FXTM Review

Review

FXTM, also known as “ForexTime”, is a well-established Forex / CFD brokerage house which has been in business ever since 2011. FXTM has grown rapidly in recent years and has a corporate structure composed of three entities which match its three bases of operations: the U.K., Cyprus, and Mauritius. FXTM allows its clients to trade Forex currency pairs and crosses, including some exotics, the precious metals gold and silver, crude oil and natural gas. Traders can also trade major equity indices, cryptocurrencies*, and CFDs** on major American stocks and shares. FXTM also enables direct trading in stocks, not wrapped in CFDs, where the trader takes direct legal ownership of the shares when buying them, just like a traditional stockbroker.

FXTM Loyalty program

FXTM Highlights
🗺️ Headquarter Cyprus
⚖️ Regulations CySEC, FCA, FSC
💰 Type of broker Instant/Market Execution
💰 Minimum Deposit $10
💰 Maximum Leverage 1:2000
📊 Type of platform MetaTrader 4, MetaTrader 5
💳 Deposit with credit card Yes
👛 Depositing with wire transfer Yes
🎮 Demo account provided Yes
🛍️ Instruments traded CFDs, Commodities, Metals, Stocks, Oil, Gold, Indices
Back to Top

Regulation and Security

This should not constitute as advertisement in the territory of Belgium, France and Netherlands

FXTM enjoys an extremely high and very strong level of regulation in several jurisdictions. It is based in three different countries, with three different corporate branches to match.

ForexTime Limited (www.forextime.com/eu) is regulated by the Cyprus Securities and Exchange Commission with CIF license number 185/12, licensed by the Financial Sector Conduct Authority (FSCA) of South Africa, with FSP No. 46614. The company is also registered with the Financial Conduct Authority of the UK with number 600475. Exinity Limited (www.forextime.com) is regulated by the Financial Services Commission (FSC) of the Republic of Mauritius with an Investment Dealer License bearing license number C113012295. Forextime UK Limited (www.forextime.com/uk) is authorised and regulated by the Financial Conduct Authority, firm reference number 777911.

This multi-jurisdictional setup allows FXTM to differentiate its offering depending upon where its traders are located. It is worth mentioning that acquiring regulation is not an easy feat for any Forex broker, so the mere fact that ForexTime has acquired regulation in several jurisdictions is extremely admirable.

FXTM is formally regulated in the United Kingdom, Cyprus, South Africa, and Mauritius. In the United Kingdom, ForexTime UK Limited is authorized by the Financial Conduct Authority to provide regulated products and services under license number 777911.  

FXTM Licensed UK FCA Broker

In Cyprus, ForexTime Limited is licensed by the Cyprus Securities and Exchange Commission under license number 185/12.

FXTM CySEC regulated

In South Africa, ForexTime Limited is licensed by the Financial Sector Conduct Authority of South Africa under FSP number 46614.

FXTM FSC licence

 In Mauritius, Exinity Limited is licensed by the Financial Services Commission with a category 1 global business license and as an SEC-2.1B investment dealer (full service excluding underwriting) under license number C113012295. Exinity Limited is also a member of the Financial Commission, an international dispute resolution body serving the financial services industry.

Mauritius Licence

FXTM’s regulation in both the United Kingdom and Cyprus provides its clients depositing in FXTM’s branch in either jurisdiction with a degree of investor protection. The U.K.’s Financial Conduct Authority has a Financial Services Compensation Scheme which can protect deposits of up to £85,000. Cyprus’ CySEC maintains an Investor Compensation Fund which is empowered to award depositors who lose their account deposit due to the failure of a regulated firm an amount up to €20,000.

FXTM has been in operation as a dedicated Forex / CFD brokerage house since 2011, giving it a reasonably long track record. Applying the “lindy effect” rule, the longer time a broker has successfully been in business, the better the reputation that broker can be assumed to have. This means that FXTM has a meaningful track record and an established reputation of safety as a brand which it needs and wants to protect, to ensure it remains in good standing in such advanced and highly regulated financial services centers such as the U.K.

FXTM’s story of steady expansion adds to their level of credibility. After its initial establishment in Cyprus in 2011, FXTM grew and acquired its South African license in 2016, and its U.K. license in 2018. FXTM’s client base globally has grown quite steadily.

As with all Forex / CFD brokerages regulated in member states of the European Union like Cyprus or the United Kingdom, clients of FXTM operating through FXTM in the U.K. or Cyprus are automatically granted negative balance protection, but this is NOT offered to all clients globally. This means that it is impossible for any client not using the Mauritius branch to lose more than the amount they have deposited with FXTM. The “tail risk” of an unusual, extreme market movement, which can be exponentially raised by excessive leverage, is borne fully and voluntarily by FXTM in other cases.

is FXTM safe?

FXTM maintains full compliance with its four regulators. Non-EEA and non-South African traders will deal with the subsidiary operated by Exinity Limited out of Mauritius. The regulator does not require deposit insurance, as granted by CySEC under the Investor Compensation Fund (CIF) up to €20,000 and the FCA Financial Services Compensation Scheme (FSCS) up to £85,000. FXTM rectifies this with a membership of The Financial Commission, the Hong Kong-based independent self-regulatory organization, and external dispute resolution (EDR) body for the Forex industry, where the Compensation Fund protects deposits up to €20,000 per case.

