Verdict on Markets.com
Markets.com is a trustworthy broker rated with Quality Score 8.5 out of 10.
I’ve traded forex with Markets.com and found their account opening process swift and straightforward. The broker, regulated by notable authorities like the FCA and ASIC, offers a range of deposit and withdrawal options which are both fast and free. Their research tools are commendable, aiding in informed trading decisions. However, they charge high forex fees and their product range is limited to CFDs and forex. The user-friendly nature of their platforms is a plus, but the absence of features like two-step authentication is a noticeable shortfall.
Pros & Cons
- Very fast trade execution
- Stable trading platform
- 50+ currency pairs
- Forex spread from 0.6 Pip
- Low minimum deposit ($100)
- Metatrader 4 (integration with EA Expert Advisor)
- Regulated in the UK, Cyprus, Australia, South Africa
- Financial instruments limited to CFDs & Forex
- Markets.com Webtrader might be too basic to advanced traders
- Limited base account currencies
Regulations of Markets.com
Markets.com is safe.
Markets.com operates under the legal name of Finalto pvt. Limited in most jurisdictions. It is regulated by 5 regulators in different regions.
Tier 1 Jurisdictions:
- Financial Conduct Authority (FCA) in the UK under license number 481853 under the legal name of Finalto Financial Services Limited.
- In Australia, the broker is regulated under the legal name of Finalto (Australia) Pvt. Limited with license number 424008 and regulated by the ASIC.
Tier 2 Jurisdictions:
- Cypriot CySEC under license number 092/08 under the legal name of Safecap Investments Limited. It covers the EU client base for legal purposes.
- The Financial Service Conduct Authority (FSCA) in South Africa is the regulator for Finalto (South Africa) Pvt. Limited with license number 46860.
Tier 3 Jurisdictions:
- All global customers of Markets.com are regulated under the British Virgin Islands Financial Services Commission (FSC) under license number SIBA/L/14/1067.
All regulators provide negative balance protection. The FCA in the UK provides an increased cushion of safety with an investor compensation of GBP 85,000.
Other EU clients receive an investor protection amount of EUR 20,000. There is no investor protection for non-EU and global clients though.
Although Markets.com is an established broker, it offers only CFD instruments to its clients.
Also, the curated lists of products and markets are fairly small for a renowned broker like markets.com.
You can get CFD trading options in the following categories of assets:
- Currency pairs – 56
- Stock CFDs – 2000
- Stock Index CFDs – 39
- ETF CFDs – 77
- Commodity CFDs – 29
- Cryptocurrencies – 25
- Commodities – 23
- Bond CFDs – 4
You get all majors and minors from a small list of currency pairs with markets.com.
- EUR/USD, USD/JPY, GBP/USD, USD/CHF
- AUD/USD, USD/CAD, NZD/USD
- EUR/GBP, EUR/CAD, GBP/CAD
For most traders looking for CFD trading options in forex, these top currency pairs are the most widely used ones and they tend to satisfy the needs of most traders.
You cannot buy real shares at markets.com as it only offers CFDs. It has a modest list of CFD shares on offer too.
However, you can access most of the widely traded CFD stocks from the UK, the US, and other leading stock exchanges around the world.
Some of the stock CFDs available include:
- Apple, Alibaba, Airbus, and Amazon.
- BBVA, Bayer AG, Bank of America, Cisco, Coca-Cola, Deutsche Bank.
- eBay, Exxon Mobil, Ferrari, Google, HSBC, IBM.
- MasterCard, Microsoft, McDonald’s
- PayPal, Tesla, Vodafone, Volkswagen.
Index trading at markets.com is also through CFDs and it has a collection of 39 indices from leading exchanges around the world.
Some of the available stock indices (CFDs) include:
- China 300ETF, China 50, Germany 40, EU50, HK45, JPY 225
- UK 100, UK200, US30, US100, US 500
Clients get cryptocurrencies, bonds, and commodities as tradable securities too. Some assets like cryptos are not available to UK clients though.
Like most established brokers, markets.com does not charge trading commissions. Instead, its trading fee is embedded in spreads.
- The spread on all CFD instruments varies by asset liquidity and volatility (details below).
- The overnight swap fees charged by markets.com are:
- Forex, Bonds, and Indices – 3.75%
- Oil and commodities – 7%
- Shares and ETFs – 16%
- Natural Gas – 15%
Non Trading Fees
- The inactivity fee charges are $10 per month after 1 year f the inactivity period.
- The currency conversion charges are 0.6%.
- The withholding tax rate is 30% on relevant transactions.
|Item/ Broker||Markets.com||XM||Pepperstone||HF Markets|
Now, let’s briefly compare the spreads of Markets.com with XM, Pepperstone, and HFM.
As you can see, markets.com comes with a higher trading fee schedule. As compared to some of its competitors, the forex and stock CFD trading fees are on the higher side.
Moreover, markets.com also penalizes its clients for an inactivity period of only 90 days with $10 per month, which is again on the higher side.
