FXCM vs XTB: Comparison and Analysis

FXCM vs XTB: A Comprehensive Comparison

When it comes to choosing a reliable broker, traders need to consider several factors such as security, trading fees, available markets, platforms, education, and customer care. In this comparison, we will review two popular brokers: FXCM and XTB. Let’s dive into the details.

Security

Both FXCM and XTB are regulated by top-tier financial authorities, ensuring their clients’ security and protection. FXCM is regulated by FCA, ASIC, FSCA, CySEC, ISA, and IIROC, while XTB is regulated by CySEC, FCA, KNF, IFSC, DFSA, and FSCA. In terms of security rating, XTB has a slightly higher score (95) than FXCM (94).

Demo Account

FXCM offers an unlimited demo account with virtual funds of $50,000, and traders can open multiple demo accounts with the same email address. On the other hand, XTB provides a demo account with virtual funds of $100,000, but the duration is limited to 30 days. However, XTB’s demo account can be restored by contacting customer support or renewed indefinitely.

Account Opening

FXCM requires a minimum deposit of $50 for non-EU clients and $300 for UK and EU clients. The broker offers several account types, including Standard, Islamic, Spread Betting, Corporate, and Professional accounts. Traders can choose from five account currencies and use various payment methods, such as wire transfers, credit/debit cards, and e-wallets.

On the other hand, XTB does not require any minimum deposit to open an account. The broker offers Standard, Islamic, and Professional accounts, and traders can choose from three account currencies. XTB supports multiple payment methods, including wire transfers, credit/debit cards, and e-wallets.

Social-Copy Trading

FXCM allows traders to engage in copy and social trading through third-party platforms like ZuluTrade and Tradingview. In contrast, XTB does not offer any social or copy trading features.

Markets

FXCM provides access to 39 Forex pairs, nine commodities, 13 indices, seven cryptocurrencies, and 15 stocks, all offered as CFDs. This means that FXCM is more suitable for short-term traders.

XTB, on the other hand, offers a more extensive range of markets. Traders can access 57 Forex pairs, 27 commodities, 30 indices, 46 cryptocurrencies, 5000+ stocks, and 500+ ETFs, all offered as CFDs. Additionally, XTB also offers real stocks and ETFs for EU clients.

Trading Fees

FXCM’s spreads start from 1.3 pips on Forex, which is above the market average. However, the broker does not charge any commission on shares trading.

XTB’s spreads start from 0.3 pips on Forex, which is below the market average. The broker also offers zero-commission real stocks and ETFs for European traders on a monthly volume of up to EUR 100,000. After this amount, there is a commission of 0.2% (10 EUR minimum).

Platforms

FXCM offers two trading platforms: Trading Station and MetaTrader 4 (MT4), both available via desktop, web, and mobile devices.

XTB provides its proprietary xStation trading platform, which is available via web and mobile devices. The platform is user-friendly and intuitive, with advanced charting and analysis tools.

Education/Customer

Both brokers offer various educational materials and resources for traders. FXCM provides FAQs, trading guides, and a research section, while XTB offers a more extensive range of materials, including FAQs, blog articles, eBooks, trading videos, and seminars.

Regarding customer care, both brokers are easy to contact via phone, email, and live chat.

Conclusion

In conclusion, both FXCM and XTB are reliable and trustworthy brokers that offer various trading opportunities, platforms, and educational resources. However, XTB stands out with its zero-commission real stocks and ETFs for European traders, lower spreads, and a more extensive range of markets. Additionally, XTB does not require any minimum deposit, making it an excellent choice for beginners or traders with a limited budget. However, FXCM’s copy and social trading features and unlimited demo account might be appealing to some traders. Ultimately, it depends on traders’ preferences and needs when choosing between FXCM and XTB.