CMC vs IG Comparison

Platforms – CMC Markets vs IG Markets

Both brokers offer MetaTrader 4 (MT4) but also offer a selection of other platforms. This includes its proprietary platform.

MetaTrader 4 (MT4) –

MetaTrader 4 are relatively recent additions to each brokers platform offerings.  CMC Markets, for example, have only been offering MT4 since late 2018. CMC Markets appear to prefer you use their proprietary platform given that MT4 is somewhat hidden on their website.

MetaTrader 4 competitive advantages:

1. More brokers offer this platform than any other platform – this means you can easily switch brokers without needing to change platforms
2. More traders use this platform than any other – this means there is a large MT4 community that can help you with all your needs online
3. It is one of the oldest existing platforms which means it is reliable as it has continually been improved over the years

Common Benefits of MT4:

1. Available for download on different operating systems (CMC Markets and IG don’t offer via web)
2. Available on desktops, tablet, mobile
3. Uses Expert Advisors for automated or robotic trading
4. Highlight customisation with various apps that can enhance key features such as charts, GUI and functionality
5. Social trading to copy other traders strategies
6. Range of advanced charts and indicators

Features of MT4

What MT4 dos not offer:

• Neither CMC Markets or IG appear to have share trading via MT4

CMC Markets Next Generation Platform

Next Generation is CMC Markets own award-winning proprietary. This trading platform is available via the web browser and on iOS and Android mobile devised.   The platform offers the following

1. Over 35 drawing tools
2. Over 80 technical indicators (30 overlaps and 50 studies)
3. Price history going back up to 20 years
4. Ability to switch between chart intervals ranging from 1 second to a month
5. 4 types of closeouts methods (standard, last in first out, largest position loss first, largest position margin first
6. 5 types of order execution – Market, Limit and stop entry orders, guaranteed stop-loss order, regular stop-loss order, trailing stop-loss order, take-profit orders
7. Customisable charts
8. Ability to trade directly from charts
9. Projection and pattern recognition tools
10. Online trading community to discuss trading
11. Social trading with other traders via a chat forum

For a long time, CMC Markets did not offer an alternative platform to ‘Next Generation’. This could be interpreted confidence their product is superior to other platforms. There is no doubt, CMC Markets is an excellent product that offers all the featured you will require for successful trading.

IG Markets Trading Platforms

IG place most of their efforts into their proprietary platforms (see Web-based, mobile and tablet apps) as it allows their client’s easy access to their large portfolio of instruments in a user-friendly and easy to use manner. MT4 for example, can’t quite match this. Their platforms are award-winning and have an excellent range of charts and indicators designed in such a way that you will not feel overwhelmed with the volume of data being displayed.

There are however may be times when using MT4 is beneficial. For example, if you wish to use robots. Unless you have a Forex Direct account (which is only available for professional traders) you will not be using L2 dealer and ProRealTime is best avoided as there are steep monthly fees. This platform is best if you like coding, lots of indicators and want to do backtesting.

Conclusion –  CMC Markets vs IG Markets

This category comes down to personal preference. While it is true both brokers offer a good choice of platforms, most traders are only going to need one platform. We generally recommend MT4 because this is a well known and proven platform. MT4 because it is available with many brokers means you can easily switch to another broker that offers MT4 should the need arise in future. Use of CMC Markets ‘Next Generation’ platform or IG proprietary platforms means you will be locked into their trading ecosystem which can make it difficult to trade in future.

Open a demo account >>Visit CMC Markets >>

Contracts for Difference (CFDs) – CMC Markets vs IG Markets

Both brokers offer a very large range of CFDs when you compare with other brokers. It is worth noting the sheer size of currency pairs CMC Markets offer. These forex pairs consist of majors, minors and exotics. CMC Markets also offer more commodities. IG on the other hand offer you will find offer a far larger range of indices and shares.

When it comes to margin, CMC offers a better margin (leverage). Minimum spreads are slightly in IG’s favour.

CMC Markets CFDs

In addition to above, CMC Markets also offer Binaries and Countdowns.

CFDS – IG

IG also offers ETFs/ETPs, Bonds, Interest Rates, IPO

Conclusion – CMC Markets vs IG Markets

We will generally recommend CMC Markets because they offer better margins however margins may not be so important to you when trading certain derivatives or asset classes. While it does look like IG offer slightly better minimum spreads, you would be advised to look at average spreads for the CFD you wish to trade with before choosing a broker.

Open a demo account >>Visit CMC Markets >>

Cryptocurrencies

Both IG and CMC have a good range of cryptocurrencies available for trade, with CMC offering a few more choices. Margin will be between 5% and 10%. The volatile nature of cryptocurrencies means there an opportunity for good profits which is why they are popular with traders despite their high risk.

CMC has provided a comparison of the cryptocurrencies and their spreads vs IG. CMC offers superior spreads, the popular Bitcoin having 8% better value and NEO offering as high as 33% better value.

IG also allow you to trade cryptocurrency indices. This is the Crypto 10 index.

Note: The Financial Conduct Authority no longer allows cryptocurrency trading. This means traders in the UK who join the brokers UK subsidiaries (CMC Markets UK plc or  IG Markets Ltd) will not be able to trade cryptocurrencies.

Spread Betting

Spread betting is available for traders in the UK and Ireland.

It works in a similar to CFDs work but there are some differences.

Spread betting means you are betting on the prices and/or outcomes of your chosen financial instruments. CFD involves the trade of a contract, which means you are trading the markets.

Why spread bet?

Spread betting is popular because there is no capital gains tax. This means you won’t be taxed on your profits. CFDs only allow you to offset taxes against your losses.

