Written by ForexBrokers.com
In this head to head comparison of Interactive Brokers vs XM Group, we will compare the trading platforms, mobile apps, range of investments, costs, market research, and more. Let's dive in.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 51% and 89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Interactive Brokers and XM Group are both prominent online brokers with distinct histories and regulatory standings. Founded in 1977, Interactive Brokers is a veteran in the industry and holds a leading position with a high Trust Score of 99 out of 99, as rated by ForexBrokers.com. This score highlights its status as a highly trusted brokerage firm. Notably, Interactive Brokers is publicly traded, having amassed a strong reputation over the years with 9 Tier-1 licenses, affirming its credibility on an international scale. It also operates under 2 Tier-2 licenses, adding to its reputable regulatory framework.
On the other hand, XM Group, founded in 2009, has carved out its own space in the financial market with a Trust Score of 88, which positions it as a trusted broker, according to ForexBrokers.com. XM Group maintains its recognition through owning 4 Tier-1 licenses and 1 Tier-2 license, ensuring a considerable level of trust and reliability, despite not being publicly traded. Both brokers are not classified as banks, focusing instead on delivering brokerage services under their respective regulatory guidelines, which highlights their specialization in the industry.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Year Founded | 1977 | 2009 |
| Publicly Traded (Listed) | Yes | No |
| Bank | No | No |
| Tier-1 Licenses | 9 | 4 |
| Tier-2 Licenses | 2 | 1 |
| Tier-3 Licenses | 0 | 0 |
| Tier-4 Licenses | 0 | 1 |
When comparing the commissions and fees of Interactive Brokers and XM Group, Interactive Brokers stands out for its competitive and transparent pricing model. With a star rating of 5 out of 5 for commissions and fees, and ranked #2 out of 62 brokers by ForexBrokers.com, Interactive Brokers attracts traders seeking low-cost forex trading. Though average spreads are not publicly listed, recent data from Q3 2024 reveals an average spread of 0.19 pips for EUR/USD, which results in an effective all-in spread of 0.59 pips post-commission. The commission per trade is calculated starting at 0.2 basis points of the USD trade value, equating to a minimum of $2 per order ($4 for a round turn), although active traders can benefit from discounts when meeting certain trading volumes.
Interactive Brokers also offers a commission-based approach without marking up spreads. Prices are aggregated from 17 leading interbank forex dealers. With commissions ranging from $16 to $40 per million round turn, or $8 to $20 per side, the platform supports both small and large traders. Additionally, Interactive Brokers provides reduced fees for highly active traders, potentially lowering commissions to $1 per order on vast monthly volumes, with features to manage large orders through a Request For Quote process. However, trading smaller volumes can increase the proportional cost due to the minimum commission rule.
On the other hand, XM Group presents less favorable terms for cost-conscious traders, earning 4 out of 5 stars for commissions and fees and placing #33 by ForexBrokers.com. The standard account at XM Group comes with relatively expensive spreads, and like Interactive Brokers, the average spreads for the commission-based XM Zero account are not disclosed. While Forex trading is accessible with XM Group, those who prioritize budget-friendly trading options might find Interactive Brokers more appealing due to its lower commission rates and cost-efficient trading opportunities for active participants.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Minimum Deposit | $0 | $5 |
| Average Spread EUR/USD - Standard | 0.59 | 1.6 |
| All-in Cost EUR/USD - Active | 0.59 | 0.8 |
| Active Trader or VIP Discounts | Yes | No |
| ACH or SEPA Transfers | Yes | No |
| PayPal (Deposit/Withdraw) | No | No |
| Skrill (Deposit/Withdraw) | No | Yes |
| Visa/Mastercard (Credit/Debit) | No | Yes |
| Bank Wire (Deposit/Withdraw) | Yes | Yes |
Dive deeper: Best Low Spread Forex Brokers.
