FXTM is a well-known international forex broker that provides trading services to clients all over the world. Founded in 2011, FXTM has grown to become one of the largest forex brokers with a presence in multiple countries. In this detailed FXTM broker review, we look at the trading conditions, platforms, fees and other services specifically for traders in Kenya.
Overview of FXTM
- Regulation – FXTM is regulated by several top-tier authorities including the UK’s FCA, Cyprus CySEC and the FSCA in South Africa. For Kenyan traders, the relevant regulator is the FSCA.
- Trading Accounts – FXTM offers a choice of 6 account types including a Cent account with a minimum deposit of $10. The accounts come with varying spreads, commissions and access to trading platforms.
- Trading Platforms – FXTM offers the popular MetaTrader suites – MT4 and MT5. These platforms are available on desktop, web and mobile.
- Funding and Withdrawals – FXTM supports several payment options including credit cards, bank wire, e-wallets like Neteller and local options like MPESA. No deposit fees but withdrawal fees apply.
Trading Conditions for Kenyans
FXTM’s trading conditions are generally favourable for active day traders. Here is an overview:
- Minimum Deposit – The Cent account has a minimum deposit of $10. The next level Standard account requires a minimum of $100.
- Spreads & Commissions – The all-in cost of trading varies across account types. The Cent account has an average spread of 1.5 pips on the EUR/USD pair. Higher accounts have tight variable spreads from 0.0 pips plus commission charges.
- Leverage – Leverage of up to 1:1000 is available depending on the account and underlying asset class. Major currency pairs can be traded with 1:500 leverage.
- Trading Platforms – FXTM offers both the MT4 and MT5 trading platforms. The MT4 platforms are available on PC, Mac, Android and iOS devices.
- Promotions – Occasional promotions are offered including signup bonuses, referral rewards, zero deposit promotion and loyalty cashback.
Fees for Kenyan Traders
FXTM’s fee structure is entirely transparent with no hidden fees. Here are the main fees to know:
- Spreads & Commissions – This makes up the bulk of the trading costs. Spreads start from 1.5 pips on the Cent account. Higher accounts have spreads + commissions.
- Deposits – Good news! FXTM does not charge for deposits. All methods including credit cards, bank transfers, and e-wallets are free.
- Withdrawals – A flat $5 fee applies for bank wire withdrawals. For other methods, no withdrawal fees except the processing costs charged by the provider.
- Inactivity Fee – If your FXTM account stays inactive for more than 6 months, an inactivity fee of $5 or equivalent is charged.
- Conversion Fees – Non-trading fees of up to 1.5% apply for conversions between account base currencies.
Overall, FXTM’s fee structure is quite competitive. Active traders can benefit from tight spreads and negligible non-trading fees.
Deposit and Withdrawal Options for Kenyans
FXTM offers several convenient payment options for Kenyan traders to deposit and withdraw funds. The key options include:
- Credit/Debit Cards – Visa and Mastercard credit cards are accepted. Deposits are instant while withdrawals take 1-3 days.
- Bank Wire Transfer – Local and international wire transfers are accepted for deposits and withdrawals. Processing takes 1-3 days.
- E-Wallets – Skrill, Neteller and WebMoney e-wallets can be used. Quick processing within 24 hours.
- Mobile Money – For Kenyans, deposits via MPESA are convenient. Charges are minimal and processing is instant.
The selection covers most payment needs for Kenyans. It’s easy to deposit locally via MPESA and withdraw to Kenyan bank accounts via wire transfer.
Customer Service
FXTM offers multilingual customer support via live chat, email and phone. The support team is generally responsive, and knowledgeable and aims to resolve queries speedily.
Support coverage runs 24 hours 5 days a week. Swahili and French language support should cover most traders in Kenya. The FAQs database is extensive covering the most common issues.
Is FXTM Safe for Kenyans?
One major concern for Kenyan traders looking at FXTM is whether the broker is safe to trade with. Let’s examine some key safety aspects:
Regulation and Licensing
FXTM holds regulatory licenses from top-tier authorities like the FCA, CySEC and FSCA. Specifically for Kenya, FXTM is licensed by the FSCA in South Africa under FSP no 46614.
The FSCA license implies strict standards in capital adequacy, segregated accounts, reporting and auditing. Kenyan traders get protection of up to ZAR 40,000 under the FSCA compensation fund.
Protection of Funds
In line with FSCA rules, FXTM keeps client funds in segregated accounts with reputable banks. This ensures funds are protected in case the broker becomes insolvent.
FXTM also participates in the FSCA compensation fund which covers up to ZAR 40,000 per client. So traders have assurance even in highly unlikely events.
Trading Security
FXTM employs top standards in data security to keep client data and funds safe. Their servers utilize 256-bit encryption with two-factor authentication options.
The trading platforms also have robust security mechanisms against fraud and cyber-attacks. Overall, the technical security is up to industry norms for a major financial brokerage.
Transparency
As a regulated broker, FXTM adheres to strict reporting and auditing standards. Their accounts are audited annually by external agencies and results are published.
FXTM is transparent in communicating its trading conditions, fees, risks and other policies to clients. Customer funds also undergo periodic reconciliation audits.
Additional Safeguards
Here are some other safety-related aspects:
- Negative Balance Protection to prevent losses exceeding deposits
- Secure login process and trading platforms
- Price Latency monitoring for fair execution
- Segregation of client funds from company funds
Summary
FXTM scores well in relevant safety criteria for a broker operating in Kenya:
✔️ Licensed and regulated locally by FSCA
✔️ Segregated customer accounts
✔️ Secure trading platforms
✔️ Transparent operations and policies
✔️ Favorable structure for Kenyan clients
There are no major red flags so FXTM appears to be a secure choice of broker for Kenyans compared to other unregulated offshore brokers.
The fee structure and account options also provide flexibility. Overall, FXTM makes an ideal alternative alongside local brokers to expand your trading opportunities.
Try their risk-free demo account and see if their trading conditions match your requirements as a Kenyan trader.
