This XM vs IG Markets review looks at which broker is best. XM has 6 asset classes, over 1000 instruments and MT4 and MT5 Forex trading platforms, and IG has 17,000 products across 10 asset classes and 5 trading platforms.
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Our full comparison covers the 10 most important trading factors. Here are some key differences between XM and IG:
To get a clear picture of how much it costs to trade with these two online brokers, we compared their minimum spreads across different financial instruments. Both online brokers offer variable spreads across their CFD product lists.
Forex Trading Spreads
Spreads on major currency pairs start from 0.6 pips at IG Markets compared to XM spreads are as low as 1 pip (Standard account and Micro account):
| Min. Spread (Pips) | IG Markets |
XM Group |
|---|---|---|
| EUR/USD | 0.6 | 1.6 |
| GBP/USD | 0.9 | 2.0 |
| USD/JPY | 0.7 | 1.5 |
| USD/CAD | 1.3 | 2.0 |
| AUD/USD | 0.6 | 1.6 |
| EUR/GBP | 0.9 | 1.8 |
| GBP/JPY | 2.5 | 3.2 |
| AUD/CAD | 1.5 | 2.8 |
| NZD/JPY | 2.0 | 2.5 |
| NZD/CHF | 4.0 | 3.7 |
Many brokers provide their average spreads on their websites, so we have compiled these spreads and updated them each month. The module below compiles the spreads on brokers’ standard accounts.
The first XM is the spreads for the micro and standard account, all XM clients can access this account. However, since it is higher than the IG standard account, there is little reason to consider this account. The second XM account is the ultra-low account, available for traders outside UK and Europe. This account is more competitive and might be worth considering if you want to trade with micro lots. You will notice that other brokers present better value.
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Standard Account Spreads
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|---|---|---|---|---|---|
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1.13 | 1.01 | 1.71 | 1.66 | 1.12 |
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1.10 | 1.20 | 1.40 | 1.40 | 1.40 |
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0.62 | 0.77 | 1.27 | 0.83 | 0.74 |
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0.90 | 1.30 | 1.40 | 1.40 | 1.40 |
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0.70 | 2.20 | 1.10 | 1.10 | 0.60 |
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1.20 | 0.90 | 1.50 | 1.80 | 1.80 |
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1.20 | 1.40 | 1.50 | 1.60 | 1.50 |
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0.60 | 0.70 | 0.80 | 0.90 | 0.60 |
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1.10 | 1.20 | 1.30 | 1.30 | 1.30 |
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1.20 | 1.30 | 1.20 | 1.30 | 1.10 |
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1.70 | 1.60 | 1.70 | 2.00 | 1.60 |
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1.20 | 1.80 | 1.90 | 1.90 | 1.60 |
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1.30 | 1.70 | 2.10 | 1.40 | 1.50 |
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1.12 | 1.64 | 1.30 | 1.30 | 1.38 |
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1.32 | 1.95 | 1.37 | 1.70 | 1.40 |
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1.20 | 1.30 | 1.50 | 1.30 | 1.20 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 10/01/2024
ECN-Pricing Spreads (No Dealing Desk)
Both brokers offer no dealing desk options, which means tight spreads but come with commission costs. However, both brokers’ ECN-pricing style accounts do come with some limitations.
XM’s Zero account is only available to traders in the UK and Europe. This means XM clients in Australia, South Africa, and UAE will not have access to these accounts. Commission costs for the XM Zero Account are $3.5 per $100,000 traded. It is interesting to note that if you are using the MT4 trading platform are applied with you open and close your position, while with the MT5, they are applied twice when you open your position. Then end result is the same as far as costs are concerned.
In a similar vein, IG offers the DMA forex direct account, which uses Direct Market Access (DMA) execution rather than Straight Through Processing (STP). While DMA is available for all traders, it is recommended for professional traders because of its complexity. Commission costs with the Forex Direct account are commission-based and vary by volume. The more you trade, the lower your commission costs will be.
