City Index UK is forex broker & CFD broker, and their parent company is StoneX Group, which is listed on NASDAQ.
They are licensed with multiple Tier-1 & Tier-2 regulatory bodies and offer a good range of CFDs. Their CFD markets include indexes, shares, forex, oil, commodities, metals, and bonds. Apart from trading CFDs, City Index also offers spread betting on these instruments.
In the UK, City Index is regulated with the Financial Conduct Authority (FCA). On a global level, the FCA is a top-tier regulatory body. This is why we consider City Index as low-risk to trade with.
Traders from the UK can open a CFD trading account or spread betting account at City Index. You can fund your account via bank transfer, PayPal, and credit/debit card. You can also deposit in GBP. City Index is not just a CFD broker with an online presence. They have a physical office in London too.
|City Index Summary|
|Broker Name||City Index|
|Address||StoneX Financial Limited, 1st Floor, Moor House, 120 London Wall, London, EC2Y 5ET.|
|Maximum Leverage||30:1 (retail traders), 400:1 (professional traders)|
|Regulation||FCA, ASIC, CySec, and MAS|
|Trading Platforms||MT4, Webtrader, City Index Mobile App|
|Visit City Index|
City Index Pros
- City Index is licensed with FCA
- Stop loss is guaranteed for a premium price
- You can deposit and withdraw your funds via bank transfer
- GBP-base currency account is available
- City Index do not charge extra commission for forex pairs.
- Good customer support via chat with little hold time
- City Index supports MT4 and offers a proprietary trading platform.
- Your account is protected against negative balance.
City Index Cons
- City index charges account inactivity fee.
- The forex broker does not offer MT5.
- Limited CFD range on MT4.
Regulation and Safety of Funds
As we said earlier, City Index is a low-risk broker because of their top-tier regulation in the UK. A forex broker with multiple tier-1 regulations has considerably lower risk. With their FCA regulation, City Index is also licensed with the Australian Securities and Investments Commission (ASIC). ASIC is another top-tier regulator for financial services providers. Here is a closer review of City Index’s regulations and licenses
1) FCA: The Financial Conduct Authority (FCA) is the United Kingdom’s financial services regulator.City Index is licensed with the FCA as Stonex Financial Limited. Their FCA reference number is 446717
2) ASIC: City Index is licensed with ASIC as Sotnex Financial Pty.Ltd. All financial services providers in Australia are issued an Australian Financial Services License (AFSL) Number. City Index’s AFSL number as seen on ASIC’s website is 345646.
3) CySec: CySec is Cyprus Securities and Exchange Commission. City Index is regulated with CySec as StoneX Europe Ltd. The company registration number is 409708 with license number 400/21.
4) MAS: MAS is the Monetary Authority of Singapore. City Index is incorporated in Singapore as StoneX Financial Pte. Ltd.
Because of FCA regulation, City Index also operates under the Financial Services Compensation Scheme (FSCS). The importance of the scheme is to protect the funds of retail traders should a broker goes into insolvency. UK clients can claim up to £85,000 under the scheme.
City Index Leverage
The Maximum leverage at City Index for trading currency pairs is 30:1 for retail traders. Professional traders can access leverage of up to 400:1 on forex trading. The table below shows City Index’s range of instruments and their respective leverage.
|Instruments||Professional Leverage||Retail Leverage||Forex||400:1||33:1|
Note: Be careful not to overleverage. It can result in damaging losses.
City Index Account Types
City Index offers two account types for UK traders – CFD Account and Spread Betting Account
Here is a breakdown of the two accounts:
1) CFD Account: The CFD Account allows traders to open a contract for differences on forex pairs and other CFD instruments. Thousands of global markets including shares, indices, FX, and commodities are available on this account. Commissions are charged on shares CFDs alone.
4) Spread Betting Account: The Spread Betting Account allows traders to stake money on an increase or decrease in the spread of an instrument. They make money based on a unit increase or decrease in the spread of instruments. Just like the CFD account, thousands of global markets including shares, indices, FX, and commodities are offered by City Index. No commissions are charged on this account but spread betting on equities is subjected to wider spreads.
In addition, gains from this account are not taxed.
