Forex Capital Markets (FXCM) was established back in 1999 by a company called Jefferies Financial Group. Just like other trading platforms, it aims to provide the most favorable trading solutions for foreign exchange traders. With its optimum system that allows prime trading experience, the company was later then listed on the New York Stock Exchange. It also filed its brand under the S&P 500 index and a Fortune 500 company.
Years of service have passed and it came to be one of the world’s leading forex brokerage companies. FXCM has developed a sense of brand specific only to its trading tools and instruments. As its features became the flagship, it gained an audience so large that it is known to process billions worth of trades every month. Moreover, its services are made available in numerous countries which explains why it holds a large amount of market shares.
There are three account types that traders may choose from according to their preferred conditions. These are the Mini, Standard, and VIP accounts.
- Mini Account– This type of account offers 1.5 pips and a conditional leverage that may surge up to 1:200 once the account hits £300 equity. This is also known as a market maker account mainly from favorable conditions and services it provides.
- Standard Account– This type of account is connected to an electronic communication network that reduces spreads to 0 pips according to transactions and requires a 0.05 commission for every position. For an FXCM minimum deposit of £5,000, clients will be granted advantageous trading tools and conditions capable of increasing the margin of profitability.
- VIP Account- A minimum deposit of 25,000 is required before traders avail premium services that VIP offers. With this type of account, traders are entitled to a wide array of trading tools and instruments while enjoying exclusive features such as bonuses, an account manager, and a trader-friendly spreads and charges.
FXCM has a long history of anomalies and fraudulent services. It may be considered as one of the best out there but its name is still tainted with negative FXCM reviews. One click on the internet and online results will bear tags including FXCM scam. The company faced legal charges in the past due to financial discrepancies that it committed towards its clients. Series of lawsuits were pressed against the company by authorities of the United States and United Kingdom. This has led to a questionable integrity as clients slowly become doubtful of its services.
Licenses and Permit
FXCM still exercises legality with various licenses and accreditations it has filed its name under. In order for the company to operate in the United States, Europe, Africa, and Asia-Pacific, they must first acquire licenses from regulators. Thus, It underwent intensive inspections conducted by authorities including CFTS & the NFA (US), the FCA (UK), the IIROC (Canada), the BaFin (German), the ACP (France), the CONSOB (Italy), the FSB (South Africa, the SFC (Hong Kong), and the ASIC (Australia).
By acquiring a permit, the regulation must now submit under the policy of a specific area. Its company located in the United States must abide by the policies imposed by the Commodity Futures Trading Commission (CTFC) and National Futures Association (NFA). The rules demand that all brokerage companies must only provide a maximum of 1:50 leverage. Hedging setup is not allowed and the First In, First Out policy is heavily observed. The FXCM is expected to follow these conditions in compliance to the mandate developed by the CTFC.
Forex Capital Markets has a considerable settlement of assets and commodities that traders can select from. Thirty-nine currency pairs and an option to trade using contracts for difference (nine of which are commodity CFDs and one bond CFD) make the company one of the most ideal firms for those traders wanting to expand their trading portfolios. The asset may be relatively few but it is enough to cater sufficient trading options.
An optimum trading experience is ensured since FXCM offers MetaTrader4 as its platform. It also offers NinjaTrader and a TradingStation developed by the company itself. One does not need to worry about issues of compatibility since these platforms are greatly supported by iOs and android. This allows traders to download the mobile versions of the platform on their smartphones. More so, a cloud platform is available for those clients who opt out from using a device.
This review may or may not come in congruent with other evaluations. As this is the case, one is encouraged to assess the platform themselves in order to see whether or not FXCM deserves its popularity. Moreover, it is only through personal assessment and intensive review that one can fully evaluate whether or not FXCM is worthy of one’s investment.