CMC Markets vs LMFX | Our Analysis & Comparison (2024)

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Forex traders always look for trading with brokers that suit their trading needs and preferences. CMC Markets and LMFX are online forex brokers that offer their trading services to traders and investors. CMC Markets  is a highly regulated and trusted forex broker. It is regulated in five tier-1 jurisdictions. On the other hand, LMFX is an offshore forex broker which is not regulated by any regulatory bodies. 

In this article, we will review and compare the brokerage services offered by CMC Markets  and LMFX. We will explore options such as regulations, reputations, fees, features, leverage, and more. Additionally, we will analyze and rate the brokers based on macro and micro categories and options. By reviewing these aspects, you will get a clear idea of which broker suits you best for your trading journey.

CMC Markets vs LMFX: In a Nutshell

CMC Markets

Founded in 1989, CMC Markets is a publicly traded broker (Ticker: CMCX). The broker is regulated in the UK, Australia, Canada, and Singapore. It offers over 9800 trading instruments, including Forex, Indices, Cryptocurrencies, Shares & ETFs, and Commodities. There is no minimum deposit requirement on IC Markets; you may deposit as low as $1. CMC Markets allows EA trading and news trading. The broker uses the most popular trading platform, MetaTrader (MT4), as its trading platform. To learn more, you can read our review about CMC Markets.

CMC Markets Overview
  • Founded In: 1989
  • Minimum Deposit: $0
  • Maximum Leverage: 1:500
  • Regulations: ASIC
  • Trading platform: MT4 , Share trading platforms
  • Account Types: SPREAD BETTING, Fx Active, CFD Trading
  • Payment Options: Bank Wire (BankTransfer/SWIFT), VISA, MasterCard
  • US Traders: Not Accept

LMFX

Traders who desire high leverage, multiple payment options, or even fixed spreads should consider trading with LMFX. Founded in 2015, the broker has successfully operated without hitches while growing its client base through the delivery of excellent services. Trading fees are low and there is an account type for every broker. 

CMC Markets vs: LMFX Features

CMC Markets

  • Trading Instruments: 12000+ trading instruments including forex, indices, Cryptocurrencies, Commodities, Shares, Share baskets, Treasuries, etc 
  • Maximum leverage:  Up to 30:1 ( FCA, ASIC), up to 1:50 (IIROC), and up to 500:1 for a professional account.
  • Minimum Deposit: No Minimum Deposit. However, Pepperstone recommends $200 or equivalent for the margin requirement. 
  • Account Types: Three (Spread Betting Account, CFD Account, Corporate Account)
  • Trading Fees: only Spread is charged (Commission is only for Shares account). Variable spreads from 0.3 pips. A rollover commission is applied on open positions overnight. For the Shares account commission starts from $7. 
  • PAMM/ MAM:  Not Available 
  • Scalping: Allowed 
  • News Trading: Allowed
  • EA/ Robot Trading: Allowed

LMFX

  • Trading Instruments: Forex, CFDs (Indices, Commodities, Metals, Shares)  
  • Maximum leverage: 1000:1
  • Minimum Deposit: $5
  • Account Types: Four ( Premium, Micro, Fixed, Zero Account) 
  • Trading Fees: Spread starting from 1 pips or commission $4 
  • PAMM/ MAM:  Not Available
  • Scalping: Allowed 
  • News Trading: Allowed
  • EA/ Robot Trading: Allowed

CMC Markets vs LMFX : Side By Side Comparison

CMC Markets
LMFX
Product
Product
CMC Markets
LMFX
Founded In
Founded In
1989
2015
Founded By
Founded By
Peter Andrew Cruddas, Baron Cruddas
Carter Anthony Smith
Headquarters
Headquarters
London, United Kingdom
Skopje, North Macedonia
Regulations
Regulations
FCA, ASIC, BaFin, IIROC, FMA, MAS
None
Min Deposit
Min Deposit
None
$50
Max Leverage
Max Leverage
1:500
1000:1
Tradable Assets
Tradable Assets
Forex Major, Forex Crosses, Forex Minor, Metals, Oil , CFD, Stock indices
Forex, stocks, indices, and commodities.
Fees
Fees
Spread starting from 0.3 pips or commission $10
Spread from 1.0 pips
Platforms and Tools
Platforms and Tools
MT4 , Share trading platforms
MT4, WebTrader
US Traders
US Traders
Not Allow
Allowed

