XM versus FXCM

Algorithmic traders get a cutting-edge trading infrastructure at FXCM. Six specialty algorithmic trading platforms and API trading complement MT4 and NinjaTrader. The proprietary Trading Station caters to manual traders, who will benefit from Capitalise AI, allowing automation of trading strategies using an intuitive, code-free environment. ZuluTrade supports social trading together with the embedded MT4 service.

XM remains one of the best-balanced multi-asset brokers, catering to 5M+ traders from 190 countries with a competitive product and services portfolio. Traders get the MT4/MT5 trading platforms, low trading costs, a broad-based asset selection, and low minimum deposit requirements. Generous bonuses, incentives, and quality trading tools are equally available.

We have conducted an in-depth review of FXCM and XM to determine which one presents the better overall choice and which traders will benefit the most at either broker.

Features and Platforms

Features & PlatformsFXCM (visit site)XM (visit site)
Headquarter:UKBelize
Established :
19992009
Retail Loss Rate:
66.00%75.59%
Regulation:
Minimum Deposit:
$50$5
Demo Account:
Managed Account:
Islamic Account:
Inactivity Fee
$50 annually after 12 months$5 monthly after 90 days
Deposit Fee:
Third-PartyNo
Withdrawal Fee
Third-PartyThird-Party
Funding Methods:
625+
MT4:
MT5:
cTrader:
Proprietary Platform:
Automated Trading:
Social / Copy Trading:
MT4/MT5 Add-ons:
Guaranteed Stop Loss:
Negative Balance Protection:
Bonuses and Promotions:
Unique Feature One:
Excellent trading platform choicesLow trading costs
Unique Feature Two:
Deep liquidityExcellent order execution
Broker Offers:

Noteworthy:

Quality education and research are available at both FXCM and XM. The latter also features one of the most efficient order execution environments, mostly without requotes or rejections.

Available Markets

Available MarketsFXCMXM
Currency Pairs:
Cryptocurrency Pairs:
Commodities and Metals:
Indices:
Equities:
Bonds:
ETFs:
Options, Futures, and Synthetics:
Maximum Retail Leverage:
1:4001:888
Maximum Pro Leverage:
1:4001:888

Forex traders are offered fewer than 40 currency pairs at FXCM compared to approximately 60 at XM. While neither broker offers in-depth exposure to cryptocurrencies, XM takes the overall lead with 1,300+ trading instruments, providing better cross-asset trading opportunities. Equity traders get nearly 1,300 CFDs, and XM continues to expand its well-balanced asset selection.

Typical Spreads and Fees

Typical Spreads & FeesFXCMXM
Minimum Raw Spreads:
0.2 pipsNot applicable
Minimum Standard Spreads:
1.3 pips0.6 pips
Minimum Commission for Forex:
$5.00 per round lotCommission-free
Commission for CFDs/DMA:
Commission-freeCommission-free
Commission Rebates:
YesYes
Execution Type:
Market Maker/NDD HybridMarket Maker

Trading costs at both FXCM and XM remain competitive. Most retail traders will benefit from a cheaper pricing environment at XM, where minimum Forex fees commence at 0.6 pips, commission-free, or $6.00 per lot. FXCM is twice as expensive, but high-volume traders can lower costs via the commission-based account plus volume-based rebates.

Security and Trust

FXCM

Country of the RegulatorName of the RegulatorLicense Number
Australia
Australian Securities and Investments Commission309763
UK
Financial Conduct Authority217689
Cyprus
Cyprus Securities and Exchange Commission392/20
South Africa
Financial Sector Conduct Authority46534

XM

Country of the RegulatorName of the RegulatorLicense Number
Belize
International Financial Services Commission000261/158
Australia
Australian Securities & Investments Commission443670
Bahamas
Securities Commission of The BahamasSIA-F201
Cyprus
Cyprus Securities and Exchange Commission120/10 and 256/14
UK
Financial Conduct Authority705428
Dubai
Dubai Financial Services AuthorityF003484
US
Commodity Futures Trading Commission / National Futures AssociationNFA #0516820

Segregation of client deposits, negative balance protection, and investor compensation funds at the UK and the Cyprus subsidiaries exist at FXCM and XM.

XM vs FXCM – Verdict

FXCM

ProsCons
Excellent choice of trading platforms with dedicated support for algorithmic trading High commission-free Forex trading costs
Deep liquidity, transparent order executions, and monthly slippage statistics
Low-cost commission-based cost structure with a volume-based rebate program
Quality research and education via FXCM Plus

XM

ProsCons
Well balanced overall asset selection Limited cryptocurrency selection
Upgraded MT4/MT5 trading accounts with excellent order execution statistics
Low minimum deposit of $5 and maximum leverage of 1:888
Competitive commission-free trading costs from $5.00 per 1.0 standard lot

FXCM caters best to algorithmic traders and maintains one of the most competitive infrastructures for high-volume and high-frequency traders who require fewer assets but highly liquid ones.XM remains the overall better choice as it features a more balanced trading environment, supportive of many trading strategies, cheaper trading costs, attractive bonuses, a loyalty program, and a broad-based asset selection centered around equity trading.

Read full FXCM Review
Read full XM Review

FAQs

What broker is better than XM?

The answer depends on the individual requirements. For most beginners, XM provides an excellent product and services portfolio, but competitors cater better to select niche requirements.

Is FXCM data reliable?

FXCM provides transparent, reliable data amid its push to regain confidence and trust following years of misconduct and fines by its previous management team. FXCM is now part of the publicly listed Jefferies Financial Group and has enjoyed a spotless operational record since the takeover in 2017.

Can I trust XM broker?

XM complies with seven regulators and has maintained a spotless track record since its inception in 2009. It earned a place among the most trusted and honest brokers industry-wide with one of the most engaging management teams.