HYCM: A Broker With The Complete Range

August 11, 2020
Brokers
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HYCM is a broker and application that was established in 1977. The broker is regulated by the FCA and CySEC. HYCM offers plenty of forex, ETF, stock and commodity trading options coupled with amazing customer service with dedicated account managers. Moreover, the broker offers plenty of deposit and withdrawal options generally without any deposit or withdrawal fees. The decent fee structure and the strong educational resources mean that you can learn to trade different assets successfully. Click the link below to join HYCM today.

However, if you are looking for a holistic platform that offers a wide array of assets at the best rates then you should consider Capital.com as it offers a diverse range of stocks, ETFs, bonds, crypto, commodities at the most affordable rates in the industry. With one of the best and most affordable fee structures coupled with the most comprehensive set of educational resources, Capital.com promises to be a good platform for your trading needs.

We analyzed hundreds of data points relevant to the costs, benefits and features of trading with HYCM and scored our findings on a 10-point scale across 10 distinct categories.
Fees 6
Signup Process 9
Minimum Deposit 10
Ease of Use 6
Deposit & Withdrawal Options 10
Customer Support 10
Asset Classes 8
Referral Program 8
Demo Account & Educational Resources 8
Safety & Regulation 10
Total 85

HYCM Introduction

Established in 1971, HYCM is one of the oldest and most trusted players in the trading scene. HYCM is headquartered in London, United Kingdom and offers a diverse set of asset types and options giving you a complete range to trade with. The broker has some really good customer service and it promises to be a decent broker that takes care of its users. HYCM claims to be available in over 150 countries, although they don’t offer the complete list. However, they do provide a list of countries where it is not available which include:

AfghanistanCambodiaIcelandPanamaVanuatu
AlbaniaCanada (British Columbia, Quebec, Saskatchewan)IraqSudanYemen
BarbadosFrance JamaicaSyriaZimbabwe
BelgiumGhanaJapanThe Bahamas 
BotswanaHong KongLao PDRTurkey 
MyanmarNorth KoreaMauritiusUganda 
NicaraguaPakistanMongoliaUSA 

HYCM Pros & Cons

HYCM Pros

  • Good Customer Service
  • Plenty of asset options
  • Good amount of deposit and withdrawal options

HYCM Cons

  • Expensive forex spreads
  • Inactivity fees
  • Outdated interface

HYCM Account Types

There are 3 main account types that HYCM offers, namely:

  • Fixed Account
  • Classic Account
  • Raw Account

HYCM Fixed & Classic Accounts

The Fixed & Classic accounts are for beginners. The Classic Account has lower spreads which are discussed in detail in the following section on fees. However, both have similar features apart from the fact that the Classic Account has variable spreads whereas the Fixed Account has fixed spreads so you do not have to wait for an ideal time to trade when the spreads are low.

HYCM Raw Account

The Raw Account is for individuals trading with high volumes. It has much lower spreads than other accounts but a commission fee associated with it. The spreads and commissions associated with trading are discussed in the following fees section.

Here’s a breakdown of our 10 scoring categories, each scored out of 10 for a total of 100 points.

#1 Fees At HYCM

HYCM Deposit Fees & Withdrawal Fees

Generally, there are no deposit or withdrawal fees associated with your HYCM Account. However, there are a couple of cases where you may be subject to withdrawal fees.

  • Withdrawals of less than $300 via bank transfer carry a handling fee of $30. 
  • Withdrawals over $5,000 via Skrill or Neteller are subject to a 1% processing fee, which is equivalent to $50.

The withdrawal fees can be expensive for small amounts via bank transfer. For instance, if you have $100 in your account that you want to withdraw, you would be charged a fee of $30 which in this case would amount to 30% of the total amount.

HYCM Inactivity Fees

There is a $10 inactivity fees associated with your HYCM account provided that it has been inactive for 3 months or more. The fee is deducted every month unless you start using your account or you run out of balance.

HYCM Forex Spread Rates

Each account type has different minimum spread rates that the individual can trade with. Let’s have a look at the minimum forex spread rates for each account.

  • Fixed Account 1.8 Pips
  • Classic Account 1.4 Pips
  • Raw Account 0.2 pips + commission fees of $4 per transaction

The minimum spread rates for Fixed and Classic Account types are quite high as there are brokers that allow you to get started for much less. For instance, Tickmill & Hotforex have spread rates that can start from 0 pips and 1 pip respectively, if you signup with the basic accounts of these brokers. When scoring this broker in terms of fees or spreads, we have not taken into account the Raw Account of HYCM as it is for seasoned traders who trade in large volumes.

