FXTM Review

author
Sara Patterson on April 19, 2020
Updated on Sep 15, 2021

Editor’s Verdict

FXTM established itself as a leading broker for emerging and frontier markets. Traders get upgraded MT4/MT5 trading platforms, a proprietary copy trading service, and quality research and education. FXTM also delivers one of the best commission-based Forex pricing environments. I reviewed this award-winning broker to evaluate if high-frequency traders and scalpers can achieve a competitive edge here. Is the trading environment at FXTM as good as advertised?

Overall
Fees
Regulation and Security
Asset selection
Ease of account opening
Deposit and withdrawal

Pros

  • Excellent commission-based Forex pricing environment and transparency

  • Upgraded MT4/MT5 trading platforms plus proprietary mobile trading app

  • Quality market research and educational content for beginner traders

  • Proprietary copy trading platform, low minimum deposit, and high leverage

Cons

  • Limited choice of commodities

Overview

Great education makes FXTM ideal for traders in emerging and frontier markets

Headquarters Mauritius
Regulation FSC, FCA, CySEC, FSCA
Year Established 2011
Execution Type Market Maker/ECN hybrid
Minimum Deposit $50
Trading Platform(s) MT4, MT5, FXTM Invest (proprietary)
Signals
US Persons Accepted?

I like that FXTM continues to adjust to market and regulatory changes, ensuring traders maintain a competitive edge. The degree of transparency is another positive I want to point out. Big Four accountancy PricewaterhouseCoopers Limited (PwC) audits published statistics per International Standard on Assurance Engagements (ISAE) 3000.

Regulation and Security

Trading with a regulated broker will limit the potential for fraud and malpractice. I always recommend traders to check for regulation and verify it with the regulator by checking the provided license with their database. FXTM presents clients with four well-regulated entities.

Country of the Regulator Name of the Regulator Regulatory License Number
Mauritius Financial Services CommissionLicense Number C113012295
United Kingdom Financial Conduct AuthorityLicense Number 777911
Cyprus Cyprus Securities and Exchange CommissionLicense Number 185/12
South Africa Financial Sector Conduct AuthorityFSP Number 46614

FXTM is also acquiring a regulatory license in Kenya as it expands across the African continent. On February 26th, 2021, FXTM ceased its retail operations from its CySEC regulated entity. It cited the uncompetitive regulatory framework introduced by the European Securities and Markets Authority (ESMA) for its reason. EEA clients can trade with any of the other subsidiaries.

I like the regulatory framework at FXTM, ensuring traders have access to competitive trading conditions and superior protection. FXTM is a member of the Honk Kong-based Financial Commission, where the Compensation Fund protects traders up to €20,000 per claim. It is identical to what CySEC offers but does not come with regulatory restrictions.

PricewaterhouseCoopers Limited (PwC) also audits select performance statistics, and FXTM remains one of the more transparent brokers. I applaud them for their focus on the trading environment, granting clients a distinct edge.

FXTM Regulation and Security

Fees

FXTM offers traders a commission-free and commission-based Forex account. The former ranks among the more expensive ones, but the latter account is one of the best ones available. I can highly recommend it for high-frequency traders and scalpers.

Equity CFD trading is commission-free as FXTM joined the group of brokers catering to millennial and GenZ traders favoring no commissions. I want to stress once again that commission-free does not necessarily equal cheaper trading costs. Spreads are generally higher, often twice as high, than commission-based offers, and FXTM is no exception.

Here is the minimum spread for the EUR/USD and the trading costs per 1 standard lot in both.

FXTM offers excellent spreads in its commission-based account, making it one of the cheapest Forex brokers in the entire retail Forex industry worldwide.

Minimum Spread Commission per Round Lot Cost per 1.0 Standard Lot
1.5 pips$0.00$15.00
0.0 pips$0.80 (minimum)$0.80
0.0 pips$4.00 (minimum)$4.00
Deposit Fee
Withdrawal Fee Third party fees only
Inactivity Fee $5 monthly after six months
Commissions / Spreads Variable
Withdrawal Options
Deposit Options

One of the most ignored trading costs is swap rates on leveraged overnight positions. Depending on the trading strategy, it may become the most significant fee per trade. I always recommend that traders check them before evaluating the total trading costs.

MT4/MT5 traders can easily access swap rates from their platform by following these steps:

1. Right-click on the desired symbol in the Market Watch window and select Specification .

2. Scroll down until you see Swap Long and Swap Short.

Below is a list of trading cost examples for buying and selling the EUR/USD, holding the trade for one night and seven nights, in the commission based FXTM account using the lowest and highest commission tiers.

