FXCM – A Quick Review

This is one of the biggest and strongest brokers currently on the market. The broker claims that he does not use “Dealing Desk” which makes it so that there are no conflicts of interests involved when doing business with him. When working with this broker you get a true scenario since the broker is not inclined to play with your money when you’re opening positions.

When working with this broker, you will be given a number of options to choose from to help you manage your trading account. You will not be limited to having a dollar based account only. You will be able to choose from a number of different currency options when managing your account. You will also be able to choose between a number of different trading platforms. This will allow you to find the particular platform that suits your needs best.

Some of the platforms will require you to download and install them onto your computer while others can be access and used over the internet without download or installation. Almost all of the platforms available are easy and simple to use and they are sufficient for all traders. Some of the platforms offer more features than the others but regardless you have to option to choose between the different platforms. You can also work with the MetaTrader4 program which is a highly professional trading program.

Since the broker had a strong financial strength and works with a high volume of trading, he has a good close relationship with four large banks to provide you with better trading conditions. The broker still must follow the normal laws and regulations that govern trading.

Demo Trading

The broker offers their clients the possibility of learning how to trade by using a Demo account for an unlimited period of time. This will allow you to experiment and develop your trading skills with no financial risk and no profit. The broker offers several different account types along with the DEMO account. The broker offers traders with a mini account which requires a small initial investment of twenty five dollars. For two thousand dollars you can start a regular account. You can also open an active account by starting with twenty five thousand dollars. Keep in mind that each of the account types have a different possibility for leverage and profits. You will be given access to number of different trading tools depending on which kind of account you go with. Investing a higher amount entitles you to receive better conditions. Score: 9.8

Initial Investment

You can start trading for a little as twenty five dollars which will open you a mini account. The other account types will require you to make a minimum investment of two thousand dollars. Score: 9

Withdrawals and deposits from your account

In order to open an online account you will have to fill out forms. The amount of forms you have to fill out is reasonable. Although the process isn’t the fastest, it won’t cost you too much of your time. You can transfer funds into your account using a bank transfer or credit card. You can withdraw money directly to your bank account. Score: 8

Spread

The amount that is invested into your trading accounts will determine your spread. The more you invest the better your spread will be. The PIPs can range from two to five for major pairs of foreign currency in a small account. A much larger account will receive better conditions. It is possible for a large account to receive .1 PIPs to 1.9 PIPs for main foreign pairs. It should be noted that the spread is not a fixed amount. Score: 9.7

Stop at Point

Although the broker does guarantee a stop at point, it does not cover every market condition.

Leverage

Depending upon the type of account it is between 1:200 to 1:400 Score: 8

Interest

You interest will be determine by your open transactions. The broker will receive better interest rates because of the scope of his transactions as well as his capital base. This will be passed onto you.

Financial Agreements

The broker claims that he has agreements with four major banks in Hong Kong, the United States, the United Kingdom and Canada under the regulation and supervision of the CFTC and NFA. Score: 9.5

Tools that are available to traders

As mentioned above, you will have more tools to use by making a larger investment.

Technical and Professional support – available 24 hours a day.

Professional literature, on line tools and articles – financial data and a financial log.

Trading courses – You will be able to choose from a number of courses about foreign currency trading.

Reviews and surveys – there are a few options available.

Trading Alerts – You will receive free trading alerts after an account is opened with the broker.

On-Line Help – The brokers provides traders with a glossary of trading terminology online.

Range of currency pairs – The broker offers thirty different foreign currency trading pairs.

Languages – Ten languages are supported.

On-line trading room – There is no online trading room available but the broker can be contacted when you need information.

Coaching – no provision.

Bonuses & other offers

The broker does not offer any bonuses. It should be mentioned that the broker offers a great spread instead. The broker also provides a very high rate of interest.

Downloading a trading platform

The type of account that you decide to open will determine what trading platform you will use. In some situations a trading program does not have to be installed while other times you will have to install a trading program.

Ease of use of the Trading program

You will have a several trading platforms to choose from. All of the platforms are very easy to use and master but some of them are easier than others. The MetaTrader4 is among the better platforms available with this particular broker. The program is highly professional yet easy to use and learn. Score: 9.8

Pros

The broker had a strong relationship with many major banks.

When you trade with this broker you will receive flexibility in most areas that will allow you to trade easier. It also allows you to manage your account more efficiently.

The broker provides a very good spread. Even people who open a small account will be given a better spread than what is offered by most other brokers.

You will get the exact spread even when trading not so attractive foreign currency pairs.

Cons

The broker offers no other investment channels as he deals only in foreign currencies.

You can open an account in a decent period of time.

You will be offered a limited number of deposit methods. The range of foreign currency pairs is also limited. There are other brokers that offer a large range of currency pairs but what is offered is usually sufficient for the majority of dealers.

Overall score for this broker: 9.5