Both these companies were founded around the same time, 2013 and 2011 respectively, and since then both have become global behemoths in the online trading industry. This is a comparison between IQ Option and FXTM to help you choose wisely when you need to sign up with a new broker.
IQ Option was initially created to be a primarily options broker, an industry that boomed following the 2008 financial crisis. Since then, though, this industry has faced tough opposition and IQ Option expanded to other regions and markets and is currently one of the most well known brokers in the world. On the other hand, FXTM was created to tap into the Forex market, as its name ForexTime implies.
IQ Option requires their clients to deposit at least $10 into their trading accounts before they can trade, while FXTM has a minimum deposit requirement of $100. Funding methods common between the two include wire transfer, credit card and electronic wallets. Making a deposit will not cost you anything, but eToro charges $25 for withdrawals.
Winner is IQ Option thanks to lower requirements for deposit.
IQ Option is regulated by CySEC under the license number 247/14. This license allows the company to solicit clients from most countries in the world with the exception of the US and Japan, countries with strict regulatory controls. That being said, US residents can still sign up with IQ Option as long as they are aware of the risks involved.
FXTM, on the other hand, is regulated by four separate regulators through its many subsidiaries. ForexTime UK (FRN 777911) received a license from the FCA, ForexTime Limited (185/12) from CySEC, Exinity Limited (license number C113012295) from the FSC of Mauritius and ForexTime (FSP No. 46614) from FSCA of South Africa. This also gives FXTM a global reach but for Japan and the US.
Winner is FXTM for having better client fund security.
Access to financial markets on IQ Option is made possible through the company’s proprietary trading platform. It is available for download both on desktop and mobile devices, and it has a lot of features to make market analysis possible. FXTM chose the safer route by providing MetaTrader 4 and 5 in addition to a web trader and mobile apps. MetaTrader is a popular trading platform, and thus many traders will be familiar with it from the get-go.
Winner is FXTM for providing MT4 and MT5.
IQ Option’s main business is options trading, which includes digital and binary options. In addition, there are also CFDs for Forex pairs, commodities, stocks, indices and cryptocurrencies. Meanwhile, FXTM offers similar CFDs but no options trading whatsoever.
Therefore, IQ Option is a winner over FXTM.
Based on the above factors, FXTM emerges as the overall winner and would be more recommended over IQ Option. However, if you are interested in options trading, then IQ Option would be the better option.