HYCM Spread Rates of Major Currencies

Forex PairFixed Account Minimum Spread in pipsClassic Account Minimum Spread in pipsRaw Account Minimum Spread in pips
EUR/USD1.81.40.2 + $4 per Round
GBP/USD2.51.80.8 + $4 per Round
USD/JPY2.31.60.6 + $4 per Round
NZD/USD3.72.81.4 + $4 per Round
EUR/GBP3.22.21.2 + $4 per Round
GBP/JPY5.03.23.0 + $4 per Round

The table above illustrates the spread rates for some of the major currencies that you can trade in. The spread rates are generally higher for most of the currencies when compared to other brokers. The USD/JPY rate is a good rate as we have seen this pair being traded at higher rates. Apart from that, most of the other rates are expensive compared to brokers like Tickmill & HotForex.

HYCM Stock Spreads

The spread rates for trading various stocks are mentioned in the table below:

StocksFixed Account Minimum Spread in pipsClassic Account Minimum Spread in pipsRaw Account Minimum Spread in pips
Alibaba442020
Apple191515
Amazon.Com516346346
Facebook463636
Google248138138
Jd.Com151414
Microsoft332828
Tesla Motors653737

The spreads for trading stocks of top companies like Amazon and Google are quite expensive compared to other company stocks that are on the list. However, there are a couple of decent rates as well like Apple or Microsoft which are comparatively quite low compared to Amazon and Google.

The inactivity fees, conditional withdrawal fees coupled with expensive forex and stock spreads means that the broker only scores a 6 for the fees dimension.

HYCM Fees Score: 6/10

#2 HYCM Signup Process

The sign-up procedure for easyMarkets is pretty simple and self-explanatory. You need to upload documents verifying your identity & proof of address. The identity documents required include

  • Passport
  • Both sides of your ID Card
  • Both sides of your driver’s license

In order to get proof of address you need:

  • Utility bill in your name
  • Bank statement in your name

You can easily apply for your account online. The procedure will help you in quickly and easily getting signed up, however, the verification of your account tends to take up to 1 business day, due to which the broker loses a point in this dimension.

HYCM Signup Process Score: 9/10

#3 HYCM Minimum Initial Deposit

The minimum initial deposit with which you can get started on your HYCM account is $100. This is a decent limit, meaning that both beginners and experienced traders can easily start trading with HYCM. The fact that you can get started with a deposit of only $100 means that the broker gets a perfect score in this section. However, if you want to get started risking less money, do check out Webull, IronFX & Qtrade as these brokers require no minimum initial deposit at all.

HYCM Minimum Initial Deposit Score: 10/10

#4 HYCM Ease of Use

HYCM is available on desktop, Appstore and Playstore for users on different platforms. The application has good reviews for usability across platforms. However, one of the cons of using this broker is that HYCM’s interface seems to be outdated and obsolete. Below you can see a screenshot of the interface. The data is visible in the form of line charts but the design seems text-heavy and the colour resolution is a bit off-putting.

HYCM WOW!

The interface looks like something designed for Windows XP. However, despite the layout, it has some basic research tools that can be helpful for users, as we’ll discuss below.

Market Outlook

The Market Outlook feature basically helps you read articles about the general market trends for different asset types such as the trends for the stock market or the commodities market for different products like oil and gold.

Market News Features

This feature is similar to the Market Outlook feature but this one usually has news about updates related to particular companies per se and not the trends or forecasts for entire market segments.

Financial Calculator

You can calculate metrics such as spread rates and profits on the financial calculator for different strategies that you may want to employ to maximize your returns in the market.

These features are pretty useful. However, the lack of advanced features such as advanced charting tools or trading ideas coupled with the outdated interface means that the broker only scores a 6 in this category of our scoring guidelines.

HYCM Ease of Use Score: 6/10

#5 HYCM Deposit & Withdrawal Options

There are plenty of options through which you can deposit or withdraw your funds with HYCM. It is always good for a broker to have plentiful deposit and withdrawal options to provide users with the flexibility they need.

These are the different options HYCM offers for depositing or withdrawing funds:

  • Bank transfer or Wire transfer
  • Credit or Debit cards such as Mastercard & Visa
  • E-Wallets such as Skrill, Paypal and Neteller
  • Union Pay for customers in China

The plethora of popular deposit and withdrawal options holds HYCM in good stead. Most of the deposit and withdrawal options offered by HYCM are popular options used by traders around the world. The vast number of choices that HYCM provides in this category means that they score a perfect 10.

