City Index Review

City Index Review

Forex, Indices, Metals, Cryptocurrencies, Energy, Soft Commodities, Bonds, Options, Shares & ETFs

  • FCA, MAS & ASIC ✔
  • EUR/USD spread from 0.5
  • 85+ technical indicators
  • Cryptocurrency CFDs
  • Minimum stake size: £0.50
  • MT4 & AT Pro available
  • No minimum deposit
  • Trading automation
12,000+ Markets Available • City Index

City Index Review

Established in 1983, City Index is a broker which offers a range of choice to the trader, from trading platforms to markets, providing both Spread Betting and CFD trading. City Index offers two web trading platforms, called Advantage Web and Web Trader, along with mobile and tablet apps. For those who want to trade Forex on MT4, this is also available. For advanced users, City Index provides AT Pro.

City Index has a relatively large number of individual markets, as over 12,000 are available. It is regulated by the FCA in the United Kingdom and also by the MAS in Singapore and the ASIC in Australia.

Very briefly, what does City Index offer to the trader ?

Choice, in markets, platforms and ways to trade, from discretionary to automated.

What Awards has City Index won recently ?

In 2018, City Index was voted Best Cryptocurrency Trading Platform, Best CFD Provider and Best Mobile application at the Online Personal Wealth Awards. City Index was voted 'Best Spread Betting Service 2017' at the 2017 Shares Awards and 'Best MT4 Broker' at the 2017 UK Forex Awards.

Does City Index offer Bitcoin ?

City Index now offers Bitcoin, for trading as a CFD or for spread betting. The trader does not own the underlying Bitcoin asset, but does not need a wallet or to use an exchange. City Index says it uses a volume weighted average from various exchanges to establish a price for the cryptocurrency.

Does City Index offer Ethereum ?

City Index has added the cryptocurrency Ethereum, available as a CFD or a DFT (for spread betting), City Index.

What other cryptocurrencies are available ?

In addition to Bitcoin and Ethereum, City Index also offers Litecoin, Bitcoin Cash and Ripple (as CFDs or for spread betting).

What may City Index be suitable for ?

City Index may be suitable for a wide range of traders. For purely discretionary traders (i.e. traders who make their own trading decisions), it has a wide range of markets and a large number of them. It offers Advantage Web, Web Trader and AT Pro. Advantage Web and Web Trader are browser based web traders, AT Pro is a downloadable platform. AT Pro has an expanded range of technical indicators (for charting analysis) and allows the trader to build strategies which will provide exit and entry signals on the chart. Thus it allows discretionary traders to automate part of their trading process. For those who wish to automate their trading further, it offers MT4, with less markets and a smaller range. MT4 has Expert Advisors, which are automated trading strategies. As the bulk of MT4 is Forex pairs, it is a platform for Forex traders, but it also provides other markets.

Opening an account

In the UK, it is possible to select CFDs or spread betting or both. If both are selected then the web platforms and AT Pro contains both CFD and spread betting products. Although CFDs and spread betting are different products, the experience of trading them is very similar, including their spreads. MT4 needs a separate application.

In the UK the account can normally be verified as part of the online application process, though in some cases additional documentation may be required to complete the process. As well as the UK, City Index is available to residents of many countries around the world, though there are some countries whose residents cannot open accounts, including the USA.

Client money protection

City Index is FCA regulated in the UK and keeps client money in segregated accounts.

What is the minimum deposit ?

There is no minimum deposit requirement to open an account at City Index.

Does City Index have a Premium account ?

City Index has a Premium Program, which is by invite only (however City Index says that a first step is to be an active trader and maintain an account balance of £10,000+). It offers a dedicated manager, priority service, broker assisted dealing, invitations and research. This is a Retail account and thus offers the same protections as the regular Trader account and includes negative balance protection. There is also a Professional account, which needs to be qualified for, which offers the minimum margin rates which used to apply before the changes in 2018 but which has less protections that the Retail accounts.

What is the minimum trade size ?

