XM Broker Account Types Explained in Detail — Which One Is Best for You?

Introduction — why account type matters

Account type affects the most important trading variables: spreads, commissions, available instruments, leverage caps and minimum deposits. The choice influences trading costs and the suitability of the account for strategies like scalping, swing trading or long-term investing. Selecting the wrong account can add avoidable costs or limit your ability to execute a strategy effectively.

Note: XM’s product features and local availability can vary by jurisdiction and regulatory entity — always confirm live details in the client portal during registration.

Overview — the XM account lineup

XM typically offers these core account categories (naming and exact conditions may vary by region):

• Micro Account — for small-size trading and first-time live traders.
• Standard Account — the default retail account combining simplicity and scale.
• Ultra Low Account — focused on the lowest possible spreads for active traders.
• Shares Account — access to real equities / share trading (non leveraged in many regions).
• Islamic (Swap-free) Accounts — for traders requiring Sharia-compliant conditions.

Micro Account — ideal for beginners and testing

What it is: A micro account allows trading in micro-lots (1 micro lot = 1,000 units of base currency) so position sizes are smaller than standard lots. This lowers per-trade exposure, making it a useful choice for learning live trading with real money.

Key characteristics

• Minimum deposit: usually very low (often around $5 in many jurisdictions).
• Lot size: micro-lots (1,000 units).
• Spreads: typically standard; not as low as Ultra Low accounts.
• Leverage: high leverage often available (example up to 1:1000 depending on jurisdiction).

Who should choose Micro?

Beginners, learners, and traders who want to test strategies in a live environment with very small capital. Micro accounts are also useful when backtesting reveals slippage differences between demo and live conditions — trading micro-lots reduces risk while evaluating execution.

Pros & cons

• Pros: minimal funding required; low absolute risk per trade; great for learning.
• Cons: slightly wider spreads; not ideal for institutional or high-volume traders.

Standard Account — the balanced choice

What it is: The standard account is the most common retail account type — trades standard lot sizes (100,000 units) and often carries no commission, with the broker earning via spreads.

Key characteristics

• Minimum deposit: typically low (for many regions it starts from $5).
• Lot size: standard (100,000 units).
• Spreads: competitive for general retail traders.
• Leverage: up to regulatory limits or broker policy (region dependent).

Who should choose Standard?

Traders who have moved beyond micro sizing and want direct exposure to normal lot sizes. Standard suits swing traders and position traders who value simplicity and predictable spread-based pricing.

Pros & cons

• Pros: simple costs (no commission on many pairs), scalable for larger balances.
• Cons: slightly higher spreads than raw ECN-style accounts; not specialized for ultra-low cost scalping.

Ultra Low Account — for tight-spread traders

What it is: Ultra Low accounts are structured to provide the tightest possible spreads (starting from very low values, e.g., ~0.6 pips or less on majors). These accounts are tailored to scalpers and intraday traders who need minimal spread cost per trade.

Key characteristics

• Minimum deposit: typically higher than micro/standard (e.g., $50 or region equivalent).
• Spreads: the narrowest among retail accounts.
• Commission: sometimes zero (costs are built into slightly different pricing); always check the up-to-date pricing in the client portal.
• Leverage: varies by jurisdiction.

Who should choose Ultra Low?

Scalpers and high-frequency traders who perform many trades and for whom every pip matters. Ultra Low reduces friction costs, improving the viability of short-term strategies.

Pros & cons

• Pros: lower cost per trade for high-volume activity; better for scalping.
• Cons: may require higher minimums; not necessary for long-term investors who rarely trade.

Shares Account — direct stock trading

What it is: Shares accounts provide access to trade actual company shares or share CFDs depending on the broker’s offering and local rules. These accounts often operate with commission-based pricing rather than spread-only models and may not offer large leverage.

Key characteristics

• Minimum deposit: typically significantly higher than retail FX accounts (e.g., $10,000 or region-specific).
• Leverage: often limited or 1:1 for real share trading.
• Fees: commission per trade plus market spreads; details vary by instrument.

Who should choose Shares Account?

