For this review of CMC Markets, we focused on the services provided by CMC Markets UK PLC (cmcmarkets.com) regulated by the UK Financial Conduct Authority (FCA). We conducted our tests with a live CFD Account using the Next Generation Platform and mobile app. Some of the features and services will vary depending on which jurisdiction you open an account in.
CMC Markets is a leading CFD and Spread Betting broker, founded by Peter Cruddas in 1989. The UK based company is listed on the London Stock Exchange (LSE) under the ticker symbol, CMCX. CMC Markets is overseen by multiple regulators across the globe, including the UK Financial Conduct Authority (FCA).
The flagship Next Generation trading platform provides advanced tools and functionality for trading a vast range of instruments. Spreads are among the most competitive in the forex and CFD industry. With over 30 years of experience and more than 300,000 clients globally CMC Markets has created a state of the art platform geared to help traders realise their potential. Research and educational resources are also top notch at this broker.
CMC Markets has a very well-rounded offering. This comprises low trading costs, an industry-leading range of trading instruments, solid customer service, competitive spreads, and a powerful proprietary trading platform.
With tight spreads and features such as one-click trading and price alerts, CMC Markets can cater to the needs of active, sophisticated traders. At the same time, reliable customer service and in-depth educational offerings make it an attractive broker for beginners.
Pros | Cons |
|
|
☑️ Regulations | BaFin (Germany), ASIC (Australia), MAS (Singapore), IIROC (Canada), DFSA (United Arab Emirates), FMA (New Zealand), FCA (United Kingdom) |
🗺 Supported Languages | English, Danish, French, Portuguese, Czech, Arabic, Italian, Spanish, Chinese, Finnish, Japanese, German, Norwegian |
💰 Products | Currencies, Stocks, ETFs, Bonds, Indices, Commodities |
💵 Min Deposit | $0 |
💹 Max Leverage | 1:30 (BaFin), 1:30 (ASIC), 1:20 (MAS), 1:45 (IIROC), 1:30 (DFSA), 1:500 (FMA), 1:30 (FCA) |
🖥 Trading Desk Type | Dealing Desk, Market Maker |
📊 Trading Platforms | CMC Mobile App, CMC Web Platform, MT4 |
💳 Deposit Options | PayPal, Wire Transfer, Credit Card |
💳 Withdrawal Options | Wire Transfer, Credit Card, PayPal |
🤴 Demo Account | Yes |
🗓 Foundation Year | 1989 |
🌎 Headquarters Country | United Kingdom |
CMC Markets earns a high trust score from us. It is regulated by the UK FCA and a number of other top regulatory agencies across the globe. In addition, CMC Markets is a publicly traded company and a member of the FTSE 250 Index.
In our trust category, we place most importance on how a broker is regulated. So let’s dive in and take a look at how the different entities of CMC Markets across the globe are regulated and how this impacts you as a trader. We rate regulators on a scale of 1 to 3, with 1 reflecting the highest level of trust.
CMC Markets is regulated by multiple financial authorities around the world.
Different regulators provide different levels of protection. For example, CMC Markets clients in the United Kingdom benefit from the oversight of the UK Financial Conduct Authority (FCA). The FCA requires that clients have negative balance protection, which means that they cannot lose more than their deposit. Client funds must be held in segregated accounts, which are protected in the event of a broker going bankrupt.
In addition, when trading with a broker authorised by the FCA, client funds are protected by the Financial Services Compensation Scheme (FSCS). The FSCS protects investments of up to £85,000 if a firm becomes insolvent. A trader working with a broker entity regulated offshore would not have these benefits guaranteed to them.
In the table below we break down the mandated protections and benefits by entity, regulator and region.
