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CM Trading vs HFM - 2023 Comparison | FxScouts
AuthorAuthor: Björn Michels
Updated: October 12, 2023
Last Updated On October 12, 2023
Björn Michels

Trading with a reputable online broker is a crucial factor for success in the international markets. At FxScouts, we help you find the broker that suits your trading needs.

Each year we spend thousands of hours testing brokers by opening accounts, testing their platforms, and rating them according to a set of over 200 metrics. We deposit real money with the brokers to ensure that the products and user experience they advertise are consistent with reality.

We have found that the best way for traders to choose a broker is to compare brokers side-by-side. The comparison tool below allows you to compare two brokers based on their ratings and features.

Select brokers to compare

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Overall Rating
Min. Deposit
Regulation
Trading Desk Type
Trading Instruments
Forex Pairs
Crypto Pairs
Pros
Cons
Regulation
Trading Conditions
Trading Platforms
Deposit & Withdrawal
Education & Research
Assets Available
Customer Service
% Lose with this broker
Leverage
Spread
Hedging
Scalping
Account Types
Islamic Account
Trading Platforms
Funding Methods
Trading Commission
1110.503.48/ 5 USD 100FSCA Regulated Forex BrokersThe Seychelles Financial Services AuthorityMarket MakerCommodities, Cryptocurrencies, Stock CFDs, Forex, Indices, Metals5023
  • Good for beginners
  • Great customer support
  • Copy trading accounts
  • Expensive withdrawals
  • Local regulation only
Read Review 111003/ 5 111104/ 5 111104/ 5 100001/ 5 1110.503.5/ 5 111104/ 5 11110.54.5/ 5 73%200:11.50 pips Bronze, Gold, Gold ECN, Platinum, Premium, Silver MT4, WebTraderBank Transfer, Visa, Mastercard, Neteller, FasapayFees Included in Spread
11110.54.43/ 5 ZAR 0FSCA Regulated Forex BrokersCySEC Regulated BrokersFCA Regulated BrokersFinancial Services CommissionThe Seychelles Financial Services AuthorityDubai Financial Services AuthoritySTPBonds, Commodities, Cryptocurrencies, Energies, Stock CFDs, ETFs, Forex, Indices, Metals, Stock DMAs5340
  • Low minimum deposit
  • Tight spreads
  • Well regulated
  • Good range of accounts
  • Limited base currencies
Read Review 111104/ 5 11110.54.5/ 5 11110.54.5/ 5 11110.54.5/ 5 111115/ 5 11110.54.5/ 5 11110.54.5/ 5 72.90%2000:10 pips Auto, HFCopy, Islamic, Cent, Premium, Pro, Zero MT4, MT5Bank Transfer, Visa, Mastercard, Skrill6 USD / lot - Zero Account

How do HFM and CM Trading stack up against each other?

The Radar Chart below highlights how the brokers stack up against each other across various metrics. The highest score a broker can receive in each area is 5.

CM Trading

HFM

At FxScouts, we help traders find the broker that suits their trading needs. In many cases, the best way to achieve this is to compare brokers side-by-side.

To compare HFM and CM Trading, we used the same factors we use when reviewing brokers: The trust and regulation of the broker, the trading platform, the costs and trading conditions, and the level of education and market analysis available at the broker.

Does HFM or CM Trading have a better trust and regulation rating?

Trust and regulation are some of the most important factors to consider when choosing a Forex broker. Trust in the Forex trading business is almost entirely founded upon regulation. We spend many hours evaluating the safety of each broker by delving into their fine print and confirming each one of their regulatory licences on the online registers. The more top-tier authorities a broker is regulated by, the higher its trust rating.

In our comparison, we found that HFM holds one Tier 1 and two Tier 2 licences, and CM Trading holds no Tier 1 and no Tier 2 licences.

 

Is HFM financially regulated?

Yes HFM was founded in 2010 and is regulated by CySEC, DFSA, FCA, FSC, FSCA and FSA-Seychelles.

 

Is CM Trading financially regulated?

Yes CM Trading was founded in 2013 and is regulated by FSCA and FSA-Seychelles.

 

Based on these findings, HFM earned a higher trust rating than CM Trading.

Does HFM or CM Trading have lower costs?

Another important aspect we consider when comparing brokers is the cost of trading. When evaluating trading costs, we always consider the minimum deposit required to open an account and the ongoing trading costs, including the spreads and commissions. When calculating trading costs, we measure the cost to trade one lot of EUR/USD using the broker’s account with the lowest minimum deposit. The cost includes both the spread and any commission charged. 

Not all brokers publish their trading costs, so we often open accounts and trade on their platforms to verify the spreads and commissions. Based on our reviews, we found that HFM has overall lower trading costs than CM Trading. 

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Broker
Trading Conditions
Base Currencies
EURUSD (Standard)
Trading Cost (Standard)
EURUSD (Best)
GBPUSD (Best)
USDJPY (Best)
Commission
CM Trading
111104/ 5
EUR, USD
1.50 pips
USD 15
1.70 pips
2.60 pips
1.70 pips
USD 0
HFM (HotForex)
11110.54.5/ 5
USD, ZAR
1.00 pips
USD 10
0.10 pips
0.50 pips
0.30 pips
USD 0

 

Does HFM or CM Trading offer a better choice of trading platforms?

