FXTM Vs IG

Category: Broker Guides | Author: Trading Brokers | Date: June 5, 2024

In the world of online trading, FXTM and IG are two well-known names that have garnered a significant reputation. With a wide range of trading services and features, they attract traders from around the globe. In this article, we will conduct a detailed comparison of FXTM and IG, exploring various aspects such as regulation, trading platforms, pricing, asset selection, and more. By examining the strengths and weaknesses of each broker, we aim to provide you with valuable insights to help you make an informed decision when choosing the right broker for your trading needs. So, let’s delve into the comparison of FXTM and IG and discover which one may be the better fit for you.

Overview of FXTM

FXTM

FXTM

FXTM is a renowned online broker offering trading services in forex and CFDs. Regulated by the UK Financial Conduct Authority (FCA), the Cyprus Securities and Exchange Commission (CySEC), and the Financial Services Commission (FSC) in Mauritius, FXTM ensures a high level of regulatory compliance. Traders can access a range of trading platforms including MetaTrader 4 (MT4), MetaTrader 5 (MT5), and their proprietary platform, FXTM Trader. With competitive pricing, no commission on forex trades, and a minimum spread of 0.1 pips on EUR/USD, FXTM provides traders with a variety of options. They offer a wide selection of assets, including forex, indices, commodities, shares, and cryptocurrencies. Additionally, FXTM supports social trading, enabling traders to engage in copy trading through their platforms. The minimum deposit requirement of $10 makes FXTM accessible to traders with limited initial capital. However, it’s important to note that FXTM is a market maker, which may entail potential conflicts of interest.


Pros of FXTM

  • Wide range of trading platforms, including MT4, MT5, and FXTM Trader.
  • Competitive pricing with no commission on forex trades.
  • Diverse selection of assets, including forex, indices, commodities, shares, and cryptocurrencies.
  • Social trading capabilities for copy trading.
  • Low minimum deposit requirement of $10.

Cons of FXTM

  • As a market maker, potential conflicts of interest may arise.
  • Limited regulatory coverage compared to some other brokers.
FXTM Logo

FXTM is an award-winning broker with strict regulation in multiple jurisdictions. They have user-friendly trading platforms, various account types and funding methods, along with a vast range of educational materials and trading tools to help you make informed trade decisions.

Between 74-89% of retail investor accounts lose money when trading CFDs with this provider.

Overview of IG

IG

IG

IG is a well-established online broker that offers trading services in forex, CFDs, and other financial instruments. Regulated by top-tier authorities including the UK FCA, ASIC of Australia, MAS of Singapore, and the CFTC of the US, IG ensures compliance with strict regulatory standards. Traders have access to a range of trading platforms, including the popular MetaTrader 4 and MetaTrader 5, as well as IG’s proprietary platform called IG Trading. With competitive pricing and no commission on forex trades, IG offers a seamless trading experience. Additionally, IG provides a wide selection of assets to trade, including forex, indices, commodities, shares, and cryptocurrencies. Social trading features are also available through their platform, allowing traders to engage in copy trading and access market insights from experienced traders. The minimum deposit requirement for IG is $250, and they offer various deposit and withdrawal methods such as bank transfers, credit/debit cards, and e-wallets.

Pros of IG

  • Availability of popular trading platforms, including MT4, MT5, and IG Trading.
  • Competitive pricing with no commission on forex trades.
  • Diverse selection of assets, including forex, indices, commodities, shares, and cryptocurrencies.
  • Social trading capabilities for copy trading.
  • Strong regulatory oversight from multiple reputable authorities.

Cons of IG

  • Higher minimum deposit requirement of $250.
  • Market maker broker type, which may lead to potential conflicts of interest.
IG Logo

IG have an impressive selection of 18,000+ instruments including Forex, Stocks, Cryptos and Commodities. You can trade via easy to use platforms for desktop and mobile apps, with low trading costs and the peace of mind that you are using one of the most well-known brokers in the industry.

70% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.

Comparison Between FXTM and IG

When comparing FXTM and IG, there are several key factors to consider:

Regulation

Both FXTM and IG are regulated by reputable financial authorities, ensuring a level of trust and compliance. FXTM is regulated by the UK Financial Conduct Authority (FCA), the Cyprus Securities and Exchange Commission (CySEC), and the Financial Services Commission (FSC) in Mauritius. On the other hand, IG is regulated by the UK FCA, ASIC of Australia, MAS of Singapore, and the CFTC of the US. These regulatory bodies impose strict guidelines to protect traders’ interests and maintain the integrity of the financial markets.

