What is CM Trading?
CM Trading is an online brokerage firm that was first established in 2012 in Johannesburg, South Africa. It mostly focuses on Forex, or currency trading.
CM Trading has grown quite significantly ever since and is well-known for a large array of resources it hosts in its official website. These resources include educational materials such as training videos, webinars, and daily market news. The broker also boasts top-notch customer support services and personal account managers.
One of CM Trading’s unique offerings is the integration of the CopyKat system in its social trading platform. This allows traders to observe the trading activities of more experienced traders and learn from them.
With the above listings mentioned, it isn’t surprising that CM Trading boasts a number of local and international awards for its services. Its offerings and overall service quality allows its client base to create new opportunities and get themselves into the industry quick, especially for those new to trading online.
However, due to the inherent nature of offshore brokerages, CM Trading can find itself in bad light. Therefore, in this review, we will break down the offerings and services of the broker. Later on, we will help determine whether CM Trading is a safe broker to trade with or at the very least, follows industry standards.
CM Trading: Services and Offerings
• Trading Instruments
CM Trading offers 52 currency pairs for trading. This includes 21 exotic pairs, which is not often found in other broker offerings.
To those who very new to the trading environment, CM Trading has illustrated tutorials that explain how to open a position in an asset, close the position, as well as also how to manage risk management. These online tutorials are all for free and can be accessed through their website.
• Account Types
CM Trading has four account types available. These are the:
- Mini Account
- Standard Account
- Executive Account
- Gold Account
The Mini Account can be a great choice for traders with a budget. This account type can be opened with a minimum deposit of $250. Maximum leverage level is 400:1, which allows traders to magnify their profits in their trades. However, it should be noted that while leverages can magnify profits, it can also magnify losses. Therefore, it is important to be aware of the risks when using leverages. The Mini Account also features a daily and weekly market review, and a free CM Trading ebook.
The Standard Account can be opened with a minimum deposit of $1,000, and allows traders to use a maximum leverage of 200:1. The account also offers a regular CMT debit card upon opening. Holders of the Standard Account can also benefit with 1 risk-free trade and full access to webinars that cover the basics of Forex trading.
The Executive Account can be opened with a minimum $5,000 deposit. It features a maximum leverage of 200:1, even tighter spreads, and full access to webinars that introduce the basic of Forex trading as well as an introduction to technical and fundamental analysis.
The Gold Account requires a minimum deposit of $25,000. This account type feature competitive spreads, same day processing for withdrawals, and two trading strategy guides. In addition, holders of CM Trading’s Gold Account can benefit from 3 risk-free trades. Gold Account holders also have the same access to the webinars mentioned above with an extra one that covers the psychology of trading.
CM Trading also offers an Islamic Account that features swap-free rates for those residing in Islamic regions.
• Bonuses and Promotions
CM Trading also features a deposit bonus that gives its clients opportunities to earn credits to maximize their trading experience.
CM Trading offers a 20% credit bonus for every $500 deposit, while clients who make a $1,000 deposit can apply for a free Intercash International debit card.
• Trading Platform
CM Trading uses the industry-standard MetaTrader4 (MT4) trading platform. Its user-friendly interface, performance tracking, and streamlined one-click operations makes MT4 one of the best platforms the industry has to offer.
CM Trading’s platform also has mobile versions that can be downloaded for Android and iOS devices.
WebTrader is CM Trading’s browser-based platform which does not require to be downloaded. Here, traders can access the CopyKat system which allows traders to observe the transactions of more experienced traders. In addition, traders can connect their account to automatically copy the transactions of other traders.
• Payment Options
CM Trading accepts a number of payment options including wire and bank transfers, credit and debit cards, CashU, Neteller, and FasaPay.
Other deposit methods include Maestro, UnionPay, Visa, and Visa Electron.
CM Trading: Is it safe?
Many offshore brokerages have been able to pull off many scams in the past due to the lack of proper jurisdictions in the area. This can ruin the reputation of many legitimate brokers. In order to guarantee their legitimacy, they obtain licenses from financial authorities. These authoritative bodies, investigate the broker’s operations and only give out licenses if it passes industry standard.
In the case of CM Trading, it is registered under the South African Financial Sector Conduct Authority (FSCA), a rather authoritative figure in the country. This alone can rule out CM Trading as a fraudulent brokerage.
CM Trading: Conclusion
CM Trading earns its spot as one of the best brokerage firms out there. Its interest in keeping its client base informed of market events and news around the world is something to be commended. In addition, its user-friendly and accommodating interface provides all the necessities for traders to earn a profit.
One of its only drawbacks is that it does not cater to clients residing in the United States.
However, if you are completely new to online trading but certainly have the capital and the interest in it, CM Trading is one of the best options to be introduced to the industry.