Taking a 1 standard lot buy/sell position, in the EUR/USD at the tightest spread and holding it for one night will cost the following:

Minimum Spread Commission per Round Lot Swap Long Swap Short Total Trading Costs
0.0 pips
0.0 pips
$0.80
$4.00
-$6.90
-$6.90
X
X
$7.70
$10.90
0.0 pips
0.0 pips
$0.80
$4.00
X
X
-$0.30
-$0.30
$1.10
$4.30

Taking a 1 standard lot buy/sell position, in the EUR/USD at the tightest spread and holding it for seven nights will cost the following:

Minimum Spread Commission per Round Lot Swap Long Swap Short Total Trading Costs
0.0 pips
0.0 pips
$0.80
$4.00
-$48.30
-$48.30
X
X
$49.10
$52.30
0.0 pips
0.0 pips
$0.80
$4.00
X
X
-$2.10
-$2.10

Besides offering tight spreads for competitive commissions, FXTM also keeps swap rates on leveraged overnight positions low. Hong Kong equities face additional fees, which also remain very low.

A $5 monthly inactivity fee applies after six months of dormancy. I find this reasonable and acceptable, and active traders will never face this cost.

FXTM Fees

Range of Assets

FXTM maintains 63 currency pairs, 0 cryptocurrency pairs, 8 commodities, 17 index CFDs, 1,227 equity CFDs, 420 US-listed stocks, and five stock baskets. The choice of commodities, and index CFDs are limited, but the overall choice of trading instruments is competitive. I also like that FXTM offers 420 stocks for direct investments, albeit only US-listed ones. In terms of tradable assets, FXTM will best suit Forex and US equity traders.

Asset List Overview
Currency Pairs 63
Commodities 8
Index CFDs 17
Equity CFDs 1227
Bonds 0
ETFs 0
Options, Futures, and Synthetics 5

FXTM Leverage

FXTM offers maximum leverage up to 1:2000, but it is a six-tier system. It decreases as trading volume increases, which I determine an intelligent choice. Most retail traders will get between 1:500 and 1:1000, while trading volumes above 60.0 lots gradually decrease to 1:200, 1:100, and 1:25. It remains another industry-leading feature available at FXTM.

FXTM Trading Hours (GMT+1)

Asset Class From To
Forex Monday 00:05Friday 23:55
Commodities Monday 01:00Friday 23:45
European CFDs Monday 10:30Friday 18:00
US CFDs Monday 16:31Friday 22:59

Please note that equity markets open and close each trading and are not operational continuously.

I recommend the following step for MT4/MT5 traders to access trading hours:

1. Right-click on the desired symbol in the Market Watch window and select Specification.

2. Scroll down until you see Sessions

Opening an Account

Opening an account at FXTM is fast, and the first step requires only a few seconds. Traders must submit their name, country, a valid mobile phone number, e-mail address, and desired password. FXTM will send a confirmation PIN to the entered mobile number to complete the process. We were able to complete this within 24 hours which was speedy and satisfactory.

Demo Account
Managed Account
Islamic Account
Other Account Type Institutional Accounts, Segregated Account, Micro, Advantage Plus
OCO Orders
Interest on Margin

As a regulated broker, account verification at FXTM is a mandatory final step. Most traders will satisfy this by sending a copy of their ID and one proof of residency document. I found the entire process to be swift and hassle-free. I like that FXTM does not incorporate unnecessary steps or questionnaires.

Minimum Deposit

The minimum deposit at FXTM for the Micro Account is $50 or a currency equivalent. The Advantage and Advantage Plus alternatives each require a minimum deposit of $500. While this latter figure is relatively high, I believe the trading conditions offered here are more than worth the deposit size.

Payment Methods

FXTM offers 47 payment options. They include bank wires and a broad range of domestic banking solutions for countries, which I find excellent. Traders may also use Skrill, VLoad, TC PayWallet, Alfa-Click, Neteller, WebMoney, Yandex.Money, QIWI, Perfect Money, Konnexone. FXTM maintains one of the best selections of offered payment methods industry-wide.

Accepted Countries

FXTM caters to most international traders, including the UK, India, Malaysia, and the Philippines. It does not accept traders resident in Canada or the US.

Deposits and Withdrawals

The MyFXTM back office is where traders make all their deposits and withdrawals.

FXTM does not levy internal fees, but traders may face third-party processing costs. I recommend checking them to determine the most convenient and cost-effective solution. Processing times also vary based on method and rank from instant to ten business days.

I want to point out that only verified trading accounts may request a withdrawal and that FXTM enforces a withdrawal hierarchy. FXTM will return funds to the payment processors used for deposits, and it appears that traders must withdraw profits exceeding them via bank wire only, which is expensive.

Account Types

FXTM offers two commission-free trading accounts, Micro and Advantage Plus, and one commission-based alternative, Advantage. Micro requires a minimum deposit of only $50 or a currency equivalent, while the other two account types require a minimum deposit of $500. I highly recommend the commission-based option as trading costs remain among the best industry-wide, while both commission-based accounts charge relatively expensive fees.

