KEY TAKEAWAYS

✔️ Mini and Nano lots accounts
✔️ No-deposit trading bonus
✔️ Regulated in the EU, the UK, Australia, Dubai and Belize
✔️ Accepts Japanese clients

Regulations and Money Protection

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Entity Name	Regulation	Client Money Protection	Deposit Compensation Scheme	Negative Balance Protection
XM Global Limited (International)	Belize ISFC License	✔️ - segregated client money	❌	✔️
Trading Point of Financial Instruments Pty Ltd (AU)	Australia ASIC License	✔️ - segregated client money	❌	✔️
Trading Point MENA Limited (UAE)	Dubai DFSA License	✔️ - segregated client money	❌	✔️
Trading Point of Financial Instruments UK Limited (UK)	UK FCA License	✔️ - segregated client money	up to £85,000	✔️
Trading Point of Financial Instruments Limited (EU)	Cyprus CySEC License	✔️ - segregated client money	up to €20,000	✔️

Regulation

The parent company of XM is Trading Point Holdings Ltd, with registered address at 12 Richard & Verengaria Street, Araouzos Castle Court, 3rd Floor, 3042 Limassol, Cyprus. Trading Point Holdings Ltd is the holding company of Trading Point of Financial Instruments Limited, XM Global Limited, Trading Point of Financial Instruments UK Limited, Trading Point of Financial Instruments Pty Ltd, Trading Point MENA Limited.

XM Global Limited (trading as XM) is the counterparty for all the accounts opened worldwide, except in Europe and Australia. The XM Global Limited, with registered address at No. 5 Cork Street, Belize City, Belize, CA, is authorised and regulated by the Belize International Financial Services Commission (IFSC) with license number 000261/106.

Trading Point of Financial Instruments Pty Ltd, (ACN 164 367 113), with registered address at SYDNEY NSW 2000, Australia, is licensed by the Australian Securities & Investments Commission (ASIC). XM is registered to carry out financial services business in Australia, limited to the financial services covered by its AFSL license. The trading name, XM, used by Trading Point of Financial Instruments Pty Ltd, is also used by the other entities.

Trading Point MENA Limited, with registered address at Unit S1302, Level 13, South Tower, Emirates Financial Towers, DIFC, PO Box 507013, Dubai, UAE, is licensed by the Dubai Financial Services Authority (DFSA). XM is registered to arranging deals in investments, dealing in investments as principal and carrying on authorised financial services with or for retail clients.

Trading Point of Financial Instruments UK Limited is a company registered in England and Wales under number 09436004. Principal and registered office at: 1 Ropemaker Street, London EC2Y 9HT, England. Trading Point of Financial Instruments UK Limited is authorised and regulated by the FCA.

Trading Point of Financial Instruments Limited is authorised and regulated by the Cyprus Securities and Exchange Commission and is a member of the Investor Compensation Fund (ICF). Trading Point of Financial Instruments Limited is licenced to provide the investment services of reception and transmission of orders, execution of orders on behalf of clients, of CFDs and other derivatives in Europe, as an intermediary in the financial markets, respecting the MiFID obligations.

Client Money Protection

XM client funds are held in client segregated accounts. The accounts are held with investment grade banks, such as Barclays Bank Plc. XM holds the client’s money separately to company funds and does not use these funds for any operational expenses or purposes.

Deposit Compensation Scheme

Trading Point of Financial Instruments UK Limited is a member of the Financial Services Compensation Scheme (FSCS). The FSCS is an independent compensation fund of last resort for customers of authorised UK financial services firms, set up under the Financial Services and Markets Act 2000. The FSCS’s objective is to pay compensation (up to the value of £85,000) per claim, if a company is unable to pay claims against it in the event the firm has stopped trading or has declared to be in default.

Trading Point of Financial Instruments Limited is a member of the Investor Compensation Fund (ICF). The ICF has been set up according to Article 59(1) and (2) of Law 144(Ι)/2007 as an investor compensation fund for CIF clients and its functions are regulated by the directive DI87-07 of the CySEC. The fund’s objective is to secure the claims of covered clients against the ICF members through the payment of compensation for any claims arising from the failure of a fund's member to meet its obligations. Under the Rules and Regulations of the ICF, the total payable compensation to each covered client may not exceed €20,000 per claim, irrespective of the number of accounts held, currency and place of offering of the investment service (within Europe).

Negative Balance Protection

For accounts opened via XM Global Limited (or any of the other entities) there is a default Negative Balance Protection mechanism in place, for the sake of no negative balance. Should the slippage of a certain currency pair cause a negative balance, it will be reset automatically with the next deposit. With NBP, XM customers are protected from any losses bigger than their original investments, in cases of extreme volatility.

