FX Global Markets vs SVS Securities XO

FX Global Markets or SVS Securities XO?

ECN execution or accepts Scalping?

If you’re a trader looking for a broker that offers ECN execution (as opposed to a market maker), FX Global Markets is likely the better choice. However, if you want a broker that allows you to scalp as a trading strategy, SVS Securities XO may be more suitable.

Which broker is more reliable?

You can determine a broker’s reliability & trustworthiness by looking at eight factors:

• Who are they regulated by?
• How long have they been around for?
• Do they hold your money in a separate bank account?
• Do they use reputable “tier-1” banks like Barclays, Goldman Sachs or HSBC?
• Have they been fined or penalised in the last five years?
• The popularity of their service/website
• Are they publicly listed?
• Where are they located?

Based on these eight factors, we consider FX Global Markets and SVS Securities XO to be equally reliable. We’ve broken down why below:

Who are they regulated by?

FX Global Markets is regulated by Financial Conduct Authority, CySEC, while SVS Securities XO is regulated by Financial Conduct Authority.

AvaTrade are regulated by Central Bank of Ireland, ASIC, IIROC, FSA, FSB, UAE and BVI

How long have they been around for?

If a broker has been around for a long period of time, they’re likely to be more reliable (in comparison, most scam brokers only exist for several years before they disappear).

This also suggests that a broker has good risk management processes that have prevented them being caught out by major financial events, as was the case with Alpari UK going bust when they were there was a policy reversal of capping the Swiss Franc against the Euro.

FX Global Markets has been around for 10 years, while SVS Securities XO have been around for 18 years. Our third alternative broker, AvaTrade, have been around for 15 years.

Do they hold your money in a separate bank account?

You wouldn’t want your broker paying their staff out of the same bank account account that you’re depositing your trading funds into, would you?

Fortunately, all regulated brokers must use segregated bank accounts to hold client money. This is one of the reasons why we only feature regulated brokers here on BrokerNotes.

All three brokers above will hold your money in a separate bank account.

Do they use reputable “tier-1” banks like Barclays, Goldman Sachs or HSBC?

Most tier-1 banks like Barclays and HSBC have been around for over 100 years and manage trillions of dollars of assets, proving that they have stood the test of time.

FX Global Markets does not use tier one banks as their banking partner. SVS Securities XO uses tier one banks as their banking partner.

Have they been fined or penalised in the last five years?

If a broker has been penalised by a regulator in the past five years, it may mean that they were caught doing something they shouldn’t be doing - which may be of concern to you as an end client.

We’re not aware of any penalties or fines imposed by regulators on FX Global Markets or SVS Securities XO in the past five years.

How popular is their service/website?

While not always the case, the number of traders a broker has can be a good metric for understanding how reputable a brokers is.

Are they publicly listed?

Companies that are publicly listed on a stock exchange tend to be considered more reputable as they will be required to disclose their financials, and aspects of their operations, to the public.

FX Global Markets is a privately owned company, while on the other hand SVS Securities XO is still a publicly listed company.

Where are they located?

Most reputable brokers tend to be headquartered in a major capital city or a financial hub such as Cyprus.

FX Global Markets are based in Depaho Limited, Artemisia Business Center, 14 Charalambou Mouskou 2014, Strovolos Nicosia, Cyprus, while SVS Securities XO are based in 2nd Floor, 20 Ropemaker Street, London, EC2Y 9AR .

Do they offer the features you need?

Assuming the brokers you’re choosing between are reputable, the next point to consider is whether they offer all of the features you require to trade.

This can be broken down into three categories:

• Services & instruments
• Platforms & account types
• Trading features, risk management tools & funding methods

Services and Instruments

If you’re looking to trade currency pairs, both FX Global Markets and SVS Securities XO offer forex trading. SVS Securities XO have a slightly larger variety of currency pairs with 39 pairs, compared to 38 offered by FX Global Markets. Also, if you’re looking to trade cryptocurrencies, FX Global Markets offers a handful of cryptocurrency CFDs to trade, including Bitcoin, Ethereum and Ripple.

Both FX Global Markets and SVS Securities XO allow you to trade commodities like gold, silver and crude oil.

Platforms & Account Types

If you trade forex, there’s a good chance you might want a broker that offers the popular MT4 trading platform. If that’s the case, both FX Global Markets and SVS Securities XO offer this. Our alternative broker, AvaTrade, also offers MT4 and MT5.

In addition to the platform, you’ll also want to ensure that the broker you choose offers the account type best suited to your needs. AvaTrade, for example, offer a mini account, standard account and VIP account.

Trading features, risk management tools & funding methods

If you have a certain trading style (e.g. scalping, hedging, or using EAs), you’ll want to double check that the broker you choose allows this, as not all of them do.

While SVS Securities XO also allows scalping and hedging. You can trade with EAs (expert advisors) on both FX Global Markets and SVS Securities XO.

In terms of risk management tools, FX Global Markets does offer negative balance protection to prevent you owing your broker more than you’ve deposited, but SVS Securities XO doesn't offer this.

FX Global Markets also offer stop losses and limit orders to help you automate aspects of your trading strategy.

FX Global Markets accept Skrill while SVS Securities XO accept Neteller.

Are they affordable for what you need?

Comparing the fee structures of different brokers can be a minefield at times. The important thing to consider is what the spreads & fees are on the specific instruments and account type that you will be using.

For trading EUR/USD, FX Global Markets and SVS Securities XO both charge points. Therefore, both brokers are equally affordable for this instrument. You can jump back up to our comparison of their currency pair & indice spreads above.

Another consideration is whether or not your broker charges inactivity, deposit/withdrawal fees, or commissions on trades. If you’re a frequent trader, inactivity fees are unlikely to be an issue.

The Verdict: FX Global Markets or SVS Securities XO?

There’s no such thing as a perfect broker, but some are going to be a better fit for you than others.

Objectively, SVS Securities XO is more reliable based on our criteria above. FX Global Markets has a wider range of instruments to trade. SVS Securities XO offer lower spreads on popular forex instruments like EUR/USD and are used by more traders.

Both brokers offer demo accounts, allowing you to test their platforms to see which is suitable for you. You can test drive their demos using the links below:

• Try FX Global Markets’s demo account (87% of retail investor accounts lose money when trading CFDs with this provider.)
• Try SVS Securities XO’s demo account (Losses can exceed deposits)
• Try AvaTrade’s demo account (71% of retail investor accounts lose money when trading CFDs with this provider.)

Finally, if you’re really not sure you can always use our free tool (takes 15 seconds) that will help you find a suitable broker based on your precise requirements here.