Interactive Brokers and XM Group are both popular online brokers, each offering a selection of investment opportunities. Interactive Brokers provides a more extensive array of tradeable symbols, totaling 8,500, compared to XM Group's 1,394. Both platforms support forex trading as either CFDs or spot contracts. However, Interactive Brokers takes the lead with 90 tradeable forex pairs, whereas XM Group offers 55. Both brokers allow clients to invest in exchange-traded securities on U.S. and international exchanges, giving access to shares like Apple and Vodafone. Interactive Brokers stands out by allowing users to buy actual cryptocurrencies and their derivatives, while XM Group only supports cryptocurrency derivatives.
When comparing innovative features, XM Group distinguishes itself with copy trading options, a service not available with Interactive Brokers. Despite this, Interactive Brokers retains a top-notch rating for its range of investments across various platforms, boasting a full five-star rating and a rank of #1 among 62 brokers on ForexBrokers.com. Meanwhile, XM Group receives a 4.5-star rating and holds the 23rd spot in the same category. Overall, both brokers offer a variety of investment vehicles but cater to slightly different needs and preferences in the trading community.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes |
| Tradeable Symbols (Total) | 8500 | 1394 |
| Forex Pairs (Total) | 90 | 55 |
| U.S. Stock Trading (Non CFD) | Yes | Yes |
| Int'l Stock Trading (Non CFD) | Yes | Yes |
| Social Trading / Copy Trading | No | Yes |
| Cryptocurrency (Physical) | Yes | No |
| Cryptocurrency (Derivative) | Yes | Yes |
| Disclaimers | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). |
Dive deeper: Best Copy Trading Platforms.
When comparing Interactive Brokers and XM Group, both platforms cater to traders by offering simulated trading options through free virtual demo accounts, allowing users to practice without financial risk. Interactive Brokers distinguishes itself with a proprietary trading platform, offering advanced tools and features tailored for its users, whereas XM Group relies on popular third-party platforms like MetaTrader 4 and 5, appealing to users familiar with these options. Both companies provide Windows-based desktop and web-based platforms, giving traders flexibility depending on their preferred operating environment.
Interactive Brokers excels in customization and analytical tools, providing an impressive 85 drawing tools and 659 columns for watch lists, which significantly enhance the trading experience. In contrast, XM Group offers a more limited selection, with 15 drawing tools and 7 watch list columns. However, XM Group caters to traders interested in social trading through its copy trading feature, which Interactive Brokers does not offer. With a five-star rating and a third-place ranking for trading platforms and tools, Interactive Brokers leads over XM Group, rated four stars and holding the 30th spot in rankings.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Virtual Trading (Demo) | Yes | Yes |
| Proprietary Platform | Yes | No |
| Desktop Platform (Windows) | Yes | Yes |
| Web Platform | Yes | Yes |
| Social Trading / Copy Trading | No | Yes |
| MetaTrader 4 (MT4) | No | Yes |
| MetaTrader 5 (MT5) | No | Yes |
| DupliTrade | No | No |
| ZuluTrade | No | No |
| Charting - Indicators / Studies (Total) | 155 | 30 |
| Charting - Drawing Tools (Total) | 85 | 15 |
| Charting - Trade From Chart | Yes | Yes |
| Watchlists - Total Fields | 659 | 7 |
Dive deeper: Best MetaTrader 4 Brokers, Best MetaTrader 5 Brokers.
Both Interactive Brokers and XM Group offer iPhone and Android apps for mobile trading, providing investors the flexibility to manage their portfolios on the go. Key features include stock and forex price alerts and the ability to sync watchlists between the mobile app and the online account, ensuring a seamless trading experience across all devices. Interactive Brokers stands out with 97 technical studies available for charting in its mobile app, significantly more than XM Group's 30 studies. Both apps allow traders to draw trendlines and view multiple time frames on charts, though neither app auto-saves these drawings.
