FXCM is a global forex provider trading with various FXCM entities in the UK, Europe, Australia and South Africa. We found that FXCM has a simple, helpful account type structure, a hybrid trading execution model and a good range of trading platforms.
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FXCM Summary
FXCM is an international forex broker that offers leverage1 up to 30:1 for AU, EU, and UK clients while 400:1 for other clients, the choice of the forex trading platforms MetaTrader 4, NinjaTrader, or Trading station, spreads2 from 1.30.4 pips on EUR/USD and zero commissions.
Our review of FXCM found that the company offers a straightforward account structure, average spreads, a combination trading execution model, and a good selection of trading platforms.
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*Your capital is at risk ‘67% of retail CFD accounts lose money’
FXCM has a very simple account structure for its clients. The majority of clients will use their Standard Account, which is designed for retail traders’ high volume traders will prefer their Active Traders account to save on costs.
An FXCM No Dealing Desk Brokers determines the best execution means which can result in FXCM acting as a market maker or using a dealing desk.
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FXCM Commission Account
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0.20 | 0.60 | 0.60 | 0.30 | 0.50 |
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0.90 | 1.40 | 1.40 | 1.30 | 1.70 |
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0.70 | 1.10 | 1.10 | 2.20 | 2.20 |
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1.20 | 1.80 | 1.50 | 0.90 | 1.80 |
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1.20 | 1.60 | 1.50 | 1.40 | 2.30 |
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0.62 | 0.83 | 1.27 | 0.77 | 1.50 |
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1.32 | 1.70 | 1.37 | 1.95 | 3.19 |
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n/a | 0.20 | 0.60 | 0.50 | 0.70 |
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1.12 | 1.30 | 1.30 | 1.64 | 1.80 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 12/01/2024
When comparing the spreads to other brokers, FXCM at first glance appears to have only average spreads. While FXCM Active Traders Account is competitive when looking at the EUR/USD, USD/JPY and even AUD/USD currency pairs with other brokers and poor when comparing EUR/GBP, GBP/USD and EUR/JPY to the average, the following consideration needs to be kept in mind.
| Raw Account Spreads | FXCM | Average Spread |
|---|---|---|
| Overall | 0.82 | 0.72 |
| EUR/USD | 0.3 | 0.28 |
| USD/JPY | 0.6 | 0.44 |
| GBP/USD | 0.9 | 0.54 |
| AUD/USD | 0.4 | 0.45 |
| USD/CAD | 0.6 | 0.61 |
| EUR/GBP | 0.7 | 0.55 |
| EUR/JPY | 0.8 | 0.74 |
| AUD/JPY | 1.1 | 0.93 |
| USD/SGD | 2 | 1.97 |
FXCM Active Trader offers savings up to 62.4%. The Active Trader account uses a tiered commission structure which means the more you trade, the lower your commission cost will be.
| Commission Fee | USD | AUD | GBP | EUR |
|---|---|---|---|---|
| FXCM Commission Rate | $4.00 | $4.00 | N/A | N/A |
| Industry Average Rate | $3.44 | $3.32 | £2.44 | €2.91 |
To be able to take advantage of these discounted commissions, you will need a minimum of $25,0000 in equity in your trading account, so will not be a serious consideration for most retail traders.
Use the calculator below to compare FXCM’s trading costs with competitors such as Pepperstone, Eightcap and CMC Markets, adjusting for trade size, currency pair, and base currency.
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FXCM standard spreads generally fall in the midrange when compared with other brokers with the most competitive spreads on offer appearing to be for AUD/USD and USD/JPY currency pairs.
| Standard Acount Spreads | EUR/USD | USD/JPY | GBP/USD | AUD/USD | USD/CAD | EUR/GBP | EUR/JPY | AUD/JPY |
|---|---|---|---|---|---|---|---|---|
| FXCM Average Spread | 1.3 | 1.1 | 1.8 | 0.7 | 1.3 | 1.1 | 1.9 | 2.6 |
| Industry Average Spread | 1.2 | 1.4 | 1.6 | 1.5 | 1.8 | 1.5 | 1.9 | 2.1 |
FXCM Standard Account (Available To All Clients)
Most FXCM clients will be using FXCM’s standard account. This is FXCMs offering to all clients who don’t qualify as an Active Trader. This account is a commission-free account, which means the trading costs are included in the spreads. This explains why spreads are wider than commission-based accounts such as the Active Trader account.
