Security 94
Cost 74
Trading 66
Education 81
Rated: High
79

XM is an online brokerage firm founded in 2009 in Belize, and is part of Trading Point Holdings Ltd.

Other than XM, Trading Point Holdings Ltd. owns two other brands, which are Trading.com and Trading Point Asset Management.

XM specializes in providing CFD (Contract For Difference) trading across various markets such as forex, commodities, indices, cryptocurrencies, and stocks.

XM is also renowned for its flexibility, with an extensive array of market analysis tools and educational resources tailored for both novice and experienced traders.

Table of Content

Is XM a good broker?

Yes, XM is a good broker for many types of traders thanks to its flexibility and range of features.

Beginners will find XM particularly appealing due to its unlimited demo account, a minimal minimum deposit requirement of just $5, and an exceptional educational section that is among the best in the industry.

On the other hand, experienced traders will appreciate XM’s flexibility, as it supports a variety of trading strategies including algorithmic trading, scalping, day trading, and swing trading. This is facilitated by its extensive portfolio of trading accounts, each with unique trading conditions.

Moreover, XM offers traders with various promotions and offers, such as a sponsored XM VPS, and zero fees on deposits and withdrawals. Importantly, XM goes a step further by covering 100% of the transaction fees for e-wallets, credit cards, and even on wire transfers (but only when above $200).

Homepage of XM

Is XM good for beginners?

Yes, XM is good for beginners.

XM offers its traders a comprehensive range of educational resources like live education platforms and education rooms, making it easier for newcomers to understand the complexities of trading. The low minimum deposit requirement of just $5 also lowers the barrier to entry. Additionally, beginners can benefit greatly from the demo account provided by XM.

Is XM good for day trading on Forex and CFDs?

Yes, XM is a good choice for day trading on Forex and CFD assets.

XM is very flexible on this matter, as it offers a wide range of account types to satisfy the needs of every trader. There are raw spread accounts (XM Zero Account), accounts with low spread mark-ups (XM Ultra low), accounts with very low lot sizing (XM Micro), and more. Additionally, XM offers comprehensive market analysis tools.

Is XM good for scalping?

Yes, XM is good for scalping.

The availability of accounts like the XM Zero Account, with raw spreads starting from 0 pips is particularly advantageous for this trading technique. However, it’s important to note that there’s a volume-based commission of $7/lot round turn on this account, which is in line with the industry average.

Is XM good for demo trading?

Yes, XM is good for demo trading.

The XM demo account is unlimited, and grants access to the XM’s educational resources. This integration enables new traders to simultaneously learn and apply trading concepts using the educational materials offered by the broker.

Is XM good for Islamic trading?

Yes, XM is good for Islamic trading.

XM stands out for its Islamic trading options, offering a dedicated Islamic account that adheres to Sharia law. This account type does not charge swap fees, which are considered a form of interest and thus prohibited in Islamic finance. Additionally, XM ensures that its Islamic accounts do not charge extra fees as a substitute for swap fees.

Is XM good for long-term investing?

No, XM is not good for long-term investing.

XM primary focus is on CFDs, which are not suitable for long-term investment strategies mainly due to the overnight fees associated with holding positions for an extended period. It’s true that XM also does provide a shares account, but it offers a limited range of only 100 real stocks. This limited selection makes it challenging to create a diversified portfolio.

What are the XM key features?

