Home Forex Brokers XM Review: Great for No Deposit Bonus Offer

XM Review: Great for No Deposit Bonus Offer

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XM

Should you trade with XM? Overall, XM is a very suitable broker for all traders offering numerous perks with few drawbacks.

XM presentation

You may have heard of XM and wondered whether they are an excellent broker or not.

XM is a subsidiary of Trading Point Holding, which initially began operations in 2009. The broker is now globally renowned, extending its services to almost all parts of the globe with multiple financial instruments traded by over 3.5 million clients. 

In this review, we will look at the XM broker and see what they have to offer.

Fees

XM Fees

XM’s main constant fee is their variable spreads (with no commissions) across all currency pairs. XM’s average spread on EUR/USD is 1.7 pips on their Standard Account and 0.8 pips on their XM Ultra Low Micro Account.  

Swaps

There are also overnight swap rates based on the applicable rates for each trading day. Muslim customers can obtain an Islamic or swap-free account. The decision to offer this account to non-Muslim clients lies solely at the broker’s discretion. 

Deposit and withdrawal fees

Fortunately, there are no deposit or withdrawal fees for any of the methods as XM claims to cover these except with bank wire deposits and withdrawals less than $200.

Inactivity fees

The other fee that traders should be aware of is the inactivity or dormant fee, although it’s minor. XM deems an account inactive after 90 calendar days where there was no trading, withdrawal, depositing, transfer, or registration activity. 

They charge a monthly fee of $5 or the full amount of the remaining balance if less than $5. Clients should note the inactivity fee doesn’t apply if there are no trading funds.

Accounts

Let us now dive into the procedure of opening an account with XM and the account types they offer.

Requirements for opening an account

Traders can open a demo account after a quick website registration. For live accounts, XM adheres to simple KYC (Know Your Customer) standards. They require clients to submit a copy of their original ID (driver’s license, national ID book, or passport) and proof of address (utility bill or bank statement) in their name not older than six months.

Furthermore, their online system asks questions for suitability or compliance purposes. Passing this verification stage allows clients access to all their services, including the main live trading accounts for forex: Micro, Standard, and XM Ultra Low accounts.

XM trading account types

Main accounts

These accounts come with a maximum leverage of 1:888, one of the highest compared to its competitors. XM’s minimum deposit required is a measly $5 for their Micro, Standard, and $50 for the XM Ultra Low.

One of the broker’s unique selling points is the ‘$30 Welcome Bonus’ offering new clients a $30-funded live account. There aren’t many complicated terms and conditions on this offer other than at least five round-turn trades in 30 calendar days and a minimum of 0.1 lots for total trade volume.

Deposit and withdrawals

Though this will vary depending on the region a client resides in and/or the amount funded, XM allows clients a wide array of world-recognized and accessible payment options for account funding and withdrawals. 

These methods are namely all Visa, MasterCard, Maestro and China UnionPay credit/debit cards, Skrill and Neteller, which are all fee-free for both deposits and withdrawals (except for bank wire deposits and withdrawals under $200).

Withdrawal times

All withdrawals requested are verified within 24 hours. The funds would reflect within a day for e-wallets and two to five working days for cards and bank wire.

Withdrawal policy

As standard with most brokers, they don’t allow any third-party deposits or withdrawals due to anti-money laundering policies. Another criterion that a vast majority of brokers adhere to regarding withdrawals is a ‘return to source’ policy. 

The last funding method used is given priority for withdrawals up to the sum of the original deposits. Once all withdrawals have reached the sum of the deposits made by the method/s, any subsequent withdrawal would come through via bank wire. 

For example, if a client initially funded $50 via Neteller, another $50 via Skrill, and made $320 profit, $50 would go back to Skrill, $50 back to Neteller, and any portion of the profit via bank wire.

Platform and analytical research tools

XM Platform and analytical research tools

The two primary trading platforms that XM offers are MT4 and MT5, both available in tablet, mobile, desktop (Windows and Mac), and web forms.

The broker has a broad range of research, educational, and technical tools to help their clientele.

Research tools

For research, newly-added features include a podcast, technical summaries, trade ideas, and their in-house markets overview and technical analysis research. All these features are in addition to their economic calendar, news, and YouTube channel providing weekly analysis.

Educational tools

Educationally, clients can expect forex seminars at various parts globally, webinars, platform tutorials, as well as recently-included live and pre-recorded educational videos.

Technical tools

For their technical tools, these include the profit and loss calculator, swaps calculator, margin calculator, pip value calculator, and currency converter. Such tools are beneficial because they allow clients to calculate the necessary metrics using XM’s actual data rather than externally. 

For example, not all brokers offer a dedicated swap calculator, meaning clients need to manually calculate the swap fee. This effort requires ensuring they are using the updated swap rates and understand the calculation their broker uses. 

Using their internal swap calculator, you access an accurate reflection of their rates in a live setting and do not need manual calculations.

Pros and cons of XM

PROSCONS
– Regulated by CySec, IFSC, FCA, ASIC, DFSA
– Offers near zero spread account- 11 years experience
– ECN/STP- Competitive spreads- Leverage up to 1:888
– Minimum deposit of $5
– Negative balance protection
– Offers nano lots on XM Ultra Low
– No fees on deposits and withdrawals (except for bank wire deposits under $200)
– No commissions
– Wide range of accounts
– Wide range of currency pairs
– Wide range of payment options
– Wide range of base account denominations (USD, EUR, GBP, ZAR, CHF, -JPY, AUD, RUB, PLN, HUF, SGD – depending on region and account chosen)
– Wide range of website languages
– Offers both MT4 and MT5
– Offers mobile app
– Offers $30 no deposit offer for new clients
– Offers cash rebates
– Offers 24/5 live chat, phone, and email support
– Inactivity fee
– Doesn’t offer services to residents in the USA, Canada, Israel, and Iran
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