XM vs IC Markets: Which Broker Fits Your Trading Style?#
XM and IC Markets are both well-established brokers with strong reputations, but they serve different segments of the market. XM positions itself as an accessible, all-round broker with low minimum deposits and generous bonuses. IC Markets targets experienced traders and scalpers with raw ECN spreads and institutional-grade execution.
This comparison examines every key factor — regulation, costs, platforms, execution, and features — to help you decide which broker aligns with your goals.
Quick Comparison Table#
| Feature | XM | IC Markets |
|---|---|---|
| Founded | 2009 | 2007 |
| Regulation | CySEC, ASIC, DFSA, IFSC | ASIC, CySEC, FSA, SCB |
| Min Deposit | $5 | $200 |
| Spreads | From 0.6 pips (Ultra Low) | From 0.0 pips (Raw Spread) |
| Commission | None | $7/lot round-turn (Raw) |
| Platforms | MT4, MT5, XM App | MT4, MT5, cTrader |
| Instruments | 1,000+ | 2,200+ |
| Islamic Account | Yes | Yes |
| No-Deposit Bonus | $30 | No |
Regulation and Trust#
Both brokers hold multiple licenses from respected regulators, ensuring client fund segregation and compliance with international standards.
XM operates under CySEC (Cyprus), ASIC (Australia), DFSA (Dubai), and IFSC (Belize). The DFSA license is particularly valuable for traders in the Middle East and Gulf region.
IC Markets is regulated by ASIC (Australia), CySEC (Cyprus), FSA (Seychelles), and SCB (Bahamas). ASIC is one of the strictest regulators globally, and IC Markets' Australian roots give it strong credibility among institutional and professional traders.
Both brokers provide negative balance protection and segregated client funds. Regulation-wise, they are on equal footing — both meet high standards across multiple jurisdictions.
Spreads and Trading Costs#
This is the most important comparison for active traders, and the numbers require careful analysis.
IC Markets Raw Spread Account offers spreads from 0.0 pips on EUR/USD, with a commission of $7 per standard lot round-turn ($3.50 per side). This means your all-in cost on a EUR/USD trade is roughly 0.0–0.2 pips spread + 0.7 pips commission equivalent = 0.7–0.9 pips total.
XM Ultra Low Account offers spreads from 0.6 pips on EUR/USD with zero commission. Your all-in cost is simply the spread: 0.6–0.8 pips during peak liquidity.
| Cost Metric | XM Ultra Low | IC Markets Raw |
|---|---|---|
| EUR/USD Avg Spread | 0.6–0.8 pips | 0.0–0.2 pips |
| Commission | $0 | $7/lot RT |
| All-in Cost (EUR/USD) | ~0.7 pips | ~0.8 pips |
| GBP/USD All-in Cost | ~0.9 pips | ~1.0 pips |
The all-in costs are remarkably similar. XM's zero-commission model can actually match or beat IC Markets on popular pairs when you factor in the $7 round-turn commission. However, IC Markets' raw spreads become more competitive on exotic pairs and during volatile periods.
IC Markets also offers a Standard Account with spreads from 1.0 pips and no commission, similar to XM's Standard Account.
Platforms: MT4, MT5, cTrader, and XM App#
XM provides MT4 and MT5 plus its proprietary XM App for mobile trading. The app offers a streamlined experience for account management, deposits, withdrawals, and basic trading. All Expert Advisors and custom indicators are supported on the desktop platforms.
IC Markets offers MT4, MT5, and cTrader — a powerful platform favored by professional traders for its superior order execution, depth-of-market display, and advanced order types. cTrader also supports cBots (automated trading) and has a modern, intuitive interface.
If you prefer cTrader's advanced features and professional-grade execution tools, IC Markets has an edge. If you want the simplicity of MT4/MT5 combined with a dedicated mobile app and streamlined account management, XM delivers.
Execution Model#
This is a fundamental difference between the two brokers.
IC Markets operates a True ECN/STP execution model. Orders are routed directly to liquidity providers without dealer intervention. This results in ultra-fast execution (average under 40ms), minimal slippage, and no requotes — making IC Markets a top choice for scalpers and algorithmic traders.
XM uses a Market Maker/STP hybrid model. While XM guarantees execution on all orders with no requotes, the broker may act as counterparty on some trades. XM's execution is still fast and reliable for most retail traders, but purists who demand direct market access may prefer IC Markets' ECN model.
For high-frequency strategies, scalping, and algorithmic trading, IC Markets' ECN execution is the preferred choice. For standard retail trading with guaranteed fills and no slippage on most orders, XM performs well.
Minimum Deposit and Accessibility#
XM has one of the lowest minimum deposits in the industry at $5 for Standard and Micro accounts. Combined with the $30 no-deposit bonus, traders can start with zero personal capital. This makes XM extremely accessible for beginners and those in regions where $200 is a significant amount.
IC Markets requires a $200 minimum deposit across all account types. While not prohibitively high, it is 40 times XM's requirement and eliminates the option of testing with a very small amount.
Instruments and Markets#
IC Markets offers over 2,200 instruments including Forex, stock CFDs, indices, commodities, bonds, and crypto CFDs. The selection is deeper, particularly in stock CFDs and indices.
XM provides 1,000+ instruments covering Forex, stock CFDs, indices, commodities, precious metals, energies, and crypto CFDs. While the total count is lower, it covers all major markets and is more than sufficient for most retail traders.
Who Should Choose XM?#
- Beginners who want to start with a $5 deposit or the $30 no-deposit bonus
- Traders who prefer zero-commission accounts with simple pricing
- Clients in the Middle East who benefit from DFSA regulation and swap-free accounts
- Traders who value bonuses and promotions (XM runs regular deposit bonus campaigns)
- Those who want a dedicated mobile app for account management
Who Should Choose IC Markets?#
- Scalpers and high-frequency traders who need raw ECN spreads and ultra-fast execution
- Algorithmic traders who rely on cTrader and cBots
- Professional and institutional traders who demand direct market access
- Traders with larger accounts who prioritize execution quality over bonuses
- Those seeking a wider range of 2,200+ instruments
Verdict#
XM and IC Markets are both excellent brokers, but they target different profiles. XM excels in accessibility — the $5 minimum deposit, $30 no-deposit bonus, zero-commission accounts, and user-friendly experience make it ideal for beginners and cost-conscious retail traders. All-in spreads on major pairs are competitive with IC Markets when commissions are factored in.
IC Markets excels in execution and platform diversity — raw ECN spreads, cTrader support, and institutional-grade execution make it the preferred choice for scalpers, algo traders, and professionals. The $200 minimum deposit and lack of bonuses reflect its focus on serious, high-volume traders.
If you are starting out or want a simple, low-cost trading experience, XM is the better fit. If you are an experienced trader seeking the tightest raw spreads and the fastest execution, IC Markets delivers.