If you’re interested in trading CFDs, CMC Markets is one of the best platforms.
They have an extensive line of products, comprehensive tools, and low fees.
The public company has over 30 years of experience and was among the first to conduct forex transactions online.
Read on to find out if CMC Markets is the right trading platform for you.
Table of Contents
Introduction to CMC Markets
Founded in 1989 by Peter Cruddas, CMC Markets is a public UK-based company focusing on trading forex and CFDs.
CMC itself is an abbreviation of Currency Management Corporation, and they claim to be the first company to have done forex deals online over the Internet in 1996.
The platform has over 12,000 tradable instruments and is well-known for having low forex fees. CMC Markets was also awarded CANSTAR Broker of The Year in 2023.
CMC started to spread its wings globally in 2002. Aside from its headquarter in London, the platform also has hubs in Sydney and Singapore.
How to Create Your Account at CMC Markets
The onboarding process is straightforward, but make sure you have your ID and proof of address.
In their application form, you’ll be asked to fill in personal data and your trading experience.
CMC will send you an email with a link leading to video verification. You’ll be asked to show your face and hold your government-issued ID. Lastly, send your proof of address via email to their team.
The CMC account requires no minimum deposit, which is excellent news for people who want to start trading with lower amounts. You can choose between two accounts on CMC Markets: a CFD account and a spread betting account.
You can also open a pro account that allows higher leverage. But to open a pro version, you must place at least ten trades in previous quarters, have a portfolio exceeding €500,000, and have experience in the financial sector for at least one year.
The platform is mainly a CFD and forex broker; this means you can’t trade real stocks or ETFs.
Within their CFDs, you can trade currency pairs, stock indices, stocks, ETFs, commodities, cryptos, or bonds. They started to have up to 12,000 instruments to trade in, which means plenty of opportunities for active traders.
The platform has an automatic leverage level of 30:1, which is a negative aspect since you can’t adjust your risk levels.
CMC Markets Interface Review
CMC Markets interface features 115 indicators/overlays, 12 chart types, 35 drawing tools, highly customisable watchlists, clients’ sentiments, and a news feed from Reuters.
These tools can sometimes overwhelm traders and make the interface seem crowded.
Traders can use Next Generation and MetaTrader4 for mobile platforms. Next Generation is their in-house app, which is better than MT4. The MT4 offered is limited to CFDs and has no share capacity.
Unfortunately, there’s no two-tier authentication process, which can be crucial to most traders regarding account security.
The platform has three basic order types:
- Market: Most straightforward order where the trader signals the execution at a specific market rate
- Limit: Pending orders where the entry point is predetermined to be below or above a market rate, depending on your buy/sell position.
- Stop: Pending orders where the entry point is predetermined to be below or above a market rate, depending on your buy/sell position.
Research & Education
The platform provides extensive research and analysis made by analysts and research reports from third-party materials.
You can read related news from the links on the CMC website or access their CMC TV, which provides commentary on YouTube.
There is also a well-structured economic calendar, comprehensive charting tools, and trading ideas where the platform collects market info to compare with previous market speculation.
CMC’s Educational tools are also top-tier. You can gain plenty of information on trade via their learning centre.
Tutorial videos, webinars, and texts show you how to build a portfolio and proper trading strategies.
Is CMC Markets Expensive?
CMC Markets does not charge for setup, withdrawals, or deposits. Instead, the platform gains profit by charging commissions on trading transactions.
Here is the breakdown of CMC Markets fees:
- CFD fees: 0.10% commission.
- Forex trading fees: Around 0.7 pips on EUR/USD to 0.9 on GBP/USD.
- The platform also offers an active trader program that gives you discounts on trading costs based on your transaction amounts. The deal will depend on trading points calculated based on the markets you trade in. Check out CMC’s site for more details on their active trader discount.
- Alpha: With this scheme, you can access premium reports, market data, and trading centres. There are three tiers: Classic (11 trades per month), Active Investor (11-30 transactions per month), and Premium Trader (>30 trades per month). The scheme comes with a monthly price tag of $9.90, and discounts will apply according to your tier.
