Forex.com Review

Open account

Overall

Forex.com was founded in 1999 and is part of Gain Capital Holdings, a company listed on the New York Stock Exchange (NYSE:GCAP). It is one of the biggest forex brokers in the U.S.

Just last year, in 2017, they integrated the Trading View web platform as a standalone platform for trading and acquired the US customers of FXCM.

Pros

  • Licensed in major jurisdictions
  • Advanced charting possibilities
  • Offers Bitcoin Futures in the US and Crypto CFS in the UK

Cons

  • Mobile app is not that great
  • Number of assets is low compared to others
  • The platform offers little in terms of customization

Recommended for: forex traders looking for easy account opening, funding, and withdrawal processes.

Regulation and protection for customers

Forex.com is owned by Gain Capital and its subsidiaries which are regulated in 9 major jurisdictions around the world: CFTC and NFA in US, FCA in UK, Investment Industry Regulatory Organization in Canada, ASIC in Australia, SFC in Hong Kong, Monetary Authority of Singapore, FSA in Japan and Cayman Islands Monetary Authority.

The standard protections offered by licensing under there authorities apply, as such for example traders get to enjoy coverage under the FCA scheme for up to 50,000 GBP in the UK. Based on where you’re from we suggest to get informed of how exactly you are protected.

Accounts

Traders can choose between a standard account or a premium account. The minimum initial deposit required is at least 50 of your selected base currency, but they recommend you deposit at least 2,500 to allow for more flexibility and better risk management when trading on the account. Of course, this is their recommendation, and while 50 might indeed be quite low, you can probably do just fine with amounts less then 2,500.

They accept customers from all over the world, except for the following countries:

Broker Accepted Countries

Open account

Deposits and withdrawals

Forex.com accepts funds by credit card, debit card and bank transfer. 

In terms of withdrawal, you can withdraw through the same method you used to deposit, and they state that the withdrawals are typically processed within 48 hours.  

Forex.com does not charge any fees for deposits, however your issuing bank might do so, especially if you deposit funds from abroad, you may be charged a cross-border or currency conversion fee.

Open account

Product portfolio

You can trade 80+ currency pairs, Bitcoin as well as 90+ UK and US shares and some popular commodities and indices. In total, over 300 trading products. 

In terms of indices, there are 17 on offer, including the S&P 500, Germany 30 and other major ones. 

If commodities is your thing, they have Corn, Cotton, Heating Oil, US Natural Gas, Soybean, Sugar, Wheat, UK Crude Oil and US crude Oil on offer. 

Cryptocurrency available for trading include Bitcoin, Ethereum, Litecoin, Bitcoin Cash and Ripple.. 

There are also over 220 of the most popular UK and US shares to trade on, we’re not going to list all of them here however. Note that all products are traded through CFDs. 

All in all, it seems like the product portfolio is lacking, except for the offer on forex which is quite generous. Considering their name, this is to be expected.

Fees

Forex.com does not charge commissions for their services, but like many other brokers they earn money from the spreads, which are variable but in general especially on forex they are competitive. 

The company has four pricing models, depending on the type of account you hold and the volume you trade. Typical spreads range from 1.9 pips to 0.84 pips.

Non-trading fees

Forex.com charges an inactivity fee of $15 per month if you do not open any trade for more than 90 days. However, if you want to avoid that, you can contact them to temporarily disable your account. 

In addition, like always, be careful of holding overnight positions due to the financing rates.

Open account

Platforms

Forex .com offers multiple platforms: Web Trading, Advanced Trading, Mobile Trading and MT4. 

The Web Trading platform is optimized for speed and compatibility. The technology is powered also from Trading View, which is used on a daily basis by most TRI members. It provides a smooth experience and is packed with most tools needed for a non-advanced trader. 

The Advanced Trading is a powerful platform, which will meet the needs of most. You can create custom indicators on it, and can drag and drop windows to find a layout that works for you. If you download this, once you’re done, you will also get access to integrated trading strategies, from scalping to reversal techniques. There are over 100 templates that you can customize through Forex.com’s Development Studio. And of course, it would not be complete without the ability to create multiple watch lists. 

As a fun fact, somehow, it reminded us of a MS office product… it was probably the menu bars.

The Mobile trading app is available for iOS and Android. The app is clean, using minimalistic design and relatively intuitive. You’ll find an economic calendar within it, alerts for live traders, market updates, news as well as some educational videos. Charting is well, as easy as it can be on a mobile device.   

MetaTrader 4, widely regarded as the industry standard for online forex trading is full with features and tools. It allows traders to run automated trading on it. And we’ll leave it at this, but stay tuned as we will soon deliver a full review just on the MetaTrader 4.

Customer service

Customer support is available on a 24/5 basis and can be contacted by email, live chat or telephone and most websites show it as being helpful and fast. We have not tried it directly. 

The support is available in: English, Spanish, German, Polish, Lithuanian, Russian and Arabic.

Research

Forex.com offers multiple research tools, from news headlines and an economic calendar to Pivot Points and Market Analysis. If you haven’t heard of Pivot Points, well the platform offers you education on it as, well as other patterns or tools. 

The Market Analysis, as seen below shows headlines identified by the Forex.com Global Research Team. It contains information that drives markets so you can forecast and seize opportunities.  It can be filtered by authors, markets, themes or trending topics.

If you’re interested in real-time trade signals, you can get a premium package from Faraday research, directly from the Forex.com website, for 720 gbp per year. You can get a 45-day free trial at sign-up.

TRI conclusion

Forex.com offers competitive pricing, a number of trading platforms which can address beginners or more experienced traders. 

It’s regulated in major jurisdictions and owned by a parent company who’s listed on the NYSE, so that should give some reassurance.

Open account


Keep expanding your knowledge