XM fees

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XM Overview

 

Generally speaking, XM 's fees are low. The broker either charges no fees for services that carry a price tag at other brokers, or if it does, the fees are usually small. This means you can use XM even if you trade frequently, such as multiple times a week or daily.

XM has low trading fees for CFDs and charges no withdrawal fees. On the other hand, forex and stock index fees are average and there is an inactivity fee.


In this article we analyze:

  1. Trading fees
  2. Non-trading fees
    1. XM deposit fee
    2. XM inactivity fee
    3. XM withdrawal fee
  3. Financing rates
  4. Currency conversion fees

Visit XM
75.59% of retail CFD accounts lose money

Trading fees

 

XM 's trading fees are low. The broker keeps a low cost-profile by using the MetaTrader 4 and MetaTrader 5 platform with low commissions. The available accounts, the XM Standard, Micro, and Ultra-Low make money by charging 1.7 pips on the spread while XM Zero account owners pay a flat commission of $3.5 per lot plus a small spread cost.

Fee levels and terms at XM
Asstes Fee level Fee terms
S&P 500 CFD Low The fees are built into the spread, 0.7 points is the average spread cost during peak trading hours.
Europe 50 CFD Low The fees are built into the spread, 2.6 points is the average spread cost during peak trading hours
EURUSD Low With Standard, Micro, and Ultra Low accounts the fees are built into the spread. 1.7 pips is the Standard account's average spread cost during peak trading hours. With XM Zero accounts, there is a $3.5 commission per lot per trade and a small spread cost.
Inactivity fee Low $15 one-off maintenance fee after one year of inactivity, followed by a $5 per month fee if the account remains inactive.
US stock fee Average Available only for clients onboarded under IFSC. The commission is 0.04% with a $1 minimum.


The following table contains our benchmark calculations for XM’s trading fees compared to its closest competitors.

XM pricing

Benchmark fees at XM vs competitors
  XM FxPro FXTM
Apple benchmark fee $5.4 $9.4 $29.5
Vodafone benchmark fee $1.2 $14.7 -
EURUSD benchmark fee $8.8 $8.5 $8.3


It is super hard to compare trading fees for CFD brokers. How did we at BrokerChooser go about it? Instead of quoting long fee tables, we compare brokers by calculating all the fees of a typical trade for three assets.XM fees benchmarked

We chose the assets cleverly and arbitrarily:

  • Apple, a large US stock
  • Vodafone, a large European stock
  • EURUSD, a popular currency pair

The typical trade means buying a position, holding it for one week, and closing it. For volume, we chose a $2,000 position for the stocks and $20,000 for the EURUSD. This catch-all benchmark includes spreads, commissions, and financing costs for all brokers.

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Visit XM
75.59% of retail CFD accounts lose money

XM non-trading fees

 

Non-trading fees at XM are average. This means that some of the non-trading fees are high, while others are low or not charged at all.

XM non-trading fees vs alternatives
  XM FxPro FXTM
Withdrawal fee $0 $0 $3
Deposit fee $0 $0 $0
Inactivity fee Yes Yes Yes
Account fee No No No

 

XM deposit fee

The deposit fee at XM is $0 regardless of the depositing method, be it bank transfer, credit card, debit card, or an electronic wallet.

XM deposit methods
  XM FxPro FXTM
Bank transfer Yes Yes Yes
Credit/debit card Yes Yes Yes
Electronic wallets Yes Yes Yes
Deposit fee $0 $0 $0

 

XM inactivity fee

There is no account fee at XM, however the broker charges an inactivity fee in the form of a $15 one-off maintenance fee after 90 days of inactivity, followed by a $5 monthly fee if the account remains inactive. With this in mind, you need to be strategic about your trading activity to avoid getting charged after a long period of no trades. The fact that XM charges an inactivity fee makes it less ideal for you if you are a buy-and-hold investor even if the inactivity fee is low.

XM inactivity fees alternatives
  XM FxPro FXTM
Inactivity fee Yes Yes Yes
Inactivity fee description $15 one-off maintenance fee after 90 days of inactivity, followed by $5 per month fee if the account remains inactive. $15 one-off account maintenance fee and $5 monthly fee after 6 months of inactivity $5 per month after 6 months of inactivity


XM withdrawal fee

XM does not charge a withdrawal fee. This means that you'll see the same amount of money on your bank account that you transferred from your brokerage account.

 

XM withdrawal methods
  XM FxPro FXTM
Bank transfer Yes Yes Yes
Credit/debit card Yes Yes Yes
Electronic wallets Yes Yes Yes
Withdrawal fee with bank transfer $0 $0 $3

 

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Financing rates

 

XM financing rates are low. If you want to trade on margin and prefer to hold your positions for long, financing costs can be significant.

 

XM yearly financing rates
  XM FxPro FXTM
Apple CFD financing rate 3.2% 2.9% 3.9%
Vodafone CFD financing rate 3.1% 2.8% -
EURUSD financing rate 1.6% 1.5% 1.6%
EURGBP financing rate 1.6% 1.5% 1.6%

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Currency conversion fee

 

The currency conversion fee consists of the exchange rate received from liquidity providers plus a mark-up. XM will charge a currency conversion fee for all trades involving instruments denominated in a currency different from the currency of your account.

Visit XM
75.59% of retail CFD accounts lose money

-> Back to full XM review 2022

Further reading:

 

Author of this article

Márton Oláh

Author of this article

Márton Oláh, MSc has been a macro and value investor of stocks for 10 years on his own account. Since 2020 he has been trading options and volatility as well. Márton has founded a venture capital backed company and led it for 8 years before professionally turning to finance therefore is an expert in interpreting company reports.

Márton Oláh

Strategic Advisor

Márton Oláh, MSc has been a macro and value investor of stocks for 10 years on his own account. Since 2020 he has been trading options and volatility as well. Márton has founded a venture capital backed company and led it for 8 years before professionally turning to finance therefore is an expert in interpreting company reports.

Everything you find on BrokerChooser is based on reliable data and unbiased information. We combine our 10+ years finance experience with readers feedback. Read more about our methodology

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