80.5% of retail CFD accounts lose money
Like most brokers, Plus500 takes a fee from the spread, which is the difference between the buy and sell price of an instrument.
The commisions and spreads displayed below are based on the minimum spreads listed on Plus500’s website. The colour bars show how competitive Plus500's spreads are in comparison to other popular brokers featured on BrokerNotes.
|EUR/USD (Average: 0.7 pips)||0.01%||3.0 pips||0.9 pips|
|GBP/USD (Average: 1.1 pips)||0.01%||4.0 pips||1.6 pips|
|USD/JPY (Average: 1.1 pips)||0.02%||2.0 pips||1.1 pips|
|AUD/USD (Average: 0.8 pips)||0.01%||1.0 pips||1.1 pips|
|USD/CHF (Average: 2.3 pips)||0.02%||3.0 pips||1.6 pips|
|USD/CAD (Average: 2.9 pips)||0.02%||3.0 pips||2.0 pips|
|NZD/USD (Average: 3.6 pips)||0.05%||5.0 pips||1.8 pips|
|EUR/GBP (Average: 2.4 pips)||0.02%||4.0 pips||1.5 pips|
Spreads are dynamic and are for informational purposes only.
As you can see, Plus500’s minimum spread for trading EUR/USD is 0.01% pips - which is relatively low compared to average EUR/USD spread of 0.70 pips. Below is a breakdown of how much it would cost you to trade one lot of EUR/USD with Plus500 vs. similar brokers.See all Spreads
If you were to buy one standard lot of EUR/USD (100k units) with Plus500 at an exchange rate of 1.1719 and then sell it the next day at the same price you would likely pay $15.4. Here’s a rough breakdown of the fees and how this compares against XTB & AvaTrade .
|Spread from:||$ 6.00||$ 2.00||$ 7.00|
|Total cost of a 100k trade:||$ 6.00||$ 2.00||$ 7.00|
|$4 less||$1 more|
|Visit Plus500||Visit XTB||Visit AvaTrade|
All fees/prices are for informational purposes and are subject to change.
Plus500 offers over 2,000 different instruments to trade, including over 61 currency pairs. We’ve summarised all of the different types of instruments offered by Plus500 below, along with the instruments offered by XTB and AvaTrade for comparison.
|FX / Currencies||Plus500||XTB||AvaTrade|
|# of forex pairs offered||61||48||59|
|Major forex pairs||Yes||Yes||Yes|
|Minor forex pairs||Yes||Yes||Yes|
|Exotic forex pairs||Yes||Yes||Yes|
|# of commodities offered||17||21||16|
|Index & Stock CFDs||Plus500||XTB||AvaTrade|
|# of stocks offered||1816||1606||99|
|See Plus500's Instruments||See XTB's Instruments||See AvaTrade's Instruments|
Plus500 offer a user-friendly custom trading platform, available as both a downloadable program or as a browser based WebTrader. If you are looking for a MetaTrader broker, see our comparison of MT4 brokers here
Plus500 also offer mobile apps for Android and iOS, making it easier to keep an eye on and execute your trades while you are on the move.See Plus500's platforms
With Plus500, the minimum and maximum trade requirements vary depending on the trader and the instrument.
As a market maker, Plus500 may have lower entry requirements compared to an ECN broker who benefits from a higher volume of trades and typically has larger capital and minimum trade requirements. Market makers typically have a lower minimum deposit, smaller minimum trade requirements and no commission on trades.
As with most brokers, margin requirements do vary depending on the trader, accounts and instruments. You can see the latest margin requirements on their website.
Plus500 also offers a number of useful risk management features, such as stop losses (with trailing stops), limit orders negative balance protection price alerts and much more. You can see all of the account features offered by Plus500 here.
Finally, we’ve listed some of the popular funding methods that Plus500 offers its traders below.
Plus500 support a wide range of languages including English, French, Italian, Spanish, Portuguese, German, Dutch, Polish, Arabic, Hebrew, Danish, Norwegian, Czech, Slovak, Bulgarian and Chinese.
Plus500 has a BrokerNotes triple AAA support rating because they offer a wide range of languages and support options.
As Plus500 is regulated by Financial Conduct Authority (FRN 509909) and Cyprus Securities and Exchange Commission (License No. 250/14). Plus500AU Pty Ltd (ACN 153301681), licensed by: ASIC in Australia, AFSL #417727, FMA in New Zealand, FSP #486026; Authorised Financial Services Provider in South Africa, FSP #47546 , every new client must pass a few basic compliance checks to ensure that you understand the risks of trading and are allowed to trade. When you open an account, you’ll likely be asked for the following, so it’s good to have these handy:
You’ll also need to answer a few basic compliance questions to confirm how much trading experience you have, so it’s best to put aside at least 10 minutes or so to complete the account opening process.
While you might be able to explore Plus500’s platform straight away, it’s important to note that you won’t be able to make any trades until you pass compliance, which can take up to several days, depending on your situation.
To start the process of opening an account with Plus500 you can visit their website here.
Plus500 offers its clients access to several trading platform applications, compatible with different dekstop, smartphone and tablet devices. These are as follows:
The Plus500 Webtrader has a simplified interface which features the asset groups, which can be accessed by the Trade button on the top of the page. It is also possible to view active and closed positions on the navigation bar, just to the right of the Trade button.
The assets that the trader can trade are listed, with each listing showing the Bid and Ask prices as well as the highest and lowest prices for the day. Traders can choose to Buy or Sell an asset by clicking the respective buttons located beside the Bid and Ask prices. The chart for the selected asset is shown below the asset prices. Traders can switch between line charts, bar charts or candlestick charts using the appropriate buttons just located above the chart window.
To trade an asset, simply click Buy next to the ask price, or Sell next to the bid price (the prices listed to the left). When these buttons are clicked, a small window opens which shows the asset, the current price, the amount to be invested in the trade, the required margin as well as the stop loss and take profit prices.
Each of these settings can be adjusted, after which the trader can click the trade execution button (which in this snapshot is SELL).
The following are the risk management tools available on the platforms of Plus500.
These are basically instructions to close out trades at the stop loss or take profit levels which have been pre-defined during trade setup.
A guaranteed stop loss protects the trader’s capital in the event of a large market gap or a massive slippage. On Plus500, you can use a guaranteed stop only for certain assets. A checkbox will be displayed beside any instrument that supports this facility. A Guaranteed Stop must be selected while setting up a new trade. It cannot be used for active positions.
It is possible to set price alerts to provide notifications when the asset has hit a certain buy or sell price. This function can be seen in the instrument list as a bell icon. Click on this bell open a “Price Alert” screen. The price alert is given to the trader in the form of an SMS, email or push notification.
For instance, if gold is trading at $1205 an ounce, and you think there will be a trade re-entry opportunity at a price of $1,050, you can set a price alert for this price. If the price of gold retreats to this level, you get a notification on the new price. This can be a useful facility for those trading with limit orders.
A trailing stop is a trade protection facility that automatically protects a position from reverse movements while locking in profits when the price moves in the direction of the trade. It is not guaranteed.
A trailing stop moves with the trade when it is in profit territory. In other words, it chases the trade. If the market reverses against the position, it freezes and can also close out the position when the market price hits the trailing stop level.
CFDs are leveraged products and can result in the loss of your capital. All trading involves risk. Only risk capital you’re prepared to lose. Past performance does not guarantee future results.
This post is for educational purposes and should not be considered as investment advice. All information collected from http://www.plus500.co.uk/ on 01/07/2020.