  • Competitive pricing: XM requires a very low minimum deposit from just $5. Spreads mark-up start from 0,6 pips, while forex commissions charged on raw spreads (on the Zero account) start from $7/lot round turn.
  • Variety of account types: XM offers 8 account types in total, which include accounts for every need. There’s a demo account, low spread accounts, raw spread accounts, as well as islamic accounts.
  • Swap free account: The Islamic account at XM is one of the best worldwide, as it doesn’t charge additional fees to compensate for the lack of swap fees.
  • Great market research tools: other than standard market analysis tools (such as the economic calendar), XM provides podcasts and live videos providing traders with insights and updates on the market trends.
  • Great educational tools: XM provides both a live education platform and education rooms where traders can watch live interviews and daily shows to enhance their trading skills.
Area of regulation
Europe (Cyprus), Australia, Dubai, Offshore (Belize)
Trading fees rating
Medium
Inactivity fee
Yes
Withdrawal fees
$0
Minimum deposit
$5
Time to open a live account
3 days on average
Wire transfer deposits
Yes
eWallets deposits
Yes
Account base currencies supported
EUR, USD, GBP, JPY, CHF, AUD, HUF, PLN
Demo account provided
Yes
Products offered
CFDs on Forex, Commodities, Indices, Cryptocurrencies, Stocks

Key features of XM

What can’t be done on XM?

XM doesn’t offer the following features:

  • XM is not FCA regulated: XM lacks FCA regulation, preventing its operations in the UK. UK traders are advised to seek brokers licensed by the FCA for their trading needs.
  • XM doesn’t offer many stocks: While XM provides a shares account under its FSA branch, it only offers trading in 100 real stocks. For those focused on long-term stock investing, exploring other platforms could be beneficial.

If you’re looking for one of these features, you might be wanting to look for XM alternatives.

What are the XM pros and cons?

Pros:

  • There’s a wide range of account types
  • The demo account at XM is unlimited
  • Wide range of educational resources
  • XM’s Islamic account do not charge fees to replace

Cons:

  • No social trading features available
  • The account availability changes depending on the location of the trader
  • High minimum deposit to invest in securities ($10000 for the XM Shares account)
  • XM does not display average raw spreads on their XM Zero account

Is XM regulated?

Yes, XM is regulated by CySEC (120/10), ASIC (443670), DFSA (F003484), FSC (000261/397). Since XM is CySEC regulated, it is also ESMA compliant and it can operate all across the European Union.

Here below you can find a table with every XM entity, and their relative licence released by each regulatory body:

XM Entity Regulatory Body License Number Country XM Entity Address
Trading Point of Financial Instruments Limited CySEC (Cyprus Securities and Exchange Commission) 120/10 European Union 12 Richard & Verengaria Street, Araouzos Castle Court, 3rd Floor, 3042 Limassol, Cyprus
Trading Point of Financial Instruments Pty Limited ASIC (Australian Securities and Investments Commission) 443670 Australia Level 13, 333 George Street, Sydney, NSW 2000, Australia
Trading Point MENA regulated DFSA (Dubai Financial Services Authority) F003484 Dubai (UAE) Unit S401, Level 4, South Tower, Emirates Financial Towers, DIFC, PO Box 507013, Dubai, UAE
XM Global Limited FSC (Financial Services Commission of Belize) 000261/397 Belize Suite 101, 63 Eve Street, Belize City, Belize

Is XM legit?

Yes, XM is a legitimate forex brokerage firm and is not a scam.

XM was established in 2009 and is known to be a trustworthy broker, serving over 10,000,000 clients globally and employing 900 professionals.

The XM headquarter is located in Suite 101, 63 Eve Street, Belize City, Belize.

As of today, XM also has offices in Cyprus (Limassol), Australia (Sydney), and the UAE (Dubai).

XM numbers

Is XM safe?

Yes, XM is considered a safe broker. It’s important to note, though, that using the platform doesn’t automatically ensure profitable outcomes. XM complies with global regulatory laws, and safeguards its clients’ funds by keeping them in separate bank accounts.

Moreover, XM ensures the security of clients’ personal data by employing encryption for data transmission. The company also provides trustworthy trading platforms, including MetaTrader 4.

Has XM won any industry awards?

Yes, XM has won over 70 industry awards. The most recent ones include:

  • Most Transparent Broker in the world 2023 (CFI.co)
  • Most Reliable Broker in the world 2023 (CFI.co)
  • Best FX Customer Service 2023 (World Finance Forex Awards)

Additionally, XM won 2 InvestinGoal awards as “Best Islamic Account 2021” and “Best Educational Section 2021”.

