XM Ultra Low Standard VS Micro
XM is a well-regulated and popular online brokerage that offers CFDs and forex trading to clients around the world.
The firm is licensed and regulated in Cyprus, the UK, Australia, Belize, and the UAE.
XM provides its services to clients in 190 countries, totaling over 5 million customers globally.
Traders at XM can access over 1,200 instruments, which includes currency pairs, indices, commodities, and cryptocurrencies. The highest possible leverage goes up to 1000:1 for currency pairs.
Depending on the traders and their style of trading, XM offers different account types to help meet their individual requirements and needs. There are numerous differences between the accounts, such as: supported currencies, lot sizes, minimum contract sizes, and more.
Deciding which account type is the ebay for you can be very important and lead to a convenient trading experience overall.
XM offers four distinct account types to its clients – Micro, Standard, Ultra Low, and Shares accounts.
The Ultra Low and Micro accounts offered by XM are especially popular among FX and CFD traders and we will discuss the differences and similarities between the two in more detail in the sections below.
Comparison of XM Ultra Low and Micro Accounts
Micro and Ultra Low accounts are popular among FX traders and each of them have a minimum deposit of only 5 USD, which means that all account tiers have low barriers to entry.
We can see some of the core features of the Micro and Ultra Low accounts offered by XM:
| Features | Micro Account | XM Ultra Low Account |
|---|---|---|
| Base Currency Options | USD, EUR, GBP, JPY, CHF,
AUD, HUF, PLN, SGD, ZAR |
EUR, USD, GBP, AUD, ZAR, SGD |
| Contract Size | 1 Lot = 1,000 | Standard Ultra: 1 Lot = 100,000
Micro Ultra: 1 Lot = 1,000 |
| Maximum available leverage | 1000:1 | 1000:1 |
| Negative balance protection | Yes | Yes |
| Spread on all majors | Yes | Yes |
| Commission | No | No |
| Maximum open/pending orders per client | 300 Positions | 300 Positions |
| Minimum trade volume | 0.1 Lots | Standard Ultra: 0.01 Lots
Micro Ultra: 0.1 Lots |
| Lot restriction per ticket | 100 Lots | Standard Ultra: 50 Lots
Micro Ultra: 100 Lots |
| Hedging allowed | Yes | Yes |
| Swaps | Yes | No |
| Islamic Account | Optional | Optional |
| Minimum Deposit | 5 USD | 5 USD |
XM Micro Account
The XM Micro Account is a popular option for traders that trade in smaller lots. The Micro account offers a lot size of 1,000 and a lot restriction of 100 lots per ticket, which makes the account a perfect fit for those who tend to diversify their trades, allocating smaller portions of their capital to each trade.
The minimum trade volume permitted to XM Micro account holders is 0.1 lots, which is also an option to Ultra Low account holders.
The XM Micro account does not charge any commissions other than spreads and traders have the option of a swap-free Islamic account upon request as well.
There are multiple base currency options that come with the account, which includes: EUR, USD, GBP, AUD, ZAR, and SGD.
Traders also benefit from unlimited access to MT4 and MT5, where they can trade CFDs and currency pairs with leverage up to 1000:1.
XM Ultra Low Account
The XM Ultra Low account offers competitive spreads that start at 0.6 pips and is generally geared towards day-traders and any trader that executes a high quantity of trades throughout a session.
The Ultra Low account offers multiple base currency options, such as: USD, EUR, GBP, AUD, SGD, and ZAR. The maximum possible leverage for XM Ultra Low account holders is 1000:1.
Similarly to the Micro account, hedging is also available at Ultra Low accounts, which is especially important for day-traders and high-frequency traders who employ complex risk management strategies, including hedging.
Swap-free Islamic account options are available for both Ultra Low and Micro account holders at XM, which gives the online broker a broader global appeal. Clients can request to open an Islamic account from the official XM website.
When it comes to lot and ticket sizes, the Ultra Low account offers lot sizes of 100,000 for Standard Ultra and 1,000 for Micro Ultra account holders.
Key Takeaways
The XM Ultra Low and Micro accounts have plenty of features in common, as they have the same minimum deposit requirements, and both offer access to MT4 and MT5, with the option of Islamic accounts. Both accounts are secured using negative balance protection.
However, there are a few core differences that traders need to consider before registering to decide which account type is the right fit for them. For example:
- Contract sizes at the XM Micro account are set at 1,000, while the Ultra Low account offers 1,000 and 100,000 lot sizes to clients
- The Micro account offers more base currencies, such as HUF, PLN, JPY, and CHF, while the Ultra Low account does not support these currencies
While these differences may seem minor, the Micro account serves a niche purpose for traders that are interested in smaller lot sizes, while the Ultra Low account provides Standard Ultra and Micro Ultra account options and is, therefore, more diverse.
Comments (0 comment(s))