Performance statistics, which include order execution speed, slippage, requotes, FXTM Invest Manager Rankings, as well as, Client Satisfaction and Services, are independently confirmed by Big Four accounting firm PricewaterhouseCoopers Limited (PwC). It satisfies the International Standard on Assurance Engagements (ISAE) 3000. Transparency represents an essential attribute at FXTM, where it delivers well, except for clarification on ECN accounts, the technology deployed to enable MT4/MT5 accounts to communicate with the electronic communication network (ECN). Orders place from FXTM ECN accounts appear to be sourced internally, across its four operating subsidiaries.

Client deposits remain segregated from company funds, in compliance with regulatory stipulations. Given its broad international reach with a distinct focus on localized services, FXTM has a well-established partnership with various banks. Over 84% of funds are processed within five minutes, ensuring swift access to deposits and withdrawals. The SSL (Secure Sockets Layer) network security protocol secures all online traffic between FXTM and traders, per established industry standards.

The overall trading environment is safe, and traders can trust FXTM with their personal information and deposits. Additional steps taken by this broker, like independent verification by PwC of published statistics or enhanced deposit protection as granted by The Financial Commission, show that FXTM is willing to commit to measures that are not required by regulators. Therefore, FXTM is quite a safe broker for trading and managing portfolios.

Back to Top

FXTM Fees

The total fees charged by any brokerage should always be one of the very top considerations of someone looking for the most suitable Forex / CFD broker. It ranks right up there with security / safety of funds deposited. Each cost should be examined rigorously. It can be helpful to divide all fees and costs into two categories: trading fees, such as spreads, commissions, and overnight financing; and miscellaneous fees, such as periodic charges for account inactivity, or fees or commissions charged by the brokerage itself against account deposits or withdrawals. The trading fee element is the much more important side, so it makes sense to begin a fee analysis here.

Looking at trading fees first, we will start with spreads and commissions, which are worth taking together as a comprehensive “round trip” cost of opening and closing one trade. As FXTM offer a few different account types which charge slightly different fees, we will judge the trading fees of its most common account type, the Standard Account.

The average round trip cost of trading the benchmark EUR/USD Forex currency pair is 2 pips with the company's Standard Account. This is slightly on the high side for the industry. The Cent Account, FXTM’s account with the lowest minimum deposit (only $10) averages slightly higher at 2.2 pips. However, this falls to only 0.8 pips with one of the ECN-style accounts, which represents a very competitive rate considering the minimum deposit is only $500 for this account type.

The average round trip fees and costs for other CFD instruments offered such as commodities, individual stocks and equity indices are average for the industry.

Finally, FXTM’s offering of real share trading through its accounts based outside the European Union is not only a relatively unique service, its trading costs in this area are competitive and slightly lower than its direct competitors.

These levels of spreads and commissions are broadly competitive on the ECN side, especially for clients with relatively low deposit amounts. The minimum deposit required to open a “true” ECN account is only $500, so for traders depositing anything close to this sum, these fees are competitive. However, traders with considerably larger sums to deposit such as a few thousand dollars would find the trading fees average, but nothing special, at least for trading Forex and CFD products.

An often-overlooked element of the trading fee structure is overnight financing, which is typically a net charge applied to any trade open at 5 p.m. New York time. These fees are, at least hypothetically, calculated from intrabank tom/next intrabank fees, but retail brokerages usually give considerably less favorable rates. This can make swing or position trading expensive, particularly when a trader wants to be long of a currency with a relatively high interest rate and short of another currency with a relatively low (or even negative) interest rate. FXTM are totally transparent regarding their overnight financing rates, which is a sign of trustworthiness: frequently, brokers don’t publicize their existing rates, but they can always be found within the relevant trading platforms if you know where to look for them.

FXTM makes no claims about how their overnight financing / swap rates are derived. Many brokers claim they are based upon interbank tom/next rates, yet the rates offered always seem to be considerably less favorable to the client than the prevailing tom/next rates. Therefore, we are inclined to applaud FXTM for not making any such claims. A comparison of FXTM’s rates to the industry average at the time this FXTM review was written shows that FXTM’s rates are very competitive and slightly better than the average. Now here’s something truly unique about FXTM and their overnight financing / swap rates: some of their account types charge no swaps at all! The Cent Account and the Shares Account are completely swap-free, while swap is not paid in any other account that uses the MetaTrader 4 platform. While many brokers offer a swap-free Islamic Account option, it is usually offered only to Muslims, so this global swap-free option is both very rare and very appreciated. Overall, this means that FXTM is likely to be a good choice for traders planning to keep positions open longer than one or two days at a time.

Another factor which makes us believe that FXTM has a commendable sensitivity towards the problem of traders being “bled” quietly by certain retail Forex CFD brokerages charging relatively high overnight financing rates, is that in 2013, they ran a limited period promotion where overnight financing would only be charged or paid over weekends, and not on weekday rollovers. This is impressive, and we never heard of another brokerage offering a similar promotion of this type.

Finally, we conclude the topic of fees by checking whether clients are charged any incidental fees by FXTM, regardless of whether a trade is made.

FXTM imposes a dormant account / account inactivity fee of $5 per month but an account must have initiated no trading activity for a period of at least six months before this fee will be imposed. This is good by the standards of the industry. FXTM also charges additional withdrawal fees against withdrawals made by credit cards or bank wire transfer. The exact charge depends upon the country of residence of the client making the withdrawal but is typically approximately $2 for a withdrawal by credit card and approximately €20 for a wire transfer. These fees are justifiable, but many retail Forex / CFD brokerages do not charge them, so it is not a competitive practice.