A side-by-side comparison of the ECN spreads offered by the two online brokers shows that, on average, XM spreads are a little bit more competitive. The table below shows how IG and XM stack up against the competition. If you want the best spreads, consider other brokers such as Pepperstone, IC Markets, and FP Markets.
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IG ECN Spreads
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|---|---|---|---|---|---|
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0.17 | 0.30 | 0.54 | 0.59 | N/A |
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0.10 | 0.20 | 0.40 | 0.60 | 2.40 |
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0.02 | 0.17 | 0.27 | 0.23 | 0.85 |
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0.10 | 0.20 | 0.30 | 0.30 | 1.40 |
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0.20 | 0.20 | 0.40 | 0.50 | 1.50 |
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0.44 | 0.42 | 0.40 | 0.85 | 1.30 |
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0.20 | 0.40 | 0.50 | 0.60 | 10.00 |
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0.10 | 0.50 | 0.60 | 0.60 | 1.30 |
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n/a | 0.50 | 0.60 | 0.20 | 3.10 |
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0.44 | 1.23 | 1.13 | 1.08 | 1.85 |
Avg. spreads are taken from each broker's website and updated monthly. Last update on 10/01/2024
Verdict
The right account for you will depend on your trading preference and location. If you want the lowest spreads and you are in Europe, then consider the XM account. This account is a more realistic prospect for most retail traders compared to the IG DMA Forex Brokers Forex Direct option. If you prefer standard spreads, then you should consider the IG account. IG is a market maker that offers excellent spreads with no commissions.
While IG has provided its clientele with a choice of a variety of in-house and specialist trading platforms, XM offers only two specialist platforms – MetaTrader 4 and MetaTrader 5, and their proprietary platform XM WebTrader accessible from any browser.
IG vs XM: MetaTrader 4 Trading Platform Comparison
MetaTrader 4, already an industry standard for Forex trading and very popular among retail traders, offers good customisation options, charting and analytical capabilities and significant support for expert advisors.
XM offers the desktop version of the trading platform for both PC and Mac, while IG – for PC. The trading software at both brokers features the One-Click Trading option and the standard set of technical indicators, drawing objects and timeframes.
However, IG goes further and offers 6 additional technical indicators (Order history indicator, Pivot points indicator, High-low indicator, Renko indicator, Chart group indicator, Freehand drawing indicator) and 12 additional trading tools (including Stealth orders, Correlation matrix, Sentiment trader, Candle countdown).
With IG, clients will also have access to the powerful Autochartist pattern recognition tool.
XM MetaTrader 5
MetaTrader 5 is an upgrade on MT4 and offers a wider selection of tradable asset classes (including Stock CFDs), more order types, technical indicators, drawing objects, and time frames and also expanded development, optimisation and testing options for EAs.
MT5 also allows for position hedging and access to market depth. XM offers the desktop version of the trading software for both PC and Mac.
IG vs XM: Web Trading
IG offers its own innovative web-based platform that delivers an array of customisation options, advanced charting and technical analysis tools and grants access to news and analysis from several leading sources, live and on-demand shows from the broker’s in-house TV channel, as well as to price level, price change, technical indicator and economic calendar alerts.
Last but not least, the web-based trading platform delivers exceptional order execution speed (0.014 seconds on average), while IG uses 256-bit SSL (Secure Sockets Layer) encryption for top-level security of online financial transactions.
In the case of XM, its MT4, MT5 WebTrader, and XM WebTrader can be accessed on PC and Mac without the need for a download. They feature almost the same functionalities as the desktop platform versions, with the exception of support for expert advisors.
IG vs XM: Mobile Trading
Both brokers offer mobile trading apps. IG has its own proprietary mobile apps for Android and Apple iOS devices, which have received several industry awards.
IG’s Android trading app grants access to the full range of financial instruments grouped in five asset classes, including Forex, Cryptocurrencies and Indices. With this app, clients will be able to open and close positions with the broker’s intuitive mobile deal ticket, control risk with both standard Stop-Loss orders and Trailing Stops and take advantage of tight protection against slippage with Guaranteed Stops (this tool will incur a small charge if triggered).