HYCM Deposit & Withdrawal Options Score: 10/10

#6 HYCM Customer Support

There are many options with which you can avail customer support. You can contact customer support via:

  • Telephone on+442088167812
  • Email
  • Live Chat on support@hycm.com
  • Dedicated Account Manager

HYCM goes the extra mile in providing customer service by giving you the option of a dedicated account manager. With a personal manager, you can get customized support according to your portfolio and needs. This is a unique feature offered by only some brokers like Capital.com and easyMarkets. Support through email, live chat and telephone are also quick and helpful. Hence, for their all-round service, the customer support scores a perfect 10.

HYCM Customer Support Score: 10/10

#7 Asset Classes

HYCM has plenty of asset classes for you to trade in and most class types have a decent variety. Let’s dissect this category further:

AssetsChoices
Forex Pairs69
Cryptocurrency5
Shares150
Commodities17
Stock Indices15  
ETFs20

Forex Pairs

HYCM offers a list of 69 forex pairs in which you can find major, minor and exotic pairs. This is a good option for users as you can trade with the full range of currencies that mar or may not be readily available on different platforms. This provides users with plenty of options in trading forex.

Cryptocurrency

HYCM does not offer a lot of options in trading crypto. If you just want to stick to trading major cryptos like Bitcoin & Ethereum, HYCM has your needs fulfilled. On the other hand, if you’re looking to invest in other cryptos you can trade with over 30 cryptocurrencies using Itrader.

Stocks

HYCM offers some really good options in-terms of stocks from different industries. Let’s have a look at some of the shares you can buy of:

  • Alibaba
  • Apple
  • Amazon.Com
  • Facebook
  • Google
  • Jd.Com
  • Microsoft
  • Tesla Motors
  • Twitter
  • Vipshop
  • American Express
  • AIG

ETFs

Well-chosen ETFs can provide the same function as good mutual funds to hedge against risk and to diversify your portfolio. HYCM offers 20 ETFs some of which include:

  • iShares MSCI EM
  • iShares MSCI EAFE
  • iShares MSCI Taiwan
  • iShares MSCI South Korea
  • iShares Brazil
  • iShares FTSE China 25
  • SPDR Gold
  • iShares Core S&P 500
  • iShares Russell 2000
  • PowerShares QQQ
  • SPDR S&P 500

There are some good ETFs in the list above such as iShares Core S&P 500 & iShares Russell 2000 that can help you in diversifying your portfolio.

Commodities

When it comes to commodities, HYCM also does a much better job than many other brokers. Some of the commodities they include are:

  • SPOT GOLD
  • SPOT SILVER
  • GOLD EURO
  • SILVER EURO
  • COCOA CFD
  • COFFEE CFD
  • SUGAR CFD
  • COTTON CFD
  • GOLD CFD
  • SILVER CFD
  • COPPER CFD
  • US OIL CFD
  • BRENT CFD
  • NATGAS CFD
  • US OIL SPOT
  • PLATINUM
  • PALLADIUM

All the major commodities such as gold, silver, platinum & oil are covered by HYCM. The range offered is one of the most comprehensive amongst any broker out there. HYCM has a good variety in terms of assets and asset classes, but due to the lack of bonds, it loses two points in this section.

HYCM Asset Classes Score: 8/10

#8 Referral Program

You can receive a $200 cash bonus for each referral who opens an account and funds it with at least $500 and trades 3 lots. The value provided is really good compared to other brokers who just offer a paltry $10 or $20 reward for referring friends. However, the conditions stipulated to receive a bonus from a referral are quite rigorous in the sense that your friend not only needs to open an account but they also need to start trading using their account, which can make it a bit hard to get the bonus. Still, a well-above-average performance in this category.

HYCM Referral Program Score: 8/10

#9 Demo Account & Educational Resources

Demo account and educational resources can really help individuals new to a platform to learn how to trade and how to use the platform to maximize their benefit. HYCM has a good demo account and educational resources, let’s have a look to see the main features of HYCM’s demo account and educational resources.

Demo Account

HYCM offers a good demo account so you can start trading without risking anything. Demo accounts can be a good way of trading and testing out your trading strategies. You get paper currency via your HYCM trading account that you can use to learn how to use the platform, learn how to trade and experiment with different strategies. This allows you to enhance your trading knowledge before committing real money to your account.

