Could It Be Safe to Invest in FOREX.com?

FOREX.com is a renowned forex broker that uses cutting-edge technologies. The platform is best suited for high-volume, active traders.

Are you a regular forex trader？

If so, you undoubtedly already know what you want: rapid, dependable transaction execution that can handle big trade volumes – with no hidden costs.

If that's the case, some could argue that FOREX.com was designed with your investment profile in mind. The software allows for CFD and Forex trading and supports over 80 currency pairings. It has developed a strong reputation among active Forex traders.

Forex.com, which was formed in 2001 and has been entirely controlled by Gain Capital Holdings, an NYSE-traded company, since 2010, has a plethora of ardent fans worldwide.

Is FOREX.com the website you're searching for？ Let us investigate.

What exactly is FOREX.com？

FOREX.com was founded in 2001 and is owned by StoneX Group, Inc., which also owns the sister brand City Index.

Today, FOREX.com is one of the biggest forex brokers in the United States and throughout the world, with $10 billion in total assets as per the company's GCAP critical financial statistics in Q3 2021, and $3 billion in total customer equity.

The organization manages over 140,000 retail traders worldwide, from the United States, United Kingdom, and Canada to Japan and Australia, and provides them with the tools they need to develop in the financial markets.

Is FOREX.com secure？

FOREX.com is a safe firm that is regulated by four tier-1 regulators, zero tier-2 authorities, and one tier-3 regulator in the following countries: the United States, the United Kingdom, Canada, the Cayman Islands, and Japan. Futures Commission Merchant (FCM), Retail Foreign Exchange Dealer (RFED), Commodity Futures Trading Commission (CFTC), and National Futures Association (NFA) member since 2004.

As rules differ from nation to country, the firm provides a variety of items. CFDs, for example, are prohibited in the United States, thus the firm does not sell CFDs to US traders, but it does offer CFDs to traders outside of the United States.

FOREX.com maintains a level of capital well over what the regulation requires to assist guarantee it is capitalized in times of economic turmoil.

Furthermore, the broker has a worldwide liquidity strategy in place that gives it access to considerable resources from StoneX Group, Inc. as well as an external revolving credit facility.

This allows FOREX.com to keep all client monies separate from its operational finances, which further protects traders' money in the case of a financial problem with the firm.

The firm provides no negative balance protection. The business does monitor customers' accounts automatically, and if there is insufficient margin in an account, the firm will immediately liquidate holdings.

However, this is not a fail-safe method of avoiding negative balances, and you will be more vulnerable to the danger.

FOREX.com's most noteworthy features are as follows:

FOREX.com is a safe firm that is regulated by four tier-1 regulators, zero tier-2 authorities, and one tier-3 regulator in the following countries: the United States, the United Kingdom, Canada, the Cayman Islands, and Japan (sister company City Index is regulated in Australia and Singapore).

Overall, its costs are competitive, and the broker makes the majority of its money via spreads.

The online broker provides a range of quick trading platforms to enable traders of all skill levels to thrive, including sophisticated trading, web-based trading, a trading app for those who never want to miss a move, and MetaTrader4 (MT4)

FOREX.com's research is one of its strongest suits, with customers able to obtain extremely centralized, structured, and up-to-date data on anything from Brexit analysis to forex webinars for novices.

Customer service is simply available and, in contrast to other brokers, rather ordinary.

The majority of customers will choose between a regular account and a commission account, however, margins may vary by area (50:1 in the U.S.).

Spreads and Fees

FOREX.com makes the majority of its money via spreads. Customers that join up for FOREX.com will have two price choices depending on the account they choose. The regular account has spread-based pricing and no commissions.

However, spreads may be much wider, beginning at roughly 1-2 pips for the most popular assets and rising to more than 100 for fewer in-demand currency pairings. Having said that, all spreads are changeable, which means they may move up or down at any moment.

For traders having a balance of $25,000 and a significant trading volume, the Direct Market Access (DMA) account is advised. This account does not charge spreads but is commission-based and is open to traders in the United States and other countries.

The commission account falls somewhere in the center and is ideal for high-volume traders who want to concentrate on spreads. It has modest spreads and a $5 fee for every 100,000 deals.