City Index Fees
UK traders can find City Index’s spread, commissions, and other non-trading charges on their website. Here is a simplified view of their charges:
1) Spread: City Index offers the same spreads for their CFD and Spread Betting Accounts. The typical spread for major currency pairs is a little bit high. This is how much spread City Index charge for major fx pairs:
|Major Currency Pairs||Spread|
2) Swaps: Swaps are calculated based on the United Kingdom’s SONIA rate ±2.5%.
3) Commissions: City Index does not charge any commission when you spread bet. There is also zero commission for CFD trading except for shares CFDs.
4) Non-Trading Fees: The Non-trading fees can be fees charged on deposits, withdrawal fees, and inactivity charges. City Index charges low non-trading fees compared to other CFD brokers. We’ve compared this in the table below.
|Deposit fees||Withdrawal fees||Inactivity charges||GSLO Fees||Currency Conversion Fees|
How to Open a Trading Account with City Index
Here is how to sign up with City Index in basic steps:
Step 1) Go to City Index’s website at www.cityindex.co.uk.
Step 2) Click on the ‘Start Trading’ button, highlighted in the red box, at the top right side of the page.
Step 3) On the next page, you will be asked to fill in your personal details, email, country of residence, etc. More importantly, you will have to choose your account type and set a login password. When you have filled in your details, click on ‘save and next’
Step 4) On the next page, you will be entering your address, the region, you were born, and more personal details. A picture of this page is displayed below
Step 5) At this point, City Index will be going deeper into what they want to know. Your employment details, your trading experience, and your annual income are key details required at this point.
Step 6) For the next step, you will basically be asked questions about your understanding of the risks attached to trading CFDs and Spread Betting. You will also choose your means of communication (email, SMS, phone call, or mail). Finally, you agree to the terms and conditions and click on ‘submit application’. It will take about 30 seconds for your application to be approved
Step 7) The final step is the KYC. You will submit documents to verify your nationality, identity, and address. Once your account is verified after you submit the documents, you can begin your trading with City Index
City Index Deposits & Withdrawals
Traders in the UK can deposit funds into their trading accounts via multiple means. City Index supports bank transfer, credit/debit cards (Visa, Electron, or Mastercard), and PayPal. The same methods are available for withdrawals. The only difference is that Electron credit/debit card cannot be used.
Furthermore, Citibank cards cannot be used for funding, and City Index does not accept cash payments directly into their bank account. Third-party deposits are also not accepted. The money will be returned to the source.
What is City Index’s Minimum Deposit?
You need a minimum deposit of £100 to open a CFD or Spread Betting Account with City Index. City Index also recommends you have more than enough money in your account to cover drawdowns and margin costs.
What is City Index’s Minimum Withdrawal?
The general minimum withdrawal is £100 or your current account balance. There are also minimum withdrawals that depend on how you choose to get your money out. If you are withdrawing online to your credit cards, the minimum withdrawal is £20,000 within 24 hours.
But if you are withdrawing online without credit cards, the minimum withdrawal is £20,000 in a single transaction. This means you can carry out multiple transactions but you cannot exceed the £20,000 limit per transaction.
How do I Deposit/Withdraw Funds?
The deposit & withdrawal of funds at City Index is easy and convenient. Simply click on the “Account” section on your dashboard or trading platform. You will be able to choose your preferred deposit/withdrawal method from there.
Trading Instruments at City Index
City Index offers over 12,000 CFD trading instruments. In the table below, we’ve listed the available CFD instruments at City Index & how they are classified.
City Index Execution Policy
City Index UK is a hybrid broker. Their pricing and execution are a combination of ECN and market maker. They source their pricing and liquidity from exchanges, liquidity providers, and ECNs regularly. This is to ensure that you get the best prices. However, they do not offer variable spreads on all of their markets. Some of their CFDs have fixed spreads which is typical of a market maker. Also, they do not stream these prices directly to traders. They adjust it according to their own spreads.
City Index assumes that retail clients rely on them to get the best execution. The forex broker has a system to ensure this. However, it is possible that you do not get the best execution. According to City Index’s documents, it is possible that your orders are executed by a trading desk.
This trading desk is an in-house desk that carries out proprietary trading and pre-hedging against City Index’s capital. It is a pointer that City Index also has a market maker model. Under this condition, the best prices are not guaranteed.