CMC Markets vs LMFX: Pros and Cons

CMC Markets Pros & Cons

Pros
  • Regulated by FCA, ASIC, IIROC, MAS, FMA
  • Founded in 1989, CMC Markets is publicly traded company
  • The minimum deposit is as low as $1 
  • Comparatively low spread starting from 0.7 pips
  • Allows news trading, EA/Robot trading
  • Extensive range of tradable assets 
  • Excellent education and research resources
Cons
  • Offered only MT4, no MT5, cTrader trading platforms 
  • Maximum leverage is only 1:300
  •  No passive investment programme or social trading platforms ( No PAMM, MAM accounts) 
  •  Does not accept US clients
  • Only CFD Trading 
  • High CFD spreads for certain Indices 
  • Spread betting only for UK residents

LMFX Pros & Cons

Pros
  • The maximum leverage is as high as 1:1000.
  • Tight Spread Starting from 0  pips 
  • Free VPS for high-volume traders.
  •  Allow Scalping, News Trading, EA Trading
  • Does not have any FIFO Restrictions 
  • Deposit bonus and other bonuses.
  • Due to the absence of regulatory restrictions, the broker is open to clients worldwide
  • Multiple payment options including crypto and e-wallets.
  • 4 Types of accounts available ( Premium, Micro, Fixed Zero)
  • Traders are supported with trading tools like calculators, economic calendars, etc.
Cons
  • Not Regulated by Any Authority 
  • Crypto CFDs are not available to Trade 
  • No Investor Protection Scheme 
  •  No access to MetaTrader 5. Only MT4 and Webtrader are available. 
  • The minimum deposit for bank wire transfers is $250
  • Managed Accounts and Social Trading (MAM, PAMM Accounts) are not Available

CMC Markets Vs LMFX: Our Scores and Ratings

We rated both brokers, CMC Markets and LMFX, on a scale of 1 to 10, with 0.1 increments. To achieve a comprehensive rating, we broadly grouped all services offered by brokers into 6 macro categories and assigned percentage weights to them. Each macro category is subdivided into several data points which contributes to the total score of 1.0-10.0 assigned to each macro category. Since all categories are not equally important, our weight percentage plays a significant role in assessing the broker accurately. For example, Regulation and Security contributes a total weight of 40% to the whole ratings because this is the most important rating category. To learn more, read our methodology.

CMC Markets:

9.0
CMC Markets Score
Regulation and Security (40%)9.7
Fees and Commissions (20%)8
Trading (15%)9
Trading tools (10%)8
Customer Support (10%)9.5
Trading Education (5%)9

LMFX

3.6
LMFX Scores
Regulation and Security (40%)1.5
Fees and Commissions (20%)6.5
Trading (15%)6
Trading tools (10%)1
Customer Support (10%)5
Trading Education (5%)3

Final Verdict :

Both CMC Markets  and LMFX offer similar trading services worldwide. However, there are differences in their regulations, reputation, and operation. CMC Markets  is a highly regulated and trusted forex broker. It is regulated by top-tier regulatory authorities, including FCA, MAS, ASIC, IIROC, FMA. On the other hand, LMFX is an unregulated offshore forex broker. CMC Markets  provides Multiple trading platforms including Mt4, Web Trading, Mobile. On the other hand, LMFX offers MT4, Webtrader, Mobile Trader. 

As CMC Markets  is not licensed in the USA, it cannot accept US clients. Being an unregulated offshore forex broker, LMFX can onboard clients from anywhere in the world, including the USA. Therefore, non-US traders may opt for CMC Markets , while US traders looking for offshore forex brokers may consider LMFX. Trading with offshore forex brokers is risky and not recommended.

Written by

Jason Paine is a forex trader, researcher, and tech enthusiast. He is passionate about financial markets and cutting-edge technology. With a dynamic 16-year trading career, he's on a mission to guide fellow traders. Having navigated diverse forex brokers, Jason shares his insights at Brokersway to bridge the gap between traders and the right brokerage.

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