Pepperstone vs. XM [year]

• Features and Platforms
• Available Markets
• Typical Spreads and Fees
• Security and Trust
• Pepperstone vs Vantage - Verdict

Pepperstone and XM are leading global Forex brokers, but which one should you trust for your Forex portfolios?

I have conducted an in-depth review of Pepperstone vs. XM to determine the better overall choice, and which traders will benefit most from each broker.

Headquarters	Australia	Cyprus
Regulators	ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB	ASIC, CySEC, DFSA, FSC Belize
Tier 1 Regulator(s)?
Owned by Public Company?
Year Established	2010	2009
Execution Type(s)	No Dealing Desk, NDD	Market Maker
Minimum Deposit	$0	$5
Trading Platform(s)	Other, MetaTrader 4, MetaTrader 5, cTrader, Proprietary platform, Trading View+	MetaTrader 4, MetaTrader 5, Proprietary platform
Average Trading Cost EUR/USD	1.1 pips	0.1 pips
Average Trading Cost GBP/USD	1.4 pips	0.2 pips
Average Trading Cost WTI Crude Oil	$2.50	$0.05
Average Trading Cost Gold	$0.15	$0.19
Retail Loss Rate	74-89%	N/A
Minimum Raw Spreads	0.0 pips	N/A
Minimum Standard Spreads	1.0 pips	N/A
Minimum Commission for Forex	6.00 per round lot (cTrader) / $7.00 per round lot (MT4/MT5)	N/A
Islamic Account
Signals
US Persons Accepted?
Managed Accounts
	Visit Website 75-95% of traders on margin lose	Visit Website

A snapshot of the most notable advantages of Pepperstone:

• Low Pepperstone trading fees and a volume-based rebate program
• Capitalise AI MT4 plugin for algorithmic trading in a code-free environment
• VPS hosting for 24/5 low-latency Forex trading
• Deep liquidity pools and NDD order execution
• Average order execution speeds of 30 milliseconds
• 28-plugin Smart Trader Tools package and Autochartist upgrades for MT4
• TradingView for social traders to engage with 50M+ peers

A snapshot of the most notable advantages of XM:

• Competitive XM fees, with Forex spreads from 0.6 pips
• MT4/MT5 upgraded with six exclusive technical indicators
• A four-tier loyalty program
• A proprietary copy trading service paying signal providers up to 50% profit share
• Free, live education room

Features and Platforms

MT4
MT5
cTrader
Proprietary Platform
Automated Trading
DOM?
Guaranteed Stop Loss
Scalping
Hedging
One-Click Trading
OCO Orders
Interest on Margin
	Visit Website 75-95% of traders on margin lose	Visit Website

Available Markets

Currency Pairs
Cryptocurrencies	N/A
Commodities
Crude Oil
Gold
Metals
Equity Indices
Stocks (non-CFDs)	N/A
ETFs
Futures
Synthetics
	Visit Website 75-95% of traders on margin lose	Visit Website

During my Pepperstone review, traders received 1,350+ assets versus 1,000+ at XM, but both brokers offered Forex and cryptocurrency trading. XM also features thematic indices.

Why Pepperstone is a better choice for most traders:

• Wider asset selection
• Deeper liquidity and faster order execution
• Lower fees with volume-based rebate program
• Currency indices

Typical Spreads and Fees

Average Trading Cost EUR/USD	1.1 pips	0.1 pips
Average Trading Cost GBP/USD	1.4 pips	0.2 pips
Average Trading Cost WTI Crude Oil	$2.50	$0.05
Average Trading Cost Gold	$0.15	$0.19
Average Trading Cost Bitcoin	25	N/A
Minimum Raw Spreads	0.0 pips	N/A
Minimum Standard Spreads	1.0 pips	N/A
Minimum Commission for Forex	6.00 per round lot (cTrader) / $7.00 per round lot (MT4/MT5)	N/A
Deposit Fee		N/A
Withdrawal Fee		N/A
Inactivity Fee	$0	N/A
	Visit Website 75-95% of traders on margin lose	Visit Website

Pepperstone offers commission-free and commission-based accounts versus commission-free at XM, but which is cheaper?

Both brokers offer nearly identical trading fees with volume-based rebates for active traders. Pepperstone has faster order execution, while XM has no re-quotes. Therefore, I rank Pepperstone and XM on par for typical spreads and fees.

Account Types

Pepperstone has a commission-free and a commission-based account, but the core trading fees are identical. XM offers an equally priced commission-free account.

Are there any other noteworthy differences in the account structure between Pepperstone vs. XM?

Here is what stands out the most:

• There is no Pepperstone minimum deposit
• Pepperstone supports more account base currencies
• XM has a share-dealing account
• Both brokers offer volume-based rebates
• Multiple payment processors

Minimum Deposit

How Difficult Is It to Deposit at Pepperstone vs. XM?

Pepperstone has no minimum deposit requirement, compared to the small $5 minimum deposit at XM. Pepperstone and XM support multiple low-cost payment processors with instant to near-instant processing times, and all deposits are free of internal deposit fees, but neither broker supports cryptocurrency deposits. Therefore, the ease of depositing at Pepperstone ranks on par with XM.

Minimum Withdrawal

Which Withdrawal Process Is Better, Pepperstone or XM?

Traders have fewer Pepperstone withdrawal methods than at XM. The former offers same-day withdrawals if requests arrive before 12:00 AEST/AEDT. XM withdrawal requests are processed instantly based on algorithmic parameters using the XM Artificial Intelligence Back Office System. Neither broker supports cryptocurrency withdrawals but offers an equally quality withdrawal process.

Security and Trust

Country of the Regulator	United Arab Emirates, Australia, The Bahamas, Cyprus, Germany, Kenya, United Kingdom	United Arab Emirates, Australia, The Bahamas, Belize, Cyprus, United Kingdom, United States
Name of the Regulator	ASIC, BaFin, CMA, CySEC, DFSA, FCA, SCB	ASIC, CySEC, DFSA, FSC Belize
Regulatory License Number	414530, 91279, 128, 388/20, F004356, 684312, F217	705428, 120/10, 443670,000261/27, F003484, SIA-F201, 0516820
Regulatory Tier	N/A	1,1,1,4,2,4,1
	Visit Website 75-95% of traders on margin lose	Visit Website

Which Broker Is More Secure and Trustworthy?

Pepperstone and XM segregate all client deposits from corporate funds and offer negative balance protection. Both brokers have an excellent regulatory track record spanning 15+ years. Therefore, I rank Pepperstone and XM as equally secure and trustworthy.

Pepperstone versus XM Verdict

Pepperstone

XM

Which Forex Broker Is Better?

Pepperstone and XM are industry-leading brokers, and I recommend traders test the trading environments in their respective demo accounts.

Here is my verdict:

Pepperstone is a world-class broker and the better choice for algorithmic and high-volume trading, while XM is the better choice for beginners and copy traders.

FAQs

Can you trade crypto with Pepperstone or XM?

Both brokers offer cryptocurrency trading as CFDs.

Is Pepperstone good for beginners?

Pepperstone is good for beginners as it offers cutting-edge trading tools, free education, and micro-lot trading.

What are the disadvantages of Pepperstone?

The primary disadvantage at Pepperstone is that the regulatory jurisdiction determines the competitiveness of trading conditions.

Is Pepperstone a reliable broker?

Pepperstone is a reliable broker with 15+ years of operational excellence and complies with seven regulators.

Is Pepperstone better than XM?

It depends on the trader’s trading requirements, as both brokers are quality choices. Pepperstone is better for algorithmic and high-volume traders, while XM is better for beginners and copy traders.