LMAX Group Forex Broker

LMAX Group Review Summary in 10 PointsFounded2010HeadquartersLondon, UKRegulationFCA, CYSECMarket InstrumentsForex, precious metals, stock indices, commodities, cryptocurrenciesDemo AccountAvailableLeverage1:100 (forex), 1:50 (metals and commodities)EUR/USD Spread0.2 pipsTrading PlatformsLMAX Global, MetaTrader4Minimum deposit$1,000Customer Support24/7 phone, email, and live chat What is LMAX Group? LMAX Group is a UK-based multilateral trading facility (MTF) that offers forex and cryptocurrency trading to retail and institutional clients. It was founded in 2010 and is regulated by the Financial Conduct Authority (FCA) and Cyprus Securities and Exchange Commission (CYSEC). LMAX is known for its transparent and fair execution model, as well as its low latency and high-speed trading technology. The company's headquarters are located in London, and it has additional offices in New York, Tokyo, and Hong Kong.What Type of Broker is LMAX Group? LMAX is an electronic communication network (ECN) broker that operates a multilateral trading facility (MTF) for forex and cryptocurrency trading. It is a pure agency broker, which means it does not take positions against its clients and earns revenue solely from commissions and fees. LMAX provides institutional and retail traders with deep liquidity, fast execution, and transparent pricing through its proprietary trading platform, LMAX Global.Pros & Cons LMAX has several advantages, such as being a regulated broker, offering transparent and direct market access, providing a range of trading instruments, and offering a professional trading platform. On the other hand, LMAX has some drawbacks, including limited account types and high minimum deposit requirements.ProsCons• Regulated by FCA and CySEC• High minimum deposit requirement• Offers DMA (Direct Market Access)•High commission fees• Low latency and fast trade execution• No social trading or copy trading features• Transparent pricing and deep liquidity• Advanced trading technology and tools• Professional and institutional grade services• Segregated client funds and investor protectionIs LMAX Group Safe or Scam? As a regulated broker by reputable financial authorities such as FCA and CySEC, LMAX is considered a reliable broker. The company also prioritizes the security of its clients' funds by keeping them in segregated accounts and offering negative balance protection.Protection MeasuresDetailRegulationFCA, CySECSegregated client fundsTo protect them in case of any financial difficulties or insolvencyFinancial Services Compensation Scheme (FSCS)A member of the FSCS, which provides eligible clients with protection up to £85,000 per person in the event of the broker's insolvencyNegative balance protectionEnsures that clients can never lose more than their account balanceTwo-factor authenticationAdds an extra layer of security to clients' accountsSSL encryptionTo protect clients' personal and financial information from unauthorized accessOur Conclusion on LMAX Group Reliability: LMAX is a highly regulated and reputable broker that takes the security of its clients' funds seriously. It is regulated by the FCA and CYSEC, and it implements various measures to ensure the safety of its clients' funds, such as holding them in segregated accounts and offering negative balance protection. Overall, LMAX appears to be a reliable and trustworthy broker.Market Instruments LMAX provides access to a range of financial instruments across various asset classes, including:Forex: Major, minor, and exotic currency pairsIndices: CFDs on major global indices, including UK100, GER30, US30, and moreCommodities: Precious metals such as gold and silver, as well as energy products like crude oil and natural gasCryptocurrencies: CFDs on Bitcoin, Ethereum, Litecoin, and RippleIt is important to note that the range of trading instruments may vary depending on the specific entity of LMAX and the jurisdiction in which it operates.Accounts LMAX offers different account types, each with different features and benefits:LMAX Global Account: This account is designed for institutions, hedge funds, asset managers, and professional traders. It offers access to the LMAX Global trading platform, deep liquidity, and low latency execution.LMAX Professional Account: This account is designed for experienced traders and offers access to the LMAX Exchange central limit order book, low latency execution, and competitive pricing.LMAX Prime Account: This account is designed for brokers, banks, and other financial institutions that want to access LMAX Exchange liquidity and offer it to their clients. It offers deep liquidity, low latency execution, and access to a range of trading tools and services.LMAX Interbank Account: This account is designed for banks and other financial institutions that want to access LMAX Exchange liquidity and offer it to their clients. It offers deep liquidity, low latency execution, and