This FOREX.com review 2020 takes an in-depth look at a true powerhouse broker that is highly reputable, with a strong history and a vast range of assets available for trading.
With quick execution, access to more than 4,500 assets, and a range of trading platforms, FOREX.com offers something for all types of traders, whether you are a beginner or more experienced.
The broker has competitive and transparent pricing along with plenty of research tools to appeal to experienced traders. Meanwhile, beginners will appreciate the vast educational resources.
FOREX.com is a trusted broker thanks to its regulation by multiple regulatory bodies around the world and strong, transparent policies regarding customer funds. There is even a 30-day demo account to let you confirm that FOREX.com is right for you.
To better understand why FOREX.com is among the most trusted forex brokers, continue exploring our FOREX.com review.
- More than 4,500 instruments available for trading
- Regulated in seven jurisdictions for peace of mind
- Multiple platforms to appeal to all styles
- Limited cryptocurrency selection for trading
This FOREX.com broker review has established that the broker was founded in 2001 and its parent company, GAIN Capital, started operations two years earlier. The mission of GAIN Capital has always been to provide low-cost access to the forex markets and this parent company has more than 140,000 retail and institutional clients. GAIN Capital is based in the Cayman Islands, with additional locations in London, England, and Bedminster, New Jersey.
FOREX.com has earned numerous awards over the years, including Best Forex Broker (from Investors Chronicle), Best US Forex Broker (from ForexExpo Awards in Moscow), Best FX Broker (from Shares Magazine), Best Arabic FX Platform (from the 10th Middle East Forex and Managed Funds in Dubai), Best Middle East Support (from the Arab FX Championship in Dubai), Best Forex Retail Trading Platform (from the UK Forex Awards), and a Fastest Growing Company (from Deloitte and Inc. 5000).
FOREX.com regulation and licensing
FOREX.com goes out of its way to ensure that client funds are safe. While most brokers are regulated in a handful of jurisdictions, FOREX.com is regulated in seven.
The Cayman Islands Monetary Authority regulates it via the Securities Investment Business Law of the Cayman Islands.
Our FOREX.com review team found that additional regulation comes through umbrella companies regulated by the Australian Services and Investments Commission (ASIC), Commodity Futures Trading Commission (CFTC) in the United States, National Futures Association (NFA) membership in the United States, Financial Services Authority (FSA) in Japan, Investment Industry Regulatory Organization of Canada (IIROC), and Financial Conduct Authority (FCA) in the UK.
Our FOREX.com forex broker panel would also like to emphasize that all client funds are segregated from the broker’s funds and they are distributed in custodian banks around the world. These are all top-tier banks.
Additionally, FOREX.com never participates in proprietary trading and has robust monitoring and review guidelines from the Risk Committee of GAIN Capital Holdings, Inc. its parent company.
Opening an account with FOREX.com
Opening an account with FOREX.com is incredibly simple and should only take a few minutes to do. Initially, you will have to choose an account type, so it helps if you have conducted your research before you begin the process. Alternatively, read our account types section below.
What is the minimum deposit at FOREX.com?
The minimum deposit at FOREX.com is $50 or 50 of the base unit of your chosen account. The broker recommends, however, depositing a minimum of $2,500 to maximize risk management as you trade.
How to open an account at FOREX.com
Opening an account with FOREX.com can be done completely online and is very straightforward.
- Step 1: Click Open an Account at the top of the page.
- Step 2: Choose your account type and select Open a FOREX.com account.
- Step 3: Fill out the relevant account information, including your country of address, full name, date of birth, email address, phone number, desired username, and desired password.
- Step 4: Answer background questions.
- Step 5: Answer questions about your trading experience.
- Step 6: Submit the required documents.
- Step 7: Fund your account.
You will need the following information to open a FOREX.com account.
- Personal information — com requires your full name, date of birth, address, and tax ID number.
- Regulatory information – The above information that com requires is due to regulatory reasons. You will also need to provide financial information as part of compliance with Customer Due Diligence.
- Documentation – You must submit a valid identification with a photo, such as a current passport, driver’s license, or national ID card. You will also need proof of your address with your address and name, such as a council tax bill, a utility bill, or a bank or credit card statement dated within the past six months. Your proof of address and proof of identification can be the same document in some cases.
Account types with FOREX.com
Our Forex.com 2020 Broker review covers the account types on offer. You will find a good selection, with something for most trading styles.
The Standard Account has ultra-competitive spreads and no commissions. There is transparent pricing and the ability to get cash rebates of up to 15 percent. The minimum deposit is $50 with a recommended balance of $1,000. The accounts follow the market maker model.
The Commission Account has even lower spreads and low commissions of $5 for each 100k traded, along with the potential to earn cash rebates. This account also follows the market maker model. It has the same minimum and recommended balance.
Direct Market Access Trading Accounts are designed for high-volume and experienced traders who need deep liquidity. This type of account is available to international traders, UK traders and, notably, FOREX.com is the only online broker to provide this service in the US. This account type does not have a mark-up from the prices that FOREX.com gets directly from top-tier liquidity providers and global banks. This type of account also has volume discounts on commissions.
