CMTrading Review – Best Performing South African broker
The Forex industry is developing fast in every corner of the world. If a few years ago only several countries had decent Forex brokerage firms worldwide, nowadays, such brokers can be found almost in any region. South Africa was one of those places where the demand on the Forex market was growing day by day, but there were no reputable Forex brokers locally to supply the services. However, the situation started improving drastically a decade ago. One of the bright stars of the South African Forex market is the CMTrading broker.
CMTrading is a brokerage firm established in 2012 in Johannesburg, South Africa. The company now operates on an international scale delivering its service online to tens of thousands of traders in dozens of countries globally. The firm managed to build the reputation of the high-quality, reliable Forex broker dedicated to providing the best trading experience for its customers. The broker has a diverse portfolio of hundreds of different financial instruments that range within the markets of Forex currency pairs, metals, indices, commodities, and CFDs. The maximum leverage on the trading assets at CMTrading can go up to 1:200.
The CMTrading Forex broker review will discuss the main features of the broker including its services, offerings, payment methods, trading conditions, account types, and much more.
CMTrading at a Glance
The very first impression of the online broker comes from the company’s official website. Therefore, most brokers invest a lot in developing highly attractive and user-friendly interfaces to keep the attention of the visitors. However, the frequent mistake that the inexperienced traders make while reviewing the website of the broker is actually trusting only looks and ignoring the content. No matter how beautiful the website design is and how professional or attractive their headlines sound, if the necessary information is nowhere to found, or you need few minutes to come across what you want to know then the broker is trying to hide something from you.
The essential pieces of information that should be easily accessible are the regulations and licenses, trading assets, information about the company, customer support or contact page, trading conditions. If any of these details are missing on the webpage or are hidden somewhere in an unreasonable place, then better to look for the reviews and check if there is anything wrong with the broker. CMTrading on the other hand displays all of the above-mentioned info within its navigation bar, which can be found on top of the website. Traders can access the following parent pages through the navigation of the CMTrading website:
- Trading Tools (pages: technical analysis, daily market reviews, trading signals, economic calendar, social trading, fundamental analysis)
- Trading Platforms (pages: MetaTrader 4, Sirix, CopyKat, Trading Apps)
- Education (Trading videos, webinars, expert advisors, eBooks, Guardian Angel system, blog)
- Our Company (about us, regulations, partnerships, accounts, deposit method, why CMTrading)
Review CMTrading Regulatory Framework
Regulations are important. In fact, they might be the single essential feature of the Forex brokers. Quite a few people will suggest that there are certain benefits to trading with unregulated brokers, however, it is a highly risk-containing decision and needs much more research and understanding of the market to make such a move. Usually, dealing with the regulated brokers is considerably safer, since the authorities that regulate and authorize the brokers also make sure that your funds and private data are guarded in accordance with the market standards.
Therefore, we strongly recommend that the very first thing that you do when choosing a broker should be checking the regulatory framework of the company. So, is CMTrading legit? yes, the brokerage firm is authorized and regulated by the Financial Sector Conduct Authority of South Africa or FSCA in short. This regulatory organ is highly respected and valued both locally and overseas. The FSCA is regulating the financial market in the whole country and makes sure that the brokers registered with it hold segregated accounts for their clients and keep up with the regular audits held by the leading accounting firms worldwide, usually part of the Big Four.
CMTrading has been delivering exceptional brokerage services to its clients since 2012. It has always been following the market standards and the regulatory requirements of its licensing authority, FSCA. Therefore, the company has more than 300,000 loyal customers registered on its trading platform. Furthermore, CMTrading broker has received multiple awards over the few years, including the award for the best performing Forex broker in South Africa in 2017.
What can you trade with CMTrading?
CMTrading is not a Forex broker only, as it also incorporates several financial markets at the same time. The broker recognizes the need for portfolio diversity for the traders, therefore, provides hundreds of different financial instruments with competitive trading conditions. The clients of CMTrading can choose the following financial markets:
- CFDs on currency pairs, metals, commodities, and indices
- Precious and industrial metals including gold, silver, copper, platinum, etc.
