Is XM regulated?

The XM broker is regulated by the International Financial Services Commission of Belize (IFSC).

On the other hand, XM broker is not regulated by top-tier FCA.

Is XM a scam?

XM safety is divided into 2 parts, the safety of the broker itself and the safety of the client.

Broker safety

XM broker has more than 3.5 million users worldwide and has survived from different financial disasters since its foundation up-till-now. XM was also awarded with more than 50 awards as well.

On the other hand XM has no banking license or even listed in stock exchange.

Client protection

Unfortunately, XM broker does not provide any client protection and no protection amounts provided.

But the good thing is that XM has a negative balance protection and segregate account funds in case anything goes wrong.

XM offers a number of trading options like forex, CFDs, indices, shares, metals, commodities and energies. With over 1,000 trading instruments, XM becomes a great option for traders who don't want to feel limited to a few options.

On the other hand, XM does not provide ETF or crypto trading.

Disclaimer: CFDs have a high risk of losing money rapidly. About 80% of retail investor accounts lose money due to leverage when trading CFDs with this provider. Please note that CFDs are not complying with the islamic religion. And if you want to trade in CFDs you should consider a swap-free account to follow islamic rules.

Learn more about CFDs for muslims.

XM Offering of Investments

Note:

Please note that some of the trading options may depend on your account type and / or your country of residence according to the governmental rules.

Countries available

You can open an XM account from any country in the world except the United States of America, Canada, Israel and the Islamic Republic of Iran.

Account types

XM provides 4 main account options for traders which are:

• Micro
• Standard
• XM Ultra Low
• Shares

Each one of these accounts has its features, specifications and disadvantages. So, let’s dig deeper into their details.

The following table shows a comparison between XM accounts along with their information

XM - Account comparison

XM also provides a demo account with 0 fees if you want to experience the trading platform with no risk

Min deposit

The minimum deposit differs from an account type to another as teh following:

• Micro: $5
• Standard: $5
• XM Ultra Low: $50
• Shares: $10,000

How to open an account

You can open an XM account in minutes through these steps:

1. Enter your name, email, phone number, and country of residence.
2. Select the trading platform and the account type
3. Enter some personal information like your city and profession.
4. Choose the account base currency.
5. Add your trading preferences and knowledge.
6. Provide your funding information and your trading experience
7. Provide a proof of your identity and the country of residence.
8. Start trading

XM - Account opening

Commissions

XM does charge commissions on the shares account type only. So, any other account like micro, standard, or XM Ultra low accounts will not be charged with any commissions.

Trading Fees

Forex fees

• Forex spreads start from 0.00016 pips per lot for both micro and standard accounts.
• For XM Ultra low and shares accounts, the spreads are as low as 0.00007 pips per lot.

Stock CFDs

For stock CFDs, the spreads are as low as 0.0018 pips per lot.

Commodities

The spreads are as low as 0.0009 pips per lot for Sugar.

Indices

The spreads for indices are as low as 0.7 pips per lot.

Metals

• For standard and micro accounts, the spreads for metals are 0.35 and 0.035 pips per lot for gold and silver respectively.
• For XM Ultra Low and shares accounts, the spreads for metals are 0.25 and 0.025 pips per lot for gold and silver respectively.

Energies

The spreads for indices are as low as 0.04 pips per lot for oil.

Disclaimer: CFDs have a high risk of losing money rapidly. About 80% of retail investor accounts lose money due to leverage when trading CFDs with this provider. Please note that CFDs are not complying with the islamic religion. And if you want to trade in CFDs you should consider a swap-free account to follow islamic rules.

Learn more about CFDs for muslims.

Non-trading fees

• Account fee: $0
• Deposit fee: $0
• Withdrawal fees: $0

(you can check the full withdrawal fees in withdrawal fees section)

• Inactivity fee: $5 after 90 days of inactivity. In case the balance in your account is less than $5, your account will be archived after 90 days.

Account Currencies

The XM account has 11 base currencies which are EUR, USD, GBP, CHF, JPY, AUD, RUB, PLN, HUF, ZAR, and SGD.