A listing of FXTM’s overnight financing / swap rates applicable to Forex grabbed from their site at the time this review was written is shown below. You can find out more about FXTM's swap rates on their website here.

Back to Top

What Can I Trade

Following safety of funds and regulatory oversight, plus fees of course, the major priority to think about when choosing a new Forex / CFD brokerage is what assets you can trade. Many newer traders will be looking to trade only one single asset class, such as Forex, or CFDs on individual stocks and shares, but more experienced traders will probably be looking for diversification, meaning a wide offering across Forex, commodities, stocks, etc.

FXTM offers the following instruments for trading:

Forex – more than 57 currency pairs and crosses, including exotic currencies, the majors are listed below

FX Majors FXTM Leverage

For more pairs offered by FXTM click here

Metals – a category somewhere between Forex and commodities that deserves to stand on its own, in the opinion of many traders, so let’s treat it that way. FXTM offers trading in spot gold and spot silver. Gold is paired with the U.S. Dollar, the euro, and the British pound. Silver is paired with only the U.S. dollar and the euro.

Spot Metals FX Majors Leverage

Commodities – a narrow selection of commodities, with only energies offered: both types of crude oil and natural gas:

Spot Commodities Spec

Equity Indices – a selection of 11 major equity indices, offered from approximately 10 developed nations (no emerging markets are included within the selection):

Spot Indices Spec

Cryptocurrencies –4 major cryptos are offered paired with the USD. At the time of this FXTM review, the only cryptocurrency not offered from the top 5 largest cryptocurrencies is Bitcoin Cash:

BTC/USD FXTM Leverage

U.S. Shares as CFDs – a wide selection of 120 major U.S. shares may be traded as certificates for deposit:

Trade US Stocks with FXTM

To read more about all US shares you can trade click here 

FXTM offers US stock trading both as CFDs and as individual stocks which are fully-owned. As of  our latest check in June 2020, the company expanded its stock offering from 10 stocks to many more, with nearly 100 options. The change reflects the company's continuing push to improve its offerings and to meet the needs of its traders, and with stock trading becoming increasingly popular, FXTM has certainly grown to provide a truly competitive stock offering.

CFD US Shares Spec 1

Our conclusion regarding FXTM’s offering of tradable assets is quite favorable, with a range of asset classes offered that should satisfy traders looking to trade Forex, major equity CFDs, and individual leading U.S. equities. We think that the offering is sufficient for traders who are not particularly interested in diversification across a wide range of commodities or emerging market equity indices.

FXTM Accepted Countries

ForexTime Limited is regulated in Cyprus by the Cyprus Securities and Exchange Commission (CySEC), while ForexTime UK Limited operates under oversight by the Financial Conduct Authority (FCA). The South African subsidiary is licensed by the Financial Sector Conduct Authority (FSCA). All international traders manage their accounts at Exinity Limited under the jurisdiction of the Financial Services Commission of the Republic of Mauritius (FSCM). FXTM has over 2,000,000 traders and accepts applications from the following countries:

Afghanistan, Albania, Algeria, Andorra, Angola, Antigua and Barbuda, Argentina, Armenia, Australia, Austria, Azerbaijan, Bahamas, Bahrain, Bangladesh, Barbados, Belarus, Belgium, Belize, Benin, Bhutan, Bolivia, Bosnia and Herzegovina, Botswana, Brazil, Brunei, Bulgaria, Burkina Faso, Burundi, Côte d'Ivoire, Cabo Verde, Cambodia, Cameroon, Central African Republic, Chad, Chile, China, Colombia, Comoros, Congo (Congo-Brazzaville), Costa Rica, Croatia, Cuba, Cyprus, Czech Republic, Democratic Republic of the Congo, Denmark, Djibouti, Dominica, Dominican Republic, Ecuador, Egypt, El Salvador, Equatorial Guinea, Eritrea, Estonia, Eswatini, Ethiopia, Fiji, Finland, France, Gabon, Gambia, Georgia, Germany, Ghana, Greece, Grenada, Guatemala, Guinea, Guinea-Bissau, Guyana, Holy See, Honduras, Hungary, Iceland, India, Indonesia, Iran, Iraq, Ireland, Israel, Italy, Jamaica, Jordan, Kazakhstan, Kenya, Kiribati, Kuwait, Kyrgyzstan, Laos, Latvia, Lebanon, Lesotho, Liberia, Libya, Liechtenstein, Lithuania, Luxembourg, Madagascar, Malawi, Malaysia, Maldives, Mali, Malta, Marshall Islands, Mauritania, Mexico, Micronesia, Moldova, Monaco, Mongolia, Montenegro, Morocco, Mozambique, Myanmar, Namibia, Nauru, Nepal, Netherlands, Nicaragua, Niger, Nigeria, North Macedonia, Norway, Oman, Pakistan, Palau, Palestine State, Panama, Papua New Guinea, Paraguay, Peru, Philippines, Poland, Portugal, Qatar, Romania, Russia, Rwanda, Saint Kitts and Nevis, Saint Lucia, Saint Vincent and the Grenadines, Samoa, San Marino, Sao Tome and Principe, Saudi Arabia, Senegal, Serbia, Seychelles, Sierra Leone, Singapore, Slovakia, Slovenia, Solomon Islands, Somalia, South Africa, South Korea, South Sudan, Spain, Sri Lanka, Sudan, Sweden, Switzerland, Syria, Tajikistan, Tanzania, Thailand, Timor-Leste, Togo, Tonga, Trinidad and Tobago, Tunisia, Turkey, Turkmenistan, Tuvalu, Uganda, Ukraine, United Arab Emirates, United Kingdom, Uruguay, Uzbekistan, Vanuatu, Venezuela, Vietnam, Yemen, Zambia, and Zimbabwe.

