We compared XM to City Index based on the fees the broker charge, trading platforms, regulation and features offered. Our findings were that City Index had the edge over XM in 2024 with the full detailed analysis below.
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Our comprehensive comparison covers the 10 most important trading factors between XM and City Index. City Index has lower spreads and fees compared to XM, making it more cost-effective for traders. XM offers a better trading platform experience with the availability of cTrader, which City Index does not provide.
City Index provides a superior overall trading experience, with lower spreads and faster market order speeds. XM Trading offers a wider range of account types, including Micro, Standard, and XM Zero, compared to City Index’s Standard and Premium. City Index is regulated by the Financial Conduct Authority (FCA), offering stronger trust and regulation compared to XM’s regulation.
XM offers four account types distinguished by lot sizes and pricing: micro-lots with no commission, standard lots with spread-only costs, and commission-based pricing. City Index offers no commission trading.
To assess the trading costs between these two brokers, use the City Index vs XM calculator below. You can adjust currency pairs, lot sizes, and base currency to determine which broker offers better rates across various markets.
XM Spreads
| XM | EUR/USD | USD/JPY | GBP/USD | AUD/USD | USD/CAD | EUR/GBP | EUR/JPY | AUD/JPY | All-in Cost EUR/USD - Active |
EUR/USD Standard Account |
|---|---|---|---|---|---|---|---|---|---|---|
| MyFxBook | 0.20 | 0.10 | 0.10 | 0.40 | 0.60 | 0.40 | 1.10 | 1.10 | N/A | N/A |
| BrokerChooser | 0.10 | 0.10 | 0.20 | 0.40 | 0.50 | N/A | N/A | N/A | N/A | N/A |
| ForexBrokers.com | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| CompareForexBrokers | 0.26 | 0.10 | 0.10 | 0.20 | 0.10 | 0.50 | 0.30 | 0.40 | N/A | N/A |
| XM | 0.70 | 0.70 | 0.60 | 0.90 | 1.20 | 1.00 | 1.00 | 1.50 | N/A | N/A |
| Consensus | 0.32 | 0.25 | 0.25 | 0.48 | 0.60 | 0.63 | 0.80 | 1.00 | N/A | N/A |
City Index Spreads
| City Index | EUR/USD | USD/JPY | GBP/USD | AUD/USD | USD/CAD | EUR/GBP | EUR/JPY | AUD/JPY | All-in Cost EUR/USD - Active |
EUR/USD Standard Account |
|---|---|---|---|---|---|---|---|---|---|---|
| MyFxBook | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A |
| BrokerChooser | 1.10 | 1.30 | 2.00 | 1.10 | 2.10 | N/A | N/A | N/A | N/A | N/A |
| ForexBrokers.com | N/A | N/A | N/A | N/A | N/A | N/A | N/A | N/A | 1.40 | 0.74 |
| CompareForexBrokers | 0.32 | 0.18 | 0.50 | 0.30 | 0.30 | 0.39 | 0.39 | 0.70 | N/A | N/A |
| City Index | 0.03 | 0.01 | 0.26 | 0.48 | 0.15 | 0.24 | 0.02 | 0.45 | N/A | N/A |
| Consensus | 0.48 | 0.50 | 0.92 | 0.63 | 0.85 | 0.32 | 0.21 | 0.58 | 1.40 | 0.74 |
The graph below shows just the consensus data with City Index having the lower spreads for the EUR/GBP and EUR/JPY but XM has lower spreads for all other major currency pairs.
Standard Account Spreads
XM offers a spread of 1.6 for EUR/USD, higher than the industry average of 1.18. This trend continues across the board, with XM’s spreads consistently higher than the industry average. It might seem minor but can add up over time and many trades.
