FXTM Broker Review

Is FXTM Safe?

The FXTM brand was founded in 2011 and is headquartered in Cyprus.  It is authorised and regulated in various jurisdictions, including the Cyprus Securities and Exchange Commission (CySEC) since 2012, the UK Financial Conduct Authority (FCA) since 2017, and the Financial Services Commission (FSC) of the Republic of Mauritius, which handles most of FXTM’s international business outside of Europe.  See below for a list of FXTM registered companies:

• ForexTime Limited is regulated by the Cyprus Securities and Exchange Commission (CySEC), license number 185/12.
• ForexTime Limited is registered with the UK Financial Conduct Authority, licence number 600475.
• Exinity Limitedis regulated by the Financial Services Commission of the Republic of Mauritius with an Investment Dealer License, license number C113012295.

Exinity Limited is also a member of the Financial Commission, an international organisation dedicated to resolving disputes in the Forex industry.

FXTM has won multiple international awards from the wider industry, further burnishing its credentials as a secure broker. Recent awards include the Best Trading Experience 2020/2019 (World Finance), Best European Forex Affiliate Broker Programme 2019 (Global Forex Awards), Best Trading Conditions 2019 (World Finance Awards), and Best investment Broker 2019 (World Finance Awards).  In 2018, FXTM also won Best Forex Education Provider Africa (International Business Magazine) and Best Trading Conditions (World Finance).

Clients’ funds are segregated completely from the company’s operational funds and kept in various banking institutions. Furthermore, FXTM will not use Customers’ funds in its operation or any other investment, ensuring their protection at all times.  Note that negative balance protection is available on request.  However, Malaysian traders should be aware that the Securities Commission of Malaysia does not currently licence FXTM.

Trading Conditions

FXTM’s trading conditions vary across the six account types on offer, but they are generally better than most brokers. Maximum leverage is around 1:1000 except on the Shares Account, and variable spreads can be as tight as 0.1 pips. Scalping is allowed on all of the trading account types offered. However, it is important to note that the Instant execution model (applicable to Standard and Micro accounts) is not designed for scalping. As a result, it may create a negative trading experience, e.g., requotes or longer execution, etc.  In this respect, it is not recommended to use Instant execution account types for scalping strategies. FXTM also allows hedging and offers copy-trading as part of its investor program. Trading accounts are denominated in EUR, GBP, or USD.

Malaysians will be pleased to note that swap-free options are available for Muslim clients to ensure compliance with Sharia law’s no-riba tenets. To activate this option, clients are required to provide an official document proving their religion.

Account types

FXTM offers three Standard Accounts and four ECN Accounts.  The ECN Accounts execute orders directly to the market, and Standard Accounts offer instant execution via the FXTM dealing desk. The standout account is the ECN Zero Account which offers ECN execution with no commission and a relatively low minimum deposit of 200 USD/GBP/EUR.

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Standard Accounts

All Standard accounts are instant execution and are available as swap-free (Islamic) accounts.

Standard account

A commission-free account available on the MT4 or MT5 platforms, has floating spreads from 1.3 pips, flexible leverage up to 1:2000 (1:25 minimum), and instant execution.  The minimum deposit is 100 GBP/EUR/USD, and one can trade on 59 currency pairs.  Spot metals and spot CFDs are also available. Be aware that swap-free accounts are not available on the MT5 platform.

Cent account

The Cent account offers spreads starting at 1.5 pips and a minimum deposit of 10 GBP/EUR/USD.  While the lower minimum deposit is attractive for some, it will mean that you will be using this account to trade Cent Lots (0.01 Standard Lots).  Leverage is the same as the Standard Account (1:1000 – 1:25), but only the MT4 platform is supported.  This account only allows for trades on 25 major and minor pairs and two spot metals. On this account, the poor trading conditions mean that it is only for those who cannot afford the higher minimum deposits on other accounts.

Shares Account

This account is only for those who want to trade shares. It offers no Forex pairs, leverage is fixed at 1:10, and only available on the MT4 platform.  Floating spreads start at 0.1 pips, and it employs instant execution.

ECN Accounts

All FXTM ECN accounts offer floating leverage from 1:1000 – 1:25, except for the FXTM Pro Account. These accounts are all market execution accounts and are available on both the MT4 and MT5 platforms. Supported base currencies are EUR, GBP, and USD. 

Islamic (swap-free) accounts are not available on MT5. 

ECN Account

With a minimum deposit of 500 USD/GBP/EUR, this account has significantly lower spreads than the standard accounts – starting at 0.1 pips.   A small commission of 2 USD/lot per side (4 USD total turnaround) is charged to make up for the lower spreads.  Floating leverage is up to 2000:1, and trading is only available on the MT4 platform. Trading instruments include 48 majors, minors, and exotic pairs, in addition to 3 spot metals and 25 spot CFDs to provide a diverse trading environment.

ECN Zero Account

The ECN Zero Account offers spreads starting at 1.5 pips, but with a significantly smaller initial deposit of 200 USD/GBP/EUR, floating leverage of up to 2000:1, and no commission is charged on the trades.  This account offers trading on 48 currency pairs, 3 spot metals, 14 spot CFDs on the MT4 platform, and trading on 33 currency pairs, and 2 spot metals on the MT5 platform.  This account is a good entry-level option for new traders who value direct market execution.

FXTM Pro Account

This account is for professional FXTM traders, with spreads starting at 0 pips, floating leverage from 1:200 – 1:25, and no commission on the trades. An excellent market execution account, but with a minimum deposit of 25,000 USD/GBP/EUR.  Trading is available on both the MT4 and MT5 platforms, and trading instruments include 43 currency pairs, 2 spot metals, and 9 spot CFDs.

