What is XM Exchange? Review detailed information about XM

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XM is one of the famous trading platforms in the world, especially in the fields of Forex and CFD. Established in 2009, XM has quickly affirmed its position and attracted millions of customers globally. So what is so special about XM that it is trusted by so many investors? Please immediately see the detailed review information about XM shared by SanForex below to decide whether this platform is suitable for your investment needs or not.

What is XM?

XM trading platform was founded in 2009 by Trading Point Holdings Ltd, headquartered in Belize. After 15 years of development, XM has become a strong international investment company, leading the market by conquering more than 3.5 million customers from 196 countries around the world. XM is proud to have a team of 450 experienced financial experts, supporting more than 30 languages, providing 16 diverse trading platforms and more than 25 secure payment methods.

All information at XM is clearly public, orders are executed quickly. This has attracted the attention of many investors from Japan – a place famous for its demanding investors and high requirements for service quality.

XM operating license

Business license is one of the important factors that helps XM build reputation and create trust with customers. Owning a business license proves that this exchange is under the management of a competent organization, ensuring a higher level of safety than exchanges without an operating license.

License information

XM is licensed by many of the world’s leading financial authorities, including:

• License number 120/10 is issued by the Cyprus Securities and Exchange Commission (Cyprus Securities and Exchange Commission – CySEC).
• License number 443670 is issued by the Australian Securities and Investments Commission (ASIC).
• License number IFSC/60/354/TS/18 is issued by the International Financial Services Commission (IFSC).
• License F003484 is issued by Dubai Financial Services Authority (DFSA).

With licensing from many large financial institutions, XM is subject to strict supervision, ensuring all information is transparent and accurate. Customer rights are strictly protected and illegal acts such as money laundering are prevented.in

XM guarantees customer rights through licenses

XM ensures customers’ rights through methods such as segregated accounts, full insurance in case XM goes bankrupt, capital safety according to CySEC and ASIC regulations.

• Accounts are segregated and liquidity is guaranteed

Because XM is licensed to operate by ASIC, a highly responsible agency from Australia, this exchange must comply with strict account safety requirements. When trading on XM, customers will have 2 separate account types: an account to hold deposits and an account used for trading. 

Separating these two types of accounts ensures the safety of customers’ capital and prevents deposits from being used for personal purposes. Thanks to this, traders’ investments are always protected, even in case of bankruptcy. This is one of the main reasons why XM is trusted and chosen by many investors.

• Insurance if XM goes bankrupt

Licensed by CySEC, XM floor complies with all regulations of this agency to protect the interests of investors. XM’s insurance mechanism provides a maximum compensation of up to 20,000 Euro from the Investor Compensation Fund, ensuring customer rights in the event of a financial incident.

• Ensure capital safety according to CySEC and ASIC regulations

XM Global Limited is the current operating unit of XM, complying with strict regulations of CySEC and ASIC to ensure capital safety for investors. In particular, XM must maintain operating capital to meet necessary costs when fluctuations occur. Auditing companies will check XM’s annual financial reports, ensuring transparency and compliance with regulations.

• Operating in Vietnam under the management of IFSC

In the Vietnamese market, XM is regulated by IFSC (an agency with weaker influence than CySEC and ASIC). However, the fact that XM has a license from both CySEC and ASIC proves this exchange’s continuous efforts in developing and affirming its position in the international market. This shows that XM always strives to provide the best service and protect the interests of investors.

XM trading platform

The trading platform is also the advantage that makes XM chosen by many investors. 

MT4

MT4 is a familiar trading platform chosen by many investors due to its ease of use and quick, automatic customer support. Traders can execute orders easily and efficiently with MT4.

MT4 Features:

• Currently, MT4 is capable of integrating many products such as Forex, CFDs and is expected to expand further in the future.
• MT4 has the ability to synchronize with many different trading software.
• Low spread, only from 0.6 pips.
• Many technical analysis tools, diverse indicators and charts.
• Chart types include lines, bars, and candles.
• Supports executing commands symmetrically and in opposite directions.
• It is possible to install the indicator as well as set cycles and different time frames.
• Data is guaranteed to be safe and stored.

MT5

Metaquotes Company has upgraded MT4 to MT5 to improve development capabilities and increase user ease of use. MT5 allows investors to perform more complex transactions and offers many outstanding advantages. Chart types and support tools on MT5 are more flexible, highly automated and specialized for each type of transaction.