City Index offers a spread of 0.7 for EUR/USD, significantly lower than the industry average. They consistently offer lower spreads across all forex pairs than the industry average. All other things being equal, trading with City Index could result in lower costs over time.
| Forex Pair | XM | City Index | Industry Average |
|---|---|---|---|
| EUR/USD | 1.6 | 0.7 | 1.18 |
| USD/JPY | 1.5 | 0.6 | 1.37 |
| GBP/USD | 1.9 | 1.1 | 1.51 |
| AUD/USD | 1.6 | 2.2 | 1.41 |
| USD/CAD | 2.0 | 1.6 | 1.70 |
| EUR/GBP | 1.8 | 1.1 | 1.56 |
| EUR/JPY | 2.1 | 1.6 | 1.85 |
| AUD/JPY | 3.2 | 2.2 | 2.09 |
Standard Account Analysis Updated September 2024[1]September 2024 Published And Tested Data
In conclusion, City Index is the more cost-effective option if we’re purely looking at spreads. However, it’s important to remember that spreads are just one factor when choosing a forex broker. Other factors, such as customer service, trading platforms, and overall trading experience, should also be considered.
Commission Rates
City Index charges lower Lowest Commission Brokers, which can add up to substantial savings over time, especially for active traders.
Verdict
While both brokers offer competitive trading costs, City Index comes out on top due to its lower commission rates and fewer miscellaneous fees.
City Index ReviewVisit City Index
Your capital is at risk ‘69% of retail CFD accounts lose money with City Index’
XM offers both MetaTrader 4 and 5, while City Index only has MT4 but has TradingView. While City Index does not offer cTrader, XM does.
| Criteria | XM | City Index |
|---|---|---|
| MetaTrader 4 | Yes | Yes |
| MetaTrader 5 | Yes | No |
| cTrader | No | No |
| TradingView | No | Yes |
| Social/Copy Trading | MetaTrader Signals | MetaTrader Signals |
| Proprietary Platform | XM App/Tablet | City Index WebTrader |
| Mobile Trading App | Yes | Yes |
Social And Copy Trading
Both brokers offer social and copy trading features, allowing traders to follow and copy the trades of experienced traders.
VPS and Other Trading Tools
Both brokers offer VPS and other trading tools to enhance the trading experience.
| Broker | Limit Order Speed | Market Order Speed |
|---|---|---|
| XM | N/A | N/A |
| City Index | 117 ms | 144 ms |
Verdict
Both brokers offer a wide range of trading platforms and tools, but XM Trading has a slight edge due to its offering of cTrader.
XM Trading offers three main account types: Micro, Standard, and XM Zero. City Index, on the other hand, offers two main account types: Standard and Premium.
XM Account Types
| XM Account | Micro account | Standard Account | Zero Account | Ultra Low Account |
|---|---|---|---|---|
| Restrictions | Available with all branches | Available with all branches | UK and Europe only | Australia and select countries only |
| Minimum Spread | 1 pip | 1 pip | 0.1 pips | 0.6 pips |
| Commission | Commission-free | Commission-free | $3.5 per side, per 100k traded | Commission-free |
| Contract size | 1 Lot = 1000 | 1 Lot = 100,000 | 1 Lot = 100,000 | Standard Ultra: 1 Lot = 100,000 Micro Ultra: 1 Lot = 1000 |
| Minimum trade volume | 0.01 Lots (MT4) 0.1 Lots (MT5) |
0.01 Lots (MT4) 0.1 Lots (MT5) |
0.01 Lots | Standard Ultra: 0.01 Lots Micro Ultra: 0.1 Lots |
| Lot restriction per ticket | 100 Lots | 50 Lots | 50 Lots | Standard Ultra: 50 Lots Micro Ultra: 100 Lots |
| Islamic account | Optional | Optional | Optional | Optional |
City Index Account Types
Verdict
XM Trading wins this category due to its more comprehensive range of the Best Brokers for Micro Trading.
City Index uses a market-maker pricing model through its proprietary dealing desk. XM provides traders in the UK and Europe with a competitive edge with its ECN spreads.
