XM Review

The ideal forex broker

Pros

Cons

Contents

Introduction

With more than 2,500,000 clients since it was founded in 2009, XM has become one of the largest CFD brokers. XM currently employs more than 450 professionals with experience in the financial sector. XM provides support in more than 30 languages, including Dutch. This already indicates that it is a major international broker. XM is active in 196 countries and is one of the few brokers where the MetaTrader 5 platform is available. This broker has grown especially in forex trading, as well as in CFDs on stock indices, precious metals and energy.

Target audience

With its wide variety of trading platforms, XM is suitable for both novice and experienced investors. XM focuses primarily on currency trading. At this broker, novice investors can find more than enough educational material to familiarize themselves with the world of investing. Unique to XM is "XM Live" where you can ask questions every day to two guests reporting on a camera. In addition, webinars and instructional videos etc. are available.

Is XM reliable?

XM is regulated worldwide 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). XM is therefore a reliable broker. Retail client amounts are insured by the Investor Compensation Fund up to £20,000. In the meantime, all clients benefit from negative balance sheet protection, so that they never run the risk of losing more than their account balance.

Customer experiences on Trustpilot
2.9/5
This broker gets a rating of 2.9/5 stars on Trustpilot which is an average score. Most of the reviews you read resemble employee advertisements that seem to help customers get their lost money back. This is quite strange. A number of positive reviews are about the good options for trading with forex.

Trading instruments

The product range in CFDs is fairly small. You can only invest CFDs in forex, stocks, indices, commodities and cryptocurrencies. There are therefore no ETFs, bonds, options and futures available. If you only want to invest in forex, this is of course no problem. You can trade in a large number of currency pairs at XM. The CFD offer in the most important categories can be seen below.

Forex

0
pairs

Stocks

0
#

Cryptos

0
#

Commodities

0
#

Indices

0
#

ETFs

0
#

Trading platform

The XM trading platform is based on the universal MetaTrader 4 platform. It is adaptable to your own wishes in many ways. Downside is that not all price alerts are available, and the platform looks dated. You can also use the advanced MetaTrader 5, where you can also buy CFDs in shares (this is not possible on MetaTrader 4) XM also offers a social trading service. With the Mirror Trader platform, investors can mirror professional traders on their own trading accounts and execute transactions manually, semi-automatically or automatically.

Fees and commissions

XM has low spreads for CFDs and does not charge cash withdrawal costs. The spreads for CFDs in forex are average. Below are the costs of a number of common transactions with different CFD brokers. These are long 20:1 CFD and 30:1 forex positions held for 1 week (source: brokerchooser.com). For a complete cost comparison you can check out the CFD comparison page.

£2.000 Apple CFD

£2.000 Europe 50 Index CFD

£20.000 EUR/USD 

£20.000 GBP/USD 

£3.40

£2.40

£17.10

£13.80

£6.30

£2.70

£19.60

£16.20

£8.90

£1.30

£17.90

£14

£0.90

£1.60

£17.30

£18.20

£6.40

£2.50

£24.50

£25

Demo account

Learn to use the trading platform in the free demo mode. You can practice CFD trading indefinitely. Once you understand it, you can easily switch to real mode.

In short

XM is the ideal broker for the investor who likes to invest in forex. The CFD offer in currency pairs is wide, and the trading platforms are set up for forex trading. Unique with XM is the possibility to use MetaTrader 5.

£ 0
minimum storting

# Active investors

200,000

Reliability

4/5

Trading platform

4/5
  • MetaTrader 4
  • MetaTrader 5
  • Social platform
  • Type of investor

Allround

  • Functions

Average

  • Mobile app

Spreads

Low

Spread EUR/USD*

1.7

Tradable assets

1,300

CFDs in shares

1,200

CFDs in forex

57 pairs

CFDs in cryptos

5

CFDs in commodities

15

CFDs in indices

18

CFDs in ETFs

Loss-making investors

74%

Customer service

4/5

Education

5/5

Usability

4/5

Inactivity fee

£5 PM after 3 months

Bank transfer

Credit card

PayPal

Compare XM with other CFD brokers

£ 0
minimum deposit

# Active investors

Unknown

Reliability

4/5

Trading platform

4.5/5
  • MetaTrader 4
  • MetaTrader 5
  • Social platform
  • Type of investor

Active

  • Functions

Professional

  • Mobile app

Spreads

Low

Spread EUR/USD*

0.5

Tradable assets

2,200

CFDs in shares

2,000

CFDs in forex

67 pairs

CFDs in cryptos

6

CFDs in commodities

26

CFDs in indices

43

CFDs in ETFs

57

Loss-making investors

75%

Customer service

3.5/5

Education

5/5

Usability

4.5/5

Inactivity fee

£10 PM after 3 months

Bank transfer

Credit card

PayPal

£ 0
minimum deposit

# Active investors

200,000

Reliability

4/5

Trading platform

4/5
  • MetaTrader 4
  • MetaTrader 5
  • Social platform
  • Type of investor

Beginner

  • Functions

Average

  • Mobile app

Spreads

Low

Spread EUR/USD*

0.6

Tradable assets

2,000

CFDs in shares

1,900

CFDs in forex

50 pairs

CFDs in cryptos

14

CFDs in commodities

22

CFDs in indices

30

CFDs in ETFs

95

Loss-making investors

76.4%

Customer service

4/5

Education

4/5

Usability

5/5

Inactivity fee

£10 PM after 3 months

Bankoverschrijving

Creditcard

PayPal

£ 0
minimum deposit

# Active investors

400,000

Reliability

4/5

Trading platform

4.5/5
  • MetaTrader 4
  • MetaTrader 5
  • Social platform
  • Type of investor

Allround

  • Functions

Average

  • Mobile app

Spreads

Average

Spread EUR/USD*

3

Tradable assets

1,200

CFDs in shares

1,000

CFDs in forex

57 pairs

CFDs in cryptos

92

CFDs in commodities

13

CFDs in indices

13

CFDs in ETFs

21

Loss-making investors

75%

Customer service

4/5

Education

3/5

Usability

5/5

Inactivity fee

£10 PM after 1 year

Bankoverschrijving

Creditcard

PayPal

£ 0
minimum storting

# Active investors

200,000

Reliability

4/5

Trading platform

4/5
  • MetaTrader 4
  • MetaTrader 5
  • Social platform
  • Type of investor

Allround

  • Functions

Average

  • Mobile app

Spreads

Low

Spread EUR/USD*

1.7

Tradable assets

1,300

CFDs in shares

1,200

CFDs in forex

57 pairs

CFDs in cryptos

5

CFDs in commodities

15

CFDs in indices

18

CFDs in ETFs

Loss-making investors

74%

Customer service

4/5

Education

5/5

Usability

4/5

Inactivity fee

£5 PM after 3 months

Bank transfer

Credit card

PayPal

*This was the spread on 1/1/2020

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.