How does XM protect clients’ money?

XM protects its clients’ funds through the use of segregated bank accounts, which keeps client money separate from the company’s own funds.

Furthermore, XM provides an Investor Compensation Fund (ICF), which offers compensation of up to €20,000. This fund acts like an insurance for traders, offering protection in the event of XM’s bankruptcy or in disputes between the trader and XM.

In addition to these measures, XM also offers Negative Balance Protection for European and Australian traders. This feature ensures that traders will not lose more money than they have deposited.

Who is the CEO of XM?

The CEO and founder of XM is Constantinos Cleanthous.

How to use XM?

In order to use XM you have to respect the following requirements:

  • Be legal of age in your own country.
  • Make sure XM is allowed in your country.
  • Verify your identity.
  • Deposit a minimum amount of money.

In Which Countries is XM not Available?

XM is not available in Canada, USA, Iran, Israel and Japan.

What are the XM account base currencies?

XM offers a total of 8 account base currencies, which are the EUR, USD, GBP, JPY, CHF, AUD, HUF, or PLN.

The availability of one or the other account base currency may depend on the trader’s location.

What is the XM minimum deposit?

The minimum deposit at XM is $5 for all account types, except from the XM Shares account which is $10,000.

XM deposits are fee-free as the broker covers 100% of them. The only exception is for wire transfers, where XM covers deposit fees only for transactions over $200.

At XM you can use different payment methods like Wire transfers, Credit cards, Debit cards and eWallets.

Minimum deposit From $5 to $10.000
Deposit fees No
Deposit methods Wire Bank, Credit/Debit Card, Neteller, Skrill, WebMoney
Deposit Processing Time Up to 5 business days

What are the XM deposit and withdrawal methods?

XM allows traders to deposit and withdraw money through wire transfer, credit and debit cards and eWallets such as Neteller and Skrill.

Here below you can find the full list of XM deposit and withdrawal methods:

  • Wire Bank
  • Credit Card
  • Debit Card
  • Neteller
  • Skrill
  • WebMoney

It’s important to remember that the XM withdrawal method must correspond to the method used for deposits. This means if you deposit funds via wire transfer, your withdrawals will be processed back to the same bank account used for the deposit.

Additionally, XM does not impose a minimum amount for withdrawals, and do not charge fees.

Are withdrawals secure and fast on XM?

Withdrawals at XM are both secure and fast.

The withdrawals at XM are generally instant, however they may take up to 5 business days when using wire transfers.

As XM stores traders’ funds in segregated bank accounts, this ensures that the broker cannot block your withdrawals, providing you with the freedom to withdraw your funds at your discretion. To facilitate smoother withdrawal processes, keep your Know Your Customer (KYC) information up to date. This helps in verifying your identity and expediting withdrawal requests.

Are there bonuses or promotional offers on XM?

XM Offers the following bonuses and promotional offers:

  • VPS: request the VPS for a 28 USD monthly fee, which will be automatically deducted from your MT4/MT5 account on the first day of each calendar month.
  • XM Loyalty Program: XM offers a loyalty program where traders earn points for each lot traded. These points can be redeemed as rebates or used for special bonuses, including seasonal offers, a 50% and 20% deposit bonus, and a $50 trading bonus.
  • $50 No Deposit Bonus: XM provides a $50 bonus without any deposit required, exclusively for new clients. Profits made using this bonus can be withdrawn, but not the bonus itself.
  • XM Bonus Program: XM’s bonus program gives a 50% bonus on deposits up to $500 and a 20% bonus on deposits up to $4,500, applicable to all deposits over $5. Only profits from the bonus can be withdrawn.
  • XM Competitions: XM organizes competitions where traders can win cash prizes, bonuses, or items, and even become a Strategy Manager. These competitions, open for both Real and Demo accounts, provide an opportunity to test skills, gain insights, and compete with peers. Traders can enter competitions that match their profile, with detailed information and rankings available.