Another provision made for improved pricing execution is what City Index calls aggregation of client orders. Under this provision, your orders can be aggregated with other clients’ transactions in City Index’s account. This is done only if there won’t be a disadvantage to you and the other clients.
City Index Education and Research
On City Index’s homepage, you can find the different ways to learn under ‘Academy’. Here are the channels of learning with City Index.
1. Demo Account: City Index offers a demo account for retail traders. The only issue is the account expires in 30 days. Traders can re-apply for another demo account. However, the account will be as good as new. All settings will go back to default and you might not be able to track how well you are doing in the long term.
2. Courses: City Index’s courses are divided into basic, intermediate, and advanced levels. Each level has different courses and each course contains at least 3-4 lessons. The lessons are in text form and can take up to 5 minutes to read. There is also a progress bar that helps you track how far you have gone with the courses.
3. Glossary: Glossaries are good for getting the definition of terms quickly. City Index has a glossary for the definition of terms and some financial instruments. In addition, the glossary is easy to navigate and arranged in alphabetical order. This saves you time and helps you search quickly.
4. News: This section covers economic events and information that traders can use for research. Events or information that affects forex, commodities, shares, and indices are shared and analyzed by top professionals and market analysts.
4.Quick Lessons: If you are looking for a short explanation on various trading topics, City Index quick lessons is where to look. It is part of the forex broker’s academy and is not structured like the courses. It is more like a combination of different topics that you can access directly.
5. Webinars: Financial Markets experts are available on City Index’s webinar. They are certified by reputable financial bodies like the CFA. The webinars are well structured so you can track when they hold. If there is no webinar holding, you can watch the previous ones. There is also a filter you can use to know the most watched webinars. This is useful as it lets you know what other traders are watching.
City Index Customer Service
The support at City Index is good & we found it easy to talk to them via chat.
Good customer service is important. As a trader choosing a forex broker, you might have questions and inquiries. This is why we have reviewed City Index’s customer support in the UK.
1) Good Live chat: City Index has a live chatbot. It will be the first to respond to you on the live chat. When we got connected to the customer service representative, we had a few seconds of holding time. We got quick responses to our answers (within two minutes). The answers were simple and relevant to our questions.
2) Phone number support: City Index have a phone number on their website. It is under their ‘contact us section so clients change t support by calling this number – 0800 060 8609.
3) Email Support: It was difficult finding an email support address on City Index’s website. This is a bit of a downside as far as their customer support services are concerned.
4) Client Wellbeing: There are not many brokers that cater to their clients beyond business. Under city index wellbeing, the broker is willing to help if you are going through serious personal issues. Examples include losing a loved one, losing your job, retiring, mental health issues, physical disability, etc. City index encourages you to share these details with them so they can offer adequate help.
They also have a policy that protects all sensitive and private information you share with them. A form is provided for you to supply certain information like your name, email address, and account number. After this, you can go on to describe what you are going through (in a maximum of 10,000 characters) and submit the form.
Do we Recommend City Index for UK Traders?
City Index is low-risk CFD broker to trade with. They are regulated by the FCA and ASIC, and these are recognized, top-tier regulators. Also, the FSCS guarantees that your money is safe and protected upto a certain limit.
There are also risk management tools in place. Negative balance protection and guaranteed stop loss orders ensure that your losses are limited. You will also not fall into debt because you cannot lose more than your trading capital.
City Index offers over 12,000 CFD Markets without extra commission for currency pairs and typical low spreads. Considering the above, you can choose City Index as your broker.
FAQs on City Index UK
Is City Index an ECN broker?
No, City Index is a market maker, not an ECN broker. They also have a dealing desk.
Is City Index regulated in the UK?
Yes, City Index is regulated with the Financial Conduct Authority (FCA) under FRN 446717. Their registered company name is StoneX Financial Limited.
What is the minimum deposit at City Index?
City Index require traders deposit a minimum of £100 to open an account. Either CFD or Spread Betting Account, the minimum deposit is the same
What is the leverage at City Index?
City Index offers a 30:1 maximum leverage to retail traders. Professional traders can access leverage up to 400:1.
Does City Index have GBP Account?
Yes, you can deposit in GBP and make also choose GBP as your account’s base currency.
Note: Your capital is at risk