Back to Top

FXTM Account Types

A choice of six different account types is offered.

Accounts are divided into two types: Standard Accounts and ECN Accounts, which operate an ECN-execution model. The difference is essentially between execution costs restricted to variable spreads subject to a minimum amount, and variable spreads subject to no minimum plus commission (ECN). Both execution models have pros and cons, and each may better suit a different type of trader.

The Standard Account with the lowest minimum deposit is the Cent Account, which requires a deposit of only $10 to open. The account may be denominated in USD, EUR, GBP, or Nigerian Naira for customers residing in Nigeria. Variable spreads are charged and are subject to the highest minimums imposed by FXTM, making a typical “round trip” spread on the benchmark EUR/USD currency pair as high as 2.2 pips. However, overnight swaps are not charged or paid in this account type. This account offers 25 major and minor Forex currency pairs and 2 metals for trading. The maximum position size per trade is 1 lot (typically equivalent to $100,000 in nominal value) although of course where account size is low, maximum leverage (more on leverage later) will play a big role in defining a lower practical maximum. The only trading platform which may be used with this account type is the MetaTrader 4 platform.

The next Standard Account is, a little confusingly, called the Standard Account. It is available in the same base currencies as the Cent Account, but a minimum deposit of $100 is required. Variable spreads are charged and are subject to somewhat lower minimums, making a typical round trip spread on the benchmark EUR/USD currency pair approximately 2 pips. Customers have a choice whether to use the MetaTrader 4 or MetaTrader 5 trading platform with this account type. If MetaTrader 4 is used, overnight swaps are not charged, but they are charged if MetaTrader 5 is used. This account offers the full range of Forex, metals, commodities, equity indices and equities as CFDs described earlier as FXTM’s offering – everything except U.S. shares not wrapped as CFDs. The maximum position size per trade is 30 lots (typically equivalent to $3 million in nominal value).

The last of the Standard Accounts offered is the Shares Account. It is available in the same base currencies as the other two Standard Account types and requires a minimum deposit of $100 to open. Only the MetaTrader 4 platform may be used with this account type. Over 120 U.S. shares can be traded wrapped as CFDs. A fixed leverage of 10 to 1 is offered. A maximum position size per trade of 10 lots is offered.

FXTM Standard Accounts

Forex Time Standard Accounts

Now we will move on to the range of ECN Accounts offered by FXTM, which all offer (obviously) an ECN execution model. This execution model means that you will tend to pay a lower cost to execute trades, but that prices may gap wildly under extreme market conditions, especially when trading currency crosses with generally low liquidity. All ECN type accounts are available in the same base currencies which we already listed for the Standard Accounts. All the accounts are swap-free with no overnight swap charged if the MetaTrader 4 platform is used. Customers have a choice between using MetaTrader 4 and MetaTrader 5 in all account types.

The ECN Account with the lowest minimum deposit required is the ECN Zero Account, at only $200. No commission is charged, and the minimum floating spread is 1.5 pips, so it is very difficult to see here what qualifies this to be considered as an ECN account. Traders using the MetaTrader 4 platform can trade 48 Forex currency pairs and crosses, 3 metals, and 14 CFDs. Traders using the MetaTrader 5 platform have a smaller range of assets they can trade: 33 Forex currency pairs and crosses are offered here, as well as 2 metals.

The next account we’ll look at is the ECN Account. A minimum deposit of $500 is required. There is a variable floating spread which is always at a minimum of 0.1 pips, unlike some ECN style accounts at other Forex / CFD brokerages which offer no minimum spread and sometimes even quote inverted spreads. The commission charged is $2 per lot for a round trip trade, which translates to 0.02% of the nominal value of the trade position size. Traders using the MetaTrader 4 platform can trade 48 Forex currency pairs and crosses, 3 metals, and 14 CFDs. Traders using the MetaTrader 5 platform have a smaller range of assets they can trade: 33 Forex currency pairs and crosses are offered here, as well as 2 metals.

The final account of the six offered is the FXTM Pro Account. As its title suggests, this account type is intended for advanced and well-capitalized traders, requiring a minimum deposit of $25,000. Despite it being an ECN account, no commissions are charged, and the variable spread which FXCM describes as “institutional level” may fall as low as zero. If the MetaTrader 4 trading platform is used to trade this account, 43 Forex currency pairs and 2 metals may be traded. If the MetaTrader 5 trading platform is used instead, 33 Forex currency pairs and 2 metals may be traded, as well as 10 major stocks.

Bottom line: our verdict is that a suitably wide range of alternative account types are offered, but some of the account types seem to be better value and more meaningful than others. We see the best all-round account offered by FXTM as the ECN Account which requires a minimum deposit of $500. The Cent Account can be opened with a deposit as small as $10 and at this level of capitalization, even with the relatively high average spread on EUR/USD of 2.2 pips, at such a low deposit level it is certainly competitive.

Leverage is an important topic to consider when evaluating a Forex / CFD brokerage. FXTM’s position on leverage is a little complicated as it offers accounts based in several different countries, all of which have different laws and regulations governing the maximum amount of leverage which may be offered. This means that we must consider where the trader is based more than the type of account which the trader wants to open to determine available leverage.