The account also earns interest on the average daily margin available and receives priority service and dedicated one-on-one support. DMA Accounts follow the STP model with direct market access, and the recommended balance for these accounts is $25,000.
Our FOREX.com broker review team is pleased to announce that this site offers one of the best Islamic accounts on the market. Known as its “interest-free” account, you will not be charged or receive interest on rollovers. Instead, this account type may be subject to processing fees which are assessed daily.
FOREX.com also offers a free demo trading account, which is available for 30 days. This demo account lets you test strategies and familiarize yourself with the platform to minimize the risk of losing starting capital.
FOREX.com trading costs
Trading Fees* Type of Fee Cost Minimum Order Size (lots per trade) $1,000 Average Spread USDEUR (pips) 1 Commission (%) None (Unless a Commission Account) Commission on Islamic Accounts (%) $1 Non-Trading Fees Type of Fee Yes or No Inactivity Fees Yes Deposit Fees No Withdrawal Fees No
*Based on standard account type.
Forex.com’s fee structure is transparent. The broker’s default for trading fees is to charge spreads only and no commissions. However, if you choose a Commission Account, then there will be tighter spreads with small commissions. DMA Accounts do not pay spreads, only commissions.
You can view both live and typical spreads for each asset on the Markets page of FOREX.com, which this FOREX.com broker review appreciates for the sake of transparency.
For transparency, FOREX.com is clear on its rollover fees. These fees get applied automatically and the financing rates have benchmark regional interest rates that are +/- 2.5 percent. FOREX.com only applies rollover fees if a trade is open at 5 p.m. Eastern Time. This FOREX.com review 2020 appreciates that the broker sources institutional rollover rates and can competitive rollover fees, all of which it lists on the FOREX.com website.
Forex.com does not charge any fees for depositing on their site. Additionally, this broker will not charge you for making withdrawals. It is worth noting that there may be fees incurred by your payment provider that are outside the control of Forex.com.
FOREX.com does charge inactivity fees of $15. This fee is applied every month if you have not had any open positions or trading activity for at least 12 months. Compared to other forex sites, this is a moderately long grace period for inactivity, a positive in our review of FOREX.com forex broker.
FOREX.com payment methods
FOREX.com supports credit and debit card deposits of $50 to $10,000 in USD, GBP, or EUR. These transactions are immediate and can be done via MasterCard or Visa. Wire transfers are also available, without a minimum or maximum and no fee. These take one to two business days to process and have the same currency options.
UK traders can also make deposits via PayPal. This is an excellent option as they are instant and free, although there is a £50 minimum deposit limit.
Withdrawals on FOREX.com are always processed via the same method as your deposit, per legal regulations. You can withdraw any excess via a bank transfer. FOREX.com does not charge fees for withdrawals, but your bank may charge for receiving a wire transfer.
This FOREX.com forex broker review cautions that all withdrawals can take up to 48 hours. This time frame represents when FOREX.com completes its part of the withdrawal process, though your bank might take longer to credit your funds.
FOREX.com trading bonuses
Those who trade regularly will want to review FOREX.com’s Active Trader Program. This program is for high-volume currency traders and it allows for reduced costs associated with trading in the form of cash rebates up to 15 percent. Active traders also receive reimbursement on any wire transfer fees that your bank charges and one-on-one Market Strategist support.
To qualify as an Active Trader, you need to have at least $10,000 in your account or trade $25M in volume within a calendar month. The rebates increase with larger trading volumes, up to $10 rebate per million.
Additionally, FOREX.com offers a welcome bonus on the money funded into your account within the first 14 days of opening it.
Those interested in affiliate programs will also find the GAIN Capital affiliates program to be appealing. In addition to the FOREX.com online broker, it also includes City Index.
FOREX.com trading platforms
Our FOREX.com broker reviewers found that you can choose from three proprietary trading platforms. This includes one for advanced traders and one for those who prefer to trade on the go on their mobile devices. The advanced forex trading platform is great for active traders with customizable layouts, one-click trading, the ability to build indicators, and trade preferences.
Web trading appeals to those who do not want to download anything, not even a plugin, and it works across browsers and devices. It has integrated trading tools, advanced charting, and an intuitive design.
All three proprietary platforms come with TradingView charts, which give you access to over 50 technical indicators. Clients can also connect their FOREX.com account to TradingView.com to take full advantage of this alternative platform.
MT4 and MT5
In addition to proprietary platforms, FOREX.com offers all clients access to the ever-popular trading platform, MetaTrader 4. FOREX.com is the largest MetaTrader broker in the world, with more servers than any other broker globally. This means you can expect rapid connections and exceptional executions.
MetaTrader5 is also availble to clients who are trading via the CIMA arm of the broker. MT5 includes support for web and mobile trading, FOREX.com global market research, integrated Reuters news, and free hosting for Expert Advisors. There is also MetaTrader VPS Hosting, so you get the most from the EAs.
While MT5 is a great choice of experienced traders due to its extra features, this FOREX.com review 2020 does caution that it only provides access to more than 500 markets, not the 4,500 that FOREX.com offers on other platforms.
What is the execution policy at FOREX.com?