Trading platforms

Both brokers offer a range of trading platforms to cater to different trading styles and preferences. FXTM provides access to popular platforms such as MetaTrader 4 (MT4) and MetaTrader 5 (MT5), known for their robust features and user-friendly interfaces. Additionally, FXTM has its proprietary platform called FXTM Trader, which offers advanced trading tools and functionality. Similarly, IG offers the widely used MT4 and MT5 platforms, along with their proprietary platform, IG Trading. Traders can choose the platform that best suits their needs and trading strategies.

Pricing and fees

FXTM and IG offer competitive pricing structures. FXTM charges no commission on forex trades and offers tight spreads, with a minimum spread of 0.1 pips on EUR/USD. On the other hand, IG also provides commission-free forex trading and offers a minimum spread of 0.6 pips on EUR/USD. It’s important to compare spreads and fees across different currency pairs and instruments to determine the most cost-effective option for your trading needs.

Broker Type

Both FXTM and IG operate as market makers. As market makers, they act as counterparties to their clients’ trades, which means they can take the opposite side of the trade. While this allows for quick execution and competitive pricing, it’s essential to be aware of potential conflicts of interest that may arise. Traders should consider their trading style and preferences when choosing between market maker brokers.

Leverage

Both brokers offer leverage options to enhance trading opportunities. FXTM and IG provide leverage ratios of up to 30:1 for retail clients on major currency pairs. Leverage allows traders to amplify their positions, potentially increasing profits. However, it’s important to exercise caution and fully understand the risks associated with trading on margin.

Asset selection

FXTM and IG offer a diverse range of tradable assets. FXTM provides access to forex, indices, commodities, shares, and cryptocurrencies, allowing traders to diversify their portfolios across various markets. Similarly, IG offers a wide selection of assets, including forex, indices, commodities, shares, and cryptocurrencies. Traders can choose from an extensive range of instruments to align with their trading strategies and market preferences.


Social Trading

Both FXTM and IG support social trading features, enabling traders to engage in copy trading or mirror the trades of successful traders. FXTM offers FXTM Invest, its social trading platform that allows users to follow and copy the trades of experienced traders. IG provides social trading capabilities through its platform, allowing traders to access a network of successful traders and replicate their trading strategies. Social trading can be beneficial for those who want to learn from experienced traders or leverage the expertise of others.

Minimum Deposit

FXTM requires a minimum deposit of $10 to open an account, making it an attractive option for traders with limited initial capital. On the other hand, IG has a higher minimum deposit requirement of $250. The minimum deposit amount can vary depending on the account type and region, so it’s important to consider your budget and trading goals when choosing a broker.

Withdrawal and Deposit methods

Both FXTM and IG offer multiple options for depositing and withdrawing funds from trading accounts. Traders can choose from popular methods such as bank transfers, credit/debit cards, and e-wallets like Skrill and Neteller. FXTM has a wider selection of deposit and withdrawal methods compared to IG, providing traders with more flexibility and convenience in managing their funds.

Which is better for you?

FXTM might be a better option for you if you value a diverse range of deposit and withdrawal methods. FXTM offers a broader selection of deposit and withdrawal options, including bank transfers, credit/debit cards, and e-wallets such as Skrill and Neteller. This provides traders with more flexibility and convenience in managing their funds, allowing for seamless transactions in their preferred method. Whether you prefer traditional banking methods or digital payment solutions, FXTM caters to a wider range of preferences.

On the other hand, IG might be a better option for you if you prioritize a lower minimum deposit requirement. IG requires a minimum deposit of $250, which is higher compared to FXTM’s $10 minimum deposit. This lower threshold with FXTM makes it more accessible to traders with limited initial capital. However, it’s important to consider other factors such as trading costs, platform features, and regulatory reputation alongside the minimum deposit requirement to make a well-rounded decision.


Conclusion

In conclusion, both FXTM and IG are reputable online brokers that offer a range of trading services. FXTM stands out with its diverse deposit and withdrawal methods, providing traders with more flexibility in managing their funds. On the other hand, IG offers a lower minimum deposit requirement, making it more accessible to traders with limited initial capital. Ultimately, the choice between the two depends on your specific trading preferences, goals, and priorities. It’s important to consider factors such as regulation, trading platforms, pricing, and asset selection when making a decision. Conducting thorough research and evaluating your individual needs will help you determine which broker is better suited for you.


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