Accounts, Instruments and Platforms

Accounts	Instruments	Platforms	Social trading	Maximum Leverage
XM Global Limited Micro, Standard, XM Ultra Low, Shares XM (EU) Micro, Standard, XM Zero XM (AU) Micro, Standard, XM Ultra Low, XM Zero Swap-free Islamic Accounts	55 currency pairs, 18 indices, 10 futures, 1246 stocks, 15 commodities	Metatrader 4, Metatrader 5	❌	30:1 Europe up to 500:1 Australia up to 888:1 Rest of World

Account Types and Currencies

Xm offers several types of trading accounts, depending on the entity chosen when opening a trading account. If the entity is XM Global Limited (for international customers), then the available accounts are Micro, Standard, XM Ultra Low and Shares. For European traders the contracting entity is Trading Point of Financial Instruments Limited offering 3 types of accounts; Micro, Standard and XM Zero. For Australian traders the contracting entity is Trading Point of Financial Instruments Pty Ltd offering 4 types of trading accounts; Micro, Standard, XM Ultra Low and XM Zero. Swap-free Islamic Accounts are also available with XM. XM does not allow social trading, including copy trading, nor it does offer any PAMM accounts, or any alternative for money managers. Currently, trading accounts can be opened in several currencies; USD, EUR, GBP, JPY, CHF,‎ AUD, HUF, PLN, RUB, SGD and ZAR.

Trading can done only via the Metatrader 4 and Metatrader 5, available as web terminal, desktop terminal (PC and MAC) and mobile trading versions (Android and iOS). The broker offers an excellent selection of assets to trade, including Forex, indices, stocks, futures and commodities.

Financial Instruments

XM gives customers access to the FX market with 55 currency pairs (including Minor and Exotic crosses). Also available for trading, 18 world indices, including UK 100, US 500 and NIKKEI 225. Also within the indices range, 10 futures contracts of the same worldwide indices. If traders are looking for stocks CFDs, XM offers an impressive 1246 shares from worldwide top companies and banks, such as Barclays Plc, EasyJet, Tesla, Bank of America, Deutche Bank and BMW.

Regarding commodities, the broker offers 15 CFDs; 3 metals (Gold, Silver and Copper), 5 energies including UK Oil, US Oil and NAt Gas and 7 soft including Coffee, Cotton and Sugar. If traders are looking for cryptocurrencies trading, XM currently does not offer any crypto crosses for trading.

Pricing

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Pricing/ Account	Micro	Standard	XM Ultra Low	XM Zero	Shares
Spread EUR/USD	from 1.6 pip	from 1.6 pip	from 0.6 pip	from 0.1 pip	N/A
Commissions	❌	❌	❌	7 USD	✔️
Minimum Deposit	from 5 USD	from 5 USD	from 50 USD	from 100 USD	from 10,000 USD

Spreads

Before starting our XM pricing review, we would like to share with you something that is very explicit and available on XM website: “When you trade at our company, Trading Point is your counter-party. Your trades are matched and any next exposure above the predefined thresholds is hedged with our liquidity providers...". This means that XM is a market maker, therefore, traders will be trading in XM's own pool of liquidity.

XM trading spreads are not the most competitive in the market for the entry-level accounts (Micro and Standard). For the most traded pair, the EUR/USD, the spread on both accounts starts at a whoping 1.6 pip! Even being commission free, we consider this cost to be quite high compared with other top brokers. Plus, XM applies a policy that can impact on some trading strategies, for example scalping and thight spreads EAs. There’s a minimum level for placing pending orders (TPs and SLs) after opening a position, in the case of the EUR/USD, is 4.0 pips (other pairs vary, like the GBP/USD & USD/CAD is 5.2 pips, for example).

On the positive side, with a XM Zero account, the EUR/USD minimum spread is 0.1 pip (typically 0.2 pip). To benefit from the ultra-low spreads with the Zero account there’s a cost, of course, meaning commissions. For example, for the EUR/USD, the standard lot commission for 1 lot (100,000 units) with the Zero account is 7 USD (3.5 USD per side). This commission is quite in line with other top brokers.

Rollover Rates

XM swap rates, as of 17-09-2020, for 1 lot EUR/USD (100,000 units) stands at an average rate of -5.58 for holding overnight a long 1 lot contract and at -0.78 for holding overnight a short 1 lot contract. We consider these swap rates to be higher when compared with the rollover rates offered by other top Forex brokers.