New traders may appreciate a standard style account, as no commissions mean a simpler cost structure. Long-term or discretionary traders may also like this account as the simpler cost structure compared to a commission account can make trading easier. The FXCM Standard Account has a minimum requirement of $50 (depending on payment method) when making an account deposit. When trading, you will still need to meet initial margin requirements to open trading positions.
FXCM Active Trader – Good for High Volume Traders
If you are a high-volume investor, then the Active Trader account may be for you. This account offers FXCM’s lowest spreads with the added benefit of discounted commission, dedicated support, and depth of market.
FXCM can be compensated in several ways, which includes but are not limited to adding a mark-up to the spreads it receives from its liquidity providers, adding a mark-up to rollover, etc. Commission-based pricing is applicable to Active Trader account types.
An Interest-free account is targeted at Swap Free Islamic Accounts who are forbidden from earning (or paying interest) as it is forbidden by Sharia law. FXCM add an extra 0.4 pips to the spread for Standard accounts and a $2.00 commission per lot (per side for commission-based accounts in place of overnight fee or swap rates.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
There are no fees when you make a deposit or withdrawal at FXCM. However, they have an inactivity fee of $50 per year after 12 months.
Verdict on FXCM Fees
If you are looking for the best possible spreads , then Active Trader is the best choice. Spreads with FXCM’s active trader account are cheaper than they may appear when you compare with other brokers as FXCM offer lower commission fees. The overall lowest spreads are offered by IC Markets in our head-to-head comparison.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
Leverage FXCM Forex Broker Comparison
FXCM operates four subsidiaries around the world that are overseen by different financial authorities. The leverage you are able to trade with depends on whether you sign up to the UK, European, Australian or South Africa entity.
Leverage in the UK, Europe and Australia
FXCM in Australian (ASIC), European (CySEC), and UK (FCA) regulated territories offer a maximum leverage of 30:1 for major currency pairs and 20:1 for minor and exotic currency pairs. This is in line with the maximum amount most tier-1 regulated brokers will offer.
You can trade crypto with leverage of 2:1 with the ASIC regulated branch, and 4:1 with the FSCA regulated branch in South Africa. Cryptos are only available to professional traders in the UK, not retail traders.
Leverage in South Africa (and the rest of the world)
FXCM South Africa is regulated by the FSCA and permits maximum leverage of 400:1 for all forex pairs. Clients who have more than 20,000 CCY ($20,000) equity in their trading account will only be allowed to trade with 100:1 leverage.
When trading with a leveraged product, it is important to keep in mind that while leverage can be a powerful tool for profitable gains, High Leverage Forex Brokers can exaggerate your losses when currency movements don’t work in your favour and should be used responsibly.
Note: Leverage is a double-edged sword and can dramatically amplify your profits. It can also just as dramatically amplify your losses. Trading foreign exchange/CFDs with any level of leverage may not be suitable for all investors.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
FXCM’s Transparency and Trust Level
FXCM list statistic regarding their performance when it comes to execution and slippage. Transparency gives their clients a level of assurance and trust that the broker is meeting the client’s expectations when it comes to trading. FXCM to deliver on the client’s requirement of fast order execution with no slippage, competitive pricing and no re-quotes.
FXCM Slippage And Execution Speed
Slippage can make a big difference to your trading success. Lag time, which naturally occurs due to the time taken between placing your order and completing your order, can see prices change. The changes are called slippage and can be positive or negative. As a trader, you want pricing certainty and execution certainty.
In the first quarter of 2020, FXCM had the following performance highlights.
As per FXCM’s Spread Report
These stats show that FXCM completes your orders with no slippage more than 60% of the time. This is made possible thanks to an average execution speed of 28ms and good till cancelled market orders speed of 29 ms. When slippage does occur, FXCM trading infrastructure is generally favourable for traders, with slippage being positive nearly 30% of the time and over 70% of the time for limit orders.