ECN Stock Account

On this account, one can buy, sell and hold stocks from Facebook, Apple, Microsoft, and other highly valued US companies.  The minimum deposit is 100 USD, leverage is only up to 1:1, no commissions are charged, and only available on the MT5 platform.  Note that there are no swap-free options available on this account. 

Deposits and Withdrawals

All major credit cards are accepted, as are all e-wallets.  Malaysian local bank transfers are also supported, and no commission is charged on deposits or withdrawals. Deposits are free via online banking in Malaysia, but withdrawals are charged at 2%.  Online banking deposits are instant, but Bank Wire Transfers take three to five business days to be processed.  Withdrawals are processed within 24 hours.

Some other withdrawal methods do have commissions attached depending on withdrawal type.  They are:

• Visa/Mastercard/Maestro: Withdrawals are charged at 2 EUR/3 USD/2 GBP and are processed in 24 hours. 
• E-wallets: Skrill and Neteller are free, but up to 2% are charged on other payment methods.  Withdrawals are processed within 24 hours.
• International Bank Wire – Charged at a 30 EUR commission and are processed within 24 hours.

FXTM For Beginners

FXTM has a world-class education section available for free in 22 languages and a comprehensive market research and analysis unit. Malaysian traders will be pleased to note that the FXTM website is fully translated into Malay.  Educational and market analysis materials are also available in Malay; however, webinars are mostly in English.

Educational Material

The education section at FXTM is large, well-structured, and broken into several components:

• Beginners Guide to Forex Trading: This guide introduces you to Forex terminology and answers common FAQs for those just getting started. This is a good overview of Forex trading and links to more detailed sections of the Education mini-site so new traders can focus on what they want to learn.
• Ebooks: These are written by an experienced FXTM staff member and cover topics such as the habits of successful traders and bearish candlesticks. To access these, you will be required to register but won’t need a live account.
• Forex Trading Strategies: A good overview of common strategies used in Forex trading and the indicators many traders use to make these strategies work for them.
• Short Education Videos: These are aimed at new traders and are all between one minute and three minutes in length, perfect for beginner traders who want to get up to speed quickly. All are freely available on YouTube.
• Education Videos: A set of videos for both beginner and experienced traders. These are longer and more detailed than the Short Education Videos and are also available on YouTube.
• Education Articles: A library of free educational articles written by FXTM’s Head of Education; the pieces are well-written and concise, even when tackling complex topics. Example topics include Bearish Trend Reversals and Harmonic Patterns.
• Forex Glossary: This a comprehensive glossary of Forex terms – very useful for new traders.
• Forex Trading Seminars: FXTM regularly hosts live workshops across the globe where you can learn directly from experienced traders in your language. Here you can see the current schedule and sign up for events. Be aware that to attend, you will need a live account with a minimum 200 USD deposit.
• Forex Trading Webinars: FXTM also hosts frequent webinars in multiple languages. These require registration with FXTM but not a live account.

FXTM’s education section is an excellent resource for new traders, and much of it is available for free.

Analysis Material

Much like the Education Section, the Market Analysis Section at FXTM is comprehensive, frequently-updated, and very useful for traders of all experience levels. Sub-headings include:

• Daily Market Analysis: A daily look at what will be affecting the markets over the day, written by a senior member of the FXTM analysis team.
• Forex News Timeline: A constant news feed of events that will affect the Forex market. Detailed and sometimes offered with possible effects on the market.
• Market Analysis Videos: This is a library of FXTM’s weekly video roundup of the market and what to look for in the coming week. It is updated every Monday. 

FXTM also has a bio page for each of their market analysts with links to all the articles they have written and their social media profiles.

Overall, FXTM has an excellent analysis section, written or curated by Forex experts and full of detail and interesting leads for new trading opportunities.

Customer Support

FXTM customer support is open 24/5 via email, telephone, live chat, Facebook Messenger, Viber, and Telegram.  Support is available in 22 different languages, including Malay. For telephone support, FXTM has toll-free numbers in Cyprus, India, Nigeria, Indonesia, the United Kingdom, and South Korea. For clients outside of those countries, you can request a call-back from the customer support team.

Trading Platforms

FXTM supports both the Metatrader 4 and Metatrader 5 platforms. MetaTrader 4 (MT4) is still the industry standard even though its successor, MetaTrader 5 (MT5), has been available for some time. The advantages of using MT4 are numerous, but most centre around the community support and the number of users that the tool boasts. 

The primary difference between MT4 and MT5 is that MT4 is a Forex-only platform, while MT5 is a multi-asset trading solution. With MT5, you can trade not only Forex but also stocks, stock indices, and precious metals. MT5 also has a built-in news feed and an economic calendar, and trades can be made on a chart.

Evaluation Method

We value transparency and openness in the way we review the partners. To bring transparency to the forefront, we have published our review process that includes a detailed breakdown of how we rate FXTM’s products and services. Central to that process is the evaluation of the reliability of the broker, the platform offering of the broker and the trading conditions offered to clients, which are summarised in this review. Each one of these is graded, and an overall score is calculated and assigned to the broker.

FXTM Risk Statement

Trading Forex is risky, and each broker is required to detail how risky the trading of Forex CFDs is to clients. FXTM would like you to know that: Trading Forex and Leveraged Financial Instruments involves significant risk and can result in the loss of your invested capital. You should not invest more than you can afford to lose and should ensure that you fully understand the risks involved. Trading leveraged products may not be suitable for all investors. 

Overview

FXTM is well-regulated, has a good reputation across the globe, and offers traders several account options.  Both MT4 and MT5 are supported, trading conditions are good across all account types, and traders can choose between Standard or ECN accounts. Additionally, the education and market analysis on offer is fantastic. Overall, FXTM is a dependable broker for all kinds of traders.