As a part of GAIN Capital Holdings, Forex.com has flourished greatly since their founding in 1999. As one of the largest online retail brokers, it is hard to argue with their, almost 2 decades of experience. GAIN operates in multiple countries through their trading names and subsidiaries. Not only known for their international accessibility and success, GAIN is also in competition for the US market, and they only have few competitors. When you cater to over 200,000 retail and institutional clients you must be doing something right.
With an offering of 84 currency pairs, and 97 CFDs, you are spoiled for choice with Forex.com. While this review will focus on the forex trading aspects of this broker, it is important to mention the new venture into Bitcoin by Forex.com as it signals the growth and adaption ability of the company.
Forex.com has different account options for people in different parts of the world. While in most parts of the world you will have 3 accounts to choose from, in some other parts you will be able to access a 4th account made specifically with the high-volume trader in mind. These accounts are: Standard, Pro, Islamic, and Active Trader respectively. Each account will have a certain set of requirements, from Minimum Deposit to, monthly balance and trades, and each carry advantages ranging from offering different spreads to tools and features for you the trader.
- Standard & Pro: While they both have most of the same requirements, they differ in the trading platform you will use. Your margins will be the same at 200:1, all that changes will be if you use Forex.com’s proprietary trading platform or MT4 and how much you need to open your account.
- Islamic Account: to access this account you will need to apply at the website, through filling out a short form.
- Active Trader: With 5 discount levels that change based on your trading volume, this account type rewards the customers in the correct locations, with reductions in pricing, and many other advantages from personalized support to zero fees and priority service.
As always remember to spend your time as a beginner in the free live demo account with $50,000 of virtual cash and get familiar with the platform and market.
Forex.com has multiple trading platforms available for the majority of their customers. These options are MetaTrader 4 and FOREXTrader PRO, and Web Trading. Forex Trader Pro is the flagship platform that comes with a wide array of charts, tools, and a list of indicators growing regularly. The amount of information at your fingertips makes it hard to look at the other options available with Forex.com.
MetaTrader 4 has been the go to guy in the Forex trading world for quite some time. Even with the introduction of MT5 its still MT4 that’s running the show. With your standard account you will use this platform which is no punishment at all.
After a change to their web-based platform in 2017, forex.com reintroduced their offering with a new platform called Web Trading. This platform powered by Trading View, packed all the goodness of the downloaded platforms into a web-based candy wrapper.
For customers who are professionals or are high-net-worth clients GAIN Captial’s GTX Direct ECN platform is a no brainer. With a minimum deposit of $100,000 you will be showered with news, analysts, and support beyond measure.
Once you have setup your account you will be able to download one of many application choices available to you on IOS or Android. Whether you choose the MetaTrader 4 app or FOREXTrader mobile app you will not be disappointed in how smoothly they run, and how much they really offer.
Another area where Forex.com doesn’t deliver fully for their customers is the methods available for depositing and withdrawing your money. Offering you the choice of Debit cards, Credit Cards and Wire Transfers this broker hasn’t caught up to the industry in offering eWallets and PayPal as an option.
The process to move your money is fast and problem-free, as long as one of these 3 options works for you, you will be fine.
Spreads and Commissions
Of all the things that are great about Forex.com, one thing that doesn’t help them standout is the spreads offered by Forex.com. Through 18 years they have managed to improve upon their model but the spreads offered are average at best. The spreads will change with your account type and trade volume, but generally the spread is between .8 – 1.9 pips.
For currency pairs your spreads will look like this: GBP/USD 1.1, EUR/USD 0.7 and for GBP/EUR 0.7. Few months back in November 2017 this number was significantly different in EUR/USD at 1.3 pips. This shows the companies movement to become more competitive in pricing.
For the Active Traders you will be presented with a five-tier pricing program. As your monthly trading volume goes up your spreads will be reduced.
It is worth noting that while there is no commission on your trades, there are certain charges such as the inactivity fee customers should be informed on.
Trading on a leverage is a great option offered by almost all the online brokers today. While this can come in quite handy when trading, make sure you are aware of the risks, as winning more than you have is great but losing more than you have is life changing. Each account has a different leverage offered with Forex.com, ranging from 1:1 to 200:1.
Regulations & Securities
Since they are owned by a global giant in GAIN Capital Holdings, Forex.com is regulated in numerous locations around the globe, ranging from US and UK, to Japan and Australia. When you are regulated by CFTC in USA, FCA in UK, ASIC in Australia, and SFC, MAS, and FSA in Asia, it is not hard to earn your customers trust. This amount of oversight should put to sleep any doubts, customers might have when it comes to trusting their money in Forex.com. Decades of experience shines through as you watch wisdom work for you with this great online broker.