Entity | CMC Markets UK plc | CMC Markets Canada Inc. | CMC Markets Asia Pacific Pty Ltd. | CMC Markets Singapore Pte. Ltd. | CMC Markets Middle East Ltd. | CMC Markets NZ Ltd. | CMC Markets Germany GmbH |
Country/Region | UK | Canada | Australia | Singapore | Dubai | New Zealand | Germany |
Regulation | FCA | IIROC | ASIC | MAS | DFSA | FMA | BaFin |
Segregated Funds | Yes | Yes | Yes | Yes | Yes | Yes | Yes |
Negative Balance Protection | Yes | Yes | Yes | Yes | Yes | Yes | Yes |
Compensation Scheme | Yes | Yes | No | No | No | No | Yes |
Standard Leverage | 1:30 | 1:30 | 1:30 | 1:20 | 1:30 | 1:500 | 1:30 |
Regulatory requirements are subject to change. The data listed above was gathered in February 2022.
In our tests for the Trust category we also cover factors relating to stability and transparency. Here, we focus on how long the broker has been in business, the size of the company and how transparent they are in terms of information being readily available.
Founded in 1989, CMC Markets has a substantial operating history and is one of the oldest Forex and CFD brokers in the world. It is also one of the largest, with between 501 to 1,000 employees, according to the company LinkedIn page. Headquartered in the City of London, CMC Markets also has offices in Sydney, Singapore, Toronto and across Europe.
CMC Markets is a publicly traded company, listed on the London Stock Exchange (UK:CMCX). In 2020 it became part of the FTSE 250 Index, a capitalisation-weighted index listing the largest companies on the London Stock Exchange. As a publicly traded company, CMC Markets must disclose financial reports, allowing for greater insight into the stability of the company.
In our research, CMC Markets showed a good level of transparency in areas such as their regulatory status, fees and general background information. Information and materials are readily available on the website. The regulatory status of different subsidiaries is covered at the footer of each page. The Trading Costs page clearly outlines all the costs such as spreads and overnight holding fees. A User Agreement (Terms of business) document is available on the CFD Legal Documents page.
Overall, we rated CMC Markets as having a high level of trust and stability due to the following factors:
CMC Markets offers industry leading spreads in assets ranging from forex to CFDs on commodities and indices. Overnight financing costs are standard for the industry and we found no hidden expenses that might surprise traders.
CMC Markets earns money mainly from spreads (the gap between the bid and offer prices of an asset). However, in the case of stock CFDs, commissions are also charged.
Spreads at CMC Markets are among the tightest in the industry, making it an attractive broker for active traders. Rebates are also available for high-volume professional traders, allowing for further savings.
CMC Markets aim to fix their spreads at a target level but it is not guaranteed. The size of the spread typically depends on the level of liquidity in the market. Liquidity describes the extent to which an instrument can be bought and sold quickly and without moving the market. Tighter spreads are usually seen when there is greater liquidity in the market.
We tested the spreads at CMC Markets across different asset classes in a live account using the Next Generation platform. The test was done at 8AM GMT and at 4PM GMT on February 3rd 2022. We made our tests at two different times to allow greater perspective. 8AM GMT is the London open, when there is a great deal of liquidity in the forex market and therefore tighter spreads in currency pairs. 4PM GMT is shortly after the opening of the New York stock exchange.
Instrument | Spread AM | Spread PM |
EUR/USD | 0.7 | 0.7 |
GBP/JPY | 2.5 | 2.5 |
Gold | 0.3 | 0.3 |
WTI Oil | 0.03 | 0.03 |
Apple | n/a | 0.05 + commission |
Tesla | n/a | 0.52 + commission |
Dow 30 | 3 | 3 |
Dax 40 | 1 | 1 |
When trading CFDs on shares at CMC Markets a commission is charged when placing each trade. The charge varies depending on which country the share originates from.
Country | Commission charge | Minimum commission |
US | USD 0.02 | USD 10.00 |
UK | 0.10% | GBP 9.00 |
Germany | 0.10% | EUR 9.00 |
Spain | 0.10% | EUR 9.00 |
France | 0.10% | EUR 9.00 |
Spreads at CMC Markets were very competitive in our tests, beating industry averages in assets from forex to commodities and index CFDs.
