When choosing a forex broker, it’s crucial to understand the differences between your options to make an informed decision. In this article, we’ll compare two popular brokers: Deriv.com and XM. Our goal is to help you understand their features, benefits, and drawbacks so you can decide which broker best fits your trading needs.
| Feature | Deriv.com | XM |
|---|---|---|
| Founded | 1999 | 2009 |
| Regulation | Vanuatu Financial Services Commission (VFSC), Malta Financial Services Authority (MFSA), and others | Cyprus Securities and Exchange Commission (CySEC) and other authorities |
| Trading Platforms | Proprietary platform, MetaTrader 4 (MT4), MetaTrader 5 (MT5) | MetaTrader 4 (MT4), MetaTrader 5 (MT5) |
| Account Types | Synthetic indices, forex, commodities, and stock indices | Micro, Standard, XM Zero accounts |
| Spreads | Competitive, especially on synthetic indices | Starting from 0.6 pips for major currency pairs |
| Commission | None on most trades | Charges on XM Zero accounts |
| Additional Fees | Withdrawal and deposit fees may apply | No withdrawal fees |
| Platform Options | Proprietary platform, MT4, MT5 | MT4, MT5 |
| Tools and Features | Advanced charting tools, technical indicators, educational resources | Trading tools, economic calendars, market news |
| Mobile Trading | Apps available for Android and iOS | Apps available for Android and iOS |
| Support Channels | Live chat, email, phone | Live chat, email, phone |
| Response Time | Generally quick and helpful | Responsive and effective |
| Languages | Multiple languages | Various languages |
| Security | Encryption for data and funds | Robust security measures, including encryption and segregated accounts |
Overview of Deriv.com and XM
Deriv.com and XM are well-known in the forex trading community. Both offer a range of services but have distinct features that cater to different types of traders.
Deriv.com:
- Founded: 1999
- Regulation: Licensed by the Vanuatu Financial Services Commission (VFSC), Malta Financial Services Authority (MFSA), and others.
- Trading Platforms: Deriv offers its proprietary platform, along with MetaTrader 5 (MT5) and MetaTrader 4 (MT4).
- Account Types: Includes synthetic indices, forex, commodities, and stock indices.
XM:
- Founded: 2009
- Regulation: Regulated by the Cyprus Securities and Exchange Commission (CySEC) and other authorities.
- Trading Platforms: XM supports MetaTrader 4 (MT4) and MetaTrader 5 (MT5).
- Account Types: Offers a range of accounts including Micro, Standard, and XM Zero accounts.
Trading Costs and Fees
Deriv.com:
- Spreads: Generally competitive, especially on synthetic indices.
- Commission: Deriv does not charge commission on most trades.
- Additional Fees: Withdrawal and deposit fees may apply depending on the payment method.
XM:
- Spreads: XM offers low spreads starting from 0.6 pips for major currency pairs.
- Commission: XM charges commission on its XM Zero accounts.
- Additional Fees: XM has no withdrawal fees and offers various deposit options.
Trading Platforms and Tools
Deriv.com:
- Platform Options: Deriv’s proprietary platform is user-friendly and integrates well with MT4 and MT5.
- Tools and Features: Offers advanced charting tools, technical indicators, and educational resources.
- Mobile Trading: Supports mobile trading through apps for both Android and iOS.
XM:
- Platform Options: MT4 and MT5, which are highly regarded for their trading capabilities and customization options.
- Tools and Features: Provides a variety of trading tools, including economic calendars and market news.
- Mobile Trading: XM’s mobile apps are available for both Android and iOS devices.
Customer Support
Deriv.com:
- Support Channels: Live chat, email, and phone support.
- Response Time: Generally quick and helpful.
- Languages: Support is available in multiple languages.
XM:
- Support Channels: Live chat, email, and phone support.
- Response Time: Known for responsive and effective customer service.
- Languages: Provides support in various languages.
Regulation and Security
Deriv.com:
- Regulation: Licensed by several regulatory bodies, but not as widely regulated as some competitors.
- Security: Uses encryption to protect user data and funds.
XM:
- Regulation: Regulated by top-tier authorities, providing a high level of security and trust.
- Security: Employs robust security measures, including encryption and segregated accounts.
Conclusion
Both Deriv.com and XM offer solid trading options with their own strengths. Deriv.com stands out with its proprietary platform and competitive spreads on synthetic indices, while XM excels with its low spreads, comprehensive regulatory oversight, and strong customer support.
When deciding between Deriv.com vs XM, consider what matters most to you: platform features, trading costs, or regulatory trust. Both brokers have their unique advantages, so the best choice will depend on your personal trading preferences and needs.