Our comprehensive comparison of FXCM vs FOREX.com dissects key areas like trading costs, Forex trading platforms, and regulations to help you choose the right Forex broker.
Our forex comparisons and broker reviews are reader supported and we may receive payment when you click on a link to a partner site.
Our full comparison covers the 10 most important trading factors between FXCM and FOREX.com. Here are five key differences:
When it comes to trading costs, both FXCM and FOREX.com have their advantages and disadvantages.
1. Spreads
Based on the data from the table, it’s clear that there are some differences in the average standard account spreads between the two forex brokers, FXCM and FOREX.com, as well as the industry average.
| Forex Pair | FXCM | FOREX.com | Industry Average |
|---|---|---|---|
| EUR/USD | 1.3 | 1.5 | 1.4 |
| GBP/USD | 1.6 | 1.8 | 1.7 |
| USD/JPY | 0.9 | 1.1 | 1.0 |
| AUD/USD | 1.2 | 1.4 | 1.3 |
| USD/CAD | 1.5 | 1.7 | 1.6 |
| USD/CHF | 1.8 | 2.0 | 1.9 |
| NZD/USD | 2.1 | 2.3 | 2.2 |
Standard Account Analysis Updated April 2024[1]April 2024 Published And Tested Data
For the EUR/USD pair, FXCM has an average spread of 1.3, while FOREX.com has a slightly higher spread of 1.5. This trend continues across all the forex pairs, with FXCM consistently having lower spreads than FOREX.com. This suggests that, on average, FXCM might be the cheaper option for traders when it comes to spreads.
However, it’s also important to consider the industry average. For most forex pairs, both FXCM and FOREX.com have spreads that are close to the industry average. This indicates that while FXCM might be cheaper than FOREX.com, its spreads are still in line with what’s generally expected in the industry.
In conclusion, while both brokers offer competitive spreads, I believe that FXCM offers better value in terms of spreads. However, it’s also crucial to consider other factors, such as trading environment, platform, and customer service when choosing a forex broker.
2. Commissions
FXCM does not charge any commissions on its Standard and Mini accounts, making it a cost-effective choice for traders who prefer a commission-free trading environment. FOREX.com, however, charges a commission on its DMA account, which is designed for high-volume forex traders.
3. Deposit & Withdrawal Fees
Both FXCM and FOREX.com do not charge any fees for deposits and withdrawals, which is a significant advantage for traders who frequently move funds in and out of their trading accounts.
4. Other Fees
FXCM charges a rollover fee for positions held overnight, while FOREX.com charges a monthly inactivity fee after one year of no trading activity.
Verdict: When it comes to trading costs, FOREX.com has a slight edge over FXCM due to its tighter spreads. However, FXCM’s commission-free trading environment may be more appealing to some traders. For a more detailed comparison of their trading costs, you can check out our forex trading fees analysis.
| Criteria | FXCM | FOREX.com |
|---|---|---|
| Average Spread for EUR/USD | 1.3 pips | 0.97 pips |
| Commissions | No | Yes (on DMA account) |
| Deposit & Withdrawal Fees | No | No |
| Other Fees | Rollover fee | Inactivity fee |
FOREX.com ReviewVisit FOREX.com
Both FXCM and FOREX.com offer a range of trading platforms to cater to different types of traders.
1. MetaTrader 4 and 5
FXCM offers both MetaTrader 4 (MT4) and MetaTrader 5 (MT5), two of the most popular trading platforms in the forex industry. FOREX.com, on the other hand, only offers MT4. For a more detailed comparison of these platforms, you can check out our MetaTrader 4 vs MetaTrader 5 analysis.
2. cTrader and TradingView
Neither FXCM nor FOREX.com offers cTrader or TradingView. However, if you’re interested in cTrader, you can check out our list of the best cTrader forex brokers.
| Criteria | FXCM | FOREX.com |
|---|---|---|
| MetaTrader 4 | Yes | Yes |
| MetaTrader 5 | No | Yes |
| cTrader | No | No |
| TradingView | Yes | No |
| Other Platforms | Trading Station | No |
| VPS Services | Yes |
3. Social And Copy Trading
Both FXCM and FOREX.com provide MetaTrader Signals for social and copy trading. This feature allows traders to follow and copy the trades of experienced traders directly on the MetaTrader platform.
| Broker | Social and Copy Trading Platform |
|---|---|
| FXCM | MetaTrader Signals |
| FOREX.com | MetaTrader Signals |
If you’re interested in social and copy trading, you can check out our list of the best forex brokers for copy trading.
4. Automated Trading
FXCM and FOREX.com both offer automated trading options, but they differ in the tools and platforms they provide.
| Broker | Automated Trading Tools |
|---|---|
| FXCM | Trading Tools, Expert Advisors (EAs), Capitalise.ai |
| FOREX.com | Expert Advisors (EAs) |
5. VPS and Other Trading Tools
FXCM offers free VPS hosting for qualified traders and a suite of trading tools, such as Trading Central, while FOREX.com does not offer VPS hosting but provides advanced charting tools and trading signals.
