Fidelityvs
XMStock Broker Comparison
Fidelity and XM clash over cost structures, access to real stocks, and platform depth, highlighting a tension between zero-fee trading and broad CFD options.
Who should choose Fidelity vs XM?
Find out which stock broker best suits your investing profile.
Choose if…
Choose Fidelity if you want commission-free US stock and ETF trading, fractional shares, and a proprietary platform with extended hours.
Choose if…
Choose XM if you want access to 1,200+ share CFDs and compensation fund coverage under multiple regulators.
Verdict by Trader Profile
Which broker wins for each type of stock trader, based on costs, safety, features, and editorial scoring.
Best for low cost trading
Recommended
Fidelity vs XM: Side-by-Side Stock Broker Comparison
 |  | |
|---|---|---|
| Editorial score | 4.6/ 5 | 3.7/ 5 |
| Min deposit | N/A | $5 |
| Spreads from | N/A | 0.6 pips |
| Commission / lot | N/A | N/A |
| Inactivity fee | None | $5/month (after 90 days) |
| Deposit fee | Free |
Fidelity vs XM Stock Broker Pros & Cons
Pros
- Proprietary ZERO expense ratio index funds with no investment minimum
- Commission-free US stock and ETF trading
- Active Trader Pro platform with advanced equity and options tools
- Research from 20+ third-party providers including Morningstar and Zacks
- Best-in-class fixed income desk with competitive bond markups
- Excess SIPC coverage up to $1 billion per customer
Cons
Fidelity vs XM: Detailed Category Breakdown
A closer look at the specific criteria each broker meets or misses within each scoring category.
5
Fidelity
criteria wins
2
XM
criteria wins
Highlighted rows show where the two brokers differ
| Criteria | Fidelity | XM |
|---|---|---|
| Trust & Regulation | ||
| Top-tier regulator (FCA, ASIC, SEC, etc.) | Pass | Pass |
| Segregated client funds | Pass | Pass |
| Negative balance protection | Fail | Pass |
| Compensation scheme (e.g. FSCS, SIPC) | Fail | Pass |
| Costs | ||
| Commission-free trading | Pass | Fail |
| No deposit fee | Pass | — |
| Features | ||
| Fractional shares | Pass | Fail |
| Dividend reinvestment (DRIP) | Pass | Fail |
| Extended hours trading | Pass | Fail |
| IPO access | Fail | Fail |
| Short selling | Pass | Pass |
| Stock screener tool | Pass | Fail |
| Support | ||
| Mobile app | Pass | Pass |
| Advanced charting tools | Pass | Pass |
| 24/5 live chat | Pass | Pass |
| Phone support | Pass | Pass |
Fidelity vs XM: Frequently Asked Questions
Fidelity rates 4.6/5 versus 3.7/5 for XM. Fidelity edges ahead on our composite score, though both brokers meet a reasonable standard for most traders.
XM starts from 0.6. Current spread data is not available for Fidelity. Check both brokers' websites for up-to-date spread and commission pricing.
XM requires $5. Minimum deposit information is not currently available for Fidelity.
Both Fidelity and XM hold licences from top-tier regulators, indicating a high standard of regulatory oversight. Check each broker's specific regulatory bodies to confirm coverage in your jurisdiction.
For beginners, XM provides negative balance protection, capping losses at your deposit amount. Also compare demo account availability and educational resources on each broker's site before deciding.
Fidelity lists maximum leverage of 1:4, while XM lists up to 1000:1. Available leverage depends on your jurisdiction. EU retail clients under ESMA rules are capped at 1:30 on major forex pairs.
Fidelity supports Active Trader Pro, Proprietary Web/Mobile, while XM supports MetaTrader 5, MetaTrader 4. Fidelity has exclusive access to Active Trader Pro and Proprietary Web/Mobile. XM has exclusive access to MetaTrader 5 and MetaTrader 4.
Fidelity offers commission-free stock trading while XM does not according to our data. Commission-free trading can reduce costs for frequent traders. Always confirm the current fee structure directly on each broker's website.
XM scores higher on investor protection criteria, with compensation scheme coverage and segregated client funds. For stock investors, confirming compensation scheme coverage ensures your assets are protected up to a defined limit if the broker becomes insolvent.
