FXCM Review 2019

FXCM is a South African regulated forex broker. They are regulated with top-tier regulators i.e. FSCA & FCA in UK & ASIC. They offer competitive spread, zero deposit charges & 20% Bonus. Read our FXCM Review to decide if you should choose them or not!

Max. Leverage
1:400
per trade
Minimum Deposit
$50
Rank
#6
out of 14 Forex Brokers

FXCM is one of the oldest global forex broker with office in Johannesburg, South Africa. They were established in 1999, and are regulated with various regulatory authorities including with the FSCA in South Africa.

They are popular for their reliable and user friendly trading platform which does not hang while opening or closing the trade.

Their spread is not the lowest, but it is still very competitive as compared with other brokers.

For this review, we setup a trading account with FXCM, and have closely tracked their Mt4 platform, trading environment, fees, customer support & more.

Overall, we find them to be a genuine and reliable broker for South African traders, based on our check on multiple factors like trading fees, support and account types.

Below is our full review on FXCM’s “good & bad side”.

FXCM Pros

  • FXCM is regulated a FSCA regulated broker. They are also regulated with FCA & ASIC, so it is safe to trade with them.
  • Their spread is competitive for majors. They have on average 1.3 pips spread for EUR/USD, and 1.4 pips for USD/JPY.
  • South African traders can get $20 welcome bonus.
  • They have a local phone number for support in South Africa. They also have an office in Johannesburg.

FXCM Cons

  • FXCM does not offer the latest Metatrader5 platform. They instead offer MT4, Zulutrader & Ninjatrade platforms.
  • FXCM does not have a wide range of trading instruments on offer.
  • They charge high $50 inactivity fees on dormant accounts. So if you don’t trade in your account for 1 year, you will be charged this fees.
  • Their Live Chat support is not that fast or responsive.

FXCM- a quick look

Broker Name FXCM South Africa
Year Founded 1999
Website www.fxcm.com
Registered Address 114 West Street, 6th Floor, Katherine & West Building Sandton, 2196, Johannesburg, South Africa
FXCM Minimum Deposit $50
Maximum Leverage 1:400
Major Regulations Financial Sector Conduct Authority (FSCA), Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC)
Trading Instruments Forex Trading, Metals, Cryptocurrencies
Trading Platforms MT4 for PC & Mobile, Zulutrader and Ninjatrader


Regulation & Safety of Funds

FXCM is a regulated broker & they are also regulated with the South African regulator FSCA. We found them to be very trusted in terms of the regulations.

FXCM is regulated with the top regulatory authorities as described under:

  1. Financial Sector Conduct Authority (FSCA): FXCM South Africa (PTY) LTD with address 114 West Street, 6th Floor, Katherine & West Building, Sandton, 2196, Johannesburg, South Africa is registered with license number FSP No. 46534.
  2. FXCM regulated with FSCA

  3. Financial Conduct Authority (FCA): It is registered with the name Forex Capital Markets Limited and as a UK investment firm under registration number 217689.
  4. FXCM regulated with FCA

  5. Australian Securities and Investments Commission (ASIC): FXCM Australia Pty. Limited is regulated by the Australian Securities and Investments Commission with License Number: 309763.
  6. FXCM regulation with ASIC

Is trading with FXCM safe?

FXCM is a reputed forex broker that has been around for quite long time. It is also regulated by the major regulators like FSCA & FCA. So your funds with them are safe.

FXCM Fees

FXCM offers really competitive fees with low spread on most pairs. Below is the full breakdown of all the fees charged by FXCM:

  1. Competitive Spread: FXCM does not offer fixed spread. Their spread is variable, so it fluctuates everytime as per the real market conditions. But for now they are offering very tight spread of 1.3 on EUR/USD currency pair. Their spread is very low for most major currency pairs.
  2. FXCM Spread

  3. Commissions/other charges: FXCM does not charge any commission on opening and closing the trading position like other brokers. But in case of withdrawal using wire transfer, you will be charged $40. Moreover there are no charges on deposit using wire transfer.
  4. Inactivity fees: There are maintenance charges for dormant account at FXCM. They charges 50 units of currency (depending on your base currency) in which your account is created, after a period of 1 year. So if USD is your base currency, then you will be charged $50 for non-activity.

    FXCM Inactivity Fee

    Moreover, your account will be marked as close if the amount after the deduction of inactivity charges is zero.

  5. Rollover charges: Like every other forex broker, FXCM charge a rollover fees for the trade which is left open overnight. It will depend upon the currency pair, your account type, trading activity in the past and also on some other variables.
  6. FXCM Rollover Charges

Overall, we have found FXCM’s trading fees to be nominal expect for their inactivity charges. But most brokers charge fees for dormant accounts, so we can say that FXCM’s fees is just as low as some other top brokers!

FXCM Account Types

FXCM offers Live accounts as well as demo accounts for South African traders. Reviewed below are the account types at FXCM & their features.

FXCM Demo Account

FXCM offer new traders the option to start trading on their demo account. So you can practice yourself and start actual live trading after you familiarize yourself with the forex market.

Moreover they offer 5000 USD in their demo account as virtual money to start trading for learning. You can use their demo account to test your strategies. But their virtual money & demo account will be expire after 30 days of inactivity.

Moreover, you must note that demo accounts are different from Live accounts. So the trading environment on both are likely to vary. It is advised that after practicing on demo, you should create a live account with low deposit, and then test their actual trading environment.

FXCM Live Account

FXCM offers only one Live account, and it comes with all their features.

The minimum deposit to start with the standard live account is 50 USD with leverage of 400:1.

