Our FXCM vs FOREX.com comparison found that FOREX.com is superior to FXCM based on spreads, trading platform, trust and overall trading experience. This review details below how we came to this conclusion.
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FXCM and FOREX.com are two leading forex brokers in the industry, each with its unique strengths and offerings. FXCM is known for its diverse range of trading platforms and advanced trading tools, while FOREX.com boasts competitive spreads and a wide range of forex pairs. The main differences lie in their trading costs, platforms offered, account types, regulatory oversight, customer service, and other trading factors.
When it comes to trading costs, both FXCM and FOREX.com have their advantages and disadvantages.
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 September 2023[1]September 2023 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.
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.
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.
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 |
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 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 |
Both FXCM and FOREX.com offer a range of trading platforms to cater to different types of traders.
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.
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 |
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 in 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.
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) |
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 |
FXCM and FOREX.com are both regulated by multiple top-tier financial authorities worldwide. Here’s a breakdown of their regulatory oversight:
| Broker | Regulator |
|---|---|
| FXCM | ASIC, FCA, IIROC, FSCA, AMF (France), ISA (Israel), CySEC |
| FOREX.com | FCA, IIROC, NFA/CFTC, MAS, JFSA, CIMA |
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.
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 |
FXCM requires a minimum deposit of $50 for its Standard and Mini accounts, and $25,000 for its Active Trader account. FOREX.com, on the other hand, requires a minimum deposit of $100 for its Standard account.
Both FXCM and FOREX.com offer a variety of payment methods, including bank transfer, credit/debit card, and electronic wallets.
FXCM offers a wide range of trading instruments, including forex, indices, commodities, and cryptocurrencies. FOREX.com also offers a diverse range of trading instruments, including forex, indices, commodities, shares, and cryptocurrencies.
Verdict: In terms of other trading factors, both FXCM and FOREX.com are quite similar. However, FXCM’s lower minimum deposit requirement for its Standard and Mini accounts may be more appealing to beginner traders. For more information on other trading factors, you can check out our analysis of forex brokers with micro accounts.
| Criteria | FXCM | FOREX.com |
|---|---|---|
| Minimum Deposit | $50 (Standard and Mini), $25,000 (Active Trader) | $100 (Standard) |
| Payment Methods | Bank transfer, credit/debit card, electronic wallets | Bank transfer, credit/debit card, electronic wallets |
| Trading Instruments | Forex, indices, commodities, cryptocurrencies | Forex, indices, commodities, shares, cryptocurrencies |
| Trading Instruments | ||
| Forex CFD | 42 | 91 |
| Shares CFD | 219 | 220 |
| Cryptos CFD | 7 | 8 |
| Commodities CFD | 3 Metals 5 Energies 3 Softs |
2 Metals (6 Gold crosses (2 Silver crosses) 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 |
Best For Beginner Traders: FXCM is the best choice for beginning forex traders due to its lower minimum deposit requirement, diverse range of trading platforms, and comprehensive customer service.
Best For Experienced Traders: FOREX.com is the best choice for experienced traders due to its competitive spreads, DMA account offering, and strong regulatory oversight.
It depends on your trading needs. FXCM offers a lower minimum deposit and a diverse range of trading platforms, making it a good choice for beginner traders. On the other hand, FOREX.com offers competitive spreads and a DMA account, making it suitable for experienced traders.
FOREX.com generally has lower trading costs due to its tighter spreads. However, FXCM offers a commission-free trading environment, which may be more cost-effective for some traders.
No commission account spread propiety testing data and published wesbite spread information, centralised on our standard account spread page..