- Inactivity fee: The £10 or $15 inactivity monthly charge will be deducted if there are no open positions or other trading activity for one year. If you decide to reactivate your account, you can get up to £30 of inactivity fee back to your account.
How to Withdraw from Your CMC Markets Account
Before you can withdraw, you will have to link your bank account to the CMC Markets account. Ensure the bank account is under your name, as CMC Markets do not transfer to a third-party account.
To withdraw money from your CMC Markets account, click the “payments” icon and select “withdrawals.” You can also use the chat function and contact their team for assistance to withdraw money if you have issues. The process will take around 1-2 days.
Sometimes, the platform will ask for additional information, such as proof of identity, before processing your withdrawal. Withdrawal via Electronic Funds Transfer is free of charge, while wire transfer costs an additional $10.
I recommend you withdraw before their 11 AM cut-off time to process the request on the same day.
Safety & Security
CMC Markets is highly trusted, authorised, and regulated by the UK Financial Conduct Authority (FCA).
All CMC Markets clients will be eligible for the Financial Services Compensation Scheme, and you’ll be entitled to compensation for up to £85,000 should the company close down.
Customer Support Review
You can contact the CMC Markets support team via live chat, phone, or email. But support is only available from Monday to Friday.
I checked Trustpilot to find out about other clients’ experiences. Their platform is rated 4.1 out of 5, which is a decent standing. The reviews are mixed: some praised their customer service, but others were unhappy with unsolved errors.
From my experience, their chat service is responsive and helpful. They provide clear answers promptly. Phone support has a short waiting time, and the team answered my questions appropriately.
I also tried contacting them via email when I had account verification issues but have not received a reply within a week.
So I wanted to reach them via the live chat which was much quicker.
Who Should Use CMC Markets?
CMC Markets is a low-cost forex and CFD trading platform most suitable for experienced active traders. They can take advantage of the lower fees and discounts offered.
On the other hand, inexperienced traders might need help dealing with information overload.
If you’re a beginner, I recommend you use their free trial account to learn more about trading and their platform.
You should also make use of the educational content on their website.
Alternatives to CMC markets
If you don’t think that CMC Markets is for you, here are several alternatives you can choose:
- Plus500: Another fintech company that provides online trading services of CFDs on forex, cryptocurrencies, stocks, commodities, ETFs, options, and indices. Try this platform if you want more product options than CMC Markets offers.
- eToro: If you like social media, you should try eToro. The platform is a social trading and multi-asset investment company that provides financial services. They have over 30 million users and have over 3000 assets. Try this platform if you prefer to have an easier trading experience.
- Pepperstone: The company focuses on CFDs across forex, crypto, indices, commodities, and shares. The Melbourne-based brokerage has a similar portfolio to CMC Markets. Their strength is they offer MT4 and MT5 trading environments, while CMC offers only MT4 and their in-house platform.
Pros & Cons of CMC Markets
- Wide range of assets
- Multiple trading platforms
- No minimum deposits
- Competitive pricing for active traders
- Inactivity charge
- Complicated fee structure
CMC Markets Review – Final Thoughts
With extensive features and low transaction costs, CMC can help you grow your funds.
Experienced and beginner traders can gain insights from their research and educational tools.
Overall, the platform is an excellent place for active traders to place their transactions because they can benefit more from CMC’s discounts and fee structure.
I hope that my review has given you some valuable insight into what CMC Markets has to offer.
You can now make an informed decision about whether it’s the right trading platform for you.
Is CMC Markets safe?
Yes, CMC Markets is generally considered safe as it is regulated by the Financial Conduct Authority.
Is CMC Markets any good?
CMC Markets stands out as an exceptional choice among CFD and forex brokers. With competitive pricing, an extensive selection of tradable assets, top-notch market research, and valuable educational tools, it is widely recognised as one of the best options for traders seeking a superior trading experience.
How long do CMC withdrawals take?
Withdrawals from CMC Markets typically take around 2 business days.