FXTM Review

Company Background & Regulation

FXTM, also known as ForexTime, was established in 2011 and has quickly become a prominent player in the online brokerage industry. The company was founded by Andrey Dashin, an experienced entrepreneur with a successful background in the financial services sector. The headquarters of FXTM are located in Limassol, Cyprus, a strategic location that places it at the heart of the European financial services industry. Over the years, FXTM has expanded its presence and is now recognised as a trusted broker globally, particularly in Africa and Asia.

FXTM is owned by Forextime Ltd, a company that operates under a strong regulatory framework. It is regulated by some of the most respected financial authorities in the world, ensuring a high level of trust and reliability for its clients. These regulatory bodies include the Financial Conduct Authority (FCA) in the United Kingdom with firm reference number 777911, the Cyprus Securities and Exchange Commission (CySEC) under licence number 185/12, and the Financial Sector Conduct Authority (FSCA) in South Africa with FSP number 46614. These regulations enforce stringent standards on FXTM, covering aspects like client fund protection, financial reporting, and operational transparency.

In terms of client fund protection, FXTM adheres to strict policies to ensure the safety of client deposits. Funds are held in segregated accounts, which means that client money is kept separate from the company’s operational funds. This segregation is a key aspect of regulatory requirements and provides an additional layer of security for investors. Moreover, being regulated by the FCA offers clients the protection of the Financial Services Compensation Scheme (FSCS), which can provide compensation of up to £85,000 in the event of broker insolvency.

FXTM’s commitment to regulatory compliance and client fund protection has contributed significantly to its reputation as a reliable broker. The combination of strong regulatory oversight and a focus on client security positions FXTM as a reputable choice for traders seeking a trustworthy trading partner.

Trading Fees & Spreads

FXTM offers competitive trading fees, making it an attractive option for both novice and experienced traders. The broker provides tight spreads starting from as low as 0.1 pips, particularly on major forex pairs under its ECN account type. For the Standard account, spreads are slightly wider, starting at 1.3 pips for major pairs. FXTM's competitive spreads make it a cost-effective choice for traders, especially those who engage in high-frequency trading.

In terms of commission structure, FXTM offers different account types tailored to meet the needs of various traders. While the Standard accounts do not charge any commissions, the ECN accounts involve a commission fee starting from $4 per lot. This commission structure is quite competitive when compared to industry standards, providing transparency and value to those who prefer trading with lower spreads and fixed costs.

Overnight swap rates, which are applicable for positions held overnight, vary depending on the asset class and the direction of the trade. FXTM provides detailed swap rate information on its platform, allowing traders to make informed decisions about holding positions overnight. It is noteworthy that FXTM offers swap-free accounts for traders following Islamic finance principles, ensuring compliance with Sharia law.

As for non-trading fees, FXTM does not charge any deposit fees, which is a significant advantage for traders looking to maximise their trading capital. However, withdrawal fees are applicable and vary depending on the method used. For instance, bank wire withdrawals incur a fee of €20, while other methods like credit card withdrawals are free. Additionally, FXTM imposes an inactivity fee of $5 per month after six months of account inactivity. When compared to its competitors, FXTM's fee structure is competitive, though traders should consider the withdrawal and inactivity fees when calculating overall costs.

Trading Platforms & Tools

Web Platform

FXTM offers its clients access to the MetaTrader 4 (MT4) and MetaTrader 5 (MT5) platforms, both available in web-based versions. These platforms are renowned for their intuitive interfaces and robust functionality. The web versions of MT4 and MT5 allow traders to access their accounts without the need to download any software, making them convenient for users who prefer to trade directly from their browsers. Both platforms support a variety of order types, including market, limit, and stop orders, providing flexibility in execution strategies. Additionally, these web platforms offer a secure trading environment with encryption technology to safeguard user data.

Desktop Platform

The desktop versions of MT4 and MT5 are the most comprehensive offerings by FXTM, catering to the needs of professional traders who require advanced analytical tools and fast execution speeds. MT4 is widely favoured for its user-friendly interface and extensive customisability, supporting automated trading through Expert Advisors (EAs) and offering a wide range of technical indicators. MT5, the successor to MT4, provides even more advanced features, including an integrated economic calendar, more timeframes, and additional order types. The desktop platforms also support algorithmic trading and offer comprehensive charting tools with a vast array of customisable indicators.

Mobile Platform

FXTM provides mobile trading apps for both MT4 and MT5, available on iOS and Android devices. These mobile platforms are designed to offer seamless trading experiences on the go, with functionalities that mirror those available on the desktop and web versions. Users can execute trades, manage accounts, and conduct market analysis with ease. The mobile apps feature real-time quotes, a variety of chart types, and the ability to set up alerts to notify users of significant market events. This mobility ensures that traders can stay connected to the markets and manage their positions from anywhere.

Charting Capabilities, Order Types, and Additional Tools

Both MT4 and MT5 platforms offered by FXTM come with advanced charting capabilities, supporting multiple chart types such as line, bar, and candlestick charts. These platforms provide traders with a comprehensive suite of technical analysis tools, including over 30 built-in indicators and 24 graphic objects for MT4, and more than 38 indicators and 44 graphic objects for MT5. In terms of order types, traders have access to market, limit, stop, and trailing stop orders, allowing for sophisticated risk management strategies. FXTM also supports algorithmic trading through the use of EAs, with the ability to integrate third-party applications via APIs. This flexibility is particularly beneficial for traders looking to implement customised trading strategies.

