XM Broker Review
Choosabroker XM Brokerage Review
Growing since 2009, Cyprus-based brokerage XM caters to a wide variety of traders with over 1,000 markets accessible on any device. This brokerage is particularly suitable for small-to-medium sized traders given its attractive trading conditions available to these users.
|XM Broker Benefits||XM Time Broker Drawbacks|
|Over 1,000 financial markets available to trade||Not ideal for large scale traders|
|Financial products are accessible on all devices and browser||No cryptocurrency markets available|
|Serves niche needs such as allowing users to open an Islamic account||No social trading available|
Headquartered in Cyprus, online brokerage XM provides services for traders in over 190 countries. With over 1,000 markets available to trade, XM has become a popular trading service for a wide variety of market enthusiasts.
Our expert team of analysts at Choosabroker have reviewed XM to provide our readers with the need-to-know details of this online brokerage. Furthermore, we highlight who this broker is most suitable for and what kind of traders should look elsewhere.
XM is licenced to operate in several regions worldwide. Its services have expanded to traders in over 190 countries. The brokerage is regulated by ASIC, CySEC, FCA, IFSC, and DFSA. Major markets for XM’s trading services include South Africa, Asia, the UK, and China
XM started briefly after the great recession of 2008. Founded in 2009, the brokerage began in tough economic conditions where credit was tight. It is a testament to the quality of the forex brokerage that it started in such conditions and managed to build its online brokerage to serve numerous regions.
While XM is available to a wide variety of customers, it should be noted that the XM brokerage services are restricted for US-based customers. XM brokerage services are also currently restricted from third-world territories. However, most potential customers will be able to access XM trading services in their region and in their local languages with 22 languages available on the XM homepage.
Over 1,000 Markets Accessible On Every Device
|Asset Class||Number of Markets Offered||Major Instruments|
|Forex||55+||EUR/USD, USD/CHF, NZD/JPY|
|Stocks||1,186||Apple (AAPL), Barclays (BARC), Cisco (CSCO)|
|Commodities||8||Cocoa, Coffee, Corn|
|Equity Indices||30||EU50 (futures market), US100 (futures market), GER30 (futures market)|
|Precious Metals||2||Gold, Silver|
|Energies||5||Oil, Natural Gas, Brent|
The forex markets are available to XM clients five days each week for 24 hours. XM customers can access stocks, indices, commodities, and metals through CFD products which allow traders to go both long and short. XM can also apply leverage in some of these markets up to 30:1.
This leverage capability means that traders can increase the total value of their trade up to thirty times their equity in the position. However, it also means that the trade will be automatically liquidated if the trade moves in the wrong direction to such an extent that it eradicates their equity in the position.
XM traders can access the available markets on several devices with a choice of various trading platforms. The trading platforms offered by XM include MetaTrader 4 (MT4), MetaTrader 5 (MT5), and WebTrader. Between all the trading platforms, XM traders can access the market on PC, MAC, Android, iOS, tablet, and web browser. The WebTrader is a convenient option for forex traders who want to access the markets on any device when it is not suitable to log in on their usual trading platform.
The most popular choice among the trading platforms is MT4. MT4 is a widely used platform for forex traders. Traders have access to an enormous suite of analysis tools and order types on the trading platform.
Traders will find a wide variety of technical analysis indicators on MT4 and can also execute more advanced features such as trading through a virtual private server or one-click trading. Expert Advisor (EA) is also a function at the disposal of XM traders using MT4.
EAs are software which can signal to traders when to trade based on predetermined conditions. EAs can also be programmed to trade automatically on specified conditions.
XM brokerage services are particularly suitable for small-to-medium sized traders. Both micro and standard accounts are offered.
The contract sizes in the XM standard account are 100 times larger than the contract sizes in the XM micro account. There is no commission charged on either of these XM account types. Spread sizes can be as low as 1 pip with the XM standard and micro-accounts.
An XM Zero Account is also available where spread sizes can be as low as 0 pips. However, XM traders are charged commissions on such accounts.
There are no special account types which offer more attractive terms to larger traders such as corporate trading accounts or VIP accounts. One of the missions of XM is to provide equal trading conditions to all their trader customers.
XM Trading Content
XM also provides news, analysis, and tools to their audience. This news and analysis include:
- Technical analysis
- News developments
- Educational webinars and seminars
- Forex calculator
- Trading tools
- Video content
Market reviews are published daily by XM with several technical analysis pieces also being released each day. The technical analysis reports cover various markets.
The XM team of analysts distribute their content in both written and video format. Analysts from the XM team have appeared on finance media outlets such as Bloomberg and traders can also access content on their YouTube channel.
XM customers can also find several tools to improve their trading experience. Trading tools include algorithmic technical analysis indicators, forex calculator to establish margin requirements, and a trading signals community.
Who should trade with XM?
Those who have large account sizes may find more attractive trading terms with other online brokerages given that XM does not offer corporate accounts. One of XM’s visions is to offer the same trading conditions to all clients regardless of account size.
While this is a great feature for traders with small to medium amounts of capital, those forex traders with larger account sizes may be seeking more attractive trading terms. In this case, we suggest considering brokerages such as City Index, FP Markets, and Saxo Bank. All of these forex brokerages offer more advanced trading accounts and attractive trading terms for large customers. Check out our leading brokers for beginners and best day trading brokerages for more information.
XM is an extremely good choice for online traders who want access to a wide variety of markets. With over 1,000 markets available in stocks alone, most traders will find the market which they are looking for.
Cryptocurrency traders are an exception but traders can find such markets with other online brokerages such as eToro, XTB, and easyMarkets. In addition to offering a wide variety of markets to traders, XM offers their services in over 30 languages and caters for the niche needs of certain traders such as opening an Islamic account or trading through a virtual private server. Overall, XM is a strong choice for small-to-medium-sized traders and traders in a wide variety of regions will find they can access XM trading services in their local language.
Expert advisors (EAs)
Virtual private server
Direct market access
Major Stock markets (US UK Germany)
Hong Kong stocks
Listed on Stock Exchange
Zero spread account