RECOMMENDED FOREX BROKERS
Don’t put all your eggs in one basket. Open trading accounts with at least two brokers.
This is a review of CFDs & forex broker HCYM (formerly HY Markets), authorised and regulated by FCA in UK. Below you may find detailed information on HYCM’s trading conditions, deposit & withdrawal methods, security of funds, trading platforms, etc.
|Account type||Minimum deposit||Minimum trade size||Maximum leverage||Spreads|
|Mini||$100||0.01||1:500||1.8 pips on EUR/USD|
|Standard||$1 000||0.01||1:300||1.5 pips on EUR/USD|
|VIP||$10 000||0.01||1:300||1.5 pips on EUR/USD|
This broker offers three basic account types: Mini, Standard and VIP. The Mini account, intended for newbies, offers less products for trade and also, signals trading is not available. Leverage on all account types is dynamic, changing according to size of open positions, and the spreads are fixed.
Clients of HYCM who don’t want to earn interest for religious reasons may opt for Islamic accounts, which are swap-free.
HYCM (formerly HY Markets) is the trading name of Henyep Capital Markets UK Ltd., a division of the Henyep Group, a global conglomerate with various business activities spanning 3 continents and 20 countries world-wide.
Set up 35 years ago, the Henyep Group operates out of its offices in London, Dubai, Hong Kong, Kuwait and Cyprus and is regulated by the relevant authorities in those countries.
HYCM is a retail forex broker that offers trading in a number of currency pairs, various CFDs on indices, commodities, stocks and precious metals, available on two trading platforms. The company also offers binaries trading service through its HY Options brand.
Security of Funds
As we have already mentioned, HYCM is operated by Henyep Capital Markets UK Ltd., a London-based company authorised and regulated by the UK Financial Conduct Authority (FCA).
UK’s financial watchdog is famous for applying strict requirements to brokerage firms. Licensed companies are required to comply with certain rules and procedures covering client funds, order execution, minimum capital requirement, regular report filing, etc. UK-based brokers are obliged to hold at least €730 000 in order to prove their financial stability.
In relation to security of clients` funds, we would also like mention that FCA-regulated companies fall under the umbrella of the Financial Services Compensation Scheme (FSCS), which protects consumers up to £50,000 per person, in case the company goes bankrupt.
Minimum Initial Deposit
Traders are required to deposit just $100 in order to open an account with HYCM, which is a comparatively low minimum initial amount. In comparison, FxPro require as much as $500 from their clients to start with, while others, such as CMC Markets, do not require any initial deposit.
Average Spreads & Commissions
HYCM is a fixed-spread forex broker, and like most of them, charges no commissions. Fixed spreads are generally wider than variable ones, but offer traders a predictable trading environment and protects them from wild spread swings which usually happen.
In fact, the spreads offered by HYCM are quite competitive, amounting to 1.8 pips on EUR/USD and even less on Standard & VIP accounts. On average, fixed spreads amount to 2 – 3 pips. In comparison, Plus500 offers fixed spread amounting to 2 pips on the EUR/USD and also charges no commission fees.
Leverage rates with this broker vary, depending on the financial instrument traded and the size of open positions.
The maximum leverage levels with HYCM reach 1:500, which is considered a high ratio, however many other FCA-regulated brokers provide such: FxPro, for instance, also offers leverage up to 1:500.
Nonetheless, be advised that higher leverage involves higher risk, not only the probability of multiplied profits earned on a small deposit. It is a double-sided coin.
HYCM offers two trading platforms: its in-house web-based PrimeTrader and the renown MetaTrader 4.
PrimeTrader is a new multi-asset web platform with user-friendly interface and provides integrated multiple pricing, advanced charts and complete online account management. Guaranteed Stop/Loss are available.
The MT4 is also supported by this broker, desktop, and mobile versions being offered. This platform is preferred by most traders, because it allows clients to fully automate their trades by Expert Advisors (EA) and let the program do all the work. What is more, it offers a number of technical indicators and advanced charting package.
What is more, HYCM has partnered with Pro Daily which brings investors cutting edge trading signals.
HYCM is a generous broker, offering 25% bonus on each deposit, as well as a Refer-a-friend scheme. Depending on the amount of the initial deposit of the referred client, the referrer can get up to $250.
What is more, the broker offers a rebate program, available tohigh volume traders:
Methods of Payment
HYCM`s clients are able to make deposits and withdrawals via credit/debit cards (Visa or Mastercard), wire transfer, and WebMoney.
The trade accounts allow base currencies in USD and EUR. Deposits are also accepted in KWD, SAR and AED and will be converted to USD for trading.
Being part of a large international group with more than 30 years of experience in the industry, HYCM is a reliable and well-regulated broker, offering reasonable conditions for trading in currency pairs and a variety of CFDs. To sum things up, here are the advantages and drawbacks with regards to HYCM:
Strong regulation Fixed spreads only
Competitive fixed spreads
Comparatively low minimum initial deposit