Our FXCM review found the forex broker offers one of the extensive choices of trading platforms from all online brokers. Not only does FXCM offers a choice of 4 trading platforms (2 of them the best social trading platforms) the broker also offers 7 speciality platforms.
| Trading Plaform | Available With FXCM |
|---|---|
| MetaTrader 4 | Yes |
| MetaTrader 5 | No |
| cTrader | No |
| TradingView | Yes |
| Proprietary Platform | Yes |
FXCM’s in-house developed proprietary trading platform built from feedback from FXCM traders and 10 years of trading data
Trading Station Desktop
FXCM is especially proud of their own Trading Station II (not to be confused with another platform TradeStation). It was built based on the feedback from FXCM traders and trading data accrued from over 10 years to meet the needs of their clients.
The FXCM Trading Station forex platform is generally hard to fault, it has a very user-friendly design and comes with has become FXCM’s hub for investment advice. One of the key features of the platform is the free professional charting tool known as Marketscope 2.0 which consists of price alerts, charts and a wide selection of indicators. One of the key features of Marketplace is the ability to open and manage all your trades directly from the charts. This means you can perform all your trading analysis, opportunity identification and order execution all in one place. This simplified trading process makes the platform a great tool for beginner traders.
Trading Station Web
The recent upgraded Trading Station Web 2.0 migrated from Flash to HTML5 now offers a cleaner, more modern and intuitive user interface. The new platform incorporated many of the features found on Trading Central Desktop, including:
This platform is the most widely used platform by traders and the most offered platform by brokers, many consider MetaTrader 4 to be the ‘gold’ standard when it comes to platforms. While you can find platforms with more indicators, more charts, faster speed, as a whole, MetaTrader 4 offers one of the most complete packages because it does everything really well. MetaTrader 4’s reputation and reliability make it a sound choice for all traders.
NinjaTrader 8
This platform is a worthy alternative to Trade Station and MetaTrader. NinjaTrader is perfect for scalpers thanks to its Advanced Trader Management feature (ATM) which allows semi-automated features so you can manage your positions through orders such as entries, stops, targets and exits and trading automation with C#.
It is also a great option for active traders who benefit from an abundance of technical analysis tools, including over 150 analytical tools and a wealth of customisable charts and drawing tools.
Zulu Trade
If you prefer social or copy trade, then Zulu Trader might be your preferred choice of the trading platform. This type of trading allows you to copy the trades of experienced traders, making it a great choice for beginner traders wanting to learn the trading strategies of successful traders. One of the key features of the Zulu trade is the social element. The feature gives users the ability of traders to share ideas and strategies and help other traders. Zulu Trader has over 1 million users, making it one of the larger social trading communities available.
FXCM also offers a range of speciality platforms to enhance your trading experience. Most of these tools are exceptionally useful for algorithmic traders and high-volume traders. These tools are useful for both forex and CFD and include:
*Your capital is at risk ‘67% of retail CFD accounts lose money’
FXCM has a trust score of 78, from its regulation, reputation, and reviews.
The FXCM group is part of the Leucadia Investments group and has the following regulations:
The United Kingdom
South Africa
Australia
Europe
Other FXCM entities
FXCM does not accept residents of the following countries – the United States, the Russian Federation, Ukraine, Singapore, Turkey, Japan and the Virgin Islands.
| FXCM Safety | Regulator |
|---|---|
| Tier-1 | ASIC FCA CySEC CIRO BaFin |
| Tier-2 | FSCA ISA (Israel) |
| Tier-3 | X |
FXCM was founded in 1999 with headquarters in New York, USA. They have around 38,100 monthly hits on Google.
FXCM has a TrustPilot score of 4.5 out of 5.0 from 455 users.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
FXCM has the following minimum deposit requirement
When making a deposit into your account with a credit card or debit card (Visa or MasterCard) there is a minimum of $50 per deposit and a limit of $30,000 per month for all FXCM clients.
All other deposit methods do not have a minimum deposit requirement however may have limits on how much can be deposited each month.
International Funding Options
Australia
The UK and Europe
Most deposit methods take up to 1 business day to complete however bank wire can take 1-5 working days. FXCM charges no fees for deposits.
Withdrawal can be done by card, Bank Wire or Skrill, Neteller and in Australia by Electronic Funds Transfer and Union Pay. While there are no withdrawal requirements, there are fees when using Bank Wire and Union Pay.
The table below summarises the fees:
Clients of FXCM have the option of the following contracts for difference (CFD) products:
All CFD option is commission-free, which means costs are included in the spread.