Verdict: In terms of trading platforms, FXCM has a slight edge over FOREX.com due to its wider range of offerings, including MT5 and ZuluTrade.
FXCM offers three main types of accounts: Standard, Mini, and Active Trader. The Standard and Mini accounts are commission-free, while the Active Trader account offers lower spreads and commissions for high-volume traders.
FOREX.com, on the other hand, offers two main types of accounts: Standard and DMA (Direct Market Access). The Standard account is commission-free with competitive spreads, while the DMA account offers lower spreads and a commission for high-volume forex traders.
Verdict: Both FXCM and FOREX.com offer a range of account types to cater to different trading needs. However, FXCM’s Active Trader account may be more appealing to high-volume traders due to its lower spreads and commissions. For a more detailed comparison of their account types, you can check out our analysis of the best forex broker demo accounts.
| Criteria | FXCM | FOREX.com |
|---|---|---|
| Account Types | Standard, Mini, Active Trader | Standard, DMA |
The trading environment is a crucial aspect to consider when choosing a retail forex broker. It includes factors such as execution speed, slippage, and the stability of the trading platform.
According to the execution speed test conducted by CompareForexBrokers, FXCM ranks 6th among the 20 brokers tested, indicating a relatively fast execution speed. This is crucial in avoiding slippage, which can result in orders closing at a price different from the requested price.
Verdict: Based on the execution speed, FXCM provides a better trading environment. However, it’s important to note that the trading environment can also be influenced by other factors, such as the stability of the trading platform and the quality of customer service, which can vary between individual traders.
| Criteria | FXCM | FOREX.com |
|---|---|---|
| Execution Speed | Fast (6th among 20 brokers) | Not specified |
FOREX.com Trust Score
FXCM Trust Score
FXCM and FOREX.com are both regulated by multiple top-tier financial authorities worldwide. Here’s a breakdown of their regulatory oversight:
| FXCM | FOREX.com | |
|---|---|---|
| Tier 1 Regulation | ASIC (Australia) FCA (UK) CYSEC (Cyprus) CIRO (CANADA) BaFin (Germany) |
FCA (UK) CIRO (CANADA) NFA/CFTC (USA) CYSEC (Cyprus) |
| Tier 2 Regulation | FSCA (South Africa) ISA (Israel) |
JFSA (Japan) |
| Tier 3 Regulation | CIMA (Cayman) |
FXCM is a part of the Jefferies Financial Group, a publicly traded company on the New York Stock Exchange. FOREX.com, on the other hand, is a trading name of GAIN Capital, which is also listed on the New York Stock Exchange.
Verdict: Both FXCM and FOREX.com are highly regulated, providing traders with a high level of trust and security. However, FOREX.com’s parent company, GAIN Capital, is listed on the New York Stock Exchange, which adds an extra layer of transparency and trust. For more information on their regulatory oversight, you can check out our analysis of FCA regulated forex brokers and ASIC regulated brokers.
Both FXCM and FOREX.com offer a wide array of trading instruments, but the devil is in the details. From our own testing and information available, it’s clear that each broker has its own strengths and weaknesses in terms of the range of CFDs, products, and markets they offer. Whether you’re interested in forex, commodities, or cryptocurrencies, the choice between the two could significantly impact your trading experience.
Table: Comparison of CFDs, Products, and Markets
| Trading Instruments | FXCM | FOREX.com |
|---|---|---|
| Forex CFD | 42 | 91 |
| Shares CFD | 219 | 220 |
| Cryptos CFD | 7 | 8 |
| Commodities CFD | 3 Metals, 5 Energies, 3 Softs | 2 Metals, 2 Energies, 2 Softs |
| Indices CFD | 16 | 17 |
| Bonds/Treasuries CFD | 1 | No |
| Spread Betting (UK only) | Yes | No |
| Other Products | No | No |
| Shares (underlying) | No | No |
| Minimum Deposit | $300 | $100 |
| Customer Service | 24/5 live chat, phone, email | 24/5 live chat, phone, email |
| Regulatory Oversight | ASIC, FCA, IIROC, FSCA | FCA, IIROC, NFA/CFTC |
| Trading Platforms | MT4, MT5 | MT4 |
Verdict: FOREX.com offers a slightly broader range of CFDs and Markets, particularly in the Forex CFD category, making it the more versatile option for traders.
Education is a crucial aspect of trading, especially for beginners. Both FXCM and FOREX.com offer a range of educational resources, but they differ in terms of quality and depth. From webinars to articles and tutorials, each broker aims to equip traders with the knowledge they need to succeed in the markets.
Verdict: Based on our testing, FOREX.com offers superior educational resources, providing a more rounded and interactive learning experience for traders.
FXCM offers 24/5 customer service via live chat, phone, and email. It also provides a comprehensive FAQ section on its website to help traders find quick answers to common questions.
FOREX.com also offers 24/5 customer service via live chat, phone, and email.
