FXCM, or more commonly called Forex Capital Markets, was established back in 1999 by a financial company called Jefferies Financial Group. It was initially introduced in the market with the objective of providing favorable trading solutions for foreign exchange traders. With its optimum system that allows prime trading experience, the company was later considered as a Fortune 500 company and was then listed on the New York Stock Exchange under the S&P 500 index.
After its successful market debut, it is now known as one of the world’s leading forex brokerage companies. FXCM is designed for both novice and advanced traders, making it a flexible trading platform. As its features became the flagship brand of the company, 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 several countries, which explains why it holds an impressive amount of market shares.
FXCM Account Selection
FXCM offers three live accounts in its selection. The Mini, Standard, and VIP accounts all offer different trading conditions, allowing clients to select which one best suits their trading preferences. Below are their specifications with focus on leverage, minimum deposit and spreads.
- Mini Account– This type of account offers 1.5 pips and a conditional leverage that may surge up to 1:200 once the account hit £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.
Licenses and Permit
FXCM practices legal operations as stipulated in multiple licenses and accreditations it has filed its name under. With the company’s multi-jurisdictional licenses from the United States, Europe, Africa, and Asia-Pacific, clients are guaranteed that 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 various cross-border accreditations, FXCM highly complies with 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 require a maximum of 1:50 leverage for all of the members of the regulatory body. 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 with the mandate upheld by the CTFC.
FXCM Asset Selection
Forex Capital Markets has an impressive 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 come inadequate, but it is still enough to cater sufficient trading choices.
FXCM provides a decent selection of means where clients may place their queries through. Unfortunately, 24/7 assistance is not provided, but clients will still get substantial support using an active telephone line available for free in 42 different countries. More impressively, there is a live chat feature for clients who are in need of immediate resolutions.
Forex Capital Markets is laudable for many reasons, some of which are its impressive account selection, competitive asset classes, and highly-responsive customer support. Putting all these into consideration, FXCM makes, if not great, still a decent brokerage platform. And it is recommended that interested parties try and start investing with FXCM today.