Account Types & Minimum Deposit

Account Tiers and Features

FXTM offers a variety of account types to cater to different levels of traders, including Micro, Advantage, and Advantage Plus accounts. The Micro account is designed for beginners and has a minimum deposit requirement of just $10, making it accessible for new traders. It offers fixed spreads and allows trading in micro-lots, which is ideal for those looking to practice and refine their strategies with minimal risk. The Advantage account is more suited to experienced traders, offering variable spreads from as low as 0.1 pips and a maximum leverage of up to 1:2000. The Advantage Plus account provides similar features but with added benefits such as commission-free trading on certain instruments.

Demo and Islamic Accounts

For those seeking to test the waters before committing real capital, FXTM provides a demo account option across all its platforms. The demo account comes preloaded with virtual funds and gives users the ability to practice trading in a risk-free environment. This feature is invaluable for both novice and experienced traders looking to familiarise themselves with the platform or test new strategies. Additionally, FXTM offers Islamic accounts that comply with Sharia law, available for both the Advantage and Advantage Plus accounts. These swap-free accounts are tailored for traders of the Muslim faith and do not incur interest on overnight positions.

Minimum Deposit and Supported Deposit Methods

The minimum deposit requirement at FXTM is notably low, starting at just $10 for the Micro account. This low entry point is particularly attractive for new traders or those with limited capital. FXTM supports a wide range of deposit methods, including bank wire transfers, credit/debit cards, and various e-wallets such as Skrill and Neteller. These multiple options ensure that clients from different regions can conveniently fund their accounts. The broker does not charge any fees for deposits, although third-party charges may apply depending on the payment method used. The diversity in deposit methods, combined with a low minimum deposit, makes FXTM accessible to a broad spectrum of traders globally.

Markets & Instruments

FXTM offers a comprehensive range of markets and instruments, catering to various trading preferences and strategies. As a broker, they provide access to the forex market, CFDs on commodities, indices, and shares. The breadth of offerings ensures that traders have ample opportunities to diversify their portfolios and explore different asset classes.

The forex market is a significant highlight at FXTM, with over 60 currency pairs available for trading. This includes major pairs such as EUR/USD and GBP/USD, as well as minor and exotic pairs. The availability of such a wide array of currency pairs provides traders with numerous options to capitalise on market movements.

In addition to forex, FXTM offers CFDs on a range of instruments. Traders can access CFDs on over 180 shares, providing a robust selection for those interested in equity markets. The broker also offers CFDs on commodities like gold, silver, and oil, allowing traders to hedge against inflation or speculate on commodity price movements. Furthermore, CFDs on indices such as the FTSE 100 and S&P 500 are available, giving traders the ability to trade on the performance of whole market sectors. However, it is worth noting that FXTM's cryptocurrency offerings are limited, which may be a consideration for traders focused on digital assets.

Safety & Security

When it comes to safety and security, FXTM implements several measures to protect its clients' funds and personal information. A key aspect of their security protocol is the segregation of client funds from the company's operational funds. This ensures that traders' deposits are kept in separate accounts, reducing the risk of misuse and protecting client funds against any financial instability the company might face.

Additionally, FXTM offers negative balance protection, a crucial feature for traders using high leverage. This protection ensures that traders cannot lose more than their account balance, preventing them from falling into debt with the broker. In terms of regulatory oversight, FXTM is regulated by reputable authorities, including the Financial Conduct Authority (FCA) in the UK, the Cyprus Securities and Exchange Commission (CySEC), and the Financial Sector Conduct Authority (FSCA) in South Africa. These regulatory bodies impose stringent compliance requirements on FXTM, providing an additional layer of security. The broker also employs advanced cybersecurity measures to safeguard clients' personal information and trading data, ensuring a secure trading environment.

Who Is FXTM Best For?

FXTM is well-suited for a variety of trader profiles, thanks to its wide range of instruments, strong regulatory oversight, and flexible account options. Beginner traders, in particular, can benefit from the low minimum deposit of just $10, making it accessible for those who wish to start trading without a significant financial commitment. The availability of the MetaTrader 4 and MetaTrader 5 platforms also provides beginners with industry-standard tools that are both powerful and user-friendly.

Experienced traders can take advantage of the high leverage offered by FXTM, which can be up to 1:2000. This level of leverage is particularly appealing for those who have a solid understanding of risk management and wish to maximise their trading potential. The diverse range of CFDs and forex pairs further enhances the broker's appeal to seasoned traders looking to implement sophisticated trading strategies across multiple markets.

However, FXTM may not be the best option for traders focused on cryptocurrencies, given its limited offerings in this area. Similarly, traders based in the United States are unable to open accounts with FXTM due to regulatory restrictions. Overall, FXTM's combination of low entry requirements, strong regulatory framework, and diverse market access make it an excellent choice for a wide range of traders.

• Ideal for beginner traders - Low minimum deposit of $10 makes it accessible.
• Great for experienced traders - High leverage up to 1:2000 allows for advanced trading strategies.
• Suitable for traders using MT4/MT5 - Supports both popular trading platforms.
• Traders focused on forex - Access to over 60 currency pairs.
• Not ideal for cryptocurrency traders - Limited cryptocurrency offerings.
• Unavailable for US-based traders - Regulatory restrictions prevent US citizens from opening accounts.