Investors who want direct exposure to equities and aren't looking to use high leverage. Suitable for long-term investors and those focusing on company fundamentals rather than intraday price action.

Pros & cons

• Pros: direct access to equity markets; appropriate for portfolio investors.
• Cons: higher entry capital and commission structure; less useful for forex-focused traders.

Islamic (Swap-free) Account — Sharia-compliant trading

What it is: For clients who require Sharia-compliant conditions, an Islamic or swap-free account removes overnight interest (swap) from positions. XM offers swap-free options where permitted by regulation.

Key characteristics

• No overnight interest (swap) charged on qualifying positions.
• May have alternative administrative or handling fees for certain positions.
• Availability depends on jurisdiction and legal entity rules.

Who should choose Islamic accounts?

Traders who, for religious reasons, cannot accept or pay interest on overnight positions. Suitable for longer-term positions where swap charges would otherwise accumulate.

Pros & cons

• Pros: Compliant with Islamic finance principles for eligible traders.
• Cons: May include alternative fees or restrictions; verify terms before opening.

Comparison — how to pick the right account (practical guidance)

Use these simple decision rules:

• If you are brand-new: start with a Micro account — low deposit, low absolute risk.
• If you trade occasionally: a Standard account balances simplicity and cost.
• If you scalp or trade high frequency: choose Ultra Low for tighter spreads.
• If you want equity exposure: use a Shares account with appropriate capital.
• If you need Sharia compliance: request a swap-free (Islamic) account.

Remember: the best account is one that fits your strategy, risk tolerance, capital and the specific features you need (e.g., EAs, margin rules, instruments).

Minimum deposits, leverage and margin considerations

Minimums and leverage can vary by legal entity and updates in regulation. Typical patterns:

• Minimum deposit: from a few dollars (Micro/Standard) to thousands for Shares accounts.
• Leverage: up to 1:1000 in some retail entities (subject to local caps and regulatory restrictions).
• Margin: higher leverage increases margin calls and liquidation risk — manage position sizes responsibly.

Always confirm the exact margin and leverage settings in your XM client portal after account creation.

Can you open multiple accounts? — yes

Many traders maintain multiple accounts for strategy separation (e.g., a Micro account for testing, an Ultra Low account for scalping, and a Shares account for equity investing). XM typically allows multiple accounts under one client profile; check limits for your legal entity.

Best practice: label accounts clearly and keep capital management rules per account.

How to open any XM account type — step-by-step

1. Click the registration link and open the XM signup form: Register with XM (affiliate).
2. Choose the account type you want during registration.
3. Complete personal details and answer experience questions honestly.
4. Upload ID & proof of address for verification.
5. Fund the account using a supported payment method.
6. Install MT4 / MT5 or use the web terminal and begin trading.

If you later decide to switch account type, you can usually open an additional account of the desired type under the same profile.

Frequently asked questions about XM account types

Is there an account that’s objectively “best”?

No single account is best for everyone — the best account depends on capital, trading frequency, and strategy. Micro is best to learn; Ultra Low is best to minimize spread costs for scalping.

Do spreads change during news events?

Yes. All accounts experience wider spreads during volatile market events. Ultra Low accounts usually maintain tighter spreads in normal market conditions but can still widen during major news.

Can I upgrade or downgrade my account?

You cannot “convert” an account type in place in all systems; instead, open an additional account of the desired type under your profile and transfer funds as needed.

Are there hidden fees?

XM emphasizes transparent pricing; however, charges can come from payment providers, currency conversion, or commissions on certain instruments. Always review the client portal fee disclosures.

Conclusion — pick the account that fits your plan

Choosing an XM account is primarily about aligning product features with your trading goals. If you're unsure, start with a smaller Micro or Standard account to test execution and funding. When you’re ready to scale or run high-frequency strategies, consider Ultra Low. For equity investors, Shares accounts are the logical option.

If you’re ready to register, use this link to go to the official XM sign-up page — it supports this site at no extra cost to you:

Open XM Account — Start Now

Internal resource: For a short landing page and direct comparisons, visit https://exem-register.com.