The Android trading app also features real-time charts, 28 technical indicators and advanced dealing options such as partial fills and points through current. Clients can also set price alerts and receive trading signals via email, SMS, or push notifications.
IG clients can also use the third-party MT4 mobile trading app.
In the case of XM, similar to the desktop platform versions, it does not offer an in-house mobile trading app. Clients can access MetaTrader 4 and MetaTrader 5 via third-party mobile apps for Android and iOS devices.
The scope of features is more limited compared to the desktop and web-based versions of the platforms, with traders able to use real-time interactive charts with zoom and scroll, 3 chart types, 30 technical indicators and push notifications for trading alerts.
Specialist Platforms Offered By IG
ProRealtime trading platform offers a range of time frames, over 100 technical indicators, 8 order types and access to advanced technical analysis tools such as:
L2 Dealer
This is a free downloadable trading platform allowing for direct market access to Foreign Exchange and Shares CFDs. It features monitoring tools such as watchlists and price alerts and research tools such as streaming news, economic calendar and trading signals.
Social Trading Platforms
IG and XM don’t offer specialised social trading app like eToro. However, XM clients can enjoy the integrated MT4 and MT5 copy trading solutions powered by MQL5 signals.
IG’s WebTrader also grants access to buy and sell signals on Forex pairs, Indices and Commodities from two expert third parties (Autochartist and PIA-First).
Verdict
Overall, IG comes at the top, as they offer a wider selection of proprietary and third-party trading platforms and useful trading tools. By comparison, XM only offers the industry standards MT4 and MT5. Click the button below if you want to test drive IG’s software solution.
In order to accommodate the trading needs and financial objectives of traders with different levels of trading experience and clients employing different trading styles, both IG and XM offer a variety of account types.
| IG | XM | |
|---|---|---|
| Minimum Deposit | $300 | -$5 Micro and Standard Account -$100 Zero Accounts |
| Number of Accounts | - 1 CFD Account - 1 Limited Risk CFD Account |
- 1 Micro Account - 1 Standard Account - 1 Zero Account |
| Forex Spreads | From 0.6 pips | From 0.0 pips |
| Commission | 2 cents per share | $3.5 per side per 100k units ($7 round-turn) |
| Range of Platforms | IG Platform, MT4, ProRealTime and L2 Dealer | MT4 and MT5 |
| Maximum Leverage (forex) | 30:1 | 30:1 |
| Instruments | +17,000 | +1,000 |
| Islamic Account | ✓ | ✓ |
IG is a leading, multi-regulated CFD and Forex broker with decades of business history. Operating in 17 countries and having over 239,000 active clients worldwide, London-based IG gives you access to financial markets with a choice of trading platforms and provides a variety of educational materials and tools to enhance your trading experience.
Founded in 2009, XM represents a group of brokerages operating under one parent company – Trading Point of Financial Instruments Ltd and currently has over 3.5 million clients worldwide. The broker has received over 30 industry awards for its services and trading platforms. XM Group does not accept clients from all countries, among them are Canada, China, and Japan.
Account Types Offered By IG
Our review has found that IG does not provide a specific breakdown of features and trading conditions on its account types. Consequently, for the purpose of the current broker review, we shall present the account types available for clients of different regulatory jurisdictions and the types of financial instruments that can be accessed.
IG Trading Account (Standard CFD Account) – All countries
All traders, regardless of location, will have access to the IG Trading account. This account is IG’s standard account, which means you get access to most of IG’s trading products without commissions. This means trading costs are included as part of the spread. There are some exceptions to this rule. For example, shares will have commission costs.
Limited Risk Account (Australia, Switzerland, South Africa, New Zealand, Japan, and Dubai)
Limited risk account is for beginner traders. With this type of account, traders must purchase a guaranteed stop-loss order to open a position. This ensures one cannot lose more than the initial deposit. Guaranteed stops protect you against slippage, which means the broker guarantees to close your order at a set limit.
While there are benefits with a limited risk account, there is a small fee to use a guaranteed stop loss, and you cannot use other types of stops.