Normally, MT4 supports order types such as Buy Stop/Limit and Sell Limit/Stop. The upgraded MT5 version adds Buy Stop Limit and Sell Stop Limit orders, helping to increase the probability of success for investors. MT5 also supports trading with robot programming and allows setting indicators suitable for each user.

In addition, MT5 also has outstanding capabilities in stock trading. However, investors need to open an MT5 account to use this feature.

MT5 Features:

• MT5 integrates over 1,000 different trading instruments including stocks, stock indices, Forex, energies and metals.
• Supports synchronization of 7 different product types.
• Low spread, only from 0.6 pips.
• 80+ technical analysis tools.
• Capable of displaying up to 100 different charts.
• Supports many technical indicators (80) and analysis objects (40).
• Execute different commands.

Hedging

At XM, reciprocal Buy and Sell orders are supported, the role of hedging is to evaluate these orders at the same time. The hedging method is popular with investors but is not recommended for newcomers because of its high risks.

Across all exchanges, hedging works best at XM due to the Close by order. Two opposing orders can be closed at the same time thanks to the Close by command, helping investors save significant costs. Note that to use the Close by order, you should close the Buy and Sell orders at the same time. In addition, there is also the Multiple Close by order, which can be used on both MT4 and MT5, allowing investors to close multiple orders in the opposite direction at the same time.

MT4 Multiterminal

XM’s Multiterminal is a tool that allows investors to manage up to 128 different MT4 accounts through just one software and log in only once. The superior features of this software include:

• Execute many types of orders and manage a variety of account types.
• Allocate resources with 3 different methods.
• Manage and execute transactions according to specific time frames.

Types of XM accounts

The XM platform provides investors with 3 main account types including micro, standard, Ultra and share.

Micro account

The minimum deposit at XM micro is 5 USD, Spread costs from 1 pip and no commission. XM Micro account allows opening or waiting for up to 200 orders. For MT4, the minimum order volume is 0.01 lot, while for MT5 from 0.1 lot. Micro accounts also have a trading bonus percentage, suitable for new investors with little experience.

XM’s Micro account is calculated in Micro Lots, 1 lot is only equivalent to 1,000 units instead of 100,000 units as usual standards. This helps minimize risks for investors because the transaction size is very small, no matter how large the amount displayed on XM is.

Standard account

The minimum deposit to a Standard account is 5 USD and Spread costs from 1 pip, with no commission. This account allows opening or waiting for up to 200 orders.

For MT4, the minimum order volume is 0.01 lot and there is a trading bonus percentage. This account is similar to the Micro account, but the difference is that it converts lots in standard units and has a maximum leverage of up to 1:888. The Standard account becomes a suitable choice for new investors, providing good trading conditions.

Ultra Low Account

XM Ultra Low accounts have spread costs of 0.6 pips on major currency pairs and require a minimum deposit from 50 USD. There are no commissions and up to 200 open or pending orders are allowed.

This account type is suitable for scalping style traders. XM uses Ultra Low accounts to compete with other reputable exchanges such as ECN, ICMarkets, Exness. This account has many attractive incentives to attract customers. However, Standard is divided into two sub-categories, Standard and Micro, with differences in transaction volume.

Share account

This type of account requires a minimum deposit of 50 USD, does not use leverage and has variable spread costs depending on the type. The account allows a maximum of 200 open or pending orders, with a minimum order size of 1 lot and associated commission fees. This is a favorite choice for stock traders but requires a minimum deposit of 10,000 USD or more, so leverage is not supported. According to standard conversion, to trade 1 lot, investors need 100,000 USD.  

Note: Customers can open 8 different account types on XM at the same time. However, if the account is inactive (no transactions, transfers, deposits or withdrawals), XM will apply an inactive account policy. In this case, bonuses and credit benefits will be automatically removed. Additionally, inactive accounts will be charged a monthly fee of 5 USD and stored for a maximum of 90 days.

XM trading products

Currently, XM offers the following financial trading products:

• Forex: More than 55 currency pairs to trade, leverage up to 1000:1, customer support 24/5 weekly.
• Stocks: Investors have the opportunity to directly access leading stock markets globally.
• Commodities: Ideal for new investors, who can trade without owning the actual commodity.
• Stock index: Suitable for both short-term and long-term investors.
• Precious metals: An attractive form of investment, leverage up to 1000:1.
• Energy: Requires initial capital from only 5 USD, with large price fluctuations depending on the market.
• Virtual currency: Attractive investment option other than Forex, thanks to strong price fluctuations.

This diversity gives investors many choices and opportunities to receive dividends when participating in trading stocks and securities. At the same time, this is also a great competitive advantage of XM in the market.

