XM was first registered in 2009 and now has presence in 196 countries worldwide. Registered as trading point of financial instruments. The company holds multiple licenses across the world. It is regarded as one of the most well regulated Forex brokerages in the world.
The company has over 1,5 million clients trading using their platform. With over $320 Billion traded monthly using XM. XM is the second largest broker in the world in terms of trade volume.
As noted above, XM Group has a range of brands covered by different regulators. XM Group (XM) is a group of regulated online brokers.
Trading Point of Financial Instruments was first registered in 2009. The company holds regulation in Cyprus by the Cyprus Securities and Exchange Commission. XM hold registration in Cyprus under license number (CySec 120/10).
Trading Point of financial instruments (Pty) Ltd, regulated by the Australian Securities and Investments Commission. The company was established in 2015. XM holds a license number (ASIC 443670).
XM global was founded in 2017. It is regulated by the International Financial Services Commission of Belize. The company holds a registration number (IFSC/60/354/TS/19).
XM is not regulated in South Africa it therefore doesn’t hold any license with FSCA. The company has a pending registration with the FSCA. This means that the company is in line of getting an FSCA license.
Just because XM is not registered with FSCA doesn’t mean it is untrustworthy. The amount of regulation that XM holds means it has a priority to act prudent in its dealings. Since the company is multi regulated you can trust that they are transparent.
As a trader in South Africa you can use XM to trade online. XM is considered a safe broker. It operates according to the Markets in Financial Instruments Directive (MiFID) of the European Union.
MiFID increases the transparency across the European Union’s financial markets and standardizes the regulatory disclosures required for particular markets.
Depending on the type of trader you are you need to pay attention to the lot size, spread, number of positions that can be opened etc. These will help you choose the right account. Also, the amount that you invest in Forex matters and play a crucial role on account selection.
Zero account is offered for free even to those clients with Standard and micro accounts. Broker services fee are as low as zero. You can trade up to 56 currency pairs with this account. To trade on this account you will need to deposit a minimum of $100. Trading on this account include gold, silver, shares and commodities.
Clients are protected by the XM negative balance protection so that loss are not more than the amount deposited. The Zero account is offered on the MetaTrader 4 and MetaTrader 5 platforms. There are no membership bonus on this account.
Standard account allow users to access multiple trading and currency options. Minimum deposit on the standard account is $5. It has a minimum spread size of 1 pip.
Although similar to the micro account, the standard account doesn’t limit your lots in 1000 but to 100000 instead. This increase your trading volume availability.
With the micro account, trading can start at a minimum spread of 1 pip using 11 currency account options. It offers multiple trading options including CFD’s stocks/shares, forex, commodities, equity, gold, silver, energies, and crypto currencies. It allows you to open 200 positions and gives you a trade size restriction on MT5.
XM micro account is entitled to features such as hedging, trading bonuses, negative balance protection. The margin call and stop out levels for clients registered under Trading Point of Financial Instruments Ltd are 100% and 50% respectively. Whereas, for the rest entities of the group are 50% and 20% respectively.
Trading software MT4 and MT5 are also available for automated trading anytime and anywhere.
Account allows you to operate with either micro or standard lots. Can trade with lower spreads starting from 0.6 pips. The minimum deposit for an ultra low account is $50.
The account type also introduces some variability between Micro standard and Micro ultra. This limits the trading volume and contact size according to which one you.
XM provides a demo account for free. This is for those who want to test their trading skills or want to learn how to trade. There are no monetary risks involved. You can trade up to $100,000.00 on a demo account.
The demo account is just an account that shows how much you could have lost or made on a real account. It is wise to use dollar amounts that you will trade on a real account. This will help you tremendously as you will know exactly the volumes that you will need to placea trade. Your trading volume will not be obscure in any away.
XM allow for various ways to deposit money into trading accounts. Traders have multiple options to choose from that are available in every country that XM is functional. Here are ways to deposit money into your trading account :
Withdrawals can only be made to the same account that the deposit amount came from. If a credit card was used, then the withdrawal can only be done to the same credit card used to make a deposit. XM charges zero fee on deposits and withdrawals.
With over 10 years in existence, XM is a reliable broker that is well regulated. Although not regulated in South Africa it is still one of the best brokers in the country.
The broker offers easy ways to deposit and withdraw money to South Africans. Having more than 1,5million traders XM surely has quality service and systems in place to sustain such number of clients. It is ranked on the Rateweb’s 10 best forex brokers in South Africa
You get more than what you pay for with XM. There are free educational tools that can be used to better your trading. Also, you receive free daily self help news and data that help you trade better.