Other than the need to purchase a guaranteed stop, the account is the same as the IG Trading Account. This Account is available in the following countries – Australia, Switzerland, South Africa, New Zealand, Japan, and Dubai.
Other Trading Accounts With IG Include:
Account Types Offered By XM Group
In comparison, XM offers three main types of live trading accounts:
If you are outside the UK and Europe and are wondering why you should consider the Standard account or Micro Account over the XM ultra-low account, given that are pretty much identical except that the ultra-low account has better spreads, we are not sure. The only difference of note is that the XM Ultra-Low account does not offer JPY and RUB as a based currency. In the past, the XM Ultra-low account had a higher minimum deposit to begin trading, so it seems XM has not reviewed its trading account policy following the change.
The following table presents a comparison between trading conditions offered on XM Group’s main account types.
IG vs XM Review: Demo Account
Yes, both brokers offer a free Demo account. IG’s practice account comes equipped with $20,000 in virtual funds and can test features of the broker’s web-based platform, mobile trading apps and various trading strategies in a risk-free environment. Clients can also access exclusive educational content on IG Academy.
Meanwhile, XM’s Demo account comes equipped with $100,000 in virtual funds and has an unlimited duration.
Verdict
There is a good range of account types with both brokers, but if you want to trade with 0.0 pips and ECN trading conditions, XM Zero Account is the best choice. If you want to get access to more CFD instruments, IG Markets is the best broker.
When it comes to trading experience and ease of use, both XM and IG have their unique strengths. Having personally tested both platforms, I can say that the user interface of each broker is designed with the trader in mind. Here are some key observations from our testing:
Now, while both brokers offer commendable trading experiences, there are subtle differences that might sway a trader one way or the other. It’s essential to consider what features and tools are most important to you and how they align with your trading style.
Verdict
Based on our extensive testing, IG offers a slightly more comprehensive trading experience, especially for those who value a wide range of tools and resources.
IG has an extremely high trust score of 97 vs 67 for XM. This is largely due to the fact IG Group complies with the strict regulatory standards in 12 jurisdictions, while XM is regulated in only five.
IG Group Trust Score
XM Trust Score
Regulation
Of IG Group’s 12 financial services licenses, 8 are in tier-1 jurisdictions, while three of XM’s regulators are considered top-tier. Both brokers are regulated by the Australian Securities and Exchange Commission (ASIC), the UK’s Financial Conduct Authority (FCA), and the Cyprus Securities and Exchange Commission (CySEC).
Although both brokers are highly secure and trustworthy providers of online trading services, IG has some of the strongest regulatory coverage of all brokers globally, contributing to its high trust score of 97 / 100.
| XM | IG Group | |
|---|---|---|
| Tier 1 Regulation | ASIC (Australia) FCA (UK) CYSEC (Cyprus) |
ASIC (Australia) FCA (UK) BaFin (Germany) FINMA (Switzerland) NFA/CFTC (USA) CYSEC (Cyprus) MAS (Singapore) FMA (New Zealand) |
| Tier 2 Regulation | DFSA (Dubai) | JFSA (Japan) DFSA (Dubai) |
| Tier 3 Regulation | FSC-BZ | BMA (Bermuda) FSCA (South Africa) |
Reputation
IG Group is one of the world’s oldest and largest online brokers and was established in 1974, while XM is much newer to the scene and was founded in 2009.
IG Group’s prominence is evident in their monthly search volume, which reaches an impressive 2 million compared to XM’s 673,000 monthly searches.
Furthermore, IG’s role as a publicly listed bank bolsters their credibility through increased transparency and strict reporting requirements, significantly enhancing their trust score and reputation.
Reviews
IG Group has a TrustPilot score of 3.9 out of 5, while XM clients rated the broker 3.3 out of 5.
Verdict
IG is seen as more trustworthy and safe than XM as its not just a regulated forex broker but also a regulated bank, adding an extra layer of credibility to its name.
