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With this CMC MARKETS review we want to find out if CMC is really one of the best Australian Forex Brokers. We conducted an in-depth review in August 2019 to find out the answer and bring it to you!


Established in 1989 and headquartered in London, UK, CMC Markets is one of the world’s leading Forex, CFD and stockbroking providers. Their Australia office is located in the heart of Sydney.

With experience spanning over 27 years, CMC Markets is one the world’s most recognised online brokers with offices in 14 countries around the globe. It holds a market-leading position in many countries, and executes well above 66.8 million deals per year! In 2016, the company was listed on the London Stock Exchange.


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CMC Markets Review 2019
Withdrawals and Deposit Method
Engine Forex CMC Markets

SECURITY, MARGINS AND TECHNOLOGY

SECURITY AT CMC MARKETS

In Summary

  • ASIC & FCA regulated
  • Extensive range of RM tools
  • MAS, FMA & IIROC licensed
  • High-level web security

As a global market leader, CMC Markets takes security very seriously. Authorised and regulated by the Australian Securities and Investment Commission (ASIC) as well as the Financial Conduct Authority (FCA) of the UK, CMC ensures all client money is held safely in a segregated bank account and is never used for hedging or any other operational purposes.

All European and UK customer deposits are subject to the UK Deposit Guarantee Scheme. All deposits are covered by the UK Deposit Protection Fund FSCS up to a maximum of GBP 50,000 per client.

In addition, CMC Markets provides an extensive range of risk management tools that can help traders to effectively control their trading strategy, manage trading risk, protect profits and limit losses. However, one negative aspect is, that guaranteed stop-loss orders are offered for a small premium.

CMC Markets further complies with the requirements of ESMA that there is no obligation to make additional contributions. This way, traders cannot lose more capital than they have invested.

CMC Markets’ stockbroking platform offers unlimited linked and conditional orders to ensure clients are able to better manage their entry and exit points.

CMC Markets provides an extensive range of risk management tools that can help traders to effectively control their trading strategy, manage trading risk, protect profits and limit losses. Guaranteed stop-loss orders are offered for a small premium.

Spreads Comparison

CMC MARKETS
60
PEPPERSTONE
100
THINK MARKETS
80
IC MARKETS
100
OANDA
60
PLUS 500
30

CHARGES AND MARGINS

In Summary

  • Spread mark-up or
  • Commissions on share trading
  • Up to 500:1 leverage
  • Market maker broker model

As is the case with all brokers, CMC clients pay a spread on every non-equity and a commission on every equity CFD trade.

CMC Markets offers fairly low spreads, starting from 0.7 points (AUD/USD, for example) on Forex pairs with a 0.2% margin requirement.

Applying a market-maker model, CMC doesn't charge a commission on Forex or other non-share CFD trading but rather applies spread mark-ups. These replace commissions but compared to ECN or STP brokers, starting spreads are not as low and tight.

Equity CFDs are traded at the real market price, and CMC Markets takes a small commission per side starting from 0.04% for Norway and Sweden, 0.08% for Germany, UK and Switzerland, and 0.09% for AU. Minimum charges for both online or phone orders start from AU$7 (in AU) with a margin requirement of 5%.

Index trading starts from 1.0 points with a margin per contract from 0.2% on Australia 200, UK 100 or Germany 30, as examples.

Spreads for commodities trading start at 0.3 points with a minimum margin requirement per contract of 0.5% on gold or 3% on natural gas, as examples.

CMC Markets also offers a range of treasuries including gilts, bonds, bunds and treasury notes. Margins start at 0.25% within minimum spreads of 1.0 pip.

Account maintenance fees are only charged if the account is inactive for more than 2 years.

Are fees due when opening an account?
No fees are charged upon account opening. There are also no fees for the comprehensive guided tour. The only exception: if no trading activity is carried out within a period of 2 years, $10 are withdrawn from the account every month. This only applies if the balance on the account is greater than $0.

TECHNOLOGY

In Summary

  • Excellent trade execution
  • Own proprietary platform & MT4
  • Stockbroking account option
  • Very flexible approach to trading

Unlike most of its competitors, CMC Markets does not rely on,  standard trading platforms such as MetaTrader 4 or cTrader; however, it has developed and offers its own trading platforms to its clients. MT4 is now also available though.