Both brokers support creating watchlists with real-time quotes, but Interactive Brokers receives higher accolades with a five-star rating in mobile trading apps, compared to XM Group's four-star rating. Additionally, ForexBrokers.com ranks Interactive Brokers as the fourth best out of 62 brokers for mobile trading apps, while XM Group is ranked 27th. This highlights Interactive Brokers’ superior mobile trading experience, offering more advanced tools and a more highly rated app overall.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Android App | Yes | Yes |
| Apple iOS App | Yes | Yes |
| Mobile Alerts - Basic Fields | Yes | Yes |
| Watchlist Syncing | Yes | Yes |
| Mobile Charting - Indicators / Studies | 97 | 30 |
| Mobile Charting - Draw Trendlines | Yes | Yes |
| Mobile Charting - Multiple Time Frames | Yes | Yes |
| Mobile Charting - Drawings Autosave | No | No |
| Mobile Watchlist | Yes | Yes |
Dive deeper: Best Forex Trading Apps.
Interactive Brokers and XM Group both excel in offering daily market commentary and forex news sourced from top-level providers such as Bloomberg and Reuters. They also share similar strengths in providing technical analytics tools through Trading Central and using sentiment-based trading tools to give clients insight into market trends. Additionally, both platforms feature an economic calendar to keep users informed of significant global events. However, while Interactive Brokers additionally offers market research from TipRanks and tools from Acuity Trading like Signal Centre, XM Group does not include these features.
In terms of research ratings, Interactive Brokers receives a perfect score of 5 stars, as does XM Group. However, Interactive Brokers is ranked higher at #3 by ForexBrokers.com for their research capabilities compared to XM Group's ranking at #8 out of 62 brokers evaluated. This ranking underscores the slightly broader range of research tools and resources available through Interactive Brokers, giving them a competitive edge in providing comprehensive market insights to their users.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Daily Market Commentary | Yes | Yes |
| Forex News (Top-Tier Sources) | Yes | Yes |
| Autochartist | No | No |
| Trading Central (Recognia) | Yes | Yes |
| Social Sentiment - Currency Pairs | Yes | Yes |
| TipRanks | Yes | No |
| Signal Centre (Acuity Trading) | Yes | No |
| Economic Calendar | Yes | Yes |
Dive deeper: Best Brokers for Forex Research.
When it comes to educational resources for beginners, both Interactive Brokers and XM Group stand out by offering a wide array of materials. Each broker provides more than ten educational pieces, including articles, videos, and archived webinars, focusing on forex and CFDs to help newcomers understand complex trading concepts. They also run monthly webinars which clients can join, and maintain a searchable archive of these recorded sessions for convenient access. When it comes to beginner-focused educational videos, both platforms provide more than ten options tailored to new traders, making learning trading fundamentals accessible and straightforward.
While both Interactive Brokers and XM Group excel in offering over ten advanced educational videos for seasoned traders, there is a slight distinction in their resources. Interactive Brokers goes a step further by providing an investor dictionary with definitions of over 50 investing terms, a feature not offered by XM Group. Despite both receiving a top five-star rating for education, Interactive Brokers ranks slightly higher at number three compared to XM Group's position at number seven, according to ForexBrokers.com. This slight edge underscores Interactive Brokers' emphasis on comprehensive educational support for investors of all levels.
| Feature |
Interactive Brokers
|
XM Group
|
|---|---|---|
| Education (Forex or CFDs) | Yes | Yes |
| Client Webinars | Yes | Yes |
| Client Webinars (Archived) | Yes | Yes |
| Videos - Beginner Trading Videos | Yes | Yes |
| Videos - Advanced Trading Videos | Yes | Yes |
| Investor Dictionary (Glossary) | Yes | No |
Dive deeper: Best Forex Brokers for Beginners.
After testing 62 of the best forex brokers, our research and account testing finds that Interactive Brokers is better than XM Group. Interactive Brokers finished with an overall rank of #2, while XM Group finished with an overall rank of #17.