Our broker review has found that clients can access a considerably larger number and a greater variety of financial instruments with IG – over 17,000 tradable instruments. At the same time, XM has roughly 1,000 financial instruments on its product list.
| IG | XM | |
|---|---|---|
| Financial Instruments | +17,000 | +1,000 |
| FX Pairs | 68 | 55 |
| Indices CFDs | +100 | 14 |
| Commodity CFDs | 35 | 8 |
| Metals | 5 | 4 |
| SharesCFDs | 10,500 | +600 |
| Cryptocurrencies | 8 | ✗ |
Disclaimer: Trading complex instruments such as CFDs on retail investor accounts carries a high risk of losing capital rapidly as leverage is used. It is advisable that clients make sure they fully understand how these derivative instruments work before they operate with them on a live trading account.
Let us now have a closer look at both brokers’ CFD offerings:
Verdict
Overall, IG offers more tradable instruments and a larger variety of asset classes for those wishing to diversify their portfolios. With over 1,400 financial instruments offered by XM, the available markets are sufficient for any beginner retail trader, but professional traders will likely find more opportunities at IG.
When it comes to client education materials, both brokers have apparently put a lot of effort into this front. What clients will find are diversified education sections, including both a cannonade of written content and education in the form of live events (seminars and webinars).
At XM, both beginners and more advanced traders will find:
Meanwhile, the IG Academy includes:
Verdict
Both brokers offer educational content, daily market commentaries, webinars and trade ideas to assist beginner traders.
Our broker review has found that both IG and XM offer reliable customer support services. In case clients cannot resolve their queries with the help of both brokers’ extensive FAQ sections, they can contact the respective Customer Support departments during business days over the phone. Phone support is 24/5 at both IG and XM.
| XM | IG Markets | |
|---|---|---|
| Live Chat | ✔ | ✔ |
| ✔ | ✔ | |
| Phone | ✔ | ✔ |
| Call Back | ✗ | ✔ |
| FAQs | ✔ | ✔ |
To contact IG, clients can dial +61 3 9860 1799 (new customers) or +61 3 9860 1734 (existing customers) from 8am Saturday to 10pm Friday (UK time). To contact XM, clients can choose from various phone numbers, depending on the office location and department.
We were able to contact both brokerages over the phone in about 2-3 minutes.
Another good option to contact the respective customer support teams includes the live chat. It is available 24/5 at both brokers. In both cases, we got a quick response (under a minute) from a company representative and received precise answers to all matters we were interested in.
IG’s support team can also be contacted via IG Client Help on Twitter.
Finally, clients can opt to contact both IG and XM via email, respectively. In both cases, we received an emailed answer to our inquiries in about 3-4 hours.
Let us also not forget to mention that XM will assign a Personal Account Manager to all new clients, which adds reassurance of the broker’s professional support.
Verdict
Based on direct user reviews, IG has 3.6 stars on Trustpilot compared to only a 2.4-star rating obtained by XM. On that alone, IG tops XM and claims the first spot in this category.
Account Base Currencies
With IG, clients can choose from six base account currencies – USD, EUR, GBP, AUD, SGD and HKD. In comparison, XM supports 11 base account currencies – USD, EUR, GBP, JPY, CHF, AUD, PLN, RUB, HUF, ZAR and SGD.
Funding Methods
We should note that there will be no deposit fee with both IG and XM for all payment methods. IG accepts deposits via the following options:
At the same time, XM accepts deposits via the following methods:
While IG currently does not have any promotions, clients signed up with XM Global will receive a $30 bonus just for opening their first live trading account with the brokerage.
As for fund withdrawals, again, both IG and XM will not charge a withdrawal fee for all payment options. IG has a minimum withdrawal amount requirement for Debit/Credit Cards – the min. amount clients can withdraw to a card is $150, while the maximum amount for cards is up to $25,000 per day. Depending on the base currency, these requirements are presented as follows:
Both online brokers will usually process withdrawals within 24 hours.
Fund withdrawals to a card are usually cleared within 2 to 5 business days, while withdrawals via a bank transfer – within 1 to 3 business days. Withdrawals via e-wallets, once processed, are usually cleared the same day.
Meanwhile, XM will cover any fees for bank transfers in case the withdrawal amount is more than $200. If clients withdraw amounts lower than $200 via bank transfer, there will be a charge of $15.