Keep in mind that for regulatory reasons, European and Australian traders can’t access these promotional offers outside the VPS.

What are the XM account types?

XM offers a very wide range of accounts. The table below presents details of all the XM account types.

XM Account Type Minimum Deposit Base Currency Spreads From Trading Volume Commissions Platform
XM Ultra Low Account $5 EUR, USD, GBP From 0.6 pips $0 MT4, MT5, XM Webtrader
XM Zero Account $5 EUR, USD, JPY From 0 pips $7/lot round turn MT4, MT5, XM Webtrader
XM Standard Account $5 USD, EUR, GBP, JPY, CHF, AUD, HUF, PLN From 1 pip $0 MT4, MT5, XM Webtrader
XM Micro Account $5 USD, EUR, GBP, JPY, CHF, AUD, HUF, PLN From 1 pip $0 MT4, MT5, XM Webtrader
XM Shares Account $10,000 USD Variable $0 MT4, MT5, XM Webtrader
XM Islamic Account From $5 to $1000 EUR, USD, GBP, JPY, CHF, AUD, HUF, PLN Variable Variable MT4, MT5, XM Webtrader

XM Ultra Low Account

The XM ultra low account is an account type that features spread mark-up starting from 0,6 pips (40% cheaper than the industry standard of 1 pip).

Within the European Union, this account type is available in two versions: the Ultra Low Standard account and the Ultra Low Micro account. Both share the same trading conditions, however the latter offers the possibility to trade with nano lots.

This account is available under the CySEC, ASIC, FSC branches of XM.

The minimum deposit for this XM account type is $5, and grants access to MT4, MT5, and XM Webtrader platforms.

XM Zero Account

The XM Zero account is a trading account designed for raw spread trading.

Here, in fact, the spread starts from 0 pips. In exchange, there’s a volume-based fee of $7/lot round turn (which is in line with the industry standards). This means that if the trader opens a 1 micro lot order, the trading commission will be $0,07.

This account type is not available worldwide, but only under the CySEC and FSA regulated branches of XM.

XM Standard Account

The XM Standard account is mainly aimed to day traders.

It’s not available within the European Union, but only under ASIC, DFSA and FSC branches of XM.

Spreads here match the industry standard of 1 pip, but other than this, every other trading condition is the same: the minimum trading size is 1 micro lot, there’s a $5 minimum deposit and there are 3 trading platforms available: MT4, MT5, XM WebTrader.

XM Micro Account

The XM Micro account is tailored for traders who prefer to trade with smaller lot sizing.

With this account type you will be able to trade with nano lots, however it’s not available ASIC, DFSA, FSC.

Spreads on this account type are from 1 pip (within the industry standards), with no additional commissions charged other than standard trading fees such as overnight fees.

XM Shares Account

The XM Shares account is tailored to those traders who want to invest in the stock market.

In this account type, stocks are not traded only as CFD, but also as real, which make this account better for long term investing.

This account type at XM is available only under FSC, and makes available over 1300 shares as CFD, and 100 as real, with commissions starting from 0,10% of the volume.

The minimum deposit to start using the XM Shares account is $10,000.

XM Islamic Account

The XM Islamic Account is specifically designed for Muslim traders who wish to adhere to Sharia law.

This account distinguishes itself by not imposing the usual swap fees, which are prohibited under Sharia Law.

Notably, the XM Islamic account stands out in the industry for not applying higher spread mark-ups as a substitute for these fees.

The required minimum deposit for the XM Islamic account varies, ranging from $5 to $1000.

Can I test XM on a demo account?

Yes, you can test XM with a demo account.

The XM demo account is unlimited, meaning you can use it for as long as you need without any time restrictions.

Setting up the demo account is fast and easy, as you will need to provide XM with a username, an email address, and your country of residence to open it.

What are the fees on XM?