Transaction fees

Important costs in trading at XM include Spreads and financial leverage. These costs greatly affect the interests of investors.

• Spread costs for XM account types are maintained at a low level, fluctuating below 0.6 pip for major currency pairs and about 1 pip for Standard and Micro accounts. Customers receive this price directly from the market, without re-quotes.
• Financial leverage ranges from 1:1 to 1:888. Minimum account limits are from 5 to 20,000 USD for Standard and Micro accounts, from 50 to 20,000 USD for Ultra Low accounts. Accounts with a value from 20,001 to 100,000 USD have leverage from 1:1 to 1:200, accounts with a value over 100,001 USD have leverage from 1:1 to 1:100. Share accounts do not use financial leverage.
• Regarding commission fees, only Share accounts have to pay commission fees when trading stocks. Other account types at XM do not charge commissions of any kind.

Deposit and withdraw money

To make deposits and withdrawals from XM trading accounts, investors can use the following payment methods:

• Credit Card/Debit Card
• Electronic wallet
• Transfer via bank

Before starting to trade with real money, account verification is very important. You need to upload documents to verify your registration information to ensure your personal information is valid and accurate. This helps avoid difficulties when depositing, trading and withdrawing money later due to incorrect registration information.

How to deposit money

To make a deposit to your XM account, you can follow these steps:

• Step 1: Log in to XM.
• Step 2: Select “Deposit” from the tab menu on the interface.
• Step 3: Choose the deposit method that suits you (e.g. credit card, e-wallet, bank transfer).
• Step 4: Enter the amount you want to deposit.

The time it takes for funds to be credited to your account will vary depending on the deposit method you choose. Credit card deposits are usually the fastest, you can see the amount updated immediately. Meanwhile, transferring money via bank may take a few days due to the verification and processing process from the bank.

How to withdraw money

To withdraw money from your XM account, you can follow these steps:

• Step 1: Log in to XM.
• Step 2: Select “Withdrawal” from the tab menu on the interface.
• Step 3: Choose the withdrawal method you used to deposit previously.
• Step 4: Enter the amount you want to withdraw and click “Withdraw”.
• Step 5: The withdrawal amount will be deducted from the account balance immediately after the withdrawal request is processed.

The time it takes to receive the money and the transaction fee will depend on the withdrawal method you choose. Different methods may have different processing times and transaction fees.

Transaction terms

To effectively trade XM, investors need to pay attention to the following trading terms:

• The spread clause at XM allows all clients to trade with minimum spreads from 0 pips on all currencies, regardless of the client’s account type or trading volume.
• Regarding Margin and Leverage, XM allows investors to control risks by managing used and free margin. They also provide support tools to warn about the possibility of margin fires to help investors make better control decisions.
• Depending on the type of account that investors initially register, they can use leverage from 1:1 to 1:500 to maximize revenue and profits.
• Regarding trading hours, XM supports customers continuously 24 hours a day, 5 working days a week via Live Chat or phone. Working hours last from Monday to Friday every week, helping investors make effective use of their time.

Resources provided by XM

XM offers a variety of resources to help investors conduct effective trading as follows:

Trading signals

There are many types of trading signals provided by XM, including:

• Signals analyzed by XM: Provides information and analysis about currency pairs, commodities, stock indices, and other assets on the market.
• Signals from expert Avramis Despotic: This expert provides signals for products such as USD/EUR, GOLD, OIL, GBP/USD,… This signal includes detailed take profit and stop loss points.

You can receive these signals by:

• Register and authenticate your member account on XM.
• Access the account section after logging in to your account.
• Select “Technical Analysis” to access and receive signals from expert Avramis Despotic or many other signal sources.

Main indicator

XM focuses on investing in a team of experts to develop and improve trading indicators, including upgrading the Ribbon Indicator. This indicator not only helps identify trends effectively but also has the ability to predict trend reversals in the market.

Educational resources

XM offers many detailed video tutorials on how to use MT4 and MT5 along with issues related to their trading platforms. XM experts take on the role of guiding investors on how to conduct transactions on the floor and organize many seminars to convey information and support the most effective transaction execution. Customers can experience this service for free after registering an account.

Promotion program at XM

XM easily offers customers many special promotions as follows:

Free VPS

To receive free VPS service from XM, you need to make at least 2 standard transactions per month and maintain a minimum account balance of 500 USD. If you don’t meet these requirements, you’ll have to pay a VPS fee of $28 per month.