The minimum stake (or trade) size for spread betting is 50p per point for Forex and no commissions are charged. Bitcoin can be spread bet from 10p a point. The minimum trade size for CFDs is 1 CFD, which equals 0.1 (mini) lots for EUR/USD. The minimum trade size for Forex in lots is 0.01 (micro) lots, on MT4. In common with other UK CFD brokers, no commissions are charged, except for Shares. This means that there can be differences in the overall price for a Shares CFD versus a spread betting product.

Does City Index provide a demo account ?

City Index does offer a demo account, to practice trading and become familiar with the platforms. It provides £10,000 in 'virtual cash' (this is not real cash), offers two week access to all their platforms except MT4 and has real time pricing. MT4 has a separate demo account, which contains £10,000 in 'virtual cash'.

What is the City Index Trading Academy ?

City Index offers articles and videos about trading, including trading strategies in its 'Trading Academy', to be found on its website. It has both New Trader Courses and Experienced Trader Courses.

What is Advantage Web ?

City Index provides a range of platforms. One of the two web trading platforms is Advantage Web. This is a web trader, which allows the creation of workspaces, using selected components (e.g. charts and other tools). It has Candlestick, Line, Heikin Ashi, HLC Bar, OHLC Bar and Mountain chart types, time frames from tick to yearly and 25+ technical indicators. It does not have a news feed, but does have news about markets, if there is any and technical and fundamental reports.

What is Web Trader ?

Web Trader is City Index's other web trading platform. It consists of order information, markets, watchlists, charting a Reuters news feed. The news feed covers general news and more focused market news. The chart price types are: Bars, Candles, Hollow Candles, Heikin Ashi, Line Area, Baseline and Renko and Line Break. Time frames are from 1 minute to 1 month. There are 80+ technical indicators. It has the same market selction as Advantage Web and AT Pro, including 60+ Forex pairs.

What is the main differences between Advantage Web and Web Trader ?

Web Trader is HTML 5 based and Advantage Web is Flash based. The Web Trader has a Reuters News feed. There are visual differences. The Web Trader is arguably more in line with platforms using a clear, simplified more intuitive layout, but does not reduce its features. Advantage Web is the original platform, Web Trader is new. The reviewer asked City Index if they had plans to replace Advantage Web with Web Trader and they said they were not aware of any plans to do so. So for now, both are available and can be accessed from the same account. To log into either, the trader signs up for an account, then presses the login button, where they will see the option to log into Web Trader or Advantage Web. AT Pro can be logged into from the same account, but this needs to be downloaded.

Mobile and tablet apps

As well as its web platform, City Index offers mobile and tablet apps, based on its web platform. The app consists of Popular Markets and Watchlists, the Watchlists can be created by the trader. The detailed view of a market shows a chart as well as its price and order information. The chart can be expanded and may be selected as Candle, Bar, Line or Mountain on portrait and Candle or Bar on landscape. Indicators can be chosen from RSI, Stochastic, MACD and ROC Momentum in portrait or RSI in landscape. MT4 is also available as an app.

Website resources

City Index offers Market News and Analysis on its website, and provides an 'Idea of the Day' for trading. It also has an Economic Calendar. The Market Research on the site is quite extensive, covering market classes, countries and other fundamental topics.

FX on MT4

In common with some other UK brokers, City Index offers MT4. This is provided for Forex trading, and offers 80+ FX pairs (i.e. somewhat more than the web trader) as well as Indices, Soft Commodities, Metals and Energy. With MT4, trading automation with Expert Advisors (EAs) is available to the trader, along with the capacity to add on indicators and other tools.

What is AT Pro ?

City Index offer the downloadable AT Pro platform for advanced users. This platform is available to any account holder (it does not require a separate application process), but it contains advanced features. It has 135+ technical indicators, tick to yearly time frames (like Advantage Web) and Japanese Candlesticks (filled or Hollow), Heikin-Ashi Candlesticks, Bars, OHLC Bars, Line, Line-Dot, Point and Figure and Renko chart types.