Below are the features available with the Live Accounts at FXCM:

  1. 50$ Minimum Deposit: FXCM minimum deposit for a live trading account is 50$. This is very low as compared with other South African brokers.
  2. Enhanced Order Execution: FXCM claim to provide enhanced order execution to make it quick. In forex market the prices are updated around 200 times in a second, and even more in some cases. And sometimes your trade execution can be as fast as 0.019 milliseconds. FXCM claim that they execute your order both internally and externally so there will not be any re-quotes.
  3. Negative Balance Protection: They also offer negative balance protection which prevents your balance to go in negative. Even if your losses are as high as 50,000$, they will cover it for you. If your negative losses are higher than this amount, the rest has to be covered by you.

Moreover, FXCM has another account for big traders. With their standard live account a FXCM client can get active trader status by maintain a balance of 25000 USD. For active traders there is even tighter spread and dedicated support and also there is a less commission on the traded volume.

How to open an account with FXCM

Opening account with FXCM is very simple. You just need to follow the below steps to create an account with them.
Here are the detailed steps that you can follow while opening an account with FXCM:

Step 1) Visit Open Account Page: First of all you need to visit the open account page of FXCM. There you will see the form that you need to fill.

Step 2) Select Country & Platform: Now you need to select your county and the trading platform which you want to use.

Note: We recommend you to choose MetaTrader 4 as your trading platform from drop down menu.

FXCM select county

Step 3) Complete the online application: In this next screen, you need to fill your details to complete the registration and you also need to select Base currency and Leverage in this same section.

FXCM Online Application

Step 4) Deposit Funds: On the completion of the application, you will get username and password. Now you need to login to your account and make a deposit to start trading with them.

Congratulations! Your account has been set up now. You can also verify your created account by uploading the required documents which should be any ID proof like passport, driving license, etc. and one address proof like electricity or water bill.

Note: It can take up to 24 hours to verify your uploaded documents. Once documents are verified, your account is marked as verified and you will get confirmation mail regarding this.

FXCM Trading Platforms

FXCM have a wide range of trading platforms which include the following:

1) FXCM Meta Trader: FXCM offers MT4 platform, but they don’t have MT5 version. MetaTrader 4 is still a popular trading platform in the forex industry even after the MetaTrader 5 version, and there are some upsides of using MetaTrader 4, as it is tried & tested.

Their MT4 is fast & we did not notice any freezing or issues like downtime during any order. Plus, they also have EAs & news feed available in their platforms. Their MT4 is available for both mobile & desktop.

FXCM Trading Platforms

On the downside, they don’t have the latest Metatrade 5 version available. If you are looking for a MT5 broker then you should look elsewhere.

Other than Metatrader, FXCM also offers Zulutrader, Ninjatrader & their own mobile trading app.

FXCM Deposit & Withdrawal Methods

FXCM supports various payment methods to allow their South African clients to make a deposit with them and withdraw the funds from their account.

Below are the detailed methods using which you are deposit and withdraw funds with them:

Deposit Methods

Below are the funding option that FXCM offers:
1) Credit/Debit Cards: This is a fastest way to deposit the funds in your FXCM account. You can use the debit or credit card like VISA, Master Card, etc. to make a deposit. And this method does not include any charges on transaction, so you will get 100% of your deposited amount.

FXCM Deposit Methods

2) Bank Wire Transfer: You can also transfer from your bank account to their bank account. For this method, you will get the details in the client panel after login to your account with FXCM. There are no charges and it is free from their end but your bank will most likely charge you for the wire.

Withdrawal Methods

The following are the withdrawal options available at FXCM:
1) Credit/Debit Cards: This option is only available for you if you used your card for funding. Withdrawal can be received in the card which you have used on their website to add funds in your account. You can send your debit or credit card details to support team to process the withdrawal.

2) Bank Wire Transfer: FXCM also offers withdrawals via bank wire. You can send your bank account details to them for this method. But they will charge fees for this method, as normal wire transfer charges will be deducted by them depending on your bank.

FXCM Bonus

FXCM have very limited bonus offers for South Africans. They only have one ongoing welcome bonus program for new traders.

Below are the bonus offers available at FXCM currently.

  1. $20 Welcome Bonus: We have checked that currently there is no ongoing promo or bonus except $20 welcome bonus till 30th June, 2019.

    It is for new clients or traders which will be received after creating and verifying account with them.

FXCM Bonus

FXCM could do better with their bonus offers & loyalty program for South African traders.

FXCM Customer Support

The good thing about FXCM is that they are providing customer support for 24 hours during 5 days in a week via:

Chat Support: Chat Representatives are always available 24 hours for resolving or helping clients with their queries. We have noticed that there is low hold time on chat but their chat becomes very unresponsive for some queries. We think they could be more knowledgeable.

FXCM Contact Information

Email Support: Visitors can also contact them by sending a mail to their email [email protected] from their email. They normally take upto 24 hours for replying back to clients which is not better as compared to another brokers.

Phone Support: The most important and good thing is that FXCM have local phone number to provide support to their client. You can contact them by dialing their number +27 10 590 6301 for any kind of query.

South African Office: FXCM has local registered office in South Africa, which we consider to be a pro. You can visit their office at 114 West Street, 6th Floor, Katherine & West Building Sandton, 2196, Johannesburg, South Africa.

Do we recommend FXCM?

Yes, we do. But there are some better forex brokers out there if you have to choose only one.

FXCM has been around for years now, and they are also highly regulated with FSCA FCA in UK, so we can say that they are very safe.

Their minimum deposit of $50 to start trading is also very low as compared to others brokers in South Africa. They don’t have multiple accounts, so the fees structure & platforms are very clear.

We found them to be very competitive with their spread. Their support is also good enough.

But they don’t have the latest MT5 platform. They also lack in their bonus offers, and some of the withdrawal methods come with high fees.

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FXCM South Africa
Rating8/10
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