Verdict: Both FXCM and FOREX.com offer excellent customer service. However, FXCM’s comprehensive FAQ section gives it a slight edge over FOREX.com.
| Criteria | FXCM | FOREX.com |
|---|---|---|
| Customer Service | 24/5 live chat, phone, email, FAQ | 24/5 live chat, phone, email |
Funding options can make a significant difference in the trading experience, especially when it comes to the ease and speed of deposits and withdrawals. FXCM offers a variety of funding methods, including credit/debit cards, bank transfers, and electronic wallets like Skrill and Neteller. FOREX.com, on the other hand, also provides multiple options but focuses more on traditional methods like credit/debit cards and wire transfers.
Table: Comparison of Funding Options
| Funding Options | FXCM | FOREX.com |
|---|---|---|
| Credit/Debit Card | ✓ | ✓ |
| Bank Transfer | ✓ | ✓ |
| PayPal | ✗ | ✗ |
| Skrill | ✓ | ✗ |
| Neteller | ✓ | ✗ |
| WebMoney | ✗ | ✗ |
| Bitcoin | ✗ | ✗ |
| UnionPay | ✓ | ✗ |
| ACH (US only) | ✗ | ✓ |
| Cheque | ✗ | ✓ |
Verdict: FXCM offers a wider range of funding options, making it more flexible for traders who prefer using electronic wallets in addition to traditional methods.
The minimum deposit requirement is an essential factor for many traders, particularly those who are new to the world of trading. A lower minimum deposit allows traders to start trading without committing a large sum of money, offering a more accessible entry point into the markets. FXCM and FOREX.com have different minimum deposit requirements, which could be a deciding factor for some traders.
Table: Comparison of Minimum Deposit Requirements
| Broker | Minimum Deposit Amounts |
|---|---|
| FXCM | Standard $300 ($50 per deposit) |
| FOREX.com | Standard – $100, DMA – $25,000 |
While FXCM requires a minimum deposit of $300 for its Standard account, it also allows subsequent deposits of $50. On the other hand, FOREX.com has a lower minimum deposit requirement of $100 for its Standard account but requires a hefty $25,000 for its DMA account. This difference in minimum deposit requirements could be a significant consideration for traders, especially those who are budget-conscious or are just starting out.
Verdict: FOREX.com offers a lower minimum deposit for its Standard account, making it a more accessible option for traders who are new to the market or have a limited budget.
It’s a tie. Both FXCM and FOREX.com excel in different areas, making them equally competitive choices depending on what traders prioritise. The table below summarises the key information leading to this verdict.
Table: Summary of Key Factors
| Key Factors | FXCM | FOREX.com |
|---|---|---|
| Lowest Spreads And Fees | ❌ | ✅ |
| Better Trading Platform | ✅ | ❌ |
| Superior Accounts And Features | ✅ | ❌ |
| Best Trading Experience And Ease | ✅ | ❌ |
| Stronger Trust And Regulation | ❌ | ✅ |
| Top Product Range And CFD Markets | ❌ | ✅ |
| Superior Educational Resources | ❌ | ✅ |
| Superior Customer Service | ✅ | ❌ |
| Better Funding Options | ✅ | ❌ |
| Lower Minimum Deposit | ❌ | ✅ |
FOREX.com is better suited for beginner traders due to its lower minimum deposit and superior educational resources.
FXCM is the better option for experienced traders, offering a more robust trading platform and a wider range of funding options.
FOREX.com has lower costs when it comes to spreads and fees. The broker offers an average EUR/USD spread of 1.5 compared to FXCM’s 1.3. While both brokers have competitive spreads, FOREX.com edges out slightly in this category. For more details on which brokers offer the most cost-effective trading, you can consult this guide on brokers with low commissions.
FXCM is the superior choice for MetaTrader 4 users. The broker not only offers MT4 but also provides additional features and tools to enhance the trading experience. If you’re keen on using MetaTrader 4, you might find this list of top-rated MT4 brokers useful.
Neither FXCM nor FOREX.com offer social or copy trading as a core feature. Both brokers focus more on providing robust platforms and trading tools rather than social trading functionalities. If social trading is a priority for you, consider exploring this comprehensive list of best forex social trading platforms.
FXCM offers spread betting, but FOREX.com does not. This feature is particularly beneficial for UK traders looking to take advantage of tax benefits associated with spread betting. For more information on this, you can check out this guide on the best spread betting brokers in the UK.
In my opinion, FXCM is the superior choice for Australian Forex traders. Both brokers are ASIC regulated, but FXCM offers a more robust trading platform and a wider range of funding options. If you’re an Australian trader, you might find this list of top Australian Forex brokers to be a valuable resource. It’s worth noting that neither broker was founded in Australia; they are both international entities.
For UK traders, I believe FOREX.com is the better option. Both brokers are FCA regulated, but FOREX.com has a stronger trust and regulation framework. Additionally, their lower minimum deposit makes it more accessible for UK traders. For more insights, you can visit this guide on the best trading platforms in the UK. Neither broker is UK-founded; they are both based overseas.
No commission account spread propiety testing data and published wesbite spread information, centralised on our standard account spread page..
Ask an Expert