FXCM Review

Welcome to The Doji Trader’s 2020 FXCM review. Forex Capital Markets, is an online retail broker for trading the currency market. It was founded around 20 years ago in the UK, and it offers Forex, Cryptocurrency, spread betting, and CFDs on Stock Indices and Commodities. The FXCM Group is headquartered in the UK, but it has subsidiaries in Australia and South Africa. It also has offices in various financial centers around the world, such as New York, Berlin, and Singapore.

Pros

·        FXCM has a well-organized educational section.

·        It has a wide selection of trading platforms, such as its proprietary Trading Station, MT4, copy trading platform (ZuluTrade), algo-trading APIs (Quant Connect), and a third-party specialty platform (NinjaTrader).

·        Its trading fees and commissions are relatively low.

·        Its customer support is highly responsive.

·        FXCM has over 20 years of experience and has won several awards over the years.

Cons

·        Clients have access to a limited number of financial instruments, as it doesn’t offer stocks.

·        Specialty platforms may incur fees.

·        It doesn’t offer managed accounts.

·        FXCM is regulated by the FCA in the UK, ASIC in Australia, IIROC in Canada, and the Financial Sector Conduct Authority in South Africa.

·        It also provides mobile apps on many of these platforms for Android and iOS devices.

·        FXCM offers numerous free algorithmic trading tools.

Overall Ranking

Overall

Investment Opportunity

Commissions & Fees

Safety 

Research

Smartphone Usage

Customer Service

Education

Platforms & Tools

4/5
3/5
4.5/5
5/5
3.5/5
5/5
4/5
4/5
5/5

Overall

4/5

Investment Opportunity

3/5

Commissions & Fees

4.5/5

Safety 

5/5

Research

3.5/5

Smartphone Usage

5/5

Customer Service

4/5

Education

4/5

Platforms & Tools

5/5

Extended FXCM Review and Further Information

Founded in the UK in 1999, the FXCM Group has become a prominent name in the retail Forex industry. With subsidiaries in South Africa and Australia, the group serves more than 130,000 clients from different parts of the world, including retail, professional, and institutional traders.

Our FXCM review shows that they offer a wide range of products, such as Forex trading, Cryptocurrency trading, Spread Betting, and CFDs on Commodities and Stock Indices. Clients get access to the market through its unique Trading Station platform, as well as great coverage with its other platforms.

How to Open your Account

If you are new to Forex trading, it is advisable you open a demo account first to practice Forex trading without risking your own cash. FXCM provides £50,000 (can be in Euro or USD) virtual money for demo accounts, so you can practice how to trade the markets.

Opening a live trading account is quite easy with FXCM. You will have to select your preferred trading platform (Trading Station, MT4, or NinjaTrader. Trading Station recommended) and fill in all the necessary details. FXCM offers three account types: Standard, Active Trader, and Professional accounts, and the minimum amount you need to open a live account £300.

Trading Instruments Available

Although its list of about 63 trade-able instruments is not plenty compared to others, the instruments are divided across various asset classes — Currencies, Cryptocurrencies, Commodities, and Stock Indices. Furthermore, FXCM offers trading in all the major currency pairs, as well as some minor and exotic pairs.

For Cryptocurrencies, our FXCM review found that they offer trading in Bitcoin and Ethereum.

Deposits and Withdrawal Methods

There are various ways you can fund your FXCM account. You can use a credit card or do a bank wire transfer via SWIFT, CHAPS, or SEPA. While a credit card deposit may be processed the same day, bank wire funding may take two or more days. Other options are PayPal, Skrill, Neteller, and Western Union.

Withdrawing funds from your FXCM account is very easy — just click on the Withdraw Funds tab on your FXCM dashboard. You can use any of the above methods, and the process takes about the same time as funding deposit. 

Interface

You can easily find your way around the FXCM Trading Station platform. Moreover, most of the common question you may have about the platform is already answered in the FAQ section. In addition to the Trading Station platform, our FXCM review realised that clients can trade the market via the popular MT4 platform.

While the email alerts and weekend data options are available on the Trading Station, traders who wish to automate certain aspects of their trading can do so on the MT4 platform. Interestingly, both platforms are available for all electronic devices, including mobile iOS and Android devices.

The FXCM review must note that the broker also provides other special platforms, such as NinjaTrader, ZuluTrade, and Quant Connect, for traders with special needs. ZuluTrade helps clients to copy the trades of professional traders, while Quant Connect helps algorithm traders to connect in an open-source sharing community.

Education and Research

FXCM offers a wide range of educational resources. To start with, it has a comprehensive education center that features both video tutorials and written resources. These resources can help beginners, as well as experts, to understand and design their personal trading strategies.

In addition to the knowledge center, FXCM offers offline seminars and online webinars from time to time. This live classroom environment provides you with the opportunity to ask questions about things you don’t understand in trading.

Commissions and Fees

A vital reason for providing a positive FXCM review is due to their competitive commissions and fees. One of the main benefits of using FXCM is its low transaction fees. For Standard accounts, where commissions are automatically calculated in the spreads, you can get as low as 1.3 pip spread for major currency pairs, such as EUR/USD.

Active Trader and Professional accounts are charged less in the spread. In fact, the spread can be as low as 0.1 pip, but commissions are charged separately from the spread for these account types. But even with the commission, the fees are lower.

Customer Support

FXCM offers 24/5 customer support through a broad selection of country-based, toll-free phone numbers directly to the dealing desk, as well as super fast and very responsive live chat, which is the standard in the retail Forex industry.

Additionally, clients can get to the broker through SMS messages and emails. The FAQ section on its website also has ready answers to common questions clients have.

Awards

With more than 20 years of experience, FXCM has gotten several awards over the years. For example, in 2015, it won the UK Forex Award for the Best Forex Trading Automation, as well as the Online Personal Wealth Award for the Best Provider of the year.

Regulations and Jurisdictions

FXCM is licensed and regulated by the Financial Conduct Authority (FCA) in the UK, and its clients are insured against default — up to £50,000 — through the Financial Services Compensation Scheme (FSCS). It adheres to EU regulations stipulated in the MiFID II and MiFIR.

Its subsidiaries in Australia and South Africa are regulated by the ASIC and the Financial Sector Conduct Authority respectively. It also has an IIROC license to operate in Canada.

We have deemed FXCM to be an extremely safe broker.

Conclusion - FXCM Review

Having been in the retail Forex business for more than two decades, FXCM is a household name in the Forex industry. It offers a comprehensive educational package and a wide range of trading platforms, including its trademark Trading Station, MT4, ZuluTrade, NinjaTrader, and mobile trading apps.

We hoped you have found our FXCM review to be useful. If FXCM is not the right broker for you, why not have a look at one of our other broker reviews. We have tried and tested over 30 different brokers, so there will definitely be one to fit your needs.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 73.05% 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.

This website and the information provided does not constitute 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. The information given is a reflection of opinion. Trading CFDs on leverage involves significant risk of loss to your capital.