note, XM offers great seasonal bonuses to their clients several times a year and some very exclusive bonuses made on an invite-only basis.