XM charges the following fees:

  • Spreads: When the mark-up is applied, spreads start from 0,6 pips, except on the standard and micro account where spreads start from 1 pip.
  • Volume-based commissions: When the spread mark-up isn’t applied, such as on the XM Zero account, there’s a volume-based commission from $7/lot round turn.
  • Overnight fees: XM charges an overnight fee (but not on the XM Islamic account).
  • Dividend withholding: XM implements a varying withholding tax on dividends contingent on the specific stock. For US stocks, na 30% tax is applicable on dividends.
  • Inactivity fee: XM imposes a $10 inactivity fee on real trading accounts that have not engaged in any trading activity for 90 days or more.

Spreads and costs at XM

How good are XM trading spreads and commissions?

The XM average cost per trade is $8,25, calculated as an average across all XM account types (17,50% lower than the average cost per trade industry standard), considering a 1 lot volume trade on the EUR/USD Forex pair.

The cheapest account on paper at XM is the XM Ultra Low account which charges spreads from 0.6 pips (40% cheaper than the industry standard), however, you should keep in mind that the average spread may be higher than that.

Another alternative is the XM Zero account, which charges raw spreads from 0 pips and a fixed commission of $7/lot round-turn, which is in line with the industry if compared to other raw accounts.

The other account types at XM (XM Standard and XM Micro) charge spreads from 1 pip, which are in line with the industry standard of 1 pip.

Here below you can find a complete breakdown of the XM trading costs based on each account type available:

XM Account Types Spreads From Commission Total Commission per Trade Industry Standard
XM Ultra Low Account From 0.6 pips $0 $6/lot 40% cheaper
XM Zero Account From 0 pips $7/lot round turn $7/lot 30% cheaper
XM Standard Account From 1 pip $0 $10/lot In line with industry
XM Micro Account From 1 pip $0 $10/lot In line with industry

Here is a table with a brief resume of the XM trading spreads and commissions on different markets:

Asset Type Spreads/Commission
Forex Spreads from 0 pip
Commodities Spreads from 1 pip
Indices Spreads from 1 pip
CFD Crypto 1% commission (+ spreads)
Real Stocks and ETFs 0.10% commission
CFD Stocks and ETFs Variable spreads

What type of broker is XM?

XM is a CFD (Contract For Difference) market maker broker.

However, with the XM Shares account you can also find a small selection of around 100 real stocks to invest in.

How does XM make money?

XM generates revenue through spreads, trading commissions, overnight fees, dividend withholding fees, inactivity fees and B-Book execution policies.

The primary sources of income for XM are spreads and trading commissions. The spreads at XM, which include a mark-up, start from as low as 0.6 pips. Additionally, XM earns a commission of $7/lot round turn.

Being a CFD broker, XM also earns from overnight fees charged on positions that are held open overnight. Furthermore, XM profits from clients’ losing trades when it operates as a B-book broker, essentially taking the opposite side of the trade.

However, it’s important to note that XM is not a publicly listed company. Therefore, the specific details regarding its revenue generation methods and the total amount of income it earns are not publicly disclosed.

What assets can you trade on XM?

At XM you can trade CFD assets on forex, commodities, indices, cryptocurrencies and stocks. Additionally, you can trade around 100 stocks as real at XM.

Here are the broad range of markets that you can look forward to trading with XM:

Market Number of Assets
Forex 55
Commodities 21
Indices 31
CFD Cryptocurrencies 60
CFD Stocks 1300+
Real Stocks 100+

Markets available at XM

What is the maximum leverage available on XM?

At XM the maximum leverage available is 1:30 for retail european and australian forex traders. The leverage is increased to 1:1000 under XM Global Limited can access a higher leverage.

What is the minimum lot sizing available on XM?

The minimum lot size at XM is 1 micro lot. As a forex trader, this means you can open new positions from as little as $1000 or 0.01 standard lots for non-leveraged trading.

Can you earn dividends on XM?

Yes, you can earn dividends on XM when buying real stocks.

In fact, when trading stocks as CFDs, XM doesn’t issue dividends.

