CMC Markets Review 2022 – Pros and Cons Uncovered

Pros Cons • Low forex fees • High stock CFD fees • No withdrawal fee CMC Markets fees snapshot Assets Fee level Fee terms S&P 500 CFD Low The fees are built into the spread, 0.6 points is the average spread cost during peak trading hours. Europe 50 CFD Low The fees are built into the spread, 1.6 points is the average spread cost during peak trading hours. EURUSD Low The fees are built into the spread, 0.7 pips is the average spread cost during peak trading hours. Inactivity fee Low £10 monthly fee after 12 months of inactivity

How we ranked fees

We ranked CMC Markets’s fee levels as low, average or high based on how they compare to those of all reviewed brokers.

To get things rolling, let’s go over some lingo related to broker fees. What you need to keep an eye on are trading fees, and non-trading fees.

• Trading fees occur when you trade. These can be commissions, spreads, financing rates and conversion fees.
• Non-trading fees include charges not directly related to trading, like withdrawal fees or inactivity fees.

In the sections below, you will find the most relevant fees of CMC Markets for each asset class. For example, in the case of forex and stock index trading the most important fees are spreads, commissions and financing rates.

We also compared CMC Markets’s fees with those of two similar brokers we selected, IG and XTB. This selection is based on objective factors such as products offered, client profile, fee structure, etc. See a more detailed rundown of CMC Markets alternatives.

To have a clear overview of CMC Markets, let’s start with the trading fees.

CMC Markets trading fees

CMC Markets has low forex and stock index CFD fees, but high stock CFD fees. CMC Markets is one of the most transparent brokers in the market, which helps to easily calculate your trading costs. For example, we really liked that you can check historical financing costs.

We know it’s hard to compare trading fees for CFD brokers. So how did we approach the problem of making their fees clear and comparable? We compare brokers by calculating all the fees of a typical trade for selected products.

We have chosen popular instruments within each asset class:

• Stock index CFDs: SPX and EUSTX50
• Stock CFDs: Apple and Vodafone
• Forex: EURUSD, GBPUSD, AUDUSD, EURCHF and EURGBP

A typical trade means buying a leveraged position, holding it for one week and then selling. For the volume, we chose a $2,000 position for the stock index and stock CFDs and $20,000 for the forex transactions. The leverage we used was:

• 20:1 for stock index CFDs
• 5:1 for stock CFDs
• 30:1 for forex

These catch-all benchmark fees include spreads, commissions and financing costs for all brokers. Let’s see the verdict for CMC Markets fees.

CFD fees

CMC Markets has mixed CFD trading fees. Stock index CFD fees are low, while stock CFD fees are high.

CMC Markets CFD fees for a $2,000 long position held for one week CMC Markets IG XTB S&P 500 index CFD fee $1.4 $1.1 $1.5 Europe 50 index CFD fee $1.7 $1.4 $1.8 Apple CFD fee $21.4 $31.2 $8.5 Vodafone CFD fee $27.1 $29.7 $10.9

Stock CFD commissions are volume-tiered with a minimum.

CMC Markets stock CFD commission Market Commission Minimum fee North America US $0.02 per share $10 Canada CAD 0.02 per share CAD 10 Europe UK Austria, Belgium, Finland, France, Germany, Ireland, Italy, Netherlands, Portugal, Spain 0.10% €9 Denmark 0.10% DKK 90 Norway 0.10% NOK 79 Poland 0.18% PLN 50 Sweden 0.10% SEK 89 Switzerland 0.10% CHF 9 Asia and Pacific Australia 0.10% AUD 7 Hong Kong 0.18% HKD 50 Japan 0.10% JPY 1,000 New Zealand 0.10% NZD 7 Singapore 0.10% SGD 10

Forex fees

CMC Markets forex fees are low.

CMC Markets forex benchmark fees of a $20,000 30:1 long position held for one week CMC Markets IG XTB AUDUSD benchmark fee $8.2 $11.4 $7.0 EURCHF benchmark fee $8.9 $9.6 $6.1 EURGBP benchmark fee $10.2 $17.8 $9.7 EURUSD benchmark fee $8.8 $16.1 $8.3 GBPUSD benchmark fee $5.8 $9.4 $5.8

Non-trading fees

CMC Markets charges no account, deposit, or withdrawal fee (with a few exceptions). However, there is a £10 monthly fee after 12 months of inactivity, unless you hold no funds in your account.

CMC Markets non-trading fees CMC Markets IG XTB Inactivity fee Yes Yes Yes Account fee No No No Deposit fee $0 $0 $0 Withdrawal fee $0 $0 $0