FXTM in the United Kingdom and Cyprus offer a maximum leverage of 25:1 on Forex, 20:1 on precious metals and indices, 5:1 for individual stocks and shares, and 2:1 on cryptocurrencies.

FXTM in South Africa and Mauritius are not subject to any restrictions on leverage, therefore the maximum amounts offered by them to these accounts are a decision for FXTM alone. Here FXTM’s leverage offering is quite complex, because the maximum leverage offered is determined by a combination of factors:

  • Account Type (the Pro Account offers a lower maximum leverage than the other account types, presumably to mitigate risk to FXTM from large wins by successful traders who have deposited the $25,000+ minimum deposit)
  • Instrument Traded – major Forex pairs offer the highest leverage, minors and metals less, followed by Forex exotics and then cryptocurrencies, which are offered with the lowest leverage of any asset class.
  • Notional Value of a Trade – the maximum leverage is only offered on the first $200k or $300k of the notional value traded, decreasing by higher tranches of value. For example,

Despite this, we can set out the absolute maximum leverage offered by FXTM outside the E.U. and the U.K. by asset class as follows:

Forex- 1000:1

Indices- 1000:1

Metals- 500:1

Cryptocurrency- 100:1

Shares- 10:1

Leverage 1

Leverage 2

Leverage 3

Every type of account offered by FXTM allows hedging, scalping, and automated trading via Expert Advisers. As FXTM only uses the MetaTrader 4 and MetaTrader 5 trading platforms, there is a wide range of automated tools available which work with these platforms, and FXTM does not block or disable them.


Back to Top

Trading Platforms

Bottom Line: FXTM has no proprietary platform. Clients of all account types except the Shares Account and the Cent Account (two types of Standard Accounts offered by FXTM) have a choice between using the extremely well-known and popular MetaTrader 4 or MetaTrader 5. Clients with a Cent Account or Shares Account must use the MetaTrader 4 platform and have no choice of platforms.

This will not be a problem for most traders as the old yet beloved MetaTrader 4 platform is still widely used. However, traders who dislike MetaTrader for any reason or who want features offered by other platforms may be disappointed. A further issue is that a slightly different range of assets is offered within the same account types depending upon whether MetaTrader 4 or MetaTrader 5 is used, meaning choice of platform requires some consideration of which assets you want to be able to trade.

Where a choice between the two platforms is available, it can be helpful to review the pros and cons of each to determine which is the better fit for you.

Broadly speaking, it can be well argued that MetaTrader 4 is more suitable for trading Forex while MetaTrader 5 is better suited for trading stocks and commodities. The other major difference between the two platforms is that MetaTrader 5 complies with the U.S.A.’s “no hedging” regulation which states that brokerages there must process every trade on a first in, first out basis. This effectively makes precise hedging impossible.

Both MetaTrader 4 and MetaTrader 5 are available on all operating systems, tablet, mobile, app-based or web-based. Many users feel the apps tend to run with less glitches on a PC or laptop compared to the web version.

MetaTrader 4

FXTM MT4 Trading Platform

Despite no longer enjoying technical support from MetaQuotes, the MetaTrader 4 platform remains the gold standard of retail Forex / CFD trading platforms. It is relatively easy to use and intuitive, and in any case, its look and feel is extremely similar to MetaTrader 5 which was designed and marketed by the same parent company.

MetaTrader 4 allows hedging. It uses a programming language called MQL4. Unfortunately, there is no “backwards compatibility” in MetasTrader 5, so programs written for MetaTrader 4 are not compatible with MetaTrader 5 and will not run on that platform.

MetaTrader 4 comes with a back-testing function but it is relatively slow and cumbersome, with MeatTrader 5’s back testing function running much more quickly. It is also able to conduct multiple simultaneous back tests on more than one asset.

MetaTrader 5

FXTM MT5 Trading Platform

MetaQuotes launched this some years ago as a successor to their wildly successful MetaTrader 4 platform. However, it didn’t really take off as most traders felt it offered little more than the MetaTrader 4 while not allowing hedging and being slightly pushier and more intrusive overall. However, anyone familiar with MetaTrader 4 won’t find using MetaTrader 5 much of a challenge. It is relatively easy to use and intuitive, and in any case, its look and feel is extremely like MetaTrader 4 which was designed and marketed by the same parent company.

MetaTrader 5 does not allow precise hedging, although some traders work around this effectively by making a stack of trades in the same asset where each trade has a slightly different position size. It uses a programming language called MQL5 which is more advanced than MQL4. Unfortunately, there is no “backwards compatibility” in MetaTrader 5, so programs written for MetaTrader 4 are not compatible with MetaTrader 5 and will not run on this platform.

MetaTrader 5’s back testing function is superior to MetaTrader 4’s. It is also able to conduct multiple simultaneous back tests on more than one asset.

Back to Top

Unique Features

FXTM has two standout features: firstly, its strong regulatory regime in two major industry centers which enjoy high levels of regulatory protection (the U.K. and Cyprus); secondly, FXTM Invest, which is FXTM’s copy trading program.

Regulation in the U.K. is significant, as under U.K. regulations, depositors can be protected by deposit insurance in case of a regulated brokerage’s insolvency or other resulting inability to access deposited funds. The protection is up to a relatively high amount of £85,000 per depositor. In Cyprus, there is an investor compensation fund which can protect depositors up to the amount of €20,000 per depositor.

