Getting started with XM
Considering taking your first steps in investing but unsure if XM is the right choice for beginners like you? Curious about trading costs at XM or how user-friendly its platform is?
Unfortunately, XM is not considered good for beginners. If you'd like to see alternatives, check out our picks for the Best brokers for beginners.
Together with my brokerage analyst colleagues, I have thoroughly tested the services of XM by opening a real-money account. Here’s what you need to know about XM:
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A broker is good for beginners if it has low fees and an easy-to-use platform.
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XM has a user-friendly mobile platform.
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XM has Low transaction costs and a minimum deposit of $5.
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Account opening at XM takes 1 day.
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XM is a legit and trusted broker.
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Browse the Best brokers for beginners for some great alternatives.
XM is a CFD broker
Just a quick heads up: XM focuses mainly on CFDs. Usually we don’t recommend CFD products for beginners because they can be quite risky.
On the other hand, XM provides real stock / cash equities / underlying stocks besides CFDs. When you invest into real stocks, you can buy the actual shares of a company instead of a CFD contract for the stock.
If you’d like to stick with CFDs, you might want to take a look at our article on CFD trading tips.
How to determine if a broker is good for beginners?
There are many factors to consider when evaluating a broker's services, possibly too many to list. However, in general, beginner-friendly brokers should have:
- an excellent web and mobile trading platform
- low fees
- an easy account opening process
- low minimum deposit
- great educational tools
- good customer service
Let’s explore how XM compares to its peers when it comes to platforms, fees, account opening and education tools. We're rating each category on a scale from 1.0 to 5.0, where 1.0 is the lowest and 5.0 is the highest.
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Web platform score
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2.8 stars | 2.8 stars | 2.8 stars |
|---|---|---|---|
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Mobile platform score
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3.8 stars | 4.3 stars | 4.3 stars |
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Fees
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Low | Low | Low |
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Account opening score
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5.0 stars | 5.0 stars | 5.0 stars |
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Deposit and withdrawal score
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5.0 stars | 4.4 stars | 5.0 stars |
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Education score
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4.5 stars | 5.0 stars | 5.0 stars |
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Customer service score
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4.5 stars | 4.5 stars | 3.4 stars |
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71.61% of retail CFD accounts lose money
Do XM's platforms cater to beginners, and is assistance provided?
Navigating the complexities of trading can be challenging. Easy-to-use interfaces and comprehensive learning materials can simplify these complexities, especially for new investors like you. So, choose a broker known for its user-friendly platform and robust educational resources.
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Web user-friendliness
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Mid-range | Mid-range | Mid-range |
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Web two-step authentication
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No | No | No |
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Mobile user-friendliness
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Great | Great | Great |
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2-step authentication
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No | Yes | Yes |
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Biometric authentication
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No | No | Yes |
Educational resources, such as demo accounts and platform tutorial videos, can really help you get the hang of trading platforms and make smarter investment choices. XM's educational resources have the following advantages: Demo account. Trading platform tutorial. Educational videos. However, they also have some disadvantages which could be improved: .
Similarly, effective customer support is also vital as it ensures that you receive timely assistance with account issues, trading problems, and general inquiries.
XM's customer support is generally quite reliable and helpful. At XM, customer support can be reached via live chat, phone and email.
What are the fees like at XM and is there a minimum deposit?
Transaction costs at a brokerage, including commissions and spreads, can eat into investment returns, especially for active traders. Choosing a broker with low fees is crucial as it allows more of your money to stay invested and grow, enhancing overall profitability.
Think of broker fees like admission to an amusement park. Just as you pay to enter and enjoy rides, you have to pay flat fees or commission-based charges to access trading services. Like different amusements parks offering various experiences and prices, brokers offer varied fee structures tailored to specific types of traders or investment strategies. Ultimately, like weighing park costs against fun, investors consider broker fees relative to trading benefits.
What about deposit requirements? At XM, the required minimum deposit is $5. This means that you have to put at least $5 in your broker account to be able to start trading.
Is that more than you're willing to commit at this point? See if you can start trading with less at other brokers.
| Broker | Minimum deposit | Bank transfer |
|---|---|---|
| XM | $5 | |
| FxPro | $100 | |
| Admirals (Admiral Markets) | $100 |
So what if you made a deposit but decide later that you want to switch brokers and invest your money elsewhere? No worries - you can always opt out and withdraw your funds.
How is the account opening experience at XM?
Account opening at XM is fully online, meaning you can do it from the comfort of your chair. In fact, you don't even need a chair: you can simply do it on the go on your mobile phone.
Opening a brokerage account is always free of charge, but the time it takes differs from broker to broker. At some brokers, it's as quick as signing up for a new Gmail account. At others, it might take a couple of days as they run a background check on your data. At XM, it usually takes 1 day to have your account up and running.
Is XM legit?
We hear more and more stories each day about clients who lost their money to scammers through unregulated services. BrokerChooser only features brokers that have top-tier financial regulators. As such, XM is a legit and trusted broker.
Top-tier regulators are regulatory or self-regulatory authorities that apply, oversee and enforce the strictest requirements and standards to ensure that brokers supervised by them do not engage in fraudulent activities. Oversight by a top-tier regulator is a good indicator that the broker adheres to the highest regulatory standards and practices. XM is regulated by ASIC in Australia.
If XM is not the right broker for you, go ahead and check out our top picks for Best Brokers for Beginners in 2024 for some alternatives.
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71.61% of retail CFD accounts lose money
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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.