Algorithmic traders get a cutting-edge trading infrastructure at FXCM. Six specialty algorithmic trading platforms and API trading complement MT4. The proprietary Trading Station caters to manual traders, who will benefit from Capitalise AI, allowing automation of trading strategies using an intuitive, code-free environment. ZuluTrade supports social trading together with the embedded MT4 service.
XM remains one of the best-balanced multi-asset brokers, catering to 5M+ traders from 190 countries with a competitive product and services portfolio. Traders get the MT4/MT5 trading platforms, low trading costs, a broad-based asset selection, and low minimum deposit requirements. Generous bonuses, incentives, and quality trading tools are equally available.
We have conducted an in-depth review of FXCM and XM to determine which one presents the better overall choice and which traders will benefit the most at either broker.
- Features and Platforms
- Available Markets
- Typical Spreads and Fees
- Security and Trust
- XM versus FXCM - Verdict
 |  | |
Headquarters | United Kingdom | Cyprus |
Regulators | ASIC, CySEC, FCA, FSCA | ASIC, CySEC, DFSA, FSC Belize |
Tier 1 Regulator(s)? | ||
Owned by Public Company? | ||
Year Established | 1999 | 2009 |
Execution Type(s) | Market Maker, No Dealing Desk | Market Maker |
Minimum Deposit | $50 | $5 |
Trading Platform(s) | Other, MetaTrader 4, Proprietary platform, Web-based+ | MetaTrader 4, MetaTrader 5, Proprietary platform |
Average Trading Cost EUR/USD | 0.6 pips | 0.1 pips |
Average Trading Cost GBP/USD | 1.0 pips | 0.2 pips |
Average Trading Cost WTI Crude Oil | 0.034 pips | $0.05 |
Average Trading Cost Gold | 0.30 pips | $0.19 |
Retail Loss Rate | 70.0% | N/A |
Minimum Raw Spreads | 0.2 pips | N/A |
Minimum Standard Spreads | 0.7 pips | N/A |
Minimum Commission for Forex | $5.00/round lot | N/A |
Islamic Account | ||
Signals | ||
US Persons Accepted? | ||
Managed Accounts | ||
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Features and Platforms
| | |
MT4 | ||
MT5 | ||
cTrader | ||
Proprietary Platform | ||
Automated Trading | ||
DOM? | ||
Guaranteed Stop Loss | ||
Scalping | ||
Hedging | ||
One-Click Trading | ||
OCO Orders | ||
Interest on Margin | ||
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Noteworthy:
Quality education and research are available at both FXCM and XM. The latter also features one of the most efficient order execution environments, mostly without requotes or rejections.
Available Markets
| | |
Currency Pairs | N/A | |
Cryptocurrencies | N/A | |
Commodities | ||
Crude Oil | ||
Gold | ||
Metals | ||
Equity Indices | ||
Stocks (non-CFDs) | ||
ETFs | ||
Futures | ||
Synthetics | ||
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Forex traders are offered fewer than 40 currency pairs at FXCM compared to approximately 60 at XM. While neither broker offers in-depth exposure to cryptocurrencies, XM takes the overall lead with 1,300+ trading instruments, providing better cross-asset trading opportunities. Equity traders get nearly 1,300 CFDs, and XM continues to expand its well-balanced asset selection.
Typical Spreads and Fees
| | |
Average Trading Cost EUR/USD | 0.6 pips | 0.1 pips |
Average Trading Cost GBP/USD | 1.0 pips | 0.2 pips |
Average Trading Cost WTI Crude Oil | 0.034 pips | $0.05 |
Average Trading Cost Gold | 0.30 pips | $0.19 |
Average Trading Cost Bitcoin | $40 | N/A |
Minimum Raw Spreads | 0.2 pips | N/A |
Minimum Standard Spreads | 0.7 pips | N/A |
Minimum Commission for Forex | $5.00/round lot | N/A |
Deposit Fee | N/A | |
Withdrawal Fee | N/A | |
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Trading costs at both FXCM and XM remain competitive. Most retail traders will benefit from a cheaper pricing environment at XM, where minimum Forex fees commence at 0.6 pips, commission-free, or $6.00 per lot. FXCM is twice as expensive, but high-volume traders can lower costs via the commission-based account plus volume-based rebates.
Security and Trust
| | |
Country of the Regulator | New Zealand, Seychelles | United Arab Emirates, Australia, The Bahamas, Belize, Cyprus, United Kingdom, United States |
Name of the Regulator | ASIC, CySEC, FCA, FSCA | ASIC, CySEC, DFSA, FSC Belize |
Regulatory License Number | 403326, SD045 | 705428, 120/10, 443670, 000261/397, F003484, SIA-F201, 0516820 |
Regulatory Tier | N/A | 1,1,1,4,2,4,1 |
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Segregation of client deposits, negative balance protection, and investor compensation funds at the UK and the Cyprus subsidiaries exist at FXCM and XM.
XM vs FXCM – Verdict
FXCM
Pros | Cons |
|---|---|
| Excellent choice of trading platforms with dedicated support for algorithmic trading | High commission-free Forex trading costs |
| Deep liquidity, transparent order executions, and monthly slippage statistics | |
| Low-cost commission-based cost structure with a volume-based rebate program | |
| Quality research and education via FXCM Plus |
XM
Pros | Cons |
|---|---|
| Well balanced overall asset selection | Limited cryptocurrency selection |
| Upgraded MT4/MT5 trading accounts with excellent order execution statistics | |
| Low minimum deposit of $5 and maximum leverage of 1:888 | |
| Competitive commission-free trading costs from $5.00 per 1.0 standard lot |
FXCM caters best to algorithmic traders and maintains one of the most competitive infrastructures for high-volume and high-frequency traders who require fewer assets but highly liquid ones.XM remains the overall better choice as it features a more balanced trading environment, supportive of many trading strategies, cheaper trading costs, attractive bonuses, a loyalty program, and a broad-based asset selection centered around equity trading.
You might also be interested in reviewing the below broker comparisons:
FAQs
What broker is better than XM?
The answer depends on the individual requirements. For most beginners, XM provides an excellent product and services portfolio, but competitors cater better to select niche requirements.
Is FXCM data reliable?
FXCM provides transparent, reliable data amid its push to regain confidence and trust following years of misconduct and fines by its previous management team. FXCM is now part of the publicly listed Jefferies Financial Group and has enjoyed a spotless operational record since the takeover in 2017.
Can I trust XM broker?
XM complies with seven regulators and has maintained a spotless track record since its inception in 2009. It earned a place among the most trusted and honest brokers industry-wide with one of the most engaging management teams.