CFD account holders can take advantage of the Next Generation CMC Markets platform, which is a very fast and reliable trading platform that is worth a try.

Regardless of whether you are a beginner or professional trader, the Next Generation platform offers a very flexible approach to trading, featuring some unique functionalities, tools and applications such as alerts, stock filters, the option to trade directly from charts, pattern recognition software and a large range of user interface options.

Special features of the Next Generation platform are:

  • The Layout Manager. With this tool you can switch between five different layouts. The layouts can be changed according to individual needs.
  • The customer sentiment. It shows you the percentage of CMC customers who hold a long or short position on a particular product.
  • The Reuters news ticker and Insight. Here you will be informed about current news, ratings and market analyses.
  • The economic calendar. Among other things, it indicates possible effects that current developments may have on prices.

The Next-Generation trading platform does not need to be downloaded. It is a webtrader type platform that starts directly in the browser and can be tested in a demo account.

Holders of a stockbroking account can choose between two platforms: CMC Markets’ Standard Stockbroking Platform or their Pro Stockbroking Platform. Both are packed with features and applications, but the distinct difference between the two is that clients can apply detailed customisation with the Pro Stockbroking Platform, as well as having the option to make use of more chart types and tools from the user interface.

The Standard Stockbroking Platform offers more tools than the Pro version, but it does not have any user interface options available. 

Mobile trading is available via mobile apps for all common Android and iOS (iPad and iPhone) devices.

Regardless of whether you are a beginner or professional trader, the Next Generation platform offers a very flexible approach to trading, featuring some unique functionalities, tools and applications such as alerts, stock filters, the option to trade directly from charts, pattern recognition software and a large range of user interface options.

Execution of Speed Comparison

CMC MARKETS
90
PEPPERSTONE
100
THINK MARKETS
90
IC MARKETS
100
OANDA
80
PLUS 500
70

CUSTOMER SERVICE, TRADING OPTIONS AND SPECIAL FEATURES

 CUSTOMER SERVICE AND CLIENTS SUPPORT

In Summary

  • 24/5 customer support
  • Global presence
  • Premium client benefits
  • Corporate account option

With over 27 years of experience and more than 57,000 active clients worldwide, CMC Markets has a strong client base around the globe. The broker accepts clients from most regions including Canada.

Please note, that as an international provider with 15 offices worldwide, the trading account types and features available across all regions differ significantly. From the signup process and regulatory protections, to access to cash rebates for professional or high volume traders, negative balance protection and leverage.

Offering professional 24/5 customer support via phone and email in 13 locations worldwide, Australian customers can get in direct contact the Sydney office, and users can enjoy live support via the platform during market hours. This feature is not available on both of CMC Markets’ stockbroking platforms. 

You will find a calendar with further training offers under the item Training courses on the broker's website. Trade fairs, events, seminars and webinars are typically available. Topics include "Financial Markets in Focus - Market Highlights of the Week" and "Forex Driving Licence".

For the more serious clientele, CMC Markets also offers a special VIP-like treatment to their premium clients: Once a client becomes a premium client, they have direct access to a dedicated, highly skilled member of CMC Markets’ Sales Trading Team that provides premium clients with dealing solutions, regular market insights, advanced trader education and exclusive invitations to industry-related events.

High-volume traders also benefit from a comprehensive reward program that includes monthly cash rebates in any asset class.

The NextGeneration trading platform can be tested with a free demo account. The same applies to the MT4 platform.Simply register via the website and you will receive a confirmation link to your e-mail address. Once you have followed this link, you can start trading.

Available deposit methods as well as payment options are very limited at CMC Markets. Only credit cards (Mastercard and Visa) and bank transfers can be used.

There is no minimum deposit requirement. You can start trading as soon as the margin requirement (security deposit) for the position you wish to trade is covered.

CMC Markets does currently not offer its customers any bonuses. In contrast to other popular brokers, who attract new customers with bonus campaigns and strengthen their loyalty to existing customers with a bonus, CMC Markets does not offer this way of incentive. This has been the case in the past - it is therefore unlikely that bonuses will be offered in the near future.

