FXTM (Forex Time)

Founded in 2011, FXTM (ForexTime) has quickly risen to prominence in the forex trading world, known for its focus on education, robust trading platforms, and customer-centric services. Serving traders from over 180 countries, FXTM offers a diverse range of trading instruments, competitive spreads, and a variety of account types, making it a versatile choice for both novice and experienced traders.

Regulation and Security

FXTM is well-regulated, ensuring a secure trading environment for its clients. The brokerage operates under multiple regulatory bodies:

• CySEC (Cyprus Securities and Exchange Commission)
• FSCA (Financial Sector Conduct Authority) in South Africa
• FCA (Financial Conduct Authority) in the UK

These regulations ensure that FXTM adheres to strict standards of transparency, security, and client fund protection. Clients’ funds are kept in segregated accounts, and they are protected by investor compensation schemes where applicable.

Is FXTM Safe?

Yes, FXTM is a legitimate, safe, and secure broker. It is highly regulated and holds licenses in several reputable jurisdictions, including the tier 1 financial center of London. Specifically, FXTM is regulated by:

Financial Conduct Authority (FCA) in the UK: This regulation ensures a high level of security and transparency. UK account holders may be entitled to compensation of up to £85,000 through the Financial Services Compensation Scheme (FSCS) in the event of broker insolvency.

Additionally, FXTM is expanding its regulatory footprint. The broker is in the process of acquiring a license in Kenya, reflecting its growth across the African continent. However, as of February 26th, 2021, FXTM ceased its retail operations under its CySEC-regulated entity, due to the European Securities and Markets Authority (ESMA) regulations, which it deemed uncompetitive. European Economic Area (EEA) clients can still trade through other FXTM subsidiaries.

The robust regulatory framework at FXTM ensures traders have access to competitive trading conditions and high levels of protection. FXTM is also a member of the Hong Kong-based Financial Commission, providing an additional layer of security. The Compensation Fund of the Financial Commission protects traders up to €20,000 per claim, offering similar protection to that provided by CySEC but without the regulatory restrictions.

In terms of transparency, FXTM has performance statistics audited by PricewaterhouseCoopers Limited (PwC), underscoring the broker’s commitment to transparency. This focus on creating a secure and safe trading environment essentially gives traders a unique edge.

Trading Platforms

FXTM offers a range of trading platforms to cater to different trading styles and preferences:

MetaTrader 4 (MT4): The classic platform known for its user-friendly interface, advanced charting tools, and automated trading capabilities through Expert Advisors (EAs).
MetaTrader 5 (MT5): An enhanced version of MT4, MT5 offers more timeframes, advanced pending orders, and improved charting tools.
FXTM Trader App: Available on both iOS and Android, this mobile app allows traders to manage their accounts, trade on the go, and access real-time market updates.

FXTM Account Types

FXTM offers three main types of trading accounts: the Micro Account, the Advantage Account, and the Advantage Plus Account. An Islamic Account option is also available across all account types, and demo modes are offered for each, allowing traders to practice without financial risk.

Different FXTM account types dictate the range of instruments you can trade, associated fees, transaction sizes, deposit and withdrawal methods, and leverage options. To help you choose the right account type, here’s an overview of the three accounts offered by FXTM:

Micro Account

The FXTM Micro Account is tailored for new traders venturing into the Forex market. Trades are executed exclusively through the MT4 trading platform.

Tradable Instruments: Forex and CFDs on commodities, stock baskets, FX indices, and metals.
Fees: No commission fees, spreads starting from 1.5 pips, and swap fees for overnight positions.
Trade Size: Minimum lot size of 0.01.
Leverage: Fixed, with a maximum of 1:400.
Execution: Instant execution of trades.
Minimum Deposit: $10.
Protection: Negative balance protection ensures traders do not lose more than their deposited amount.

Note: FXTM no longer offers the Micro Account.

Advantage Account

The FXTM Advantage Account caters to more experienced traders, supporting both the MT4 and the advanced MT5 trading platforms.

Tradable Instruments: Forex, metals, indices, stock CFDs, stock baskets, stocks, and FX indices.
Fees: Spreads start from 0.0 pips. Commissions range from $0.40 to $2 per side, based on trade volume. Swap fees apply for overnight positions.
Trade Size: Minimum lot size of 0.01.
Leverage: Floating, with a maximum of 1:400.
Execution: Market execution of trades.
Minimum Deposit: $200.
Protection: Negative balance protection is provided.