Educational Resources

Unlike most applications, HYCM has some really good educational resources that can also help you out. Some of the educational resources are:

  • Tutorial videos on using the platform
  • Educational videos on trading different assets
  • Webinars
  • Educational articles

The tutorial videos regarding the platform can really help you in getting acquainted with the trading platform and how it works. Moreover, training videos on different assets can really help you in expanding your horizons and diversifying your portfolios by learning how to trade different assets.

Webinars are always a good way of understanding how market circumstances may affect different assets. The broker scores a decent 8 in this dimension because of the holistic way that it is designed in which can be helpful to any type of trader.

HYCM Demo Account & Educational Resources Score: 8/10

#10 Safety & Regulation

HYCM is regulated by CySEC and FCA from Cyprus and the UK, respectively. The fact that it is regulated by 2 tier-1 regulators holds it in a good position among other brokers because it is subject to strict rules, regulations and policies that it must follow to ensure the safety of its users and stakeholders. This fact helps this broker easily score a 10 in this dimension.

HYCM Safety & Regulation Score: 10/10

While researching 100+ of the world’s top brokers, we’ve noticed what works and what doesn’t from the customer’s point of view. That’s why our final test for any broker is to compare it to Capital.com, which scores 91/100 points across the 10 categories mentioned in this review.

HYCM vs. Capital.com

While HYCM has a good variety of asset classes and does well by offering plenty of deposit and withdrawal options there are a few categories where the broker can learn from Capital.com.

Capital.com Has A Better Fee Structure

Like HYCM, Capital.com also has a very competitive fee structure, but they do not charge inactivity fees or any sort of withdrawal fee like HYCM does. The spreads are also generally tighter and there are no commissions and hidden fees associated with trading, which makes Capital.com one of the cheapest ways to trade in the modern market.

Better Ease Of Use

Capital.com’s proprietary trading platform is awesome. It has a more intuitive dashboard interface with detailed line graphs and less text that does not overwhelm the user with information but conveys complete information. Moreover, Capital.com has state-of-the-art charting tools and trading ideas that help you in projecting the price of your assets and give you potential trading ideas respectively. If you are someone who likes an intuitive and simple interface but that at the same time offers customization and deep analysis tools, you will love Capital.com compared to the bulky and outdated interface offered by HYCM.

Stronger Educational Resources

Capital.com is like a university for learning trading from scratch. Often we have seen brokers offer a couple of generalized educational resources for traders to get started with trading. While HYCM’s resources are not bad at all, Capital.com goes all the way and takes you by the hand from beginner to expert trader, all at your own pace. Some of the resources offered by Capital.com include:

  • Detailed Tutorial videos on using the platform
  • Detailed Educational videos & trading guides on trading different assets
  • Webinars
  • Educational articles
  • Online Courses

Let’s go a little bit more in-depth on some of these resources:

Training Guides

The resources offered to users start by teaching you how the platform works and then with webinars and articles Capital.com keeps you updated with what’s happening in the market. Capital.com also offers asset trading training guides.

  • CFD training guides
  • Commodities training guides
  • Indices trading guides
  • Trading psychology guides
  • Shares trading guides
  • Forex trading guides

Capital.com has detailed resources that will be useful for you whether you are an experienced trader or a novice. By providing trading on CFD guides, indices and trading shares, Capital.com provides value for all sorts of traders trading different assets.

Capital.com also offers 5 courses that are aimed at training beginners and refreshing the knowledge of experienced traders.

Capital.com Online Courses

  • Introduction to financial markets
  • ABC of derivatives
  • Financial instruments
  • Derivatives and risks of trading
  • What are leverage and margin

The online courses are designed for beginners but anyone can benefit from them in learning the basics and good practices of the industry.

If you are looking for a holistic broker you should signup today for the one that has a better pricing structure and a wealth of knowledge to get you from zero to hero in no time flat.

Related: If you want to learn more about this broker, you can read this excellent review of Capital.com.

In Summary

HYCM is a very decent broker with a lot of asset options and plenty of deposit and withdrawal options. Moreover, HYCM has a decent demo account along with some really good customer service. The broker has been a trusted name for over 40 years and provides some good value in stocks. If you are looking for a surefire way to trade some of the most popular stocks on the market, you may want to signup with HYCM.

However, if you are looking for a more holistic broker that has no inactivity or withdrawal fees, low spreads and amazing educational resources coupled with one of the most advanced interfaces in the industry, then look no further and apply for Capital.com now by clicking on the link below.

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