XTB Logo - Online Trading

XTB is an online forex and CFD brokerage firm that was established in 2004. It is a Europe-based company with offices in more than 10 countries, including Poland, UK, Germany, Spain, France, and Belize. XTB offers over 1500 instruments, including Forex, Cryptocurrency, and CFDs on commodities, indices, stocks, and ETFs. Please note that 76% of retail investor accounts lose money when trading with this broker.

Pros

·        XTB has a unique trading platform, the xStation 5, which comes with free audio market commentary and an advanced trading calculator to instantly determine various aspects of trading, such as lot size and account risk.

·        In addition to xStation 5, XTB traders also have the option of using MT4, which is the most popular trading platform in the world.

·        It also has mobile apps for iOS, Android, and Windows mobile devices.

Cons

·        There are high fees for stock CFDs and the spreads for Forex and other instruments are much higher than the average broker.

·        Whilst the 24/5 live chat is reasonably good, email support is lacking. 

·        $250 minimum deposit. This makes it less accessible for the newest traders.

·        Withdrawing your money may be time-consuming.

Overall Ranking

Overall

Investment Opportunity

Commissions & Fees

Safety 

Research

Smartphone Usage

Customer Service

Education

Platforms & Tools

2.5/5
3/5
2/5
4.5/5
0/5
4/5
3/5
3.5/5
4/5

Overall

3.5/5

Investment Opportunity

4/5

Commissions & Fees

3/5

Safety 

5/5

Research

3.5/5

Smartphone Usage

4/5

Customer Service

4/5

Education

3.5/5

Platforms & Tools

4/5

Extended Review and Information

Established in 2004, XTB is one of the largest stock-offering online CFD brokers in the world. Initially serving clients in Western, Central, and Eastern Europe, the firm has expanded its business to emerging markets in Latin America, Asia, and Africa.

In addition to Forex, it offers diverse products, such as Cryptocurrency trading and CFDs on stocks and ETFs. Traders can trade via its trademark xStation 5 web platform or the MT4 platform.

How to Open your Account

You can open a free demo account funded with £100,000 virtual money and practice for up to four weeks. All it requires is filling your email and country of residence.

To open a live account, you will have to fill the necessary details, such as your name, means of identification, and phone number. Then you will have to choose the type of account you want to open: Basic, Standard, or Pro. You also need to select the trading platform you want — xStation 5 or MT4.

To fulfill the required Know Your Customer (KYC), XTB will ask you about your net worth, annual income, and others. You will have to upload your ID documents and a utility bill to show your country of residence.

Trading Instruments Available

XTB offers more than 50 currency pairs, including all major pairs and several minor and exotic pairs. It offers CFD trading on more than 20 global indices, ETFs, and over a thousand stocks of companies in the US, UK, and Poland.

In addition, XTB offers CFD trading on several commodities, including crude oil, gold, silver, aluminum, copper, wheat, and coffee. Traders can also trade Cryptocurrencies, like bitcoin, litecoin, ripple, and ethereum.

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Deposits and Withdrawal Methods

To deposit money with XTB, you can make use of PayPal, Skrill, eWallets, and direct bank transfer. While the direct bank transfer is free for European clients, you may be charged at a 2% flat rate if you deposit via PayPal, Skrill, and eWallets.

Withdrawal is mostly done directly to your documented bank account. It can be processed the same day if requested before 1:00 PM GMT, but if requested after that time, it will be processed the next day. Depending on the country where your bank account is domiciled, charges can get as high as 35%, according to some of their clients.

Interface

XTB’s trademark platform, the xStation 5, is easy to use and has some interesting features, such as free audio market commentary and an advanced trading calculator that helps you calculate your lot sizes and account risk. In addition, it has a video tutorial section, performance statistics, sentiment heatmaps, and a stock screener. Interestingly, this platform can be accessed with a PC, tablet, and mobile devices.

Education and Research

There are different types of educational resources, such as educational videos, a free trading library, and a trading academy. The academy is categorized into basic, intermediate, expert, and premium groups. Different levels of fundamental and technical trading topics are treated at various categories in the academy. Additionally, XTB offers webinars from time to time. However, the question must be asked as to why XTB’s clients still have such a high failure rate when trading on this broker. Why is it that 76% of retail investor accounts lose money when trading with this broker, despite them providing educational courses and this extra material? 

We believe that this is down to a multitude of factors, one being that the XTB educational service is very beginner-friendly, but does not provide much in-depth material or methods for traders to learn and implement. Secondly, it is due to trading simply being a severely difficult and demanding activity. It may take years for someone to become a slightly profitable trader or even a break-even trader. Many can sink years into trading and still be failing time and time again. This is not the fault of XTB, but they cannot exactly advertise their education as game changing when so many clients are still set up for failure.

Commissions and Fees

The spread and commissions vary with account type and the instrument traded. While the Pro account offers competitive spreads, the Standard and Basic account types have higher spreads. Furthermore, the Basic account has fixed spread only; Standard has floating spread only, and Pro includes market spread plus commissions.

Customer Support

XTB’s customer support services are available 24/5. During trading hours, from Monday to Friday, you can contact them on the phone or through live chat, but during the weekends, you can only reach them via email.

Although the customer support service responds fast to inquiries, many clients are not satisfied with their generic answers to their queries, and they can become pushy when you demand a more specific answer.

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Awards

In 2016, xStation 5 was voted the Best Trading Platform by the Online Personal Wealth Awards for its speedy and reliable execution. Another notable award was the #1 EMEA Bloomberg spot for FX accuracy in Q3 of 2018.

Regulations and Jurisdictions

The firm is supervised by financial regulatory agencies in different countries where it operates, such as the International Financial Services Commission (IFSC) in Belize, the Financial Conduct Authority (FCA) in London, the Komisja Nadzoru Finansowego (KNF) in Poland, and the Cyprus Security and Exchange Commission (CySec) in Cyprus. However, clients from the US, Canada, Australia, Japan, Singapore, Israel, Turkey, Pakistan, Iran, Kenya, and some other countries may not be able to access the services of this company.

Conclusion

XTB is a Europe-based online forex and CFD broker that has expanded into a few emerging markets in Asia and Africa. With its unique xStation 5 platform, XTB offers CFD trading in Cryptocurrencies, stocks, and ETFs, in addition to Forex, indices, and commodities. However, it needs to improve its fund withdrawal processes and become more competitive with its fees and spreads across all instruments. Also, the customer support staff can do better in handling clients’ queries. Furthermore, XTB offer very basic research and an educational platform which is only useful to beginners.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% 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.