It’s also important to know that XM applies dividend withholding taxes, which vary depending on the stock’s country of origin. For instance, for stocks from Germany, a dividend withholding tax rate of 25% is applied. In the case of UK stocks, there is no tax levied on dividends, which means a 0% withholding rate. Meanwhile, for US stocks, dividends are subject to a 30% withholding tax.

What are XM’s liquidity providers?

XM’s liquidity providers are not disclosed at the moment.

What platforms does XM offer?

XM provides the following trading platforms:

  • MetaTrader 4 (MT4), available as webtrader, desktop and mobile
  • MetaTrader 5 (MT5), available as webtrader, desktop and mobile
  • XM trading platform, available as webtrader

The platforms available at XM provide stop losses, take profit, limit orders, and trailing stops. There are also basic trading indicators like the Stochastic Oscillator along with other tools to facilitate both technical and fundamental analysis.

Trading platforms available at XM

How good is XM Customer Service?

XM’s customer service is efficient, typically responding to client inquiries within one business day.

Traders at XM have the option to seek answers in 25 languages by reaching out to customer support through email, chat, or phone, or by visiting the XM FAQ section.

How can you contact XM?

XM can be contacted via live chat, phone, or email.

However, their comprehensive FAQ section on the website often eliminates the need for direct contact.

Does XM have social media channels?

XM have the following social media profiles:

How many languages are available at XM?

XM offers its services in 25 languages in total.

Among the others you can find English, Italian, French, German, and Spanish.

What are the XM market analysis tools?

XM provides several market analysis tools:

  • Market Research: XM offers robust research resources crafted by market specialists, including a detailed economic calendar, timely market news, technical analysis, insightful videos, and trading tips, catering to traders of all levels.
  • XM TV: XM features market overview videos and weekly technical analysis, offering traders valuable insights and updates on market trends and potential trading opportunities.
  • XM Podcast: XM’s Global Market Insights podcast provides traders with diverse and insightful content, offering the latest economic events updates and essential information for online investing, showcasing XM’s commitment to fostering informed trading.

Does XM provide educational tools?

XM Provides two main educational tools:

  • XM Live Education: It’s a live education platform featuring daily shows, expert interviews, and a daily schedule to enhance your trading knowledge about financial markets and their range of products and services.
  • XM Education Rooms: XM presents product introductions, expert live interviews, and live Q&As to address your queries. With daily sessions available, you’ll never miss an opportunity to improve your trading skills.

What do users think about XM?

Warning

The ratings and third-party reviews presented below are provided for informational purposes only and may not accurately represent the broker's quality.

 

Trustpilot 2.9/5 (420+ reviews)
Google Play Store 3.9/5 (26’900+ reviews)
iOS App Store 4.9/5 (50+ reviews)

filippo ucchino

About The Author

Filippo Ucchino
Co-Founder - CEO - Broker Expert
Filippo is the co-founder and CEO of InvestinGoal.com. He has 15 years of experience in the financial sector and forex in particular. He started his career as a forex trader in 2005 and then became interested in the whole fintech and crypto sector.
Over this time, he has developed an almost scientific approach to the analysis of brokers, their services, and offerings. In addition, he is an expert in Compliance and Security Policies for consumers protection in this sector.
With InvestinGoal, Filippo’s goal is to bring as much clarity as possible to help users navigate the world of online trading, forex, and cryptocurrencies.

Trading CFDs, FX, and cryptocurrencies involves a high degree of risk. All providers have a percentage of retail investor accounts that lose money when trading CFDs with their company. You should consider whether you can afford to take the high risk of losing your money and whether you understand how CFDs, FX, and cryptocurrencies work. Cryptocurrencies can widely fluctuate in prices and are not appropriate for all investors. Trading cryptocurrencies is not supervised by any EU regulatory framework. Your capital is at risk. The present page is intended for teaching purposes only. It shall not be intended as operational advice for investments, nor as an invitation to public savings raising. Any real or simulated result shall represent no warranty as to possible future performances. The speculative activity in forex market, as well as in other markets, implies considerable economic risks; anyone who carries out speculative activity does it on its own responsibility.
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