Notes:

• You will not be charged with conversion fees if your account has the same currency with your bank account or when you trade assets with the same currency of your account.
• If you want to avoid being charged with conversion fees, you can open a multi-currency bank account at a digital bank.

Deposit

1. Options

XM supports depositing using different methods like:

• Credit/ Debit cards
• Electronic wallets
• Bank transfers

XM deposit methods

2. Fees

XM does not charge any deposit fees from its clients.

3. Time

It takes about 2 business days to deposit to your XM account using bank transfers and it happens instantly for credit/ debit cards.

Note: the minimum deposit is applied according to your account type. Please go to the account opening section for more information.

Withdrawal

1. Options

XM supports withdrawal using different methods like:

• Credit/ Debit cards
• Electronic wallets
• Bank transfers

XM withdrawal methods and fees

2. Fees

XM does not charge any withdrawal fees from its clients. For withdrawals using bank transfers, XM will cover all the fees if the withdrawal amount is greater than or equal to $200.

3. Time

It takes about 2 business days to withdraw your money from XM broker.

XM works on MT4 and MT5 trading platforms as well as its own mobile application. In the following sections we will dive deeper into each one of them in detail.

XM - Mobile Application

Languages

XM mobile application is available in a number of languages as the following table shows.

XM Mobile Application - Languages Table

You can also change the language from Settings> Languages and choose the language you prefer.

z

XM Mobile Application - Languages

User interface (UI)

The UI of the XM Mobile application is very simple and user-friendly. On the other hand, it's an out-of-date design.

XM Mobile Application - UI

Login and Security

Unfortunately, XM mobile application does not have a two- factor authentication method for login.

Searching

XM Mobile Application has a geed searching option and you can search whether by category or the instrument name.

XM Mobile Application - Search

Placing orders

There are 4 types of orders:

1. Market
2. Limit
3. Stop
4. Trailing stop

In addition to those 4 types, there’s another order which is the time limit ‘Good ‘til time’ or GTT.

XM Mobile Application - Place Orders

Notifications and alerts

Using the XM Mobile Application, you can set notifications in your phone for closed trades and pending orders as well.

XM Mobile Application - Notifications

Portfolio and reports

XM has clear fees and portfolio reports with all you need to know information.

MT4

Languages

MetaTrader 4 is available in a number of languages like:

MT4 Languages

User interface (UI)

MT4 has a very customizable UI that you can adjust according to your needs and preferences. On the other hand, it seems hard to find some of the features inside.

MT4 - Mobile Version - UI

Login and Security

Unfortunately, the MT4 does not provide a two-step verification method for logging in, and it does only support a one-step login.

Searching

Searching using the MT4 platform has two different options:

• You can search by categories and find assets.
• You can also type the name of the asset and search for it manually.

MT4 - Mobile Platform - Search

Placing orders

MT4 has a simple order types which are:

1. Market
2. Limit
3. Stop
4. Trailing stop

In addition to those 4 types, there are other orders which are the time limit ‘Good ‘til time’ (GTT) and ‘Good 'til canceled’ (GTC).

There’s also an order confirmation feature in MT4.

Notifications and alerts

Unfortunately, the MT4 web trading platform does not have an option to set price alerts and notifications unlike the desktop and mobile versions.

MT4 - Mobile Version - Notifications Settings

Portfolio and reports

Under the ‘History’ tab, you can find your portfolio reports with a clear fee description.

MT4 - Mobile Version - Portfolio

MT5

MT5 is a free application for traders allowing them to perform technical analysis and trading operations in the Forex and exchange markets.

Languages

MT4 does support over 20 languages including English, French, Spanish, Italian, Japanese, and Chinese.

User interface (UI)

MT5 was launched in June, 2010. It has about 1 million users worldwide. It also has a good interface which is similar to MT4 with the main functionalities available. MT5 is more suitable for advanced traders.

MT5 desktop version

MT5 - Mobile Version

Security

MT4 encrypts your trading data with all of your information from cyber attacks as well as not revealing your IP address while trading using the platform.

From a login perspective, MT4 has a two-step verification method as well to protect your account from hacks.

Research

MT5 offers financial and forex news from international agencies and provides a daily broadcast of dozens of newsletters from global events. MT5 also provides you with powerful and clear searching tools.