It comes with an average overnight fee schedule on most instruments. There are 11 base currencies on offer, so global clients can save on conversion charges by choosing their preferred base currency.
The non-trading fees of withdrawal and deposits are zero as is the standard practice nowadays with most leading CFD brokers globally.
Overall, we can say that the total trading costs with markets.com are on the higher side as compared to its competitors.
Markets.com offers an in-house web and mobile trading platform as well as the standard choices of MT4 and MT5 to its customers worldwide.
All three platforms are available for web and mobile users. The trading instruments, trading tools, and research features vary by the type of trading platform though.
Markets.com Web and Mobile Trading Platforms
Markets.com offers an in-house trading platform that comes with multi-asset trading options and is user-friendly.
The proprietary trading platform is also available on IOS and Android applications. The mobile app also comes with similar features as its web trading platform.
Some key features of the markets.com proprietary trading platform are:
- It comes with market-leading analysis tools from experts, insiders, and analysts.
- The charting tools are provided by TradingView.
- The platform is equipped with the latest trading tools, charting tools, a live stream of market move alerts, and technical, fundamental, and sentimental analysis tools.
- Both the web and mobile trading platforms come with swift, responsive, and user-friendly screens.
- The spread costs are lower on markets.com proprietary trading platform as claimed by the broker on its website.
Moreover, the trading platform comes with standard search, market order types, and portfolio reporting features.
However, the platform does not come with the two-factor login authentication which is a standard feature of most trading platforms these days.
MT4 Trading Platform
MT4 is one of the most popular trading platforms for its simplicity and user-friendly interface. It is liked and used by traders of all experience stages including beginners.
Some key features of the MT4 trading platform with markets.com are:
- Fast trade execution with competitive spreads.
- Several trading features like Algorithm trading, hedging, micro lots trading, and expert advisors.
- Intuitive and customizable charting tools.
- Price alerts, portfolio reports, and several order types.
- The choice of automated trading with the help of expert advisors.
- Help in technical analysis through 50 charts and indicator tools.
MT4’s desktop trading platform does not come with two-factor authentication either.
Its portfolio and fee reporting tools are impressive. The search and charting tools are also very useful which you can expect from a leading trading platform like MT4.
MT5 Trading Platform
MT5 is the advanced version of MT4 from MetaQuotes software company. It comes with improved and advanced features as compared to MT4.
Some key features of the MT5 trading platform are:
- Faster and improved user interface.
- It is a multi-asset derivatives trading platform.
- Users can use algorithm trading, hedging, and multi-asset trading.
- It comes with 21 timeframes and 38 charting/indicator tools.
- You get access to market news, economic calendar, market depth analysis, and other useful information.
Clients get similar search, reporting, and price alert features from MT5 as they do from MT4.
The MT5 trading platform from markets.com doesn’t come with the two-factor login authentication feature either.
Apart from an excellent educational section on its website, markets.com offers quality customer support services to its clients too.
You can contact the customer support team through:
- Live chat feature available on its website
- Phone service at:
- EU: +357 2222 2121
- AU: +61 280 144929
- Other countries: +44 203 1500 380
- Email support via firstname.lastname@example.org
The phone support option is available only through weekdays from Monday to Friday.
Types of Trading Accounts
Markets.com offers three types of accounts for its clients depending on user classes and five types of accounts depending on their deposit tiers.
The standard account types are only Demo Account and Real Account. Then, clients have the option of opening a retail, joint, or corporate account.
Users can open a demo account online within a few minutes and after verification, they’ll get a demo account with a balance of $10,000.
Then, users can switch from demo to real account type from the account settings menu in the dashboard.
Once you deposit funds, you can start trading immediately. Your trading instruments and trading platform will then decide the margin requirements, spreads, and other trading costs.
If you want to open a joint account, you can send an email request to the markets.com customer support team. A joint account is available for a client’s spouse or close relative (parents and siblings) only.
A corporate account can be opened by the lead person of the corporate entity. However, the individual must open a retail account first and then have the option to convert that account into a corporate trading account.
Markets.com also offers distinguished features based on account tiers. With more account deposits, you can move to the higher tier and enjoy greater benefits.
The chart below shows a comparison of all five types of deposit-based tier accounts and the comparison of features available with each type of account from markets.com.
—- tabulka —-
The spread reduction and stop-out level features are subject to approval from markets.com.
Research and Education
The proprietary trading platforms from markets.com and MT4/MT5 are equipped with useful research tools for traders.
Traders can enjoy a live stream of price movement alerts, charting tools, search features, and news sections.
There is also a morning daily show that helps you stay updated with the latest industry news and analysis.
Further, traders can enjoy a better trading experience through expert advisors’ tips, insiders’ section, and hedging tools.
Markets.com also boasts an excellent educational resources section on its website and trading platforms.
Users can learn the basics and advanced trading glossaries through educational tutorials, webinars, and news sections on its website.