HYCM review summary
HYCM or Henyep Markets is a global CFD and forex broker. HYCM’s parent company, Henyep was established in 1977. The broker is regulated by several financial authorities globally, including the UK Financial Services Authority (FCA) and the Cyprus Securities and Exchange Commission (CySEC).
HYCM’s UK operation is considered safe because it has a long track record and it is regulated by the top-tier FCA.
Disclaimer: CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 59% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
How we ranked fees
We ranked HYCM’s fee levels as low, average or high based on how they compare to those of all reviewed brokers.
To get things rolling, let’s go over some lingo related to broker fees. What you need to keep an eye on are trading fees and non-trading fees.
- Trading fees occur when you trade. These can be commissions, spreads, financing rates and conversion fees.
- Non-trading fees include charges not directly related to trading, like withdrawal fees or inactivity fees.
In the sections below, you will find the most relevant fees charged by HYCM for each asset class. For example, in the case of forex and stock index trading the most important fees are spreads, commissions and financing rates.
We also compared HYCM’s fees with those of two similar brokers we selected, XM and AvaTrade. This selection is based on objective factors such as products offered, client profile, fee structure, etc. See a more detailed rundown of HYCM alternatives.
To have a clear overview of HYCM, let’s start with the trading fees.
HYCM trading fees
HYCM’s trading fees are low. There are different cost structures for the various account types. In this review, we tested the fees of the Classic account.
We know it’s hard to compare trading fees for CFD brokers. So how did we approach the problem of making their fees clear and comparable? We compare brokers by calculating all the fees of a typical trade for selected products.
We have chosen popular instruments within each asset class:
- Stock index CFDs: SPX and EUSTX50
- Stock CFDs: Apple and Vodafone
- Forex: EURUSD, GBPUSD, AUDUSD, EURCHF and EURGBP
A typical trade means buying a leveraged position, holding it for one week and then selling. In terms of volume, we chose a $2,000 position for the stock index and stock CFDs and $20,000 for the forex transactions. The leverage we used was:
- 20:1 for stock index CFDs
- 5:1 for stock CFDs
- 30:1 for forex
These catch-all benchmark fees include spreads, commissions and financing costs for all brokers. Let’s see the verdict for HYCM fees.
CFD fees
HYCM has generally low CFD trading fees, they compare favorably to the fees charged by its main competitors.
| HYCM | AvaTrade | XM | |
|---|---|---|---|
| S&P 500 index CFD fee | $1.7 | $2.6 | $2.5 |
| Europe 50 index CFD fee | $0.8 | $2.0 | $3.1 |
Forex fees
HYCM forex fees are low and in line with its main competitors.
| HYCM | AvaTrade | XM | |
|---|---|---|---|
| EURUSD benchmark fee | $14.3 | $16.4 | $17.5 |
| GBPUSD benchmark fee | $11.6 | $11.3 | $12.2 |
| AUDUSD benchmark fee | $14.5 | $15.3 | $14.5 |
In the case of Classic and Fixed accounts, the broker only charges spread costs. The Raw account has low spreads, but there is a $4 per lot per trade commission. The Raw account is favorable if you trade a high volume.
Non-trading fees
HYCM has average non-trading fees.
| HYCM | AvaTrade | XM | |
|---|---|---|---|
| Account fee | No | No | No |
| Inactivity fee | Yes | Yes | Yes |
| Deposit fee | $0 | $0 | $0 |
| Withdrawal fee | $0 | $0 | $0 |
It’s great that no deposit or account fees are charged.
Normally, HYCM does not charge withdrawal fees either. There are two exceptions:
- 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.
Less conveniently, there is a $10 inactivity fee charged each month after 90 days of inactivity. A bit underhand for our liking.
Yes, you can open an account at HYCM if you live in Vietnam!
HYCM accepts customers from all over the world with some notable exceptions like residents of the US, Belgium, France, Hong Kong, Japan. Quebec and Saskatchewan in Canada are also excluded. Furthermore, the following citizens cannot open an account regardless of their residence: USA, Hong Kong, North Korea, Sudan.
What is the minimum deposit at HYCM?
The required minimum deposit is $100 for Classic and Fixed accounts, while Raw accounts require a $200 minimum deposit.
Account types
If you want to explore the possibilities offered by HYCM, we recommend opening a demo account.
There are 3 main types of trading accounts at HYCM (Fixed, Classic and Raw), which differ in their pricing structure and the required minimum deposit. The key differences are shown in the following table.
| Fixed | Classic | Raw | |
|---|---|---|---|
| Spread from | 1.8 pips | 1.2 pips | 0.2 pip |
| Commission per round | 0 | 0 | $4 |
| Minimum deposit | $100 | $100 | $200 |
Besides, you can also open swap-free or Islamic accounts. Instead of overnight interest, swap-free accounts have an administrative fee if you hold your leveraged position overnight.
How to open your account
Opening an account at HYCM is an easy and fast process, the client interface is very user friendly. Online registration takes only 5-10 minutes. Our account was verified within one business day. Follow these simple steps to open an account:
- Click on the open account button.
- Provide the required personal details, like your name, email address, phone number, date of birth and physical address.
- Select your desired trading platform (MetaTrader 4 or MetaTrader 5), account type (Fixed, Classic or Raw) and currency. Bear in mind that you can also open additional accounts later. So for example, you can have a MetaTrader 4 account both in USD and EUR. You can make transfers between accounts opened in the same currency.
- Provide additional personal data required and answer a few questions on your financial status and trading experience.
- Verify your ID and residency. You can upload a national ID, passport or driver’s license for authentication. Utility bills and bank statements are accepted for residency verification. If you want to use a debit or credit card, you’ll need to verify those as well.
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