FXTM Invest is a copy trading program which simply allows customers to let their account mirror the trades of selected Strategy Managers. At the time of writing, there are over 600 strategy managers to choose from, so there is plenty of choice. Strategy Managers get paid from the net profit on those trades which customers choose to copy, which is taken from the profit in the copier’s account.

Strategy Managers may set their own fee percentage up to a limit of 50%, as it is up to trade copiers to choose whether to copy them or not. FXTM customers may become a trade copier with as little as $100 in capital.

FXTM Invest is only available to clients of FXTM outside the European Union and the United Kingdom.

FXTM Invest 1

FXTM Invest 2

Back to Top

Research and Education

FXTM’s education offering is reasonably well-stocked and comprehensive. While any Forex / CFD brokerage might produce a good all-round offering without offering research or education at all, that is not to say that this is not a “nice to have” if it is done well.

In FXTM’s education section, subsections are divided into eBooks, Forex Trading Seminars, Forex Trading Webinars, a Forex Glossary, What is Forex, a Beginners Guide to Forex Trading, Forex Trading Strategies, Short Forex Educational Videos, Education Videos, Education Articles, and a “Periodic Table” which is basically a glossary of investment terms built in an unusual and fun style.

The eBooks are a series by certified technical analyst Andreas Thalassinos. The seminars are real-life meetup events which are held around the world, at the time of writing they were scheduled close to once per week. The webinars are of course virtual and are conducted in a variety of languages and scheduled at a rate of approximately three each week. At the time of writing, webinars were being conducted in Bengali and Vietnamese as well as English.

We were most impressed by the detailed material on a range of trading strategies which can be hard to find. The beginner’s guide was also nice.

FXTM Invest 3

Back to Top

Customer Support

For most clients, customer support won’t be much of an issue. Having said that, it is comforting to know that if you do need help, you will be able to get hold of someone competent quickly who will take responsibility for fixing whatever your problem is.

FXTM’s customer support has a good reputation, partly because they are a well-regulated and global Forex / CFD brokerage, and partly because support is given with a wide variety of languages with from native speakers.

The FXTM customer support desk is available 24 hours a day, on regular weekdays.

Traders can contact a rep at different departments in several international locations via email of telephone. Live chat is also available.

FXTM has support centers with respective dedicated focus on China, India, Indonesia, Malaysia, Nigeria, South Korea and Thailand.

FXTM Customer Support

Back to Top

FXTM Bonuses and Promotions

FXTM regulation in the UK and the EU (Cyprus) prohibits new bonuses and promotions due to regulatory changes. Therefore, FXTM grants them to international traders from its Mauritius entity. With the Brexit transition period ending this year, it is unclear if the FCA will continue to restrict bonuses and promotions, or if it will allow brokers to offer them. Until then, only non-UK and non-EU traders may participate in the three distinct offers from FXTM, which can benefit traders who use them as intended.

Before requesting a bonus or participating in a promotion, it is paramount to read and understand the terms and conditions. Many traders just accept any capital boost and are often confused when they are unable to withdraw their full account balance or make a withdrawal and see their bonus capital removed. They mistakenly blame brokers in reviews for misconduct but violated the terms and conditions under which the incentive exists.

FXTM offers a refer-a-friend bonus to assist with its marketing efforts, available until the end of 2020. Existing clients will receive a unique referral link, which they will use to attract new clients to FXTM. A minimum deposit, as outlined under Compare Account and FXTM Invest, where applicable, is mandatory. After the referred trader executes 10.0 standard lots, both accounts, the referrer, and the referee will receive a $50 bonus.

A dedicated Forex contest section is maintained, where FXTM introduces demo and live account contests. Demo contests continue to gain popularity among new retail traders, as real cash prizes in the form of deposits into a live trading account, represent the most common reward. Many contests last between one week and one month, allowing traders numerous chances to qualify for one, and boosting their capital base.

The most rewarding promotion maintained by FXTM is the Loyalty Program. It consists of five tiers where traders receive between $2 and $5 per complete lot every week. The classification depends on total deposits, but with Tier 1 extended to $15,000, most clients will qualify for $2 per lot. A minimum accumulative deposit of $60,000 is required to unlock $5 per lot. The maximum rebate amount is just $500 for Tier 1 members, which increases to $10,000 for Tier 5.

FXTM refer a friend

Back to Top

Opening an Account

The account opening process with FXTM is quite good and speedy even in their highly regulated locations. You can expect to get your account open and ready within two days from beginning the account opening process. Clients only need to navigate through a few screens where they submit a few details and choose the type of account they want to sign up for.

It is worth noting that residents of the U.S.A. and a few other countries cannot be accepted as new clients by FXTM.

In addition to providing personal and account details, new clients are required to verify their identity and prove their place of residence, as is customary. The process is completely digitized.

Back to Top

FXTM Deposits and Withdrawals

FXTM caters primarily to new retail traders and has many traders from emerging economies. It is the only international broker offering trading accounts in the Nigerian Naira. Given its diverse client base, often from low-income countries, a somewhat complex account structure with various minimum deposits is in place. The two main categories are standard accounts and ECN accounts, which have three and four sub-categories, respectively. FXTM fails to specify which MT4 ECN bridge it deploys, suggesting that advertised ECN accounts are not real and sourced internally. It is a common practice among market makers.

The minimum deposit for the Cent Account is only $/€/£ 10 or ₦2 000. It is an ideal substitute for the demo account and allows new traders to practice in live trading conditions. The Standard Account requires a minimum deposit of $/€/£ 100 or ₦40,000, so does the Stocks CFDs Account. Regrettably, the trading conditions are unacceptable due to high spreads except for equity CFDs. Forex traders face excessive mark-ups, geared towards broker profitability, another standard operating procedure among market makers.