IG vs CMS Spread betting

Spread betting can be done with the same financial instruments available with for CFDs. There is no commission meaning spread betting is a spread only product. Your spreads will be the same as for CFDs.

Customer Service – CMC Markets vs IG Markets

Customer Support –  CMC Markets

CMC Markets customer support for CFDs are available Monday 8 am to Saturday 8 am. This means they are open when there is a CFD market open somewhere in the world. Customer support for shares is only open during Australia stock exchange hours which is Monday 7.30 AM to 5.30 PM Friday. The following means are available to get in touch with the customer support team:

• Live chat
• Phone (toll-free within Australia)
• Email

In addition to the above methods, you can get in touch with CMC Markets via Twitter and Facebook. Using these two mediums have some advantages as CMC Markets can directly link you to resources and guides that may benefit you.

Customer Service – CMC Markets

CMC Markets provide a solid range of customer services these include:

Research:

• Dedicated new and analysis – here you can find a wealth of material for successful forex trading. CMC Markets experts are on hand to lend their knowledge and access to chart, technical and fundamental analysis are also available. You will also find an economic calendar and live news such as Reuters available.

Education:

•  CMC Markets have articles, eBooks, videos, seminars and webinars tailored for varying levels of trading experience. These tools take you through just about everything you will need to know with CFD trading.

Other tools:

• Glossary: Here you can explanations of all terms about trading
• FAQ: This is a collection of answers to commonly asked questions about trading with CMC Markets.
• Demo Account: $10,000 of virtual funds is available in a demo account for you to develop and test your trading strategies.  The account will remain available as long as you have a CMC Markets account.

Customer Support – IG

IG Markets customer support is available almost 24/7. Customer support is available throughout the week but hours are limited on Saturdays.  Support from IG is available via email, phone, live chat and twitter. IG also has a community forum where all members of the IG community can provide support to each other.

Customer Service – IG

Education

The IG Academy is a great resource for trading education. The academy includes the following features:

• Online courses – There is a range of trading courses designed for all levels made up of videos, quizzes and interactive exercises.
• Live Sessions – 30-minute webinars by experts from IG and DailyFX team are run around the clock. covering all sorts of trading topics.
• Mobile – IG Academy us available as a mobile app.

Other education tools:

• • News and Analysis
  • Financial Events –
  • Risk Management Education – Covering a range of risk management strategies
  • Key trading terms glossary
  • Personal Platform Tour – Step by step guide when using IG platform
  • Economic Calendar

Demo Account:

$20,000 of virtual funds is available in a demo account for you to practice your trading.  The demo account will not allow you to practice with ‘slippage’ and you will find that trades are not rejected due to size or price.

Conclusion – CMC Markets vs IG Markets

We believe IG customer service and support is superior, not only is customer support available each day of the week, you can use a greater range of communication mediums to reach them.

Open a demo account >>Visit IG >>

Deposits and Withdrawals – CMC Markets vs IG Markets

CMC Markets Funding

You can fund your CMC Markets account using three primary methods. These are credit cards, debit cards, and bank transfer. In addition to these, you can use alternatives like POLi, BPAY and PayPal. When making a deposit or withdrawal there is a 1% processing fee for credit cards and 0.6% for debit cards. There are no minimum deposit requirements.

IG Markets Funding

Your account can be funded with credit cards, debit card, bank transfer and via PayPal and BPAY. When funding by card, you can deposit a maximum$50,000 and withdraw a maximum $35,000 per day. For larger deposits and withdrawals you should use bank transfer.

There are no charges when using debit cards or BPAY but there is a 1% charge when using Visa or PayPal and a 0.6% charge when using MasterCard.

Conclusions  – CMC Markets vs IG Markets

CMC Markets offer more funding options and don’t apply the same daily volume limits when using cards so we recommend CMC Markets.

Open a demo account >>Visit CMC Markets >>

Regulation

Both IG and CMC Markets are covered by different regulators depending on what country you join the broker from.

Regulators provide oversite of the brokers they regulate to ensure the brokers operate in a manner that protects their clients’ interest. Practices regulators typically implement include:

• Segregated funding accounts with a tier-1 banking institution
• Product Disclosure Statements (PDS)
• Leverage restriction
• Security of clients data
• A financial services compensation scheme
• A broker cannot hedge clients positions
• Establishment of a complaints and dispute resolution process

Traders joining from The UK and Europe

Both IG and CMC Markets are regulated by the Financial Conduct Authority (FCA) in the UK.

This FCA places tight restrictions with leverage the brokers can offer to retail traders. With FCA, the brokers can offer a maximum 30:1 for major currency pairs and 20:1 for minors and negative balance protection is included for retail accounts. Cryptocurrency trading is not available with FCA regulation.

If you are a client of IG or CMC markets from mainland Europe then you will join IG Europe GmbH or  CMC Markets Germany GmbH which are regulated by BaFin who are the regulators for Germany and Austria. Like with FCA, you will get the same leverage conditions and negative balance protection however you will be able to trade cryptocurrency.

Traders joining from Australia, South Africa and New Zealand

IG and CMC markets will apply regulation in line with what is permitted by ASIC. IG allows a maximum 200:1 leverage. CMC will allow 500:1. ASIC doesn’t require guaranteed negative balance protection.

Traders joining from Singapore

Both IG and CMC are regulated by the Monetary Authority Singapore (MAS). This means the brokers can offer a maximum 20:1 leverage when trading Forex.

Overall, IG is regulated in more regions with a plethora of tier 1 licences.

Open a demo account >>Visit IG >>