Our tests revealed that City Index has a slightly faster market order speed compared to XM.
| Broker | Overall Speed Ranking | LO Rank | Limit Order Speed (ms) | MO Rank | Market Order Speed (ms) |
|---|---|---|---|---|---|
| XM | 19 | 13 | 148 | 18 | 184 |
| City Index | 6 | 6 | 95 | 7 | 131 |
Verdict
Based on our findings and tests, City Index offers a slightly better overall trading experience due to its lower spreads and faster market order speed.
City Index ReviewVisit City Index
Your capital is at risk ‘69% of retail CFD accounts lose money with City Index’
Both brokers are similarly trustworthy in regulation, reputation, and reviews, with City Index and XM both scoring 67.
City Index Trust Score
XM Trust Score
Regulation
XM Trading is regulated by the Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investments Commission (ASIC). City Index is regulated by the Financial Conduct Authority (FCA), the Monetary Authority of Singapore (MAS), and the Australian Securities and Investments Commission (ASIC).
| XM | City Index | |
|---|---|---|
| Tier 1 Regulation | ASIC (Australia) FCA (UK) CYSEC (Cyprus) |
ASIC (Australia) FCA (UK) MAS (Singapore) |
| Tier 2 Regulation | DFSA (Dubai) | |
| Tier 3 Regulation | FSC-BZ |
Reputation
XM has been around since 2009 with headquarters in Belize City. City Index has more years in the industry, as their operations started in 1983 in London, UK.
A quite popular broker, XM has around 673,000 monthly hits on Google. Despite being around longer, City Index has only a 12,100 monthly search volume.
Reviews
While popular, XM only has a 3.3 out of 5 score on TrustPilot from 531 reviews. Alternatively, City Index has a higher TrustPilot score of 4.3 from 284 users.
Verdict
Both brokers are well-regulated, but City Index has a slight edge as it’s among the FCA Regulated Brokers, with the FCA being considered one of the strictest regulatory bodies in the world.
City Index ReviewVisit City Index
Your capital is at risk ‘69% of retail CFD accounts lose money with City Index’
XM offers a diverse range of more than 1,250 CFD trading products, including forex, shares, indices, and commodities. With City Index, traders have access to over 4,600 markets spanning forex, stocks, indices, cryptocurrencies, and more.
Our own testing didn’t reveal any broker that could outperform these two in terms of product range.
| CFDs | XM | City Index |
|---|---|---|
| Forex Pairs | 55 | 84 |
| Indices | 14 | 20 |
| Commodities | 2 Metals 5 Energies 8 Softs |
4 Metals 8 Energies 18 Softs |
| Stocks | 1261 | 4500+ |
| Bonds | No | 11 |
| Cryptocurrency | No | 25+ |
| Futures | No | No |
| Options | No | No |
City Index not only offers a wider range of shares CFDs but also provides options for trading in cryptocurrencies and bonds, which are not available with XM. XM, however, has a decent range of Forex and commodities CFDs, making it a strong contender in this category.
Verdict
City Index takes the lead in offering a more comprehensive range of CFDs and markets, especially with its extensive shares of CFDs and additional trading options like cryptocurrencies and bonds.
City Index ReviewVisit City Index
Your capital is at risk ‘69% of retail CFD accounts lose money with City Index’
XM provides a comprehensive educational section on its website, including webinars, video tutorials, and articles. City Index, on the other hand, offers a well-structured educational portal with trading guides, webinars, and market analysis. Our own testing also provided some valuable insights into the educational features of both brokers.
City Index’s educational portal is not only well-structured but also covers a wide range of topics, making it suitable for both beginners and experienced traders. XM, although strong in its educational items, lacks the depth and variety that City Index provides.
Verdict
Based on our testing, City Index offers superior educational resources with a score of 8.5 compared to XM’s 7.5.
City Index ReviewVisit City Index
Your capital is at risk ‘69% of retail CFD accounts lose money with City Index’
XM customer service is available 24/7 via live chat, and email, while City Index is on 24/5 through live chat, email, and messenger.
City Index has a slight edge due to its excellent customer service knowledge and FAQ knowledge base.
| Feature | XM | City Index |
|---|---|---|
| Live chat | 24/7 | 24/5 |
| Customer Service Knowledge | Good | Excellent |
| FAQ Knowledge Base | Average | Excellent |
| Email/Social Media | Email Messenger |
|
| Multilingual Support | Yes | Yes |
Verdict
City Index wins this category due to its superior customer service.