Swap fees (the cost of holding a position overnight) were average at CMC Markets.
In the table below you can see the Swap Long (the cost/credit of holding a buy position overnight) and the Swap Short (the cost/credit of holding a sell position overnight) for one full sized contract. A full sized contract is 100,000 units of the base currency (the first currency quoted in the pair).
Instrument | Swap Long | Swap Short |
EUR/USD | Charge of $4.83 | Charge of $0.89 |
GBP/JPY | Charge of $1.51 | Charge of $4.81 |
The data above was recorded on February 4th 2022.
There is no charge for the deposit and withdrawal of funds. There is a monthly fee of 10 units of your local currency after 12 months of inactivity. This fee is fairly standard for the industry and there are no deductions made if there are no funds in the account.
Overall we were impressed by the fees at CMC Markets and especially with the tight spreads, which is something highly important to traders. The costs of entering and exiting trades are reflected in the spread. For an active trader, this cost can often make the difference between being profitable or suffering losses at the end of the day.
CMC Markets offers its proprietary Next Generation platform via web and mobile. Clients can also trade via MetaTrader 4 on desktop, web and mobile.
The Next Generation platform is both user friendly and feature rich with advanced tools and robust charting.
At the core of CMC Markets’ offering is its proprietary web-based Next Generation platform. The platform has a clean, easy to use interface along with advanced functionality, making it suitable for beginners as well as experienced traders.
Charting within the Next Generation Platform is robust and feature rich. Charts include the following features:
The layout of charts within the platform is easily customisable and there are a variety of preset layouts you can select if you want to watch the charts of multiple markets at once.
The Next Generation platform offers built in chart pattern recognition tools. The idea is that you can scan multiple instruments and timeframes for classic chart patterns that may have predictive value. The patterns recognized are mostly basic ones such as triangles, wedges and double tops/bottoms. The more sophisticated Head and Shoulders pattern can also be identified.
A client sentiment tool lets you know what other clients within the platform are trading and whether they are long (buyers) or short (sellers). Sentiment can be viewed across the whole client base or just among the top performing traders. Sentiment is usually used as a contrarian indicator.
The platform offers an above average range of order types for placing trades. Traders can choose between the following orders:
Time in force conditions can be applied to orders. For example if you are entering a limit order to buy gold at a price below where the market is trading, you can either mark the order GTC (good til cancel) or set a specific expiry date for your order.
The Next Generation platform also offers two important features for active traders who value speed in placing orders.
The CMC Markets mobile app is both intuitive and feature rich, delivering a great experience for traders on the move.
The CMC Markets mobile app has a great user interface and is packed with similar functionality to the web platform. Over 12,000 instruments are available to trade. Charts are optimised for mobile and offer 25 technical indicators and 15 drawing tools. You can place, edit and close trades directly from charts.
The full range of order types including guaranteed stop-loss orders, trailing stops can be used through the order tickets on the app. Both biometric (fingerprint) and two-step login are available.
The start screen is customizable to suit your preferences. Alerts on your orders or prices levels can be set up via push notifications, SMS or email.
Minor drawbacks: You can’t be logged into mobile and the web platform at the same time. Also, charts do not automatically sync with the way you have them set up in the web platform.
MetaTrader is a powerful platform with impressive features but the interface appears dated in comparison with the Next Generation Platform. What distinguishes MetaTrader is its ability to perform strategy backtesting and automated trading.
The platform provides popular features such as:
MetaTrader also delivers when it comes to the range of available order types and its charting functionality. The following order types are available:
Charting features are robust. MetaTrader 4 offers:
MetaTrader is also popular due to its copy trading and automated trading features.
To conclude, the MetaTrader 4 desktop platform is one of the most feature-rich and popular trading platforms in the world. It does not have the best design and it does require some time and effort to learn, but that is typical of advanced platforms.