Advantage Plus Account

The FXTM Advantage Plus Account is similar to the Advantage Account but is commission-free. Trades can be executed on both the MT4 and MT5 platforms.

Tradable Instruments: Forex, metals, indices, stock CFDs, stock baskets, stocks, and FX indices.
Fees: Spreads start from 1.5 pips. There are no commission charges, but swap fees apply for overnight positions.
Trade Size: Minimum lot size of 0.01.
Leverage: Floating, with a maximum of 1:400.
Execution: Market execution of trades.
Minimum Deposit: $200.
Protection: Negative balance protection is included.

Islamic Account

The FXTM Islamic Account offers swap-free trading in accordance with Sharia law, ensuring no interest fees for holding positions overnight. This account is designed specifically for Muslim traders.

Tradable Instruments: All standard instruments except for exotic FX pairs.
Fees: No swap or rollover interest fees.
Eligibility: After registration, traders must contact the support team to enable the Islamic Account. Documentation proving the trader’s Muslim faith, such as a birth certificate or similar, is required.

Choosing the right account type at FXTM depends on your trading experience, the instruments you wish to trade, and your personal or religious preferences. Each account type offers unique benefits tailored to different levels of traders, from beginners to more experienced individuals.

FXTM Overall Fees

FXTM charges various fees depending on the type of account you hold. Here’s a breakdown of the trading and non-trading fees you can expect.

Spreads

When trading on the FXTM platform, the broker adds a markup to the ask price of the instrument, known as the spread. This difference between the ask and bid price is measured in pips. FXTM employs a floating spread system:

Micro Account and Advantage Plus Account: Spreads start from 1.5 pips.
Advantage Account: Spreads start from 0.0 pips.

Commission Fees

Micro and Advantage Plus Accounts: These accounts offer commission-free trading.
Advantage Account: Commissions range from $0.40 to $2 per lot side opened. This charge is based on a floating structure and decreases as your trade size increases.

Swap Fees

If you hold a trade position open past the market’s closing time, it rolls over to the next trading day, incurring overnight funding costs or swap fees.

FXTM charges swap fees on all account types for holding a trade position overnight, applicable to both long (buy) and short (sell) options.

Islamic Account

Swap-free trading is available for the first 7 days. After that, daily fees apply. For instance, enabling the swap-free option and opening a EUR/USD trade incurs no swap fees for the first 7 days. After 7 days, a swap-free daily fee of approximately -$10.63 per lot applies. Closing and reopening a trade resets the 7-day count to zero swap fees.

Deposit and Withdrawal Fees

Deposit Fees: FXTM does not charge fees for funding your account.
Withdrawal Fees: Mobile Money withdrawals: $1 per transaction.
Card withdrawals: $3 per transaction.
Bitcoin withdrawals: 1% withdrawal fee. Skrill can be used to withdraw bitcoin from FXTM.

Account Inactivity Charges

After six months of no trading activity, a $5 monthly fee is charged on any balance in your account.
If you have multiple accounts and at least one is active, no inactivity fees will be charged. If your account balance is zero, no negative balance will accrue.

FXTM Invest (Copy Trading)

FXTM Invest is an innovative copy trading program offered by ForexTime, allowing clients to become FXTM Invest Strategy Managers. This program leverages advanced technology to enable skilled traders to earn additional income by allowing others to copy their trades. As a Strategy Manager, you can earn up to 50% of the profits generated by those who follow your trading strategies.

Becoming a Strategy Manager
To become a Strategy Manager, you need to:

• Register for an ECN Zero Account.
• Verify your profile.
• Once registered, you will receive your own Manager page where you can display your trading statistics and share your results via social media. This page helps attract investors who wish to copy your trades.

Benefits for Traders and Investors

For New Traders and Time-Pressed Investors: FXTM Invest is ideal for those new to trading or those who lack the time to develop complex trading strategies. By copying the trades of successful Strategy Managers, these investors can potentially earn profits while learning from experienced traders.

For Experienced Traders: Successful traders can monetize their trading skills by becoming Strategy Managers. They earn a share of the profits made by their followers, providing an additional revenue stream.

Top-Ranking Strategy Managers

The FXTM Invest platform includes a list of top-ranking Strategy Managers, with information verified by an audit. For each Strategy Manager, detailed information is provided to help investors make informed decisions. This includes:

• Profitability chart
• Strategy Manager’s details
• Return percentage
• Week’s return
• Maximum drawdown
• Risk level
• Days open
• Profit share percentage

Each Strategy Manager is rated out of five stars, helping investors easily identify top performers. Investors can choose to view only top-ranked strategies or browse through all available options.

