Forex.com is one of the largest FX brokers around the world. It is part of the GAIN Capital Holdings, Inc. which is a publicly-traded company in the New York stock exchange.
Forex.com is one of the largest FX brokers around the world. It is part of the GAIN Capital Holdings, Inc. which is a publicly-traded company in the New York stock exchange. GAIN Capital was founded in 1999 and started offering trading services in 2001 under its brand name Forex.com. Currently, its headquarter is in Bedminster, New Jersey and it is serving over 140,000 retail and institutional clients with 800+ stuff across Europe, Asia, and North America. Forex.com is regulated in 8 jurisdictions worldwide and has an average monthly trading volume of $463.1 billion.
A highly regulated broker is always a trader’s first choice. Forex.com’s multiple regulations make it a low-risk broker and ideal for the traders. It is regulated in the UK by the Financial Conduct Authority (FCA). In the US they are regulated by Commodities Futures Trading Commission (CFTC) and the National Futures Association (NFA). Forex.com is among the only few brokers that are also regulated in Japan by the Japanese Financial Services Agency (FSA). Forex.com is also regulated by the competent authorities in Canada, Singapore, Hong Kong, Cayman Islands, and Australia.
The broker provides financial security by segregating client funds and guarantees negative balance protection which indeed gives peace of mind to the traders.
FOREX.COM ACCOUNT TYPES
Forex.com provides 3 different types of accounts which are Standard Account, Commission Account, and Direct Market Access Account. Standards account is suitable for traders who do not want to pay commission and trade on the regular spread. Commission account provides the option to trade on the ultra-low spreads, however, the traders are charged a standard commission.
The Direct Market Access account or DMA provides traders the ability to trade with deep liquidity and take advantage of rapid price changes. The commission and DMA accounts are offered only with the broker’s Advanced Trading Platform.
FOREX.COM TRADING PLATFORMS
Forex.com offers a choice between their own Advanced Trading Platform and MetaTrader. The Advanced trading platform is highly customizable and provides powerful charting tools with over 40 technical indicators. There are also hundreds of pre-built templates of trading strategies that can be integrated with the platform. The MetaTrader platforms include both MT4 and MT5 platforms and offer reliable trade execution. All platforms include a web-based version as well as mobile trading apps for Android and IOS.
The leverage offered by Forex.com differs on the instrument level. It offers 1:500 leverage on currency pairs 1:20 leverage on individual stocks while on indices their leverage ratio is between 1:200 to 1:100. Leverage on commodities also varies for instance US Crude Oil is traded on 1:100 leverage and Coffee is traded at 1:10. All in all the leverage offered by Forex.com in line with the rest of the broker.
Forex.com offers over 4500 tradable products to its clients. The products include 80 currency pairs, 15 indices from the US, UK, Germany, Japan, China, and Australia. They are also having a long list of 4000 individual shares including the blue-chip companies. Forex.com also offers a comprehensive list of commodities that includes energies, metals, etc.
Finally, the broker also offers 5 cryptocurrencies to trade. The products offered to the traders can vary depending on their location for instance CFD product range is not available for US clients.
There are also 44 indices and 3847 individual stocks from 23 different markets. Finally, Forex.com also provides a long list of 385 ETFs and 2 bonds which are rarely offered by other brokers. From a trader’s point of view, the Admiral Markets range of products is extensive and is ideal in a way that you can trade everything with just one broker.
FOREX.COM SPREAD & COMMISSION
The cost of trading is always a huge concern to the traders that is why traders always look for tight spreads and low commissions. Forex.com spread varies depending on the account type. For example, the typical spread on EUR/USD for Standard Account is 1.4 pip, while on the Commission Account the spread is 0.2 pips. The spread further narrows to 0.1 pip on DMA accounts. The spread on indices and equities starts from 1 pip and on commodities, it starts from 0.4 pips
The standard account is commission-free while on the Commission account there is a $5 fee for a standard currency lot. For DMA account the commission structure is dependent on the monthly volume for instance if your trading volume is between $0 to $100 million you will be charged $60 per one million traded.
Admiral Markets commission rate is low, on their Zero spread accounts the commission on individual shares is $0.01 per share while on metals & Forex the commission is between $1.8 to $3.0 per lot. Finally, the commission on energies like crude oil is $1 per lot.
FOREX.COM DEPOSIT & WITHDRAWAL
Forex.com accepts funds by credit or debit card and via bank transfer. The debit or credit cards can be easily added to the account from the client area. Surprisingly no e-wallets like Paypal or Skrill are accepted. The wire transfers to withdraw or deposits the funds take up to 5 business days to reflect in your account.
The credit and debit card transactions are instant and there is no extra fee for that as well. There is no minimum deposit requirement however, the minimum amount to withdraw is $100. The funds can be withdrawn only to a verified account while the deposits from third party accounts are not allowed as well.
FOREX.COM REVIEW SUMMARY
The fact that Forex.com is a highly regulated broker in the world gives real peace of mind to the traders without a doubt. It provides a comprehensive list of trading instruments including Forex, commodities, Indices individual stock, and so forth. It offers a choice between its own proprietary trading platform and MetaTrader. Its Advance Trading Platform is highly customizable and can also be used for direct market access. It’s educational and analysis section is truly helpful not only for new traders but also for the seasoned traders.
Its Direct Market Access is one of the best and offers volume-based pricing. On its downside, Forex.com spread are slightly higher and may concern some traders. The broker also lacks in payment method especially the e-wallet option. However, if you wanted to trade with a highly regulated broker with a global presence and a whole lot of world markets Forex.com is a great choice.