Regulators: FCA, ASIC, IIROC, MAS
Minimum Deposit: 0
Maximum Leverage: 1:500
My Score: 6.9
CMC Markets is a broker who has been in the forex market for nearly 30 years. CMC Markets was founded in 1989 in the UK. In 1996, he became the first broker to offer online forex trading platform. Since that day, it has made many successes and has received many awards. At present, it offers services to investors from many countries of the world. The broker’s official website has more than 1 million visits per month.
One of the highlights of the CMC Markets is that it offers a large number of trading instruments. More than 180 forex pairs and 10.000 CFDs are offered by the broker for trading. It can be the highest number among reliable forex brokers.
Following all this information, the question is: Is CMC Markets safe or scam broker? What is the source of its reliability? What is its account types and spreads? Is there any withdrawal problem? You can find all these questions in this CMC Markets review.
Regulation and Client Protection
CMC Markets are very strong in terms of regulation. Because it is licensed from 4 different regulators, and all these regulators are reputable regulators in the world, they have very strict rules. In the table below you can see these regulators and their country.
|CMC Markets UK Plc||UK||FCA|
|CMC Markets Canada Inc||Canada||IIROC|
|CMC Markets Asia Pacific Pty||Australia||ASIC|
|CMC Markets Singapore Pte Ltd||Singapore||MAS|
For example, FCA is known as a regulator with very strict rules, and it is quite difficult for a broker to obtain a license to FCA. FCA licensed brokers must have at least 730,000 euros in their bank accounts and clients’ funds and operational accounts of the company should be separate. Thus, client’s funds are not affected by the economic negativity of the company. In addition, FCA offers compensation fund as an additional guarantee. All FCA-licensed brokers are members of the Financial Services Compensation Scheme (FSCS), and in the case of the company goes bankrupt, clients’ funds are compensated up to £ 50,000 by FSCS.
Similar safety precautions and control mechanisms exist in other regulators that regulate CMC Markets. After all, I can say that CMC Markets is a well-regulated reliable broker.
Account Types & Spreads at CMC Markets
CMC Markets offers a very limited number of options in terms of account types. There is no minimum deposit in the standard account type. You can activate your account without making a deposit, but you can not start trading. The maximum leverage is 1: 500, which is the maximum leverage offered by many FCA and ASIC licensed brokers.The spreads offered by CMC Markets start at 0.7 pips. I can say that these spreads are very competitive compared to other forex brokers. These spreads even compete with ECN account types found in many brokers.
|Account Type||Minimum Deposit||Maximum Leverage||Spreads|
|Standard||-||1:500||0.7 pips on EURUSD|
At CMC Markets, the MetaTrader platform is not available because it offers its own in-house platform called Next Generation as an advanced online forex trading platform. In addition, when you trade your losses can exceed your deposit. As a result of this, the broker may require further payments. To avoid this problem, ask the broker for negative balance protection.
In terms of deposit and withdrawal methods CMC markets offer a very limited choice. Only wire transfer and credit card are offeed as deposit and withdrawal options. As an extra, a few more options are available depending on country.
Commissions and fees5.0/10
Platform & Tools7.5/10
- Strong regulation with 4 different regulator include FCA and ASIC
- Competetive Spreads
- One of the oldest forex broker
- Payment methods are limited and no available e-wallet systems like Neteller, Skrill
- No Meta Trader 4 & 5