AT Pro allows the trader to use or build trading templates, which provides entry and exit signals on the chart. It allows the user to create their own strategies using C# and Visual Basic with AT Pro's Development Studio. It also allows for back testing.

Hedging

Hedging is available for CFD accounts.

What markets are offered ?

Markets available are Forex, Indices, Metals, Soft Commodities, Cryptocurrencies, Options, Bonds, Interest Rates, Shares, iShares (ETFs), Interest Rates and IPOs. The total number is over 12,000 (which is composed of 8000+ for spread betting and 4000+ for CFDs). City Index has a wide range of Commodities available covering Energy, Grain, other Softs and Options. The Metals available are Precious Metals and Copper.

City Index offers 4,500+ Shares. Its iShares ETFs cover a range of countries, including emerging markets. On the Advantage Web platform, 60+ Forex pairs are available, but on MT4, 80+ Forex pairs are available. City Index Australia and City Index Singapore have less markets (5,000+), as they do not offer spread betting.

Spreads and margin

  • Spreads are variable for Forex. The minimum spread for EUR/USD is 0.5 points, the average spread is 0.69 points. The minimum spread for GBP/USD is 0.8 points, the average spread is 1.22 points. The minimum spread for AUD/USD is 0.5 points, the average spread is 0.73 points. The figures are from the first quarter of 2017.
  • The minimum spread for UK100 is 1, the minimum spread for for Gold is 0.30 and the minimum spread for US Oil is 0.04. Spreads for Shares are from 0.2% around the market.
  • At City Index (FCA regulated) the lowest margins (and maximum leverage) are available for Forex and are 3.33% (or 30:1).

Are commission charged ?

Commissions are not charged on spread betting nor CFD trading, except for Shares CFDs.

Guaranteed Stop Loss Orders

While free stop losses can be placed with orders, these are not guaranteed. To place a guaranteed stop loss order, a small charge in incurred, but they are not available for all markets.

Funding

City Index Australia accepts payments by Cards, EFT or B-Pay. City Index Singapore accepts payments by Credit Card, NETS, Cheque, ATM, Internet Banking and Wire Transfer. City Index UK accepts payments by Credit and debit cards and bank transfers.

Funding and fees

City Index does not charge for debit card transactions and banks transfers. City Index does charge a 1.5% fee for credit card payments. City Index does not charge a withdrawal fee for debit, credit card or bank transfers using BACS. A CHAPS bank transfer incurs a £25 charge.

Negative balance protection

Negative balance protection is provided for retail accounts at City Index UK.

Regulation

City Index is a trading name of GAIN Capital UK Limited. Its Registered Office is: Park House, 16 Finsbury Circus, London, EC2M 7EB. GAIN Capital UK Ltd is a company registered in England and Wales, number: 1761813 which is authorised and regulated by the Financial Conduct Authority with FCA Register Number: 113942. City Index is regulated in 8 jurisdictions worldwide, including by the ASIC in Australia and the MAS in Singapore.

Summary

This is a broker which aims to cater to different kinds of traders, with range and depth in its offering of markets, platforms and tools. It offers CFD trading and spread betting across a wide range of markets and provides MT4 for Forex, Indices and Commodity trading and AT Pro for advanced users who wish to use or build trading signals.

Pluses and minuses

  • City Index offers a large number and range of markets
  • It provides a number of platforms, including two web traders and a downloadable platform
  • It offers MT4 with a relatively wide range of Forex pairs
  • City Index offers tight variable Forex spreads
  • It does not provide fixed Forex spreads
  • Guaranteed stop loss orders incur a charge
  • City Index provide both spread betting and CFD trading
  • City Index provides a tablet and mobile app
  • It supports trading automation with MT4 and AT Pro
  • City Index offers a range of cryptocurrencies as CFDs or for spread betting
  • City Index is regulated in a number of countries
  • City Index is FCA regulated in the UK, ASIC regulated in Australia and MAS regulated in Singapore