FXCM vs Plus500: Comprehensive Comparison for Iceland Traders (2026)

When comparing trading costs for Iceland traders, Plus500 typically offers lower spreads on major forex pairs—EUR/USD spreads start at 0.6 pips compared to FXCM’s 1.2 pips on standard accounts. However, FXCM’s Active Trader account reduces spreads to 0.0 pips with a $6 commission per lot, which can be cheaper for high-volume traders trading 5+ lots per month. Both brokers charge no commission on standard accounts. For Iceland traders, the impact of spreads on trading costs is significant due to smaller account sizes; Plus500’s all-in cost is lower for typical retail trades. Additionally, swap rates vary: FXCM’s swap rates are competitive but subject to market conditions, while Plus500 applies overnight fees that can be higher on exotic pairs. Traders should consider their trading frequency and instrument preference when evaluating costs.

Iceland traders will find distinct platform experiences. FXCM offers TradingStation (desktop and web), MetaTrader 4, and a mobile app, providing advanced charting with over 70 indicators and automated trading via Expert Advisors. This suits traders who need in-depth analysis and customization. Plus500’s proprietary web and mobile platform is user-friendly with a clean interface, one-click trading, and risk management tools like guaranteed stop-loss (at a premium). While FXCM’s platforms are more powerful, Plus500’s simplicity appeals to retail traders in Iceland who prioritize speed and ease, especially those new to forex. Both platforms are available in English and support the Icelandic time zone (UTC+0), ensuring smooth trading during European sessions.

Execution quality is critical for Iceland traders. FXCM uses No Dealing Desk (NDD) execution with low latency, offering a 99.9% fill rate and minimal requotes. Plus500 uses an electronic communication network (ECN) but is a market maker, meaning the broker may take the other side of the trade. While Plus500’s execution is fast, slippage can occur during news events. FXCM’s execution is more transparent with visible order books. For Iceland traders trading during European sessions, both deliver adequate speed, but FXCM is better for scalping and high-frequency strategies due to its NDD model.

Both FXCM and Plus500 are regulated in Iceland through the Icelandic Financial Supervisory Authority (FME) under the EEA passporting regime. FXCM is authorized by the FCA in the UK (no longer valid post-Brexit for new EU clients) but maintains a Cypriot entity regulated by CySEC, which FME recognizes. Plus500 is directly authorized by CySEC and also registered with the FME. For Iceland traders, this means client funds are segregated, and negative balance protection applies. Plus500’s regulatory score is slightly higher due to its transparent reporting, while FXCM has faced historical regulatory issues in the US but remains compliant in Europe. Both brokers offer compensation schemes: FXCM is covered by the ICF (Cyprus) up to €20,000, and Plus500 by the same scheme. Iceland traders should verify the current license status on the FME website.

Depositing and withdrawing for Iceland traders is straightforward with both brokers. FXCM supports Bank Transfer (1-3 days, free), Skrill (instant, 0-1% fee), Neteller (instant, 0-1% fee), and USDT TRC20 (via third-party processor, up to 2% fee). Plus500 accepts Bank Transfer, Skrill, and Neteller, but does not directly support USDT TRC20; however, traders can deposit via Skrill/Neteller funded by USDT. Minimum deposits are $50 for FXCM and $100 for Plus500. Withdrawals are processed within 24-48 hours for e-wallets and 2-5 days for banks. Both require identity verification and may ask for proof of address. USDT TRC20 withdrawals at FXCM are processed with a $25 fee and minimum $100, while Plus500 charges no withdrawal fees but uses a $10 wire fee for bank transfers. Iceland traders should consider speed: e-wallets are fastest, but USDT offers anonymity and low fees.

Both FXCM and Plus500 provide Islamic (swap-free) accounts for Iceland traders who request them due to religious beliefs. FXCM offers Islamic accounts with no swap charges, but positions held overnight may incur a small spread adjustment on certain instruments. Plus500’s swap-free accounts also eliminate interest but apply an overnight administration fee (e.g., 0.01% per day) to cover costs. Eligibility in both cases requires a signed declaration on religious grounds. Iceland Muslims trading from home will find both compliant with Sharia law, but FXCM’s model is more transparent as it lacks additional fees. Note that swap-free accounts may restrict certain trading strategies, such as excessive hedging, and are available indefinitely for genuine users.

Customer support for Iceland traders is available 24/5 from both brokers. FXCM offers live chat, email, and phone support in English, with Icelandic language support limited to email translation. Plus500 provides 24/7 live chat and email, plus a comprehensive FAQ section in English. Response times are generally under 2 minutes for live chat at both. Plus500’s support is slightly more accessible due to round-the-clock availability, while FXCM’s phone lines are open during European business hours. Neither broker has a local Icelandic phone number, but toll-free numbers for Europe are provided.