Traders want Forex brokers to offer them a choice of trading platforms, so we give brokers who offer multiple platforms higher ratings. Trading platforms we consider include MetaTrader4, MetaTrader5, cTrader and proprietary mobile and web-based platforms. 

In this case, HFM offers support for and CM Trading offers support for . 

Do the brokers offer copy trading?

Copy trading is a great option for beginner traders who can’t trade full-time or lack experience with Forex trading. In this case both CM Trading and HFM offer copy trading.

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Broker
Platform Choice
Copy Trading
Platforms
CM Trading
111104/ 5
WebTrader
HFM (HotForex)
11110.54.5/ 5

 

Which broker offers a better choice of trading instruments?

A variety of CFD instruments – and a large range of CFDs for each instrument category allow traders more opportunities for profitable trading. The best brokers will have thousands of CFDs to trade, covering all these instrument categories. We found that HFM offers a greater range and depth of instruments to trade than CM Trading. HFM offers 53 Forex pairs to trade and CM Trading offers 50 Forex pairs to trade.

Toplist Forex Pairs

And what about Cryptocurrencies?

In this case, HFM offers 40 cryptocurrencies while CM Trading offers 23 cryptocurrencies. So if you want to trade cryptocurrencies, we advise trading with HFM.

Which broker offers better deposit and withdrawal processes?

Although brokers may have reasonable trading fees, many traders are caught out by the high non-trading fees charged by some brokers, including deposits and withdrawals. Traders want to be able to deposit and withdraw funds quickly and cheaply. Most brokers have multiple funding methods with zero fees for making deposits, but some brokers make it more expensive and take longer to process withdrawals. 

We rate brokers more highly that process withdrawals within 24 hours by multiple withdrawal methods and without charging processing fees. We found that neither CM Trading nor HFM charges a withdrawal fee. Overall, HFM has better deposit and withdrawal processes than CM Trading. 

Which broker offers better educational support?

We often find that brokers offer very little in the way of educational materials, forcing traders to use other third-party sites or self-educate elsewhere. Beginner traders need well-structured, well-presented materials in multiple formats to get a good start at trading. More experienced traders also benefit from webinars led by experts in the field and advanced trading strategy sections with new trading ideas. 

HFM has better educational support than CM Trading. Both CM Trading and HFM offer educational support for more experienced traders.

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Broker
Beginner Course
Advanced Course
Well Structured Education
Education Quality
Webinars
CM Trading
Medium
HFM (HotForex)
High

 

Which broker offers better market analysis materials?

To successfully predict the price movements of an instrument, traders will need access to frequent market research and analysis. We find that research and market analysis are always better when they are produced in-house and updated frequently. Third-party resources don’t show the same expertise in trading ideas, so we place a strong emphasis on frequent in-house updates. Some brokers also often offer interactive webinars where traders can learn from experts in the field. 

We found that 0 offers better research analysis than 0 and that both CM Trading and HFM offer frequent webinars.

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Broker
Economic Calendar
Autochartist
Trading Central
Trading View
Free VPS
CM Trading
HFM (HotForex)

 

Our overall Verdict on HFM

HFM (formerly known as HotForex) is a well-known international broker with a strong presence in South Africa. It has local FSCA regulation and local customer support, and unlike many other international brokers, it offers ZAR trading accounts. It also offers fast and free deposits and withdrawals in South African Rands from a range of local banks, including FNB, ABSA, Nedbank, and Standard Bank, among others. 

HFM offers four standard accounts and one specialised copy trading account.  Three of its three standard accounts have no minimum deposit requirements and have extremely competitive trading fees. We were also pleased to find that HFM has recently reintroduced cryptocurrency trading, no doubt because of the popularity of the asset. This is alongside an excellent range of trading instruments, including shares listed on the Johannesburg Stock Exchange and over 950 other international stocks.

HFM supports the MT4 and MT5 platforms in addition to its own mobile HF App, which allows clients to trade from charts and make deposits and withdrawals. It also has several excellent trading tools to assist traders further. Unfortunately, access to tools such as Autochartist, which other brokers offer as a free service, requires an account balance of 1500 ZAR – well above the minimum deposit.

Our overall Verdict on CM Trading

Founded in 2012 in Johannesburg, CM Trading is an FSCA-regulated broker with a few drawbacks. It offers six accounts on two different trading platforms, but both its minimum deposits and ongoing trading costs are higher than other brokers. 

Another drawback is the lack of ZAR trading accounts: Any Rand deposits are converted to USD or EUR, and profits will have to be converted again when withdrawn. CM Trading also charges higher deposit and withdrawal fees than other brokers, which in combination with currency conversion fees, may discourage some South African traders. 

On a positive note, CM Trading has a local South African customer service team that provides platform support and one-on-one training. South African traders will also benefit from local FSCA protection, which means that their money will be segregated at top-tier South African banks.

Which broker has the highest overall rating?

HFM has an overall rating of 4.43 and CM Trading has an overall rating of 3.48. For more detail please read our reviews of HFM and CM Trading.

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