FXTM Demo Account

A demo account is available at FXTM, and I did not find a time restriction. Therefore, it is ideal for testing strategies and expert advisors. The demo account is available for MT4 and MT5 and allows traders to select the demo account balance and leverage. While no demo account can simulate live trading conditions, the options available at FXTM come as close as possible to doing so.

Trading Platforms

FXTM offers traders the MT4/MT5 trading platforms and has developed its proprietary mobile app, FXTM Trader. It upgrades MT4 with six plugins plus its Pivot Points Strategy, featuring live updates and commentary from the FXTM Head of Education, and the mobile app is user-friendly and easy to use. I like that FXTM invested in MT4 upgrades. They ensure traders have an edge versus the out-of-the-box versions most brokers offer.

Overview of Trading Platforms

MT4
MT5
cTrader
Proprietary/Alternative Platform
Automated Trading
Social Trading / Copy Trading
MT4/MT5 Add-Ons
Guaranteed Stop Loss
Negative Balance Protection
Unique Features MT4/MT5 upgrades, Proprietary copy trading platform

Unique Features

While the excellent trading costs and transparency stand out at FXTM, I also like the proprietary copy trading platform, FXTM Invest. It allows investors to follow strategy managers, and FXTM provides relevant information on each. The community is not as big as other services, but all the top 75 listed managers show positive performance, which FXTM states remain audited and verified. I think it is promising and carries great potential for FXTM moving forward.

Research and Education

The four-member research team at FXTM provides market commentary and analysis in written format, short YouTube videos, and podcasts. They offer a brief overview and an informative take on market events. FXTM also maintains its FXTM Trading Signals service for traders seeking actionable research.

Beginner traders have access to one of the most comprehensive educational offerings , consisting of a video library featuring dozens of videos, written content, and an innovative periodic table filled with trading terminology. I find it well-structured and an excellent starting point for new traders.

FXTM Research and Education

Bonuses and Promotions

At the time of this review, FXTM maintains a refer-a-friend campaign. Traders and their referrals can each get $50 for a referral. Terms and conditions apply to this promotion, and I recommend that anyone wishing to participate reads and understands them, although they will be less onerous than conditions which brokers typically attach to bonuses.

Customer Support

Support Hours 24/5 + weekend hours
Customer Support

Traders have access to 24/5 multilingual customer support. It consists of phone support, including a call-back function, e-mail, and an FAQ section. FXTM also provides live chat on its website or via WhatsApp, Viber, Telegram, or Messenger.

Since the product and services portfolio at FXTM remains well-explained, I doubt most traders will require assistance. Should the need arise, FXTM ensures traders have swift access to a representative.

FXTM Customer Support

FXTM Comparisons

Summary

I like the trading environment at FXTM, as the trading costs in the commission-based trading account remain among the best industry-wide. FXTM is an ideal broker for high-frequency traders and scalpers. It has also established itself as a market leader for traders from emerging and frontier markets. I also like the upgraded MT4/MT5 trading platforms and overall transparency at FXTM, which I confidently rank among the very best Forex brokers.

FAQs

Is FXTM a good broker?

FXTM ranks among the best Forex brokers amid competitive regulation, transparency, and an excellent pricing environment.

Is FXTM good for beginners?

FXTM maintains a high-quality educational section, making it ideal for beginner traders.

What is the minimum deposit for FXTM?

The minimum deposit at FXTM for the Micro account is $50 or a currency equivalent, and $500 for the Advantage and Advantage Plus accounts.

How long does it take to withdraw from FXTM?

FXTM processes all withdrawal requests within 24 hours, but it may take up to ten business days for traders to receive their funds, dependent on the payment processor.

About the Author

Huzefa Hamid

Sara Patterson is a career writer and a former student of international relations. After earning a Master’s Degree in political science Sara spent several years working for various internet companies and teaching English writing at the college level to students in their freshman year. She now focuses her energies on reading several newspapers each day and considering how the news may affect both the currency markets and the political economy in general. She specializes in writing fundamental analysis and interpreting how news from across the globe will propel the markets in both the short and long terms. In her spare time, Sara enjoys carving fruit, rock climbing and Zumba. She also cares for 3 dogs and an iguana.

Affiliate Disclosure

DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

How we rank

DailyForex.com adheres to strict guidelines to preserve editorial integrity to help you make decisions with confidence. Some of the reviews and content we feature on this site are supported by affiliate partnerships from which this website may receive money. This may impact how, where and which companies / services we review and write about. Our team of experts work to continually re-evaluate the reviews and information we provide on all the top Forex / CFD brokerages featured here. Our research focuses heavily on the broker’s custody of client deposits and the breadth of its client offering. Safety is evaluated by quality and length of the broker's track record, plus the scope of regulatory standing. Major factors in determining the quality of a broker’s offer include the cost of trading, the range of instruments available to trade, and general ease of use regarding execution and market information.

Methodology and review process.