LMFX Account Types: A Detailed Guide for Traders and Investors.

Forex and CFD traders come from all over the world. They are different in terms of trading capital, risk appetite, trading knowledge, experience, strategies, and in many other ways. Most forex brokers understand this and so, they offer various account types with different features to cater the needs of traders.

LMFX understands that there are brokers who are still learning how to trade and cannot risk much. They also know that there are expert traders who have already made a career out of forex and CFD trading. To this effect, the broker has designed account types to meet the requirements of these traders and others who do not fit into any of the categories described.

In this article, we will explain the account types provided by LMFX. We will look at their features, opening requirements and benefits.

LMFX at a Glance

LMFX is an online offshore broker that provides platforms on which forex and CFD traders can speculate on the prices of more than 100 trading instruments. It is an ECN broker that offers tight spreads and fast executions. It is registered in the Republic of North Macedonia and has been in operation since 2015.

LMFX available account types

LMFX allows its clients to open any of 3 real account types and a demo account. Each of these accounts has its unique features and was created to serve a targeted set of traders. It is important to understand the features of each account so that you can choose the one that fits your trading style or preferences. Below are the account types:

Premium Account

This is the standard account type perfect for new or experienced traders. It is the normal forex trading account where traders pay through marked-up floating spreads.

The spreads are competitive as it starts from 1.0 pip. The minimum deposit is $50 but after the first deposit, you can reload a minimum of $25. Traders can trade up to 60 lots in one trade. You can choose the leverage of your choice from 1:100, but the maximum is 1:1000.

Clients should watch out because spreads can widen in certain market conditions. All LMFX accounts can only be maintained in either EUR or USD, which is limited. 

Fixed Account

This account is designed for traders who prefer to plan their trades and pay fixed spread charges. It is best for experienced traders who understand market analysis, different order types, and how spreads work. The minimum opening deposit is $250 and the minimum reload amount is $50.

Fixed account holders can open up to 150 trades totaling 75 lots at the same time. The major advantage of this account type is that it allows a trader to accurately estimate his profits, trading fees, and risk/reward ratio. It is best for scalpers and short-term traders.

The fixed spreads start from 1.8 pips which are relatively high when compared to the premium account spreads or even other brokers. The minimum deposit is also high. The leverage available is from 1:50 up to a maximum of 1:400. 

Zero account

This is the account specifically designed for professional traders who trade large volumes. For this account, LMFX aggregates spreads from its liquidity providers and streams it on the platforms. Orders are executed at the market while LMFX only receives commissions just like an agent.

LMFX Zero account features raw spreads from 0.0 pips with commissions starting from $4 per lot per side or $8 round turn. The minimum deposit is $100 but subsequently; accounts can be reloaded with at least $50. Up to 200 trades totalling 100 lots can be opened simultaneously.

Zero account holders are not eligible for any of the bonuses available to other account holders. They can only trade with limited leverage; from 1:50 up to a maximum of 1:250.

Demo account

This is an account that simulates live trading on the platforms but real funds are not used and there are no risks to the trader. It is best for new traders who are learning how to trade and also for traders who are testing their trading systems, trading robots, or strategies.

It comes with virtual funds; from $5,000 to a maximum of $100,000. LMFX restricts traders to a maximum of one real account but you can have multiple demo accounts.

Learn More: How to Withdraw Money From LMFX?

What Type of account is right for me?

LMFX does not support a trader with an LMFX connect account to have more than one real account. So, it is important to choose the account type that best suits your personality, trading style, knowledge, and experience. The broker offers MT4 and Webtrader Platforms. Let us consider some scenarios. 

If I am new to Forex Trading: Newbies should start by studying the articles provided by LMFX. It can be found in the LMFX connect under the ‘Forex education’ section. Then, you will create a demo account and start practising with the virtual funds. When you are ready for live trading, you can start with the Premium account. 

If I am an Experienced Regular Trader: If you fall into this category of traders, you can start with the Premium account. Just like most standard accounts with brokers, you will pay by the spread. The minimum trade size is 0.01 lots, spreads are tight and you can trade on any device. 

If I am an experienced high-volume trader: The perfect account for you is the Zero account. The spreads are super-tight starting from 0.0 pips with no markups. The commission is also competitive. Free VPS is provided for you if you maintain a monthly balance of $5,000; otherwise, you can pay a discounted fee of $20 for VPS monthly.

Learn More: Does LMFX Accept US Clients?

Final verdict

LMFX has designed 3 account types to meet the needs of its diverse clientele. Premier accounts are for experienced traders who choose to pay via marked-up spreads instead of commissions. It is characterized by high leverage; up to 1:1000 and low deposits starting from $50.

Fixed accounts are appropriate for traders who want to trade fixed spreads and not worry about spread widening in times of volatility. Zero accounts are best for pro traders who trade huge volumes and so need raw spreads.

Demo accounts can serve as a learning tool for beginners but for experienced traders, it is apt for strategy testing and honing. Newbies can also learn from the provided Educational articles while high-volume traders can enjoy free VPS services.