Fees and commissions are not FOREX.com's strong suit when compared to other brokers, since its spreads and costs are quite hefty, particularly for customers with smaller accounts.

Traders who have $25,000 or more in their accounts or make $50 million in transactions per month might profit from joining the Active Trader program.

This account will pay you interest on available margins up to 1% APY and up to $10 in cash rebates for every $1 million in transactions.

Traders with DMA accounts, on the other hand, are ineligible for the Active Trader program since their accounts already provide cost discounts depending on volume.

Leverage

The amount of leverage available is determined by your account type and activity. FOREX.com has a margin calculator on their website to assist you in determining how much leverage you may get.

As a result of new EU laws enacted in 2019, EU traders will be given less leverage. Professional traders, on the other hand, may use larger degrees of leverage.

Other Charges

Traders with less than $10,000 in their accounts who have not traded in 12 months or longer may be charged a $15 per month inactivity fee.

For deposits, FOREX.com does not impose any extra fees. Withdrawals and checks are likewise free of charge. Wire transactions above $10,000 are free, but anything less than that is subject to a fee: $25 for wire transfers inside the United States, and $40 for transfers outside of the United States.

Overall, FOREX.com's pricing is straightforward to grasp, and it provides accounts for traders of all skill levels.

What FOREX.com excels at

FOREX.com provides a range of quick trading platforms to assist traders of all levels to succeed, including sophisticated trading, web-based trading, a trading app for those who don't want to miss a move, and MetaTrader4 (MT4)

The firm's platforms are ideal for both active and long-term traders who want to get the most out of their trading experience. They are all designed to be simple to use and to get you where you need to go.

The complex platform provides traders with sophisticated features and analytical tools such as;

• Fully customized dashboards and trading settings

• Excellent charting capabilities, over 80 technical indicators, and a plethora of sketching tools

• Advanced analytical tools to assist you in developing complicated strategies utilizing one of their templates

Learn more about WikiFX Expert Advisors and how they may assist you with your trading journey.

The Web Platform

The online interface will provide traders with access to calendars, charts, and a news feed, as well as your transaction history and positions. You'll also get access to expert analysis reports, research reports, and trade signals to help you strategy with the most accurate and up-to-date market data.

The online platform is fully-equipped with features, tools, statistics, and smooth account management for financing and withdrawing from your account, as well as everything you need to execute a rapid transaction when necessary.

Traders may use this to connect their FOREX.com account to NinjaTrader, a popular third-party trading platform.

FOREX.com on the Go

FOREX.com's app is quick, sophisticated, and easy to use. It allows traders to conduct transactions while on the go, since, as the company puts it, “while you're on the go, so are the markets.”

The mobile app is an excellent alternative to the online platform, and it has numerous outstanding features. Its full-featured trading and sophisticated risk management features, TradingView charting and analytical tools, real-time trade and order notifications, and integrated fund management capabilities are among them.

The newly updated app has all of the functionality that one would expect from a big brokerage such as FOREX.com. One-swipe trading, personalized watchlists, easy-to-use alerts, and a light and dark theme are all included.

Through the interface with TradingView, you'll additionally get powerful charting options. There are ten distinct chart styles to pick from, 14 different periods, and more than 60 technical indicators and tools.

The software has complete order functionality, such as the ability to construct conditional orders and simply set stop losses and profit objectives throughout a transaction.

Where FOREX.com Could Improve

Customer Service

You can reach FOREX.com's customer care quickly and conveniently through online chat or phone assistance. From 10 a.m. ET Sunday through 5 p.m. ET Friday, support is accessible.

If you have a more general question that you believe others have asked, you may check FOREX.com's thorough FAQs area, or perhaps one of their video lessons can address your query.

However, there is no social media support, which is a little behind the times given that they do have social media accounts that they update with things like the most recent market research.

Because the conversation is only a chatbot, it has a restricted set of responses. If the chatbot is unable to respond to your question, it will route you to a customer support professional. Email help is also accessible, however, it may take a little longer to obtain a response.

For more comprehensive inquiries, phone help is the fastest and best choice, although it may sometimes be a touch delayed during busy market hours.