- Commodities including oil, natural gas, coffee, and more
- European, the US, and Asian indices
The broker provides more than 50 currency pairs within the Forex trading assets portfolio. The traders can find both the exclusive and exotic pairs, as well as the most popular ones such as EUR/USD and JPY/USD. They can also access over 200 CFDs on various financial instruments. The trading conditions on each individual financial asset depend on the live trading account type that the traders register with CMTrading broker. Some of the accounts offer spreads as low as 0.9 pips on EUR/USD currency pair.
One of the huge advantages of trading with CMTrading for the customers is that the broker operates without any commission charges. To admit, it is not frequent to find a Forex broker that still charges for the commission, however, usually there is a tradeoff between the commission and the spread. Usually, spreads and commissions are the main sources of the broker’s revenue. Therefore, if the broker is operating commission-free, then it is expected that it will offer inconvenient spreads. On the other hand, that is not the case with the CMtrading brokerage firm. The spreads on EUR/USD pair for example for the standard account type is actually the market average of 1.5 pips, whereas it gets tighter as the tier of the live trading account goes up. Eventually, traders can benefit from the spreads as low as 0.9 pips on the premium accounts.
Leverage is something that every trader should be careful with. Depending on the trading style and strategy the higher the leverage the more trader can benefit from it. However, for the beginner traders and the less experienced ones, sky-high leverages pose a significant risk of losing most of the financial resources deposited on the trading account. High leverage means that in case you earn profit from your trade, the leverage will boost your earnings greatly, however, the same applies to losses. If your trade appears unsuccessful you risk losing most of your account balance. The maximum leverage available to CMTrading clients can go up to 1:200, which is not as risky as 1:500 or 1:100 offered by quite a few brokers, however, for the beginner traders, it is still not advised to take that much.
CMTrading accounts and platforms
Account diversity is an important aspect for many Forex traders. It is impossible for a single account type to satisfy all kinds of trading needs and goals. Some traders will seek budget-friendly and cost-efficient trading accounts, whereas, others will want ultra-tight spreads and freedom of implementing various complex trading strategies. For that and many other reasons, in CMTrading opinion the four live trading account types that the broker designed should provide all the necessary tools and conditions for the traders.
- Bronze Account – Investment from 250 USD, spreads on EUR/USD from 1.5 pips, basic educational resources
- Silver Account – Investment from 1000 USD, spreads from 1.2 pips, intermediate educational resources, 1 risk-free trade, personal assistant
- Gold Account – Investment from 10,000 USD, spreads from 0.9 pips, advanced educational resources, 3 risk-free trades, account manager, ECN account, cash rebates
- Premium Account – Investment from 100,000 USD, spreads from 0.9 pips, expert educational resources, 3 risk-free trades, Account Manager, ECN account, cash rebates, special offers
Traders with different backgrounds and different sets of skills can decide which of the trading platforms suit their trading style the best. The broker does not limit its customers to a single trading software as other brokers frequently like to do. On the contrary, it provides multiple options for the trading terminals and platforms, most of which are well-known and highly reliable. You can try trading on original MetaTrader 4, the WebTrader Sirix, or Copykat. Usually, the MetaTrader 4 software is the most popular choice for Forex traders as it was specifically built for trading currency pairs in the beginning. However, most traders now seek more user-friendly and convenient platforms. That is why CMTrading rating increased significantly when the broker implemented other platforms, as well.
Traders can choose WebTrader Sirix, which basically comes with the same features as the original MetaTrader 4. However, in contrast to MT4 software, WebTraedr does not require complicated procedures such as installations or downloading. Instead, the Sirix platform can be directly accessed from any browser of any operating system. The modification to MetaTraders also supports mobile applications. The broker supports mobile Apps that are compatible with both IOS and Android devices. Copykat on the other hand is mostly used to copy the trades of the professional traders and to work on the trading signals and strategies. It is similar to automated trading bots. All of these platforms are highly secure with data encryption guarantees.