CMC Markets is a dealing desk/market maker broker, meaning that they set the bid (buy) and offer (sell) prices internally and automatically take the other side of a client’s trade. This contrasts with STP/ECN brokers who provide clients direct access to other market participants. (STP stands for straight through processing and ECN stands for electronic communications network.)
CMC Markets stands at the forefront of the industry in terms of the range of products it offers for trading. Clients have access to over 12,000 different trading instruments.
Clients of CMC Markets can enjoy a greater number of trading opportunities through the sheer size of the number of trading instruments available. Over 12,000 CFD instruments can be traded covering forex, indices, cryptocurrencies, commodities, shares, ETFs and treasuries. These include:
CMC Markets does not offer Options CFDs. This is something relatively rare among CFD brokers.
Note: Cryptocurrencies are only available in the UK for clients with professional accounts. This is because in January of 2021 the FCA banned the sale of crypto-derivatives to retail consumers.
In the table below, you can see a selection highlighting the variety of instruments available at CMC Markets:
Forex | Stock CFDs |
EUR/USD | AUD/TRY | CHF/SGD | Robinhood | Lufthansa | Facebook |
Commodity CFDs | Crypto CFDs |
Lumber | Natural Gas | Copper | Bitcoin | Ripple | TRON |
ETF CFDs | Index CFDs |
Energy Select Sector SPDR Fund |iShares Russell 2000 ETF | Vanguard Total Bond Market ETF | France 40 | US 30 | Japan 225 |
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage.
Customer support is strong at CMC Markets but there is still room for improvement, especially with the wait times experienced for responses via chat.
CMC Markets offer support via email, chat and phone. Chat and local phone support are available 24 hours a day from Monday to Friday.
When testing the support via chat, there was often a short delay and placement in a queue. The wait was not long, but clearly longer than some market leaders where responses are usually immediate. In phone support the wait time was almost zero. For email inquiries we typically received a response within 1 business day.
We tested support with a variety of questions. These ranged from the basic, for example, ‘are funds segregated?’ to more unusual inquiries such as ‘does CMC Markets offer VWAP?’. Overall we received a good quality of response in a timely fashion.
CMC Markets is available in the UK, Australia, Canada, France, Germany, Ireland, Italy, New Zealand, Norway, Poland, Singapore, Spain and Sweden and customer support is available in the native language for all of these countries.
Deposits and withdrawals are free and can be made via credit card, PayPal or bank wire. Deposits via credit card or PayPal are immediate but withdrawals can take as much as 5 business days.
Deposits and withdrawals can be done using Visa, Mastercard and Maestro credit/debit cards, Paypal, or bank wire. American Express is not an option.
Deposits made by credit/debit card and PayPal are instantly available in your account. Local bank transfers are typically processed within two business hours and international bank transfers can take up to 5 working days.
Deposit Method | Commission | Processing Time |
Credit/Debit Card (Visa, Mastercard, Maestro) | 0% | Immediate |
Bank Transfer | 0% | 2 hours to 5 business days |
PayPal | 0% | Immediate |
Withdrawal methods are the same as those for deposits but the process takes longer.
Withdrawal Method | Commission | Processing Time |
Credit/Debit Card (Visa, Mastercard, Maestro)* | 0% | Up to five working days. |
Bank Transfer | 0% | Domestic banks: 1-2 working days; international banks: 3-5 working days. |
PayPal* | 0% | 1-2 working days. |
*With credit card and PayPal, you can only withdraw as much as you deposited. Excess profits must be withdrawn via bank transfer.
We judged the speed of deposits and withdrawals at CMC Markets to be average for the industry.
CMC Markets offers 3 account types: Spread Betting, CFD and Corporate. Opening an account is straightforward and can be done online within 20 minutes.
For clients in the UK an important difference between spread betting and CFD trading is how they are taxed. Profits from spread betting are free from capital gains tax. Spread betting is also only available to clients in the UK or Ireland, while CFDs are available worldwide.
