LegacyFX is an expensive MT5 broker for deposits below $25,000+ for most traders, but its swap-free offer makes it a niche player for medium-to-long-term strategies. The account structure is unnecessarily complex and deploys a backward approach, denying beginner services they could benefit from and granting them to traders who do not need them.
XM established itself as a dominant retail broker, catering to 5M+ traders from 190 countries. Upgraded MT4/MT5 trading platforms, a low-cost commission-free Forex pricing environment, and a well-balanced choice of trading instruments create a competitive offer for all traders. Low minimum deposit requirements, high leverage, and excellent order execution add to the competitive edge XM maintains.
I have conducted an in-depth review of LegacyFX and XM to determine which one presents the better overall choice and which traders will benefit the most at either broker.p>
- Features and Platforms
- Available Markets
- Typical Spreads and Fees
- Security and Trust
- LegacyFX versus XM - Verdict
 |  | |
Headquarters | Cyprus | Cyprus |
Regulators | ASIC, CySEC, DFSA, FSC Belize | VFSC |
Tier 1 Regulator(s)? | ||
Owned by Public Company? | ||
Year Established | 2009 | 2012 |
Execution Type(s) | Market Maker | Market Maker |
Minimum Deposit | $5 | $500 |
Trading Platform(s) | MetaTrader 4, MetaTrader 5, Proprietary platform | MetaTrader 5 |
Average Trading Cost EUR/USD | 0.1 pips | 1.6 pips |
Average Trading Cost GBP/USD | 0.2 pips | 1.5 pips |
Average Trading Cost WTI Crude Oil | $0.05 | $0.13 |
Average Trading Cost Gold | $0.19 | $0.63 |
Islamic Account | ||
Signals | ||
US Persons Accepted? | ||
Managed Accounts | ||
| Visit Website | Visit Website |
Features and Platforms
| | |
MT4 | ||
MT5 | ||
cTrader | ||
Proprietary Platform | ||
Automated Trading | ||
DOM? | ||
Guaranteed Stop Loss | ||
Scalping | ||
Hedging | ||
One-Click Trading | ||
OCO Orders | ||
Interest on Margin | ||
| Visit Website | Visit Website |
Noteworthy:
Educational content and research exist at both brokers, but XM delivers superior quality versus LegacyFX, which favors quantity. LegacyFX offers a Guardian Angel service and PAMM accounts. XM rewards high-frequency traders with generous incentives.
Available Markets
| | |
Currency Pairs | N/A | |
Cryptocurrencies | N/A | |
Commodities | ||
Crude Oil | ||
Gold | ||
Metals | ||
Equity Indices | ||
Stocks (non-CFDs) | ||
ETFs | ||
Futures | ||
Synthetics | ||
| Visit Website | Visit Website |
XM provides traders with a well-balanced asset selection focused on equities, which account for the bulk of its 1,000+ trading instruments. Traders can achieve advanced cross-asset diversification at XM, catering to all level traders. LegacyFX covers the same sectors as XM but maintains significantly fewer assets, sufficient for beginners and focused trading strategies.
Typical Spreads and Fees
| | |
Average Trading Cost EUR/USD | 0.1 pips | 1.6 pips |
Average Trading Cost GBP/USD | 0.2 pips | 1.5 pips |
Average Trading Cost WTI Crude Oil | $0.05 | $0.13 |
Average Trading Cost Gold | $0.19 | $0.63 |
Average Trading Cost Bitcoin | N/A | $505 |
| Visit Website | Visit Website |
Trading costs at LegacyFX start from 1.5 pips or $15.00 per lot and drop to 0.6 pips or $6.00 for $25,000+ deposits. XM offers 0.6 pips or $6.00 to traders with deposits from $5. Traders should consider the swap-free trading conditions at LegacyFX to determine how they impact their strategies and final costs.
Security and Trust
| | |
Country of the Regulator | United Arab Emirates, Australia, The Bahamas, Belize, Cyprus, United Kingdom, United States | Cyprus, Vanuatu |
Name of the Regulator | ASIC, CySEC, DFSA, FSC Belize | VFSC |
Regulatory License Number | 705428, 120/10, 443670, 000261/397, F003484, SIA-F201, 0516820 | 14579, 344/17 |
Regulatory Tier | 1,1,1,4,2,4,1 | 4,1 |
| Visit Website | Visit Website |
LegacyFX and XM offer equally secure trading environments, with negative balance protection and the segregation of client deposits from corporate funds. Third-party insurance is missing at LegacyFX and XM alike. The UK and Cyprus subsidiaries of XM have an investor compensation fund.
XM vs LegacyFX – Verdict
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 $6.00 per 1 standard lot |
LegacyFX
Pros | Cons |
|---|---|
| Swap-free trading and high leverage | High minimum deposit |
| Autochartist plugin for MT5 and in-house research | Not all account types have access to core features |
| Educational tools for beginner traders | |
| Loyalty Program for affiliates |
LegacyFX grants niche traders with longer-term leveraged focused trading strategies a distinct edge with its swap-free offer. Other traders must deal with an expensive cost structure and backward account hierarchy. XM is a superior alternative, as it maintains a highly competitive overall trading environment, quality education, research, and generous bonuses available from a minimum deposit of $5. It established itself as a trustworthy multi-asset broker suitable for all trading strategies, including scalpers and high-frequency algorithmic traders.
You might also be interested in reviewing the below broker comparisons:
FAQs
Is XM a good Forex broker?
XM is a good broker due to its well-balanced, high-quality product and services portfolio.
What broker is better than XM?
XM has an overall competitive trading environment suitable for most traders, but certain competitors provide superior products and services for select strategies or niche markets.
Can US traders use XM?
The Trading Point Group, the corporate owner of XM, has a US subsidiary regulated by CFTC with NFA membership.