MT5 search

Placing orders

MT5 has the same order types as the MT4 platform which are:

• Market
• Limit
• Stop
• Trailing stop

In addition to these 5 order types, the MetaTrader 5 platform has two more order options which are:

• Buy stop limit
• Sell stop limit

Like the MT4, MT5 has ‘stop loss’ and ‘take profit’ options while trading as well.

Notifications and alerts

MT5 has instant notifications and alerts in its system to never miss an opportunity in the market.

Reports

The MT5 platform carries news reports from international news agencies and also sports an economic calendar.

Sources

XM has a variety of research tools whether from the MT4 platform or from the tools in the XM website.

Website Tools

• Market Overview

This tool helps you know a market overview with the latest instruments’ information.

• News

Here, you can find the latest news in the financial industry as well as specific instruments’ news.

• XM Research

Here, you can find reports and analysis regarding forex and CFDs. you can also see stock market news as well from this tool.

• Trading Ideas

If you’re a beginner trader and you want to know some trading ideas, this tool helps you by providing some great choices for you to trade on in the market.

• Technical Summaries

This tool helps you get the latest instruments’ movements in different time ranges to help you find the best choice for trading.

• Economic Calendar

This tool helps you keep up with the latest economic events around the world and never miss any one.

Other tools

• MQL5
• Forex Calculators

Options

XM supports different customer service channels like:

• Phone
• Live chat
• Emails

Languages

The languages available for customer service are many with the support of major languages like English, Japanese, Arabic, Italian, and more.

XM - Customer Support

XM broker provides a variety of educational materials in order to make you prepared and start trading.

Those educational materials are:

• Videos
• Webinars
• Tutorials
• Seminars
• Podcasts

In addition to these materials, XM provides a demo account option in case you want to trade virtually with $100,000 without being afraid of losing money.

• 1. How long does it take to open an account?
• It takes about 5 minutes only to open your XM account.
  1. Does XM allow bot trading?
• Yes, you can. All our trading platforms support the use of EAs.
  1. Does XM give a bonus?
• Yes, and you can apply to the XM bonus program.
  1. Does XM allow scalping and hedging?
• Yes, XM does allow scalping.
  1. Where is my money held?
• It’s held in segregate accounts in order to avoid financial disasters.

• 1. Is my credit card information safe with XM?
• Yes, XM uses a safe technology to make all your information safe.
  1. How do I login using the MT4 mobile platform?
• Steps:

1. Go to ‘Settings’

2. Click on 'Manage Accounts' or 'Settings'

3. Then click on the small plus sign or select 'New Account'

4. Then select 'Log in to an existing account'

5. Search for the broker name

6. Select the server your account was set up on

7. Enter your login credentials and password

8. Click on 'Sign In'

• 1. When trading forex, will you lose more than your initial deposit?
• Both our MetaTrader 4 and XM platforms are set to automatically close your positions when your margin requirement reaches 100% (stop out level).
• Please note that this process is automated and is not a guarantee that your account will not enter into a negative equity situation and you should keep a balance amount in your account above your required margin.
  1. Can I login to more than one account from the same computer?
• Yes, you can do such a thing by using the MT4 Multi Terminal.
  1. Can I login to the same account through different devices?
• Yes, you can login to the MetaTrader 4 platform using the same password and username through different devices.
  1. When will my demo account expire?
• At XM, demo accounts have no expiry date. So, you can trade virtually as long as you want.

Conclusion:

• Pros: 2.4 billion trades executed, negative balance protection, over 1,300 instruments
• Cons: no client protection, not listed on stock exchange, no 24/7 customer support
• Best for: beginners and professional traders
• Regulated by: IFSC
• Headquarters: Cyprus
• Foundation year: 2009
• Min Deposit: $5 for micro and standard accounts
• Deposit and withdrawal methods: credit cards, electronic wallets, and bank transfers
• Deposit and withdrawal fees: $0
• Base currencies: EUR, USD, GBP, CHF, JPY, AUD, RUB, PLN, HUF, ZAR, and SGD
• Offering of investments: forex, CFDs, stocks, shares,indices, energies, metals, and commodities
• Number of users: 3.5 million users worldwide