Traders are asked for a higher minimum deposit across the board in the advertised ECN account types. Typical ECN accounts offer raw spreads for a commission. At FXTM, no version lists one except the one labeled ECN Account, for a minimum deposit of $/€/£ 500 or ₦80,000, which is typical for most ECN brokers. The Socks Account commands the same, while the ECN Zero Account requires less at $/€/£ 200 but still ₦80,000. FXTM offers the FXTM Pro Account for a minimum deposit of $/€/£ 25,000 or ₦5,000,000. Though traders may be momentarily confused by so many account options, the range of choices and low minimum deposits offer excellent trading opportunities.

FXTM imposes no additional fees on any deposit beyond what the deposit mechanism itself may charge.

A very wide range of deposit and withdrawal methods are supported by FXTM. The most notable channels are Neteller, Skrill, Western Union, and WebMoney. Major credit cards are also accepted, and bank transfers can also be used.

Withdrawals can be made using the same methods. In practice, withdrawals must be made through the same channels that deposits are made through, which is a common practice applied by almost all retail Forex / CFD brokerages.

Unfortunately, FXTM charges a withdrawal fee for most withdrawal options. The most notable fees average to about $3 for withdrawal by credit card and about $20 for bank transfers.

Back to Top

General Information

Company Information

  • Broker's Name : FXTM
  • Headquarter : Cyprus
  • Regulation : CySEC, FCA, FSC

Account Information

  • Type of Broker : Instant/Market Execution
  • U.S. Clients Allowed :
  • Minimum Deposit : $10
  • Maximum Leverage : 1:2000
  • Commissions / Spreads : Variable
  • Account 1 : Standard Accounts
  • Account 2 : ECN Accounts
  • Account 3 : Shares Account
  • Demo Account :
  • Islamic Account :
  • Segregated Account :
  • Managed Accounts :
  • Institutional Accounts :
  • Deposit Options :
  • Withdrawal Options :

Instruments Traded

  • ETFs :
  • CFDs :
  • Commodities :
  • Metals :
  • Stocks :
  • Oil :
  • Gold :
  • Binary Options :
  • Indices :

Trading Platforms

  • Type of Platform : MetaTrader 4, MetaTrader 5
    • Platform Languages :
      • English
      • Dutch
      • Greek
      • Malay
      • Thai
      • Bahasa
      • Swedish
      • Polish
      • Hungarian
      • Portuguese
      • Russian
      • Spanish
      • Arabic
      • Italian
      • French
      • Turkish
      • German
      • Japanese
      • Chinese
      • Other
    • OS Compatibility :
      • Mac
      • Windows
      • Linux
      • Mobile
      • Web
      • iPhone
      • iPad
  • Trading Signals :
  • Charting Package :
  • Market Analysis :
  • Chart Trading :
  • Automated Trading :
  • Scalping :
  • Hedging :
  • Mobile Alerts :
  • E-mail Alerts :
  • Trailing Stops :
  • Guaranteed Stop Loss :
  • Guaranteed Limit Orders :
  • Guaranteed Execution :
  • One-click Execution :
  • OCO Orders :
  • Interest on Margin :
  • Web-based Trading :
  • Mobile Trading :

Customer Support

    • Website Languages :
      • English
      • Polish
      • Thai
      • Malay
      • Greek
      • Russian
      • Chinese
      • French
      • Italian
      • Arabic
      • Spanish
      • Other
  • Support Hours : 24/5 + weekend hours
  • E-mail Support :
  • SMS Support :
  • Chat :

Pros and Cons

  • Excellent regulation / reputation
  • ECN-style account options
  • Only MetaTrader platforms offered
  • Clients from several countries not accepted

Back to Top

FAQ

Where is FXTM based?

The U.K., Cyprus, South Africa, and Mauritius.

How does FXTM make money?

FXTM makes its money from spreads and commissions charged on trades and an overnight financing mark-up.

How can I deposit into an FXTM account?

FXTM provides several methods for depositing and withdrawing funds. Transactions may be conducted through Western Union, Skrill, FasaPay and Neteller as well as credit cards and bank wire transfers. Several minor channels popular in developing nations are also accepted.

Is FXTM regulated? Are its clients protected by regulatory deposit insurance?

FXTM is regulated by the FCA in the U.K. and by CySEC in Cyprus and by the FSCA in South Africa and by the FSC in Mauritius. The FCA offers deposit insurance up to £85,000 and CySEC offers an investor protection fund up to €20,000 but eligibility is not automatic even if a depositor’s funds become inaccessible due to no fault of their own.

What is the maximum leverage offered by FXTM?

The maximum leverage offered is a very high 1000 to 1, but if accounts are held through the E.U. or the U.K., regulation applies that imposes a legal maximum of 30 to 1.

How do I open an account with FXTM?

The easiest way to open an account with FXTM is to click on the Open Account buttons on this review and fill out the form. Registration takes only a few minutes and you’ll be on your way to trading.

Does FXTM offer the MetaTrader trading platform?

Yes, FXTM offers both the MT4 and MT5 trading platforms.