The range of markets available with FXCM is quite broad however you can find other brokers that offer more choices for each financial instrument. 39 currency pairs, for example, would put FXCM at the lower end of the broker for currency choices.
| More than 60 currency pairs | 40 to 59 currency pairs | Less than 40 currency pairs |
|---|---|---|
| Pepperstone | Admiral Markets | FXCM |
| IC Markets | XM | ThinkMarkets |
| City Index | XTB | HANTEC |
| easyForex | eToro | Traders' Way |
| Forex.com | FP Markets | |
| FxPro | Hugo's Way | |
| HYCM | ||
| Fusion Markets | ||
| IG | ||
| Oanda | ||
| Saxo | ||
| CMC Markets | ||
| Interactive Brokers | ||
| Plus500 |
Cryptocurrency
FXCM offers a choice of 5 cryptocurrencies. The broker claims to offer some of the tightest spreads on the market when it comes to trading BITCOIN.
Please note that due to FCA regulation, UK retail traders are not able to trade cryptocurrencies with UK brokers. If you want access to crypto markets, you will need to sign up for an FXCM subsidiary outside of the United Kingdom.
FXCM Specialised Baskets
One feature FXCM offers that is not commonly found with other brokers is the trading of specialised indices. FXCM offers 3 types of baskets of trading:
Trading with Indices allows you to reduce the risk of your exposure when trading volatile instruments.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
FXCM offers 24/5 award-winning customer services with customer support contactable via live chat, email, phone and even SMS text message. If you wish to call FXCM, there are 42 country-based numbers one can call from. Countries range from South Korea, United Arab Emirates to Venezuela.
If you prefer to place orders by phone, FXCM offers a trading desk line that can be handy should you experience an interruption in your internet connection.
Should you prefer to solve your issues yourself, there is a search feature on their website that should be able to point you to relevant pages to solve your question however the website doesn’t have a devoted FAQ page.
FXCM has a knowledge section that consists of research or market analysis tools and education.
Education
The education section of a wide range of educational tools that help their clients understand forex better, navigate FXCM features and accounts, and master their trading platforms. Education tools include:
While there is a wealth of material for forex, education is lacking when it comes to CFD education.
Research Tools
Market analysis tools consist of the standard tools most brokers offer. This includes an economic calendar, live forex charts, and the latest market news. Additional trading tools are available such as a market scanner and market data signal however to get to the really useful information such as trading signals, technical analyser and trading analytics requires a sign-up with FXCM.
*Your capital is at risk ‘67% of retail CFD accounts lose money’
As a global player, originally founded in America but now headquartered in the UK due to regulatory restrictions in the US, Forex Capital Markets (FXCM) has targeted market share in Australia for some time with a very competitive Australian forex broker offering, including standard accounts as well as an active trader account for those budding Forex enthusiasts.
Experienced Australian forex traders that require a very specific niche forex platform should consider FXCM. Those that require high leverage or are looking for low spreads/fees should review our Best Forex Brokers In Australia and a provider like Pepperstone for advanced traders.
Yes, FXCM is a regulated broker in the UK, Europe, Australia, and South Africa, adhering to strict standards. Their global reach and regulation provide a high level of safety and security for traders.
FXCM provides multiple trading platforms, including MetaTrader 4, Trading Station, NinjaTrader, and ZuluTrade, catering to different trading styles and preferences.
FXCM’s Standard account is commission-free, with costs embedded in the spreads. However, the Active Trader account offers tiered commissions with potential savings for high-volume traders.
The minimum deposit for FXCM is $50, though higher amounts may be required depending on the account type and trading conditions.
Leverage depends on your location. In Europe and Australia, it is capped at 30:1, but in South Africa, it can reach up to 400:1 for forex pairs.
Compare Forex Brokers was created to help Australian forex traders find the right broker to suit their trading requirements. Our forex broker comparison tables were constructed from information from providers’ websites or actual trading accounts. We try to update our forex broker comparison tables periodically (including our FXCM reviews) but if you have any suggestions or areas that may need updating please feel free to contact the owners via our contact us form.
Verdict
Fees
Trading Platforms
Safety
Funding
Product Range
Support
Market Research
Ask an Expert
Is FXCM a prime broker?
No, FXCM is not a prime brokers
Which countries accept FXCM?
FXCM is accepted in most countries, but it does not accept residents from the United States, Russia, Ukraine, Singapore, Turkey, Japan, and the Virgin Islands.