Interactive Brokers is a highly trusted multi-asset broker with an extensive offering of tradeable global markets. It delivers competitive fees and high-quality research and education, as well as a modern, institutional-grade trading platform suite.
| Feature |
Interactive Brokers
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XM Group
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| Trust Score | 99 | 88 |
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Interactive Brokers allows users to purchase actual, delivered cryptocurrency, as well as cryptocurrency derivatives, while XM Group only provides options for trading cryptocurrency derivatives and does not offer the purchase of actual cryptocurrency.
In comparing the deposit and withdrawal options of Interactive Brokers and XM Group, Interactive Brokers supports ACH, SEPA, and bank wire transfers but does not offer PayPal, Skrill, Visa, or Mastercard, while XM Group does not offer ACH or SEPA, but supports Skrill, Visa, Mastercard, and bank wire transfers; neither broker provides the option to use PayPal.
Please note:
We review each broker’s overall global offering – a “Yes” checkmark in our Compare Tool does not guarantee the availability of any specific features in your country of residence. To verify the availability of any features within your country of residence, please contact the broker directly.
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0 of 5| Overall Rating | Interactive Brokers | XM Group | |
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| Trust Score | 99 | 88 | |
| Winner | check_circle | ||
| Review | Interactive Brokers Review | XM Group Review |
| Broker Screenshots | Interactive Brokers | XM Group | |
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| Regulation | Interactive Brokers | XM Group | |
|---|---|---|---|
| Trust Score | 99 | 88 | |
| Year Founded | 1977 | 2009 | |
| Publicly Traded (Listed) | Yes | No | |
| Bank | No | No | |
| Regulated in one or more EU or EEA countries (MiFID). | Yes | Yes | |
| Tier-1 Licenses | 9 | 4 | |
| Tier-2 Licenses | 2 | 1 | |
| Tier-3 Licenses | 0 | 0 | |
| Tier-4 Licenses | 0 | 1 |
| Tier-1 Licenses (Highly Trusted) | Interactive Brokers | XM Group | |
|---|---|---|---|
| Australia (ASIC Authorised) | Yes | Yes | |
| Canada (CIRO Authorised) | Yes | No | |
| Hong Kong (SFC Authorised) | Yes | No | |
| Japan (SFC Authorised) | Yes | No | |
| Singapore (MAS Authorised) | Yes | No | |
| Switzerland (FINMA Authorised) | Yes | No | |
| United Kingdom (U.K.) (FCA Authorised) | Yes | No | |
| USA (CFTC Authorized) | Yes | No | |
| New Zealand (FMA Authorised) | No | No | |
| Regulated in one or more EU or EEA countries (MiFID). | Yes | Yes |
| Tier-2 Licenses (Trusted) | Interactive Brokers | XM Group | |
|---|---|---|---|
| Kenya (CMA Authorised) | No | No | |
| Israel (ISA Authorised) | No | No | |
| South Africa (FSCA Authorised) | No | No | |
| UAE (DFSA/Central Bank Authorised) | Yes | Yes | |
| India (SEBI Authorised) | Yes | No | |
| Jordan (JSC Authorised) | No | No |
| Investments | Interactive Brokers | XM Group | |
|---|---|---|---|
| Forex Trading (Spot or CFDs) | Yes | Yes | |
| Tradeable Symbols (Total) | 8500 | 1394 | |
| Forex Pairs (Total) | 90 | 55 | |
| U.S. Stock Trading (Non CFD) | Yes | Yes | |
| Int'l Stock Trading (Non CFD) | Yes | Yes | |
| Social Trading / Copy Trading | No | Yes | |
| Cryptocurrency (Physical) | Yes | No | |