The table below compares key features of the three account types:
Account | Spread Betting Account | CFD Account | Corporate Account |
Minimum deposit | £0 | £0 | £0 |
Stamp duty payable | No | No | No |
Capital gains tax payable | No* | Yes | Yes |
Tradable instruments | 12,000+ | 12,000+ | 12,000+ |
Base Currencies | GBP, EUR | GBP, EUR, USD, AUS, CAD, NOK, NZD, PLN, SEK, SGD | GBP, EUR, USD, AUS, CAD, NOK, NZD, PLN, SEK, SGD |
Demo account | Yes | Yes | Yes |
Trade size | £ per point | Number of units/notional value | Number of units/notional value |
Maximum leverage (retail clients) | 1:30 | 1:30 | 1:30 |
Maximum leverage (professional clients) | 1:500 | 1:500 | 1:500 |
Spreads from | 0.3 points | 0.3 points | 0.3 points |
Commissions | No | Yes (shares only) | Yes (shares only) |
* Tax law can change or may differ in a jurisdiction other than the UK.
To begin the application process you must enter your email and set up a password. A verification code is sent to your email and then you can start the main part of the application. Here you must answer the following:
One of the reasons that traders are attracted to the forex and CFD markets is the high degree of available leverage. Leverage is the use of borrowed funds to increase the size of your trading positions beyond what would be possible using only the cash in your account.
Spread betting, CFD and corporate accounts offer a maximum of 1:30 leverage. This means that with an account of $1,000, you can control up to $30,000 worth of positions in the market. Traders can apply for a Professional account, which offers higher leverage, but the costs and platform are the same.
Investors designated as professionals can trade with a maximum leverage of 1:500. This means that with an account of $1,000, you can control up to $500,000 worth of positions in the market. In order to qualify for a professional account users must show a financial portfolio of over €500,000 and relevant financial experience. Professional Clients do not benefit from Negative Balance Protection and they may lose more than their invested capital.
CFD brokers such as CMC Markets offer a far higher level of leverage than other brokers, in non-derivative markets. Take for example a standard stock broker. Most stock brokers do not offer leverage of more than 1:2 (50% margin). You can see the massive difference between leverage of 1:2 and 1:30, not to mention the 1:500 leverage available for clients designated as professionals. Herein lies the large risk (and, yes, opportunity) in trading CFDs.
Leverage is often described as a ‘double-edged sword’ as it can hurt you as much as it helps you. Traders must remember that it can amplify both their profits and their losses.
CMC Markets offers a free demo trading account, on both the Next Generation Platform and MetaTrader 4. This is especially important for beginners as it enables them to practice their strategies and get comfortable with the trading platform without risking any real money.
The demo account features live quotes and simulates live market conditions in all the markets offered by CMC Markets, such as forex and CFDs on commodities, indices and stocks. Once you have got up to speed on a demo account, you can easily switch over to a live account.
CMC Markets does not offer swap-free Islamic accounts.
CMC Markets accepts clients from the majority of countries globally. This includes Belgium, Bulgaria, Denmark, Germany, Estonia, Finland, France, Greece, Ireland, Italy, Croatia, Latvia, Lithuania, Luxembourg, Malta, Netherlands, Austria, Poland, Portugal, Romania, Sweden, Slovakia, Slovenia, Spain, Czech Republic, Hungary, Cyprus, Liechtenstein, Iceland and Norway.
Like most CFD brokers, they do not accept clients from the United States or from FATF (Financial Action Task Force) blacklisted countries North Korea and Iran.
CMC excels in the research that it provides to clients, with quality in-house analysis, third party materials and extensive video programming.
Market insights are provided throughout the day on the Next Generation Platform, with a variety of different reports, including:
The blog on the CMC Markets website is also frequently updated, with roughly five economic and market news stories posted per day. These stories range from in depth analysis of specific stocks, indices and sectors to forecasts of how upcoming economic data could impact the market.