IG vs XM Review: Inactivity Fee
Unfortunately, both brokers will charge such a fee. XM Group will charge a $15 one-off maintenance fee in case there has been no trading activity for 12 months, which will be followed by a $5 fee per month if the trading account remains inactive.
Meanwhile, IG will charge an $18 fee per month in case clients’ trading account has remained inactive for 24 consecutive months.
Verdict
IG and XM both offer low entry barriers and a good range of funding and withdrawal methods. With both brokers, you’ll get your own secure client area to manage all your payment activities. The only advantage XM has over IG is the availability of more E-wallet options.
IG Group has a lower minimum deposit of $0 against $5 by XM. Both brokers offer traders very low minimum requirements.
IG
| GBP | USD | EUR | AUD | |
|---|---|---|---|---|
| Credit Card / Debit Card | £250 Minimum Deposit | $50 Minimum Deposit | €300 Minimum Deposit | $100 |
| Paypal | £250 Minimum Deposit | $50 Minimum Deposit | €300 Minimum Deposit | $100 |
| Bank Wire | £0 Minimum Deposit | $250 Minimum Deposit | €0 Minimum Deposit | $0 |
| Skrill | N/A | N/A | N/A | N/A |
XM
| Minimum Deposit | GBP | USD | EUR | AUD |
|---|---|---|---|---|
| Credit Card / Debit Card | £5 | $5 | €5 | $5 |
| Bank Wire | £5 | $5 | €5 | $5 |
| Electronic Wallets | £5 | $5 | €5 | $5 |
Verdict
With IG Group having a $0 deposit requirement and XM at $5, it can really be anyone’s game here.
IG is the winner because of its comprehensive trading experience, stronger trust and regulation, and a wider range of tools and resources.
The table below summarises the key information leading to this verdict:
| Criteria | IG | XM |
|---|---|---|
| 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 | ✅ | ❌ |
IG is better for beginner traders due to its comprehensive range of tools, resources, and strong regulatory framework.
While IG is our overall winner, XM remains suitable for experienced traders, especially those who value tight spreads and ECN trading conditions.
IG generally offers lower costs compared to XM. Both brokers have competitive spreads, but IG’s average spread for major pairs like EUR/USD is slightly tighter. For a more detailed comparison on spreads and commissions, you can check out this comprehensive Lowest Commission Brokers.
Both IG and XM support MetaTrader 4, but XM is often preferred by traders specifically looking for an MT4 experience. XM offers a seamless integration with MT4, and their platform is tailored to enhance the MT4 trading experience. For those interested in exploring more MT4 brokers, here’s a list of the best MT4 brokers.
XM offers social trading features, allowing traders to copy the strategies of experienced traders. While IG has its strengths, XM’s integration with various social trading platforms gives it an edge in this category. For traders keen on exploring social trading further, here’s a comprehensive review of the best social trading platforms.
IG offers spread betting services to its clients. This form of trading is tax-free in the UK and is a popular choice among traders looking to capitalise on short-term market movements. For those new to spread betting or seeking the best platforms, you might find this comprehensive guide on the best spread betting brokers helpful.
In my opinion, IG is superior for Australian forex traders. Both IG and XM are ASIC regulated, ensuring a high level of trust and security for Australian traders. However, IG has a strong presence in Australia, being founded overseas but establishing a significant foothold in the Australian market. For a broader perspective on the best brokers in Australia, you can check out this detailed review of Best Forex Brokers In Australia.
Personally, I believe IG stands out for UK forex traders. Both IG and XM are FCA regulated, which is a testament to their commitment to transparency and client protection. While XM has its merits, IG’s long-standing reputation and its foundation in the UK give it an edge for UK traders. For those keen on exploring more about the UK forex market, here’s a comprehensive list of the best forex brokers in UK.
Ask an Expert
What is the minimum withdrawal from XM?
The minimum deposit with XM is USD $5
Is XM good for scalping?
XM allows scalping, The best XM accounts to use for scalp trading are Ultra Low Spread account or XM Zero account.