XM offers a variety of funding options, including credit/debit cards, electronic wallets, and bank wire transfers. City Index provides fewer options but focuses on the most commonly used methods like credit/debit cards and bank transfers.
| Funding Option | XM | City Index |
|---|---|---|
| Credit Card | ✅ | ✅ |
| Debit Card | ✅ | ✅ |
| Bank Transfer | ✅ | ✅ |
| PayPal | ❌ | ✅ |
| Skrill | ✅ | ❌ |
| Neteller | ✅ | ❌ |
| Crypto | ✅ | ✅ |
As you can see, XM offers a broader range of funding options, including several e-wallets like Skrill and Neteller, which are not available with City Index. City Index, however, offers the most commonly used methods, making it easier for traders who prefer traditional funding options.
Verdict
Based on our testing, XM offers better funding options due to its wider variety of available methods.
City Index has a lower minimum deposit of $0 vs $5 from XM. However, the $0 requirement is limited to bank transfers in some regions.
Refer to the table below for City Index’s deposit requirements.
| GBP | USD | EUR | AUD | |
|---|---|---|---|---|
| Credit Card / Debit Card | £100 Minimum Deposit | $100 Minimum Deposit | €100 Minimum Deposit | $150 |
| Paypal | £50 Minimum Deposit | $50 Minimum Deposit | €50 Minimum Deposit | $150 |
| Bank Wire | £0 Minimum Deposit | $0 Minimum Deposit | €0 Minimum Deposit | $150 |
| Skrill | N/A | N/A | N/A | N/A |
In contrast, XM offers a straightforward minimum deposit amount across the board.
| 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
City Index wins with its $0 deposit requirement. Since both brokers offer traders a low entry point, we believe either is a winner. The winner overall will have to do well in the other areas.
City Index ReviewVisit City Index
Your capital is at risk ‘69% of retail CFD accounts lose money with City Index’
City Index is the winner because it excels in more categories, including spreads and fees, trading experience, regulation, product range, and educational resources. The table below summarises the key information leading to this verdict.
| Criteria | City Index | 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 | ✅ | ❌ |
City Index is better for beginner traders due to its no minimum deposit and more educational resources.
City Index is the best choice for experienced traders because of its advanced trading platforms, competitive spreads, and strict regulation.
City Index has lower costs when it comes to spreads and fees. For example, the average spread for EUR/USD is 0.7 with City Index, compared to 1.6 with XM. Lower spreads can significantly reduce your trading costs over time. For more information on low-cost brokers, you can visit this Lowest Commission Brokers page.
Both City Index and XM offer MetaTrader 4, but XM provides a more user-friendly experience with additional features. XM’s MetaTrader 4 platform is known for its advanced charting tools and a wider range of indicators. For a comprehensive list of the best MetaTrader 4 brokers, check out this best MT4 brokers page.
City Index offers social trading through its TradingView platform, which is known for its social trading features. TradingView allows you to follow other traders, view their strategies, and even copy their trades. For more on social trading platforms, you can refer to this best social trading platforms page.
City Index offers spread betting, but XM does not. Spread betting is available with City Index for UK residents only. For more details on spread betting brokers, you can visit this best spread betting broker for beginners page.
In my opinion, XM is the superior broker for Australian Forex traders. Both brokers are ASIC regulated, but XM offers a lower minimum deposit and more flexible account options. For a more comprehensive list of brokers suitable for Australian traders, check out this Best Forex Brokers In Australia page.
For UK Forex traders, I believe City Index is the superior choice. Both brokers are FCA regulated, but City Index was founded in the UK and offers a more comprehensive range of CFD markets. For more information on the best brokers for UK traders, you can refer to this Best Forex Brokers In UK page.
No commission account spread propiety testing data and published wesbite spread information, centralised on our Standard Account Spreads page.
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