Deposits/Withdrawals and Other Fees

Trading accounts can be opened in 11 different currencies and maintained via different funding methods, including cards, bank wires and e-payments such as Neteller or Skrill. Deposited funds are available almost instantly. XM does not charge any fees for deposits.

Same policy applies for withdrawals (processing times vary from instant to 1 working day). XM does not charge any additional fees for withdrawals. XM covers all deposit and withdrawal transfer fees for payments made via Neteller, Moneybookers and all major credit cards (including VISA, VISA Electron, MasterCard, Maestro and China UnionPay). Additionally, all deposits and withdrawals above 200 USD processed by wire transfer are also included in XM's zero fees policy.

The broker reserves the right to charge a dormant account fee to trading accounts deemed dormant. Accounts, during which there was no trading/withdrawal/deposit/internal transfer/additional trading activity on them from the last day of 90 (ninety) calendar days, are dormant. All remaining bonuses, promotional credits and XMPs will be automatically removed from dormant accounts.where there is a lack of trading activity on the account.

XM will charge dormant accounts with a monthly inactivity fee of 5USD, or the full amount of free balance, if the free balance is less than 5USD. No inactivity charge is imposed in the trading account if the free balance is zero.

Popularity

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Forex Education	Funding Methods	Deposit/Withdrawals Fees	Non expiring demo account	Customer Support
Webinars & Seminars, XM TV, Podcasts, Educational Videos, Fundamental & Technical Analysis, Market Insights	Cards, Bank Wire, E-payments	❌	✔️	Multi language, 24/5 Support, Live Chat

With over 3,500,000 accounts opened from customers in 196 countries (according to their corporate website) the XM Group seems to have captured the attention of a lot of traders, also, thanks to the broker's great advertising budget. To note that the range of available trading platforms is not the best. Trading can be done only via MT4 and MT5, altought the broker states 16 trading platforms availble on their website.

Regarding trading accounts our choice is the XM Zero trading account. This account is also a popular choice with traders looking for lower spreads (compared with the other accounts) and a more competitive commission of $7.00 per lot traded. Extra points for XM's policy of no fees on deposits or withdrawals.

XM also gets extra popularity points for their extensive range of Forex education materials, available on the Research & Education center. Traders can enroll on webinars and seminars to enhance their trading skills and overall market knowledge, watch and learn with video tutorials, read and make informed decisions with XM fundamental & technical analysis reports.

Funding Methods	Bank Wire, China Union Pay, Credit Card, Debit Card, Skrill (Moneybookers), Neteller
Support Languages	English, Greek, Simplified Chinese, Traditional Chinese, Bahasa Malay, Bahasa Indonesia, Korean, Russian, French, Spanish, Italian, German, Polish, Hindi, Arabic, Portuguese, Czech, Slovakian, Bulgarian, Romanian, Bengali, Urdu, Thai, Nepali, Tagalog, Vietnamese, Cebuano and Serbian

Opening a trading account with XM is very easy, fast and can be done online, taking around 5 minutes in all. The minimum deposit requirement (for the Micro and Standard accounts) is 5 USD. For the more competitivly priced accounts (XM Ultra Low and XM Zero) the minimum deposit is 50 USD and 100 USD respectively.

XM's multi language customer support service is available 24 hours, 5 days a week, in 25 languages. XM's support is available via phone call, email and live chat directly from the broker's website.

Broker Profile

The XM Group is more than one Forex broker. In reality is a group of regulated online brokers. The first company, Trading Point of Financial Instruments Ltd was established in 2009 and soon after got regulated by the Cyprus Securities and Exchange Commission (CySEC). A few years later, in 2015, Trading Point of Financial Instruments Pty Ltd was established and is currently regulated by the Australian Securities and Investments Commission (ASIC).

In 2017 XM Global Limited was established and is regulated by the International Financial Services Commission (IFSC). XM client’s benefit from access to over 1,000 financial instruments including Forex, and a complete range of CFDs; stocks, precious metals, energies, commodities and indices, with flexible leverage.

XM aims at providing retail client’s with a trading environment that offers all the necessary tools enhancing trading performance, including product innovation, cutting-edge trading platforms and personalized customer service.

Overall, on our XM review, the broker scores an great 4.5 out of 5 as it is a good choice for traders looking for a reputable broker with fund’s safety and strong regulations in place. On the downside a couple of points to improve; the offering of trading platforms and the overall cost of trading, not the cheapest for the Micro and Standard accounts, compared with other top brokers.

Data supplied in partnership with CashBackForex - Forex Rebates places XM on the top 5 brokers for popularity with traders opening an account in 2020.

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