City Index is a UK-based brokerage firm which was founded in 1983. The company is part of Gain Capital Holding Inc., which is a US-based foreign exchange company.
Pros
Cons
· It has a user-friendly interface.
· It is a well-reputed brokerage firm.
· There are many trading products available on the platform.
· Tax-free profits on spread betting for U.K. clients.
· There is a lot of educational material present on the website.
· Amazing customer support. Swift, professional and helpful. There is also a live chat option.
· Clear and easy structure of commissions and fees. Very transparent.
· A fee is charged for the inactivity of the account.
· The commissions and fees are higher than the average broker.
Overall Ranking
Overall
Investment Opportunity
Commissions & Fees
Safety
Research
Smartphone Usage
Customer Service
Education
Platforms & Tools
Overall
Investment Opportunity
Commissions & Fees
Safety
Research
Smartphone Usage
Customer Service
Education
Platforms & Tools
Extended Review and Information
City Index has been around for 36 years now, and the firm has an impressive catalog. Traders and investors of all levels find the platform highly useful.
So, what makes the company highly reputable? Here are some of the critical features of City Index:
The company was founded 36 years ago, which testifies its credibility. It
The firm provides more than 12,000 trading instruments, and users can trade in Forex, Stocks, Cryptocurrency, Bonds, and Commodity. This is one of the largest availability of trade-able products that we have seen. It is rare for brokers to have such a wide array, especially including bonds trading.
City Index is regulated by the FCA (Financial Conduct Agency) and is compliant with ESMA (European Securities and Marketing Authorities). This makes it one of the safest available trading platforms, and available to EU countries.
There are ample educational resources available on the company’s website. These resources are beneficial for all types of traders. It is rare for brokers to provide such extensive education and research for free to all clients. The education is mainly aimed at beginners, and so is not very useful to all, but the research provided by City Index will ensure that all traders are kept in the loop on current events, and on the forefront of fundamental changes in the market.
How to Open your Account
To open an account with City Index, one needs to sign up first. The process is simple and you just have to provide an email, password, date of birth, address and phone number. After signing up, users are requested to provide identification documents.
You must provide documents for proof of identity; a passport or ID such as driving license. You must also provide proof of address; this can be completed via sending a bank statement (either screenshot of PDF, or a photograph of statement) or a photograph/scan of a recent utility bill. The account verification can take 2-3 days depending on the individual case.
Account Types
City Index offers three types of trading account; Individual account, Corporate account, and SIPP account for the U.K. citizens.
The great thing about these accounts is that there is no minimum deposit limit. Traders can take advantage of this and start trading immediately.
If a trader is not ready to invest real money, City Index offer an extensive demo account. The account limit is of three months, and City Index provides GBP 10,000 of virtual cash.
Depositing and Withdrawal Methods
City Index accepts all significant types of deposit and withdrawal methods. These methods include:
· Credit/Debit cards
· PayPal
· Electronic Wallet
· Wire transfer
· Deposit and withdrawal fee for wire transfer is 1.5 % of the amount.
There is no fee on the credit/debit card deposits and withdrawals. Deposits will most likely reflect in the account instantly, but withdrawals will take up to 5 business days, although this is highly unlikely.
Please note that the minimum amount of withdrawal from the account is GBP 100.
Trading Instruments Available
The firm offers many trading opportunities for investors. Traders can invest in Forex, Spread Bets, CFDs, Shares, Bonds, Metals, Commodities, and Cryptocurrency.
The index offers 84 pairs for Forex trading and more than 25 global commodity trading. It also provides five Cryptocurrency trading and more than 4500 global shares.
Commissions and Fees
City Index has different spread fees for different trading products. Spread for Forex major currency pairs is set at 0.69 pips. The crude oil spread is the highest and set at five pips. Similarly, the range on Cryptocurrency is set at $40.
There is no commission for spread betting and CFD trading. The commission on all other products depends on the type of account and the company’s policy.
A monthly fee of GBP 12 is deducted from the account if it is inactive for 12 months. We do not like seeing this feature, but it is very prevalent with brokers. However, on the bright side, City Index has a much lower-than-average inactivity fee.
Overall, the spreads and commissions taken by City Index are higher than the average broker. This is problematic for both new traders and professionals, as it harms profitability and may mean the account is less likely to survive over a long period of time.
Educational Resources
On the City Index website, there is a training section which provides all the necessary training material. There are how-to articles and videos which is fruitful for all types of traders.
There are six sections of education provided by City Index. These include;
· Technical Analysis
· Fundamental Analysis
· Trading Strategies
· Risk management
· Expert News and Analysis
· The City Index Advantage
We found the education to be beginner friendly and easy to get around for traders at all levels.
User Interface
City Index provides traders with a user-friendly experience. Demo account holders, individual brokers, and corporate accounts get familiar with the interface easily.
The broker has access to the MT4 platform for web traders, offering charts, indicators, and a highly customizable work-space for account holders.
Accounts have additional features as well. The AT Pro platform for the corporate account has technical analysis, detachable charts, and other advanced features.
City Index has a mobile app for IOS and Android users. A video tutorial is given when the app is open for the first time. The app features economic calendars, live charting, indicators, and economic news.
Customer Support
City Index has one of the most responsive customer services in the trading industry. Users can connect with the firm through email, phone call, and live chat support.
Live chat can be reached from Monday to Friday 24 hours a day. City Index is a multilingual platform and offers support in all major languages.
The website features local and International numbers which users can contact. City Index has multiple offices, and one needs to contact the office from which the account was opened.
City Index sends out regular newsletters, which provide useful tips on trading and general sale inquiries.
There is also an F.A.Q section on the website where traders can find all the relevant answers to the questions that many struggle with in trading and with technical problems.
City Index has social media accounts which respond swiftly to any queries. The social media platforms are also useful to follow anyway as they post up-to-date information and events. It really helps traders to stay in the loop and on the forefront of information.
Regulations and Jurisdictions
As mentioned earlier, City Index was created in 1983. This tells us that the firm is safe for trading and investing because the longer the track of a trading company, the more credible it is.
City Index is licensed with the FCA (Financial Conduct Authority). It is also regulated by ASIC (Australian Securities and Investment Commission). It has licensing of MAS (Monetary Authority of Singapore), which not many brokers have. In Europe, it is regulated by EMAS (European Securities and Marketing Authorities).
City Index’s parent company Gain Capital is listed on the New York Stock Exchange. This is a great accolade for the company to prove that it really is a safe space to trade and find information from.
Any trader from the United Kingdom will get investor protection of GBP 85,000 with City Index.
Conclusions
Concluding our review, we think that City Index is a renowned firm with 36 years of presence. The firm can be called one of the best trading platform. We give this broker a 4.5/5 rating and would highly recommend to traders of all levels. This platform is unparalleled to many, and shines above across the board. Despite the higher-than-average broker fees, City Index is well worth a try, and it has been officially rated as one of the best brokers that we have had the pleasure of reviewing.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 70% of retail investor accounts lose money when trading with this provider. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. This does not constitute as investment advice or personal recommendations as your specific financial circumstances have not been considered. No warranty is given in regards to the accuracy and completeness of information. Past performance is not an indicator of future results.