Video content (CMC TV), which is hosted on YouTube, includes live coverage of headline economic events such as Non-farm Payrolls, central bank meetings and major earnings releases. These video sessions range from roughly 30 to 45 minutes in length and also include technical analysis of the relevant charts.
Third-party research from Reuters and Morningstar is also available for clients with live accounts.
CMC Markets is also a leader in the area of education, with a broad range of materials including articles, video, podcasts, and webinars.
Educational articles on the website such as ‘How to Trade Bitcoin’ and ‘What is a trailing stop order?’ help to guide traders. Webinars cater to both beginners and experienced traders and cover topics ranging from the outlook for the global markets to making the most of the Next Generation trading platform. The Artful Trader Podcast features interviews with industry experts and coverage of topics such as trading psychology.
CMC Markets is a pioneer and a market leader in the forex and CFD industry. They offer stability in that they are a large, extensively regulated company that is also publicly traded. Their proprietary Next Generation platform has advanced functionality as well as an attractive, user-friendly interface.
The depth of the product catalogue places this broker in an elite group and active traders especially will appreciate the tight spreads available. Education and research offerings are strong and customer service, while not always the fastest, is reliable.
These factors make CMC Markets an all-around winner and an appealing choice for both beginners and advanced traders.
Headquarters Country | United Kingdom |
Foundation Year | 1989 |
Regulations | BaFin (Germany), ASIC (Australia), MAS (Singapore), IIROC (Canada), DFSA (United Arab Emirates), FMA (New Zealand), FCA (United Kingdom) |
Publicly Traded | Yes |
Number Of Employees | 800+ |
Trading Desk Type | Dealing Desk, Market Maker |
Trading Platforms | CMC Mobile App, CMC Web Platform, MT4 |
Restricted Countries | North Korea, Iran, United States |
Supported Languages | English, Danish, French, Portuguese, Czech, Arabic, Italian, Spanish, Chinese, Finnish, Japanese, German, Norwegian |
Min Deposit | $0 |
Max Leverage | 1:30 (BaFin), 1:30 (ASIC), 1:20 (MAS), 1:45 (IIROC), 1:30 (DFSA), 1:500 (FMA), 1:30 (FCA) |
Deposit Options | PayPal, Wire Transfer, Credit Card |
Withdrawal Options | Wire Transfer, Credit Card, PayPal |
Products | Currencies, Stocks, ETFs, Bonds, Indices, Commodities |
Demo Account | Yes |
OCO Orders | Yes |
Offers Hedging | Yes |
Automated Trading | Yes |
API Trading | Yes |
Guaranteed Stop Loss | Yes |
Guaranteed Limit Orders | Yes |
Guaranteed Fills / Liquidity | Yes |
Economic calendar | Yes |
Trading From Chart | Yes |
One-Click Trading | Yes |
Expert Advisor | Yes |
Social Trading | Yes |
Autochartist | No |
Trading Signals | No |
Platform Languages | English, Danish, French, Portuguese, Czech, Arabic, Italian, Spanish, Chinese, Finnish, Japanese, German, Norwegian |
24 Hours Support | Yes |
Support During Weekends | No |
Live Chat | Yes |
Daily Market Commentary | Yes |
News (Top-Tier Sources) | Yes |
Webinars | Yes |
Deposit Fee | No |
Withdrawal Fee | No |
Inactivity Fee | No |
Dan Blystone began his career in the trading industry in 1998 on the floor of the Chicago Mercantile Exchange. Later Dan gained insight into the forex industry during his time as a Series 3 licenced futures and forex broker. He also traded at a couple of different prop trading firms in Chicago. Dan is well-equipped to recommend the best forex brokers due to his extensive experience and understanding of the brokerage industry.
At FXEmpire, we strive to provide unbiased, thorough and accurate broker reviews by industry experts to help our users make smarter financial decisions.