Standard and Commission accounts follow the market-maker model while DMA accounts follow the STP model. Orders are always executed on FOREX.com at the best available price when received.
FOREX.com has incredibly quick executions with a very strong reputation. FOREX.com online forex broker was the first to introduce its Execution Scorecard, which it did in January 2011. It is still the only broker that discloses figures related to execution. FOREX.com executes 99.73 percent of trades in less than a second and the average execution speed is just 0.05 seconds.
FOREX.com wide selection of markets
Our experts were impressed by the instruments offered by FOREX.com. Depending on your location, you will have access to over 4,500 instruments, spanning forex, indices, shares, oil and commodities, gold and metals, and cryptocurrency.
FOREX.com Markets and Products Instrument Number Currency Pairs 80+ Indices 21 Cryptocurrencies 8 Stocks 4,500+ Gold and Metals 4 Commodities 11
FOREX.com provides access to more than 80 currency pairs, including competitive spreads. The spreads for EUR/USD can be as low as 0.8 with a typical spread of 1 pip.
With indices, clients can trade on FOREX.com with fixed spreads starting at 1 point. FOREX.com shows the live prices as well as general market information, including minimum spreads and margins. Margins can be as low as 0.50 percent.
Since cryptocurrency trading is still relatively new, this review of FOREX.com forex broker appreciates that it is available to the extent it is here. There is a nice selection with five different cryptocurrencies and eight pairs, as Bitcoin can be traded against USD, GBP, EUR, or AUD. The costs associated with trading cryptocurrency on FOREX.com are highly competitive and you do not need to own the underlying asset.
Trading stocks on FOREX.com gives you access to top companies around the world, with the ability to go short or long. There are low commissions from just 0.08% and trading equity CFDs lets you speculate whether the market is falling or rising. Margins on stocks are usually 5%, but FOREX.com provides a detailed list of this and the commissions per trade on the Shares.
Commodities and Metals
Trading commodities, including gold and metals, gives you the ability to go long or short on UK and US crude. There are fixed spreads with a 1% margin available on UK Crude Oil. Depending on the commodity, the spread may be fixed or variable. FOREX.com provides relevant information for commodity futures, spot commodities, and metals, including pricing, typical spreads, and minimum margins.
FOREX.com does not offer copy trading. The closest to this is the automated trading available via the broker’s support of Expert Advisors.
Our FOREX.com reviewers were happy to discover that this broker is perfect for mobile traders. FOREX.com’s proprietary mobile trading platform is available for Android or iPhone and include real-time analysis and robust trading features. This includes TradingView advanced charts that come with over 50 indicators, drawing tools, and the ability to save chart templates. Mobile users also have access to dynamic trade tickets, where they can find key risk management information and enjoy the ability to set orders by price, pips, or profit and loss.
During our FOREX.com 2020 review, we also tested the broker using both the MT4 and MT5 mobile platforms. These also work seamlessly and allow you to monitor your open positions and trade on the go.
When it comes to research tools, this FOREX.com broker review finds that there are many more available tools here than their competitors offer. The broker offers plenty of expert market analysis, including a section for the latest research, where you will find multiple updates a day. For ease, you can search and filter this latest research section with tags such as technical analysis.
FOREX.com also offers an annual market outlook, with the 2020 Market Outlook being an end-of-year report that explores major events that will affect the markets in 2020.
There are also more quantitative tools, such as a list of pivot points that can help you determine support and resistance levels. You can also view information about US tech earnings and Brexit trading.
Of course, FOREX.com also has an economic calendar provided by FXStreet. This comes with filters, color-coding, and other effects.
Education and training for all experience levels
The Education section on FOREX.com is equally extensive and this FOREX.com forex broker review can easily establish that educational resources are available for all skill levels and trading styles. FOREX.com even has a Trader Type Quiz that lets you determine your trading style. It will then suggest which educational resources you should look at based upon your trading style. The only type of resource missing is webinars as you can only find articles or videos. Offering these two mediums for education helps FOREX.com appeal to all types of learners.
You can browse the various educational resources by theme or experience level. Themes include trading concepts, managing risk, technical analysis, trading strategies, fundamental analysis, and platform tutorials. FOREX.com also has a forex glossary.
FOREX.com customer support
At FOREX.com, you can contact customer support agents via live chat, phone, or email. All of these options are available 24/6 and are accessible via a single click on the bottom of the page.
FOREX.com also has a good FAQ section and potential clients will appreciate that they can easily contact customer support if they do not find the answer to their questions in the FAQs. Conveniently, the FAQs are divided by category and include a search bar.
FBS – Our verdict
During our FOREX.com review process, the broker consistently proves itself to be reputable and has a strong selection of offerings. We appreciate that it is regulated in so many jurisdictions around the world and takes client fund security seriously. Our review team also appreciates the fact that thousands of instruments are available for trading.
The deposit and withdrawal methods have enough variety to appeal to most client preferences, customer support is easy to contact, and pricing is transparent and competitive.
After our extensive FOREX.com review process, we can confidently say that opening an account with this online broker is safe and a simple process. You can do so in a matter of minutes and begin trading.