FOREX AND OTHER TRADING OPTIONS AT CMC MARKETS

In Summary

  • Over 10,000 financial instruments
  • 348 currency pairs
  • 4,000+ shares
  • 116 indices

CMC Markets offers a total of over 10,000 products, 348 currency pairs, 4,000+ shares, 116 indexes, 110 commodities, 8 cryptocurrencies as well as treasuries and countdowns.

Ways you can trade with CMC Markets include trading CFDs and Forex trading as well spread betting.

Overall, competitive spreads are available but they are not the best on the market. Online trading with a market maker broker typical results in wider spreads.  

Forex spreads start from 0.7 pips on AUD/USD or EUR/USD, and traders can choose from more than 330 currency pairs including major, minor and exotic Forex pairs. The maximum leverage level on Forex pairs is 500:1.

Global index trading starts from 0.3 points, and CMC Markets offers a maximum leverage of 100:1.

As one of the world’s and world's largest online brokers, CMC Markets offers clients the option to choose from more than 10,000 markets, Forex, global indices, shares, commodities, cryptocurrencies and much more.

Trading options on indices include Australia 200, Wall Street, FTSE 100, Germany 30, and many more.

In addition to being able to utilise an extensive amount of commodities, from gold, silver and oil, to dozens of more commodity markets, CMC Markets clients can also deal on treasuries, binaries or countdowns.

Available cryptos include Bitcoin, Ripple's XRP, Ethereum, Litecoin, EOS, BitcoinCash, Dash and Monero and can be traded against the USD.

SPECIAL FEATURES

In Summary

  • Market maker broker
  • Top-notch technology
  • Leverage up to 500:1
  • Strong regulation

CMC Markets trading via their award-winning proprietary trading platforms.

MT4 platform available as an alternative.

Features include unique and powerful trading tools, advanced technical analysis, technical indicators and charting packages, robust risk management options, order types and other functionalities.

Clients can also benefit from 100% automated real-time execution without dealer intervention.

Competitive pricing and rates are available.

Large selection of over 10,000 financial instruments for trading.

Educational resources include seminars and events, webinars, tutorials and learning guides for various subjects.

CMC Markets offers their very own, award-winning proprietary trading platforms that are highly intuitive and user-friendly.

Max Leverage Comparison

CMC MARKETS
500:1
PEPPERSTONE
500:1
THINK MARKETS
400:1
IC MARKETS
500:1
OANDA
100:1
PLUS 500
300:1

IN CONCLUSION

CMC Markets is one of Australia's leading online brokers with a solid reputation and a large product portfolio. Trading conditions and environment are excellent and their own proprietary platform is highly intuitive and flexible. It's ideal for both beginners and professional traders. 

F.A.Q.


where is CMC Markets located?

CMC is headquartered in London, UK, with further hubs in Sydney, Singapore, Frankfurt and a further ten offices internationally.

who owns CMC Markets?

The company was founded in the year 1989 by Peter Cruddas as a Foreign Exchange market maker under the name 'Currency Management Corporation'. The name was later abbreviated to CMC and then changed again to CMC Markets in September 2005. Today, CMC Markets is a company listed at the London Stock Exchange.

how to fund a trading account?

CMC Markets clients have the following funding options available:

  • Debit cards: Visa, MasterCard, Maestro and Electron
  • Credit cards: Visa, MasterCard,
  • Bank transfer

is CMC Markets regulated?

Yes, the company is regulated by various regulators. For example, CMC Markets UK plc (173730) and CMC Spreadbet plc (170627) are authorised and regulated by the Financial Conduct Authority in the United Kingdom. Other licenses include MAS, ASIC and IIROC.

what timezone do they operate in?

Offices around the globe guarantee 24/5 support.

CMC Markets withdrawal methods?

Withdrawal options include:

  • Debit cards: Visa, MasterCard, Maestro and Electron
  • Credit cards: Visa, MasterCard,
  • Bank transfer

is there a withdrawal limit?

There are no minimum or maximum withdrawal limits.

does CMC Markets accept clients from Canada?

Yes, they do accept applications from residents of Canada.

do they offer a Forex VPS service?

Currently, there’s no exclusive VPS service available.

is CMC Markets a True ECN broker?

No, CMC Markets uses a market maker broker model instead.

is CMC Markets FCA regulated?

Yes, they are.

is CMC Markets affected by ESMA regulation?

Depending on your location, ESMA regulation may be applicable.