Receive XM registration bonus

When you register an XM account, you will receive a bonus of up to 30 USD. For new customers joining XM, the bonus will be automatically issued to the account after authentication, no need to perform any other operations. To receive the account registration bonus, you need to do the following steps:

• Create an XM account.
• Provide documents proving identity and address to authenticate your account.
• Claim your bonus from account management.
• Complete the authentication process according to XM instructions.

After completing the account creation steps above, you will receive a 30 USD bonus. To withdraw this amount, you need to trade at least 0.1 lots of standard volume and execute at least 5 orders.

Welcome bonus 15%

You will receive a bonus when you make a deposit to your XM account. Within 24 hours of depositing, you will receive a bonus equivalent to 15% of the deposit amount, with a maximum of 500 USD. Bonuses can only be used to help you better manage risk and cannot be withdrawn. Note that the two account types XM Ultra Low and XM Shares Account will not receive this bonus.

Customer care

XM has a team of enthusiastic consultants, ready to support customers and answer questions 24/5 through many contact forms such as email, online chat or phone consultation. Each client is supported by a dedicated manager who will assist the client with technical handling and provide information on training sessions related to XM, MT4, MT5 and their products .

XM Exchange Review

Advantages of XM:

• Licensed and managed by many large financial institutions, ensuring prestige and professionalism.
• Integrate both Forex and CFD trading on the same account.
• Allows investors to trade stocks through separate accounts.
• No commission fees are charged when trading products other than stocks.
• Low minimum deposit.
• Fast deposit/withdrawal process and fee support.
• Diverse promotions and incentives for customers.
• Provides useful trading signals for trading.

Disadvantages of XM:

• Stock trading costs are high and leverage is not supported for this trade.
• Does not support making transactions with cryptocurrency.

Questions related to XM Exchange

What is the minimum and maximum deposit/withdrawal amount at XM?

At XM, the minimum deposit and withdrawal amount is 5 USD (or equivalent currencies), applicable to many deposit and withdrawal methods and supported worldwide. However, these levels may vary depending on the deposit and withdrawal method you choose and the authentication status of your trading account.

How long can I use an XM Demo account?

XM Demo accounts have no expiration date, allowing investors to use them for as long as they want. However, after 90 days from the date you last logged in, the Demo account will be closed. You can open a new Demo account to continue testing, but the maximum number of active Demo accounts is 5.

What hours does XM support trading?

The trading market at XM is open from 22:05 Sunday to 21:50 Friday GMT. However, some trading products such as CFDs have different trading times.

What do investors need to participate in XM trading?

To participate in trading on XM, investors need to prepare the following documents:

• Color copy of passport or other government-issued identification document (e.g. driver’s license, citizen identification card,…).
• Documents confirming personal information must include the customer’s name, date of issue or expiration date, and residential address.
• Date of birth or tax number and customer signature.
• Electronic utility bills (e.g. electricity, water, landline, oil, internet and/or cable TV) issued within the last 6 months, may contain the registration address.

What documents do I need to prepare to verify my XM account?

XM is a company strictly regulated and supervised by corporations and financial institutions, operating and complying with a number of regulatory documents and rules imposed by regulatory agencies. The company is under the direct control of the FSC.

This includes collecting a valid ID card, utility bill or bank statement within 6 months, verifying the customer’s registered address (KYC) and collecting appropriate documents from the customer .

Does it take long to create an XM account? 

The process of creating and using an XM account is very easy, allowing investors to create an XM trading account in just 5 minutes including procedures and personal information verification. This makes the account opening process simple and easy for anyone.

Is XM Exchange safe?

XM is one of the most prestigious and reliable forex exchanges today, operated and managed directly by XM Global Limited. The company is committed to ensuring the safety of investors’ funds, protecting them in accordance with applicable laws and regulations. The protective measures that XM applies include:

• Customer money distribution policy: Customer money is transferred directly to their bank accounts at other financial companies. These funds are segregated from XM’s accounts and cannot be used to repay debt if the company encounters financial difficulties or goes bankrupt.
• Bank accounts: XM always maintains customer accounts and operating accounts at reputable banking institutions, clearly separated.
• Management supervision: XM complies with strict financial requirements. The Company maintains sufficient working capital to protect customer deposits and deal with potential fluctuations in currency transactions. In addition, XM also has an independent audit department that regularly checks the company’s financial statements.

The information shared by TraderForex in this article will help you gain more information and new perspectives about XM floor. This helps you choose the trading platform that best suits your needs and investment goals.