XM Trading stands out among several other Forex brokers that accept South African traders. We rank it as the second best Forex broker in South Africa. The platform offers fast execution and there is a no-quote policy here. The platform also offers zero fee on deposit or withdrawal, negative balance protection and low spread. Check below for more about XM South Africa.
- The maximum leverage available is 1:888
- The minimum deposit is $5
- We rank it as the second best Forex broker for South African traders among 14 other brokers
The broker is very popular in South Africa and it started operation in 2009. It equally records a large daily trading volume and boasts of up to 2.5 million clients across the globe.
XM Broker is a safe broker and South African traders can invest here without fear. It is regulated by various first tier regulatory agencies, like CySEC in Cyprus, ASIC in Australia and FCA in the UK. Its application with the FSCA in South Africa is currently being processed.
Furthermore, the broker makes available various trading instruments, including the following:
- Over 55 currency pairs
- Equity indices
- Precious Metals
South African traders can also pay bias local payment options
A short description of XM
- Name of the broker is Trading Point OF Financial Instruments Limited
- It was founded in 2009
- Its website is xm.com
- Its address is at No. 5 Cork Street, Belize City, Belize, Central America
- Minimum deposit is $5
- Minimum leverage is 1:888
- It is regulated by FCA, ASIC, IFSC and CySEC
- The trading platforms supported are MT4 and MT5 for all devices, both mobile and PC
- Supported instruments are commodities, Forex, Stocks, precious metals, Indices and energies
Regulations and safety of funds
Your fund is safe with XM South Africa and this is because it is regulated by tier-1 regulatory agencies the various regulatory agencies are:
- FSCA (Financial Sector Conduct Authority) in South Africa. Though, the application is being processed.
- FCA (Financial Conduct Authority) is located in the UK.
- CySEC, which regulates the company in Europe.
- ASIC, which regulates the company in Australia.
- Other regulations: The company is also regulated in Belize by the IFSC. Also, it is regulated by the MiFID (Markets in Financial Instruments Directive) and many others.
The amount you will need to pay as fees in XM broker depends on the type of account you have here. The spread is variable on micro and standard accounts you will also pay commission on Zero accounts.
The trader will not have to pay a dime as fees on deposit or withdrawal. This is not the case with many other brokers.
Check below for fee breakdown:
- The spread is tight with Ultra Low account. Pip spread on EUR/USD on the Standard and Micro Accounts is 1.6 pips. Pip spread on Ultra Low Account is 0.8 pips. Those who prefer very low pip spread should, therefore, go for Ultra Low Account.
- There is no ECN account and you will not need to pay any commission. The only fee you will be required to pay is the spread.
- There is also no deposit or withdrawal fee and this applies to all payment methods.
- You will have to pay rollover fee with Zero, standard and micro accounts.
XM account types
The three different types of accounts available are:
- Micro account
- Standard account
- Ultra-Low account
XM South Africa also offers free-demo account and Islamic swap-free accounts
XM demo account
Traders will have access to a free demo account. The trader will be offered $100,000 virtual money to practice after registration. Those using the demo account on XM Broker will also have access to analytic or data tools that are available to all other traders. Demo traders will equally have access to the resources and educational materials offered here.
The demo account will be automatically shut if you do not login to it in over 120 days. Be that as it may, you can always create a new demo account when you are ready again.
XM Live accounts
As mentioned earlier, XM offers 3 accounts for live Forex traders. All these accounts come with different trading conditions and deposit requirements. The following are the associated features of each of the accounts:
- Negative balance protection
- Instant Order Execution
- ZAR Base Currency: this is an optional feature.
The available live trading accounts are:
- XM Ultra Low Account: Minimum deposit is $50
- Micro Account: The minimum deposit is $5
- Standard Account: The minimum deposit is $5
- Zero Account: This account type has been discontinued
- Forex Islamic account: This account is also optional. It is also swap-free
How to open an account
- Step 1. Signup with XM: You can do this from the home page of XM South Africa.
- Step 2. Select an account type: You also need to confirm investor information, account base currency, leverage, bonus ad citizenship.
- Step 3. Set up a password login: Make sure that the password is strong to adequately protect your account.
- Step 4. Verify your account: You will be required to submit documents like ID proof and Address proof to verify your account.
- Step 5. Funding your account: You can deposit via any of the methods supported by XM to fund your account. You can do this via the XM Client Portal.
The important trading instruments are
- Forex trading: traders can access 57 currency pairs, including minor, major and exotic pairs.
- Stock CFDs: there are 1209 global stocks from 17 countries on XM Broker.
- CFDs on commodities: 8 of them are available.
- CFDs on Equity Indices.
- CFDs on Precious Metals & Energy.
- Cryptocurrencies: 5 of them are available, which include bitcoin, Ripple, Litecoin, Ethereum, and bitcoin cash.
XM Trading platforms
- Mobile trading platforms
- Desktop trading platform
Both trading platforms support MT4 and MT5. There is also no requite o any rejection. The platforms come with 3 different types of charts, several charting tools and up to 50 technical indicators. The desktop platform supports EA functionality also. The mobile platform can be accessed on both iOS and Android.
Deposit and withdrawal options
- Electronic payments
- Bank wire transfer
You can withdraw using any of the methods for depositing.
Some of the associated conditions are:
- You must have verified the account.
- The time you can withdraw depends on your chosen method of withdrawal.
- Withdrawals can only be done via the method you used in depositing.
Traders can access sign up bonus on XM South Africa. Some of the bonuses are:
- $30 no deposit bonus
- 50% welcome bonus
- XM’s Loyalty Bonus
You can connect with the customer care agents 24/5 during the day. Some of the contact methods are:
- Chat Support: You can access live chat on XM. The response is always fast and they can answer most questions satisfactorily.
- Email support: It is available 24 hours and you can contact them by emailing [email protected].
- Phone support
- Research and education
Do we recommend XM broker?
Yes, XM Broker is recommended for Forex traders in South Africa. It is regulated by tier-1 regulatory agencies and this is a sign of reliability. Its registration with the FSCA is also currently being processed. There is no fee on withdrawal or deposit. The instant order execution also makes it a good broker, as well as, the instant order execution. Additionally, the platform supports multiple devices and you can even trade cryptocurrencies.