| Cryptocurrency (Derivative) | Yes | Yes | |
| Disclaimers | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). | Note: Crypto CFDs are not available to retail traders from any broker's U.K. entity, nor to U.K. residents (except to Professional clients). |
| Cost | Interactive Brokers | XM Group | |
|---|---|---|---|
| Average Spread EUR/USD - Standard | 0.59 | 1.6 | |
| All-in Cost EUR/USD - Active | 0.59 | 0.8 | |
| Active Trader or VIP Discounts | Yes | No | |
| Inactivity Fee | No | Yes | |
| Execution: Agency Broker | Yes | No | |
| Execution: Market Maker | No | Yes |
| Funding | Interactive Brokers | XM Group | |
|---|---|---|---|
| Minimum Deposit | $0 | $5 | |
| PayPal (Deposit/Withdraw) | No | No | |
| Skrill (Deposit/Withdraw) | No | Yes | |
| Visa/Mastercard (Credit/Debit) | No | Yes | |
| Bank Wire (Deposit/Withdraw) | Yes | Yes | |
| ACH or SEPA Transfers | Yes | No |
| Trading Platforms | Interactive Brokers | XM Group | |
|---|---|---|---|
| Proprietary Platform | Yes | No | |
| Desktop Platform (Windows) | Yes | Yes | |
| Web Platform | Yes | Yes | |
| Social Trading / Copy Trading | No | Yes | |
| MetaTrader 4 (MT4) | No | Yes | |
| MetaTrader 5 (MT5) | No | Yes | |
| cTrader | No | No | |
| DupliTrade | No | No | |
| ZuluTrade | No | No |
| Trading Tools | Interactive Brokers | XM Group | |
|---|---|---|---|
| Virtual Trading (Demo) | Yes | Yes | |
| Alerts - Basic Fields | Yes | Yes | |
| Watchlists - Total Fields | 659 | 7 | |
| Charting - Indicators / Studies (Total) | 155 | 30 | |
| Charting - Drawing Tools (Total) | 85 | 15 | |
| Charting - Trade From Chart | Yes | Yes | |
| Charts can be saved | Yes | Yes |
| Mobile Trading | Interactive Brokers | XM Group | |
|---|---|---|---|
| Android App | Yes | Yes | |
| Apple iOS App | Yes | Yes | |
| Mobile Alerts - Basic Fields | Yes | Yes | |
| Mobile Watchlist | Yes | Yes | |
| Watchlist Syncing | Yes | Yes | |
| Mobile Charting - Indicators / Studies | 97 | 30 | |
| Mobile Charting - Draw Trendlines | Yes | Yes | |
| Mobile Charting - Multiple Time Frames | Yes | Yes | |
| Mobile Charting - Drawings Autosave | No | No | |
| Mobile Economic Calendar | Yes | Yes |
| Research | Interactive Brokers | XM Group | |
|---|---|---|---|
| Daily Market Commentary | Yes | Yes | |
| Forex News (Top-Tier Sources) | Yes | Yes | |
| Autochartist | No | No | |
| Trading Central (Recognia) | Yes | Yes | |
| TipRanks | Yes | No | |
| Social Sentiment - Currency Pairs | Yes | Yes | |
| Economic Calendar | Yes | Yes |
| Education | Interactive Brokers | XM Group | |
|---|---|---|---|
| Education (Forex or CFDs) | Yes | Yes | |
| Client Webinars | Yes | Yes | |
| Client Webinars (Archived) | Yes | Yes | |
| Videos - Beginner Trading Videos | Yes | Yes | |
| Videos - Advanced Trading Videos | Yes | Yes | |
| Investor Dictionary (Glossary) | Yes | No |
| Major Forex Pairs | Interactive Brokers | XM Group | |
|---|---|---|---|
| GBP/USD | Yes | Yes | |
| USD/JPY | Yes | Yes | |
| EUR/USD | Yes | Yes | |
| USD/CHF | Yes | Yes | |
| USD/CAD | Yes | Yes | |
| NZD/USD | Yes | Yes | |
| AUD/USD | Yes | Yes | |
| Review | Interactive Brokers Review | XM Group Review |
| Overall | Interactive Brokers | XM Group | |
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| Trust Score | 99 | 88 | |
| Winner | check_circle | ||
| Review | Interactive Brokers Review | XM Group Review |
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