access to a range of trading tools and services. All of these accounts have different minimum deposit requirements and fee structures.Leverage The maximum leverage offered by LMAX varies based on the account type and the asset being traded. For example, the maximum leverage for forex trading is up to 1:100, while for metals and commodities, it is up to 1:50. It's important to note that leverage can increase both potential profits and losses, so it should be used with caution.Spreads & Commissions LMAX offers a variable spread on EUR/USD, which can start from as low as 0.2 pips during peak trading hours. However, the average spread is usually around 0.5-1 pip. It's worth noting that the spread can widen during periods of low liquidity or high market volatility. The commission fee varies depending on the account type and the trading volume of the client. Here is a breakdown of the commission fees for LMAX: LMAX Global: The commission for forex pairs ranges from $2.5 to $4.5 per $100,000 traded, depending on the trading volume. For indices, the commission ranges from $1.25 to $5 per lot traded, depending on the instrument and the trading volume. LMAX Professional: The commission for forex pairs ranges from $2 to $3 per $100,000 traded, depending on the trading volume. For indices, the commission ranges from $1 to $3 per lot traded, depending on the instrument and the trading volume. Below is a comparison table about spreads and commissions charged by different brokers:BrokerEUR/USD SpreadCommissionLMAX0.2 pips$2-$4.5 per lot/tradeIG0.6 pipsNoneSaxo Bank0.9 pipsNoneCMC Markets0.7 pipsNoneAdmiral Markets0.5 pips$6 per lot/tradePepperstone0.16 pips$3.76 per lot/trade Note that the above information may vary depending on the account type, trading platform, and other factors. It's always a good idea to check with the broker directly for the most up-to-date and accurate information.Trading Platforms LMAX offers its proprietary trading platform called LMAX Global, which is a web-based platform accessible from any device with an internet connection. It also offers connectivity through industry-standard APIs, allowing clients to connect directly to LMAX Global's liquidity pool through third-party platforms. Additionally, LMAX offers the MetaTrader 4 platform for traders who prefer using a familiar interface. See the trading platform comparison table below:BrokerTrading PlatformsLMAXLMAX Global, MT4IGIG Trading, MT4Saxo BankSaxoTraderGO, SaxoTraderPRO, SaxoInvestor, MT4CMC MarketsMT4, proprietary mobile trading platformAdmiral MarketsMT4, MT5, proprietary Supreme platformPepperstoneMT4, MT5, cTrader Deposits & Withdrawals LMAX offers a variety of deposit and withdrawal methods, including:Payment Options:Bank Wire TransferDebit/Credit Cards (Visa and Mastercard)SkrillNeteller LMAX does not charge any deposit or withdrawal fees. However, fees may be charged by the payment provider or bank involved in the transaction.LMAX Group Money Withdrawal To withdraw funds from LMAX, you need to follow these steps: Step 1: Log in to your LMAX account and go to the “My Account” section. Step 2: Click on the “Withdraw Funds” button. Step 3: Select the account you want to withdraw from and enter the amount you wish to withdraw. Step 4: Choose your preferred withdrawal method and fill out the necessary information. Step 5: Submit your withdrawal request. LMAX processes withdrawal requests within one business day, and the time it takes for the funds to reach your account will depend on the withdrawal method you choose.Fees LMAX charges various fees for trading and account maintenance. Here is an overview of some of the fees charged by LMAX:Swap Fees: LMAX charges a swap fee for positions held overnight. The swap fee is based on the interest rate differential between the two currencies of the trading pair.Deposit/Withdrawal Fees: LMAX does not charge any deposit or withdrawal fees. However, fees may be charged by the payment provider or bank involved in the transaction.Inactivity Fee: LMAX does not charge any inactivity fee.BrokerDeposit FeeWithdrawal FeeInactivity FeeLMAXFreeFreeFreeIGFreeFree (over $100)$18/month after 2 yearsSaxo BankFreeFree€100/year after 2 yearsCMC MarketsFreeFree£10/month after 12 monthsAdmiral MarketsFree (except bank transfer)Free (over $150)FreePepperstoneFree (except bank transfer)Free (over $100)FreeCustomer Service LMAX provides 24/7 customer service through phone, email, and live chat. You can also follow LMAX on some social networks such as LinkedIn, Facebook and YouTube. Conclusion In conclusion, LMAX is a highly-regulated broker that offers institutional-level trading services to retail clients. The broker offers a wide range of trading instruments and a powerful trading platform. LMAX's low-latency trading environment, deep liquidity pool, and transparent pricing model make it an ideal choice for traders who demand high-quality execution and a fair trading environment.