In comparison to other brokers' help services, FOREX.com's assistance is very typical.

Products for Investment

For US traders, forex pairings are restricted to 83, as are underleveraged gold and silver. Anyone living outside of the United States will have access to all forex pairs, as well as CFDs on stocks, commodities, and indices.

Traders in the United Kingdom may now trade the volatile cryptocurrency; South Korea stated plans to move toward institutional adoption of cryptocurrencies.

The Bare Minimum

Traders may fund their accounts with 100 of their most valuable units of the account currency. The lot size is also subject to minimum criteria.

The minimum lot size on FOREX.com is 1,000 units. To avoid any misunderstanding, there is no cash value linked with this figure—it is just lot size. So, in the United States, where leverage is 50:1, a trader would require around $23.70 to trade 1,000 EUR/USD (which is roughly 2 percent of the 1,000 euros).

Account Varieties

We discussed this briefly in the costs section, but let's go through your account choices in more depth now.

The majority of customers will choose one of two accounts: a basic account or a commission account.

Both have identical criteria, however, one utilizes FOREX.com's proprietary trading platform while the other provides MT4 software. These accounts will have different margin rates depending on where you live. The margin rate in the United States, for example, will be 50:1.

The MT4 account, on the other hand, does not provide shares and contains fewer commodities. It also has fewer order types and fewer options for setting user-defined pricing tolerance.

Account Standard

This is excellent for typical users and beginner currency traders. It is spread-based, with wider spreads than some rivals, but there are no commissions.

Account for Commissions

This account is better suited to highly active and experienced traders. It is commission-based, as the name implies, and you will be given lesser spreads.

Account for Direct Market Access

A direct market access account is designed for high-volume traders with a minimum deposit of $25,000. It has smaller spreads and needs bigger volume transactions to benefit from very cheap fees after rebates.

Account of an Active Trader

If you generate a lot of trading volume, this is a terrific account for you. It provides discounts on normal spreads. The EUR/USD pair, for example, maybe traded for as little as 0.4.

Account Demo

Traders may practice their trading on FOREX.com's practice account, which is accessible through the trading platform, or on a demo account, which is accessible via MT4; both are viable choices. Users will get $50,000 in virtual currency with their trial account, which should be plenty to get some practice in.

How to Open a FOREX.com Account

To establish a FOREX.com online account, just go to the broker's account area and choose your favorite account choice to begin the application process.

In conclusion

FOREX.com is a premier forex broker offering a plethora of services. FOREX.com will benefit active traders with high-volume transactions the most, but others, including novices, will gain from the firm's structured and up-to-date market analyses and live webinars.

FOREX.com's platforms are great all around, and their extensive features and capabilities will allow traders to thrive.

The mobile experience is almost as excellent as the online platform, except for fewer technical indications.

Fees vary depending on your account type, however, ordinary accounts carry greater spread-based fees than rivals.

Traders in the United States are provided 83 investment products, and their assets are confined to major international currencies. Traders in the United States are likewise unable to trade crypto-currencies.

Overall, experienced traders with a significant trading volume should think about FOREX.com as a viable choice.

FOREX.com - Frequently Asked Questions

Is FOREX.com a secure website？

FOREX.com is regulated by top-tier financial regulators, indicating that it is a secure brokerage. The organization has a budget that is much more than what is necessary to assure the safety of their clients' money in times of economic crisis, so you won't have to worry about losing your hard-earned money if that happens.

How Much Money Do I Need to Begin Trading on Forex.com？

FOREX.com requires a minimum deposit of $100. The firm needs you to deposit 100 of your account money, although they recommend that you have at least 1000.

Is there a withdrawal fee at Forex.com？

FOREX.com, unlike many other brokers, does not impose withdrawal fees. They will, however, charge you for wire transactions under $10,000. The price for transfers inside the United States is $25, while transactions outside of the United States are $40.

Is Forex.com Recommendable for Newcomers？

Forex.com is regarded as a decent platform for new traders. It is simple to use and offers a wide variety of features, and new investors may benefit from the broker's substantial instructional materials.

Compare Forex.Com to any other broker by choosing the other broker from the list below.

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