FP Markets vs XM 2026: Which Broker is Better?

Regulation & Safety

FP Markets, established in 2005 and headquartered in Sydney, Australia, is regulated by the Australian Securities and Investments Commission (ASIC) and the Cyprus Securities and Exchange Commission (CySEC). These regulatory bodies are well-regarded in the financial industry, providing a level of assurance regarding the broker's adherence to financial standards and client fund protection. ASIC regulation ensures that FP Markets clients benefit from the protection of segregated client accounts, safeguarding funds from misuse.

Conversely, XM, founded in 2009 and based in Limassol, Cyprus, operates under the regulation of CySEC, ASIC, and the Financial Conduct Authority (FCA) in the UK. The FCA is known for its stringent regulatory requirements, offering an additional layer of safety for XM clients. XM also provides negative balance protection, ensuring clients do not lose more than their account balance. This multi-regulatory oversight provides XM with a broader safety net for its clients, particularly those trading in volatile markets.

Fees & Spreads

FP Markets offers highly competitive spreads starting from 0.0 pips on their Raw account, albeit with a commission of $3 per lot traded. The broker's minimum deposit requirement stands at $100, making it accessible for many traders. However, it is important to note that overnight fees may apply, and these can vary depending on the instrument and market conditions. The maximum leverage offered is 1:500, providing ample margin for experienced traders.

XM, on the other hand, offers spreads starting at 0.6 pips with no commissions on trades, which can be more appealing for traders looking to avoid additional costs. XM's minimum deposit is notably lower at just $5, significantly lowering the barrier to entry. The broker also boasts no deposit or withdrawal fees, and offers higher leverage up to 1:1000. However, traders should be cautious of wider spreads on standard accounts, which may affect trading costs over time.

Trading Platforms

FP Markets supports a range of trading platforms, including MetaTrader 4 (MT4), MetaTrader 5 (MT5), TradingView, and a proprietary mobile platform. The integration with TradingView is particularly advantageous for traders who rely on advanced charting tools. XM offers MT4 and MT5 along with its own proprietary mobile platform, but lacks TradingView support, which could be a drawback for traders who value comprehensive charting capabilities.

Who Should Choose FP Markets?

• Traders seeking the lowest spreads on a Raw account.
• Individuals who utilise TradingView for their technical analysis.
• Traders comfortable with a $100 minimum deposit.
• Experienced traders requiring high leverage up to 1:500.

Who Should Choose XM?

• Beginners looking for a very low entry point with a $5 deposit.
• Traders who prefer zero commission trading.
• Individuals seeking strong educational resources.
• Clients needing robust regulatory protection, including FCA oversight.

Our Verdict

For beginners, XM is the better choice due to its low minimum deposit and comprehensive educational resources. Professional traders might prefer FP Markets for its competitive spreads and TradingView integration. In terms of fees, XM's zero-commission structure can be more cost-effective for long-term trading.