Detailed Strategy Information

Clicking on any Strategy Account provides comprehensive details such as:

• Rank
• Number of investors
• Days open
• Risk level
• Return percentages (daily and monthly)
• Strategy Manager’s description

Charts and graphs display returns and monthly statistics by trades, while general statistics include:

• Total trades
• Percentage of profitable and unprofitable trades
• Average trade length
• Consecutive wins and losses
• Greatest win (in pips)
• Average daily trades
• Deals with stop loss and take profits
• Maximum simultaneous orders

Additional data on specific instruments includes:

• Profitability
• Pips
• Average pips
• SL/TP (Stop Loss/Take Profit)
• Average SL/TP
• Duration
• Type of trade

Statistics are also available for trades by hour and specific days of the week, detailing both profitable and unprofitable trades separately.

Trading Instruments at FXTM

FXTM offers a diverse range of trading instruments to cater to various trading preferences:

• Currency Pairs: 60 pairs available
• Commodities: 8 options
• Index CFDs: 21 choices
• Equity CFDs: 802 options
• US-listed Stocks: 639 available for direct investment

While the selection of commodities and index CFDs is somewhat limited, the overall range of tradable instruments is competitive. Notably, the availability of 639 US-listed stocks for direct investment is a significant advantage, particularly for those focused on the US market. Overall, FXTM’s selection of assets is best suited for Forex and US equity traders.

FXTM offers maximum leverage of up to 1:2000, utilizing a six-tier system that intelligently adjusts leverage based on trading volume. This means that:

• Most retail traders will benefit from leverage between 1:500 and 1:1000.
• As trading volumes exceed 60.0 lots, leverage is reduced progressively to 1:200, 1:100, and ultimately 1:25.

This tiered approach ensures that higher-volume traders manage their risks more effectively, showcasing another industry-leading feature available at FXTM.

Fees and Commissions

FXTM offers competitive spreads and transparent fee structures.

• Standard Accounts: Spreads start from 1.3 pips with no commissions.
• ECN Accounts: Spreads start from 0.1 pips with a commission of $4 per lot.
• FXTM Pro Accounts: Zero spreads on major pairs with no commissions.

There are also no fees for deposits, and withdrawals are processed promptly, though third-party charges may apply.

Education and Research

FXTM stands out for its commitment to trader education. The brokerage provides a wealth of educational resources, including:

• Webinars and Seminars: Regularly scheduled to cover various trading topics and market analyses.
• Trading Guides and Ebooks: Comprehensive materials that cover everything from basic concepts to advanced strategies.
• Market Analysis: Daily market updates, technical analysis, and insights from FXTM’s team of experts.
• Demo Accounts: Allow traders to practice without risking real money.

Customer Support

FXTM offers excellent customer support, available 24/5 via multiple channels:

• Live Chat: Accessible through their website for immediate assistance.
• Email: Prompt responses to inquiries.
• Phone Support: Dedicated lines for different regions to provide localized support.
• Social Media: Active presence on platforms like Facebook, Twitter, and Instagram.

Our Verdict: FXTM Verdict

FXTM (ForexTime) is a highly reputable and versatile brokerage that caters to traders of all experience levels. With its strong regulatory framework, diverse account types, competitive spreads, and a robust educational offering, FXTM provides a comprehensive trading experience. Whether you’re a beginner looking to learn the ropes or a seasoned trader seeking advanced tools and low trading costs, FXTM is a brokerage worth considering.

FAQs About FXTM

Q: What types of accounts does FXTM offer?
A: FXTM offers several account types, including Standard, Cent, ECN, Shares, and FXTM Pro accounts, catering to different trading needs and experience levels.

Q: Is FXTM regulated?
A: Yes, FXTM is regulated by multiple authorities including CySEC, FSCA, and FCA, ensuring a secure trading environment.

Q: What trading platforms are available at FXTM?
A: FXTM provides MetaTrader 4 (MT4), MetaTrader 5 (MT5), and the FXTM Trader App for mobile trading.

Q: What educational resources does FXTM offer?
A: FXTM offers a variety of educational materials including webinars, seminars, trading guides, ebooks, market analysis, and demo accounts.

Q: Are there fees for deposits and withdrawals?
A: FXTM does not charge fees for deposits. Withdrawals are processed promptly, but third-party charges may apply.

Q: What instruments can I trade with FXTM?
A: FXTM offers trading in forex, commodities, indices, shares, and cryptocurrencies.