Back to Top

Summary

FXTM deserves a positive review. Fees are reasonably competitive for depositors of a few hundred dollars, and the ECN account option seems to be competitive for Forex traders at a deposit range quite close to the $500 minimum! The range of assets offered for trading is not highly diverse, making FXTM a more suitable broker for traders happy to focus on Forex, the major metals and energies, and major U.S. stocks only. FXTM’s reputation is right up at the high end of the industry, with a lengthy track record and good regulatory standing in the U.K., which is particularly impressive, not to mention its good standing in Cyprus. However, customers outside the U.K. and the E.U. will get a less protective regulatory regime from Mauritius or South Africa.

* Cryptocurrency trading is available for those trading with Exinity Limited.

** CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.

Back to Top

Broker Comparison

FXTM vs. HotForex

FXTM vs. IC Markets

FXTM vs. FXCM

Back to Top

Signals

FXTM is one of the few Forex brokers that offers free trading signals to its clients, a service that can be extremely valuable, especially for new traders who want to learn from the experts. FXTM signals can be accessed easily for all depositing traders, directly in the trading platform. The signals include a choice of four take-profit levels and protective stop loss recommendations so that traders can trade intelligently based on their financial goals. FXTM signals are available before the market opens in the UK and US and are based on a diverse range of popular indicators. Forex signals can be more advantageous than auto trading or social trading, as they give traders an ability to make their own decisions about how to govern their portfolios and not leave their funds up to others

Back to Top

User Reviews

Did you have a good experience with this broker? A bad one? Tell our team and traders worldwide about your experience in our User Reviews tab. Your email address will not be posted.

Please make sure your comments are appropriate and that they do not promote services or products, political parties, campaign material or ballot propositions. Comments that contain abusive, vulgar, offensive, threatening or harassing language, or personal attacks of any kind will be deleted. Comments including inappropriate, irrelevant or promotional links will also be removed.



26 User Reviews
Stephen K.

I had a great experience with FXTM while trading from South Africa. I believe I will try them again in the near future.

Admin@Dailyforex

HI Saman, yes, FXTM has segregated accounts!

saman

Does this brooker keep our deposit in seperate private bank account or all of deposites are in only one bank account?

DailyForex Team

HI Geoffrey, Yes! FXTM responded below and handled it privately. Thanks so much for reaching out and being concerned, DailyForex Team

Geoffrey

@Barlow had a concern about spending like 17 Days and was still counting to withdraw his funds. I didn't see any response from FXTM- Will appreciate if i know whether this was handled.

carol

I referred a friend and I got $50! so cool

Great Vest

FXTM so far, been so good I have enjoyed the platform as a strategy manager https://www.forextime.com/strategy/Great-vest

Keith

Hi can you tell me what is the dormant currency you use please, Usd or Euro. Thank you Keith

mari

i like the tight spreads and customer support. good job

Joshua Faris

Really amazing information thanks for sharing most valuable trading information. " Managed forex account services" gives best and advanced services as compare to other Forex companies, The service charge is also affordable and guaranteed . http://www.centreforex.com/managed_account.php

charlesvdw

i appreciate the customer support and trading platforms that FXTM provides. thanks for review - charles

FXTM Team

HI Barlow! Our team has carefully investigated your query and provided detailed explanation by sending an email via ticket number 2019101410006904. We would like to reiterate that the Company always acts in the best interest of its Clients and works within a strict regulatory environment. For more information, please don’t hesitate to contact our official customer support team. Alternatively, get in touch with your personal Account Service manager. Thank you, your FXTM Team.

Barlow

Everyone needs to test brokers out for themselves. I'm currently waiting for funds from FXTM. I made a withdrawal 17 days ago, still waiting. Also their customer support is very slow to respond. At this stage I'm sceptical if FXTM really wants you to withdraw any money. It's quite the opposite when it comes to deposits. When I was struggling with a deposit they phoned me immediately and assisted me then and there on the phone and made sure the money was deposited. Let's wait and see, I will comment again once / if I get my funds withdrawn. 17 days and counting...

Maxwell

Saw your twitter post over the weekend about the 30% bonus and I am ready to sign up. Thanks

DailyForex

Hi Sihle! Yes! You can certainly trust FXTM wholeheartedly ! We highly recommend them, they are our top rated Forex broker!

Sihle Malinga

I am still trying them out. Please let us know if they are to be trusted wholeheartedly...

DailyForex

Hi- You can begin learning by opening a demo account with FXTM and try it out! Once you make an account, an account manager at FXTM can help you get started as well. Have a great day!

Lebohang

I want to learn how to trade, how can I get knowledge of trading forex by using your broker. If it can be possible can I get online training?

Evan Mbugua Njengah

I'm a starter in forex with potential of investing. I would want a step by step of how I can learn forex, meanwhile how I can be assisted with a professional trader while I continue to learn how I can trade on my own. Do you provide online courses for starters? I'm from Kenya.

Deji Akintonde

FXTM for me is the best broker I have ever used. I like their customer service. I mostly love their withdrawal system speed; in 17hours (max) they deliver withdrawals and they always send emails to inform you of every single process. I would like them to extend their bonuses package to other countries currencies and not just for the US dollar. Excellent broker. 5 stars.

Joseph

Very honest

Justin Adley

FXTM has excellent promotions for traders

Rethabile Nkosi

This is not a scammy broker, and they are regulated, but their leverage could be better

Amogelang Kumalo

Their customer service could be better, but all in all from my experience, this is a good broker to work with.

Amahle Dube

FXTM forex broker seems to be reliable, although I only tried their demo account

Andre Diamante

Bless those great promotions. Definitely a reason to open an account.

Comments
Add Comment
This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.
Back to Top