Plus500

• Plus500 is for customers who want to have easy access to financial markets, low trading costs, and a functional platform to trade.

• Plus500 guarantees stop-loss orders

• The FCA in the U.K. regulates Plus500

Plus500 is for those who want to have easy access to financial markets, low trading costs, and a functional platform to trade their positions. Plus500 has over 2,800 CFDs available on its trading platform. There are no commissions and competitive spreads. This should appeal to the experienced trader who prefers manual trading and considers the lower cost of the platform more worthwhile than the additional functionality offered by some competitors.

• Plus500 provides clients in over 50 countries with access to a complete product line of CDFs. This includes CDFs on forex and stock indices.

• The trading platform is simple to use and allows you to create watchlists and analyze charts as well as place and track trades.

• The FCA regulates Plus500. This is the UK’s main regulatory agency. It is widely regarded worldwide for its strict approach to ensuring fair market practices for individuals and businesses. Simply put, having a reliable government-backed agency regulate a company is a great way to establish credibility.

• Certain instruments may offer guaranteed stop loss orders that protect traders from market risk. However, they can be subject to a greater spread.

• Plus500 provides negative balance protection. This is required by ESMA rules, which were in effect in 2018. Clients cannot lose more than what they have invested into their account.

• The customer service options for Plus500 are limited to WhatsApp chat or email support. This is despite the fact that the company has a phone number available, which can be used even for sales inquiries.

• Plus500 is unable to accept clients from the United States due to CFD trading being illegal in the United States. TradeSniper is a new platform that allows futures trading. U.S. traders can access this platform.

• WebTrader cannot integrate third-party tools and analytical tools for advanced traders. Back-testing functionality is also not available.

Plus500’s revenues come primarily from customer trades that “cross the bid/ask spread”, which is a common practice in the brokerage industry. This spread is competitive within the industry. There are no commissions for any transactions with clients. Spreads are stable based on trade size. However, each unit is charged with a commission.

The broker can also make a profit by charging premiums to clients for overnight positions. These may be considered a financing fee. Clients who trade in currencies other than their base currency could be subject currency conversion fees. There are also fees for “guaranteed stops loss orders” (GSLO) and inactivity fees after three months of no activity.

A professional account offers traders higher leverage but at the same cost. A professional account can allow investors to increase their maximum leverage up to 1:300 for certain instruments.

Plus500 is unique in that clients are not charged ancillary fees. Normal withdrawals and account terminations are free of charge. The minimum amount required to trade an instrument varies. There are several funding options available, including Visa or MasterCard debit/credit card, e-wallets like Skrill or PayPal, and bank funds transfers.

Plus500’s proprietary platform WebTrader offers an easy-to-use trading experience. It can be accessed from multiple devices (Windows PCs and web browsers, smartphones and tablets), and is stable.

WebTrader offers a simple interface that allows you to create watchlists and analyze charts. You can also place and monitor trades. Technical analysis charts provide many indicators that can be applied to many time frames, including tick charts and weekly charts. Plus500, however, is not able to offer MetaTrader 4 (MT4), a popular platform that offers more functionality and customization options to clients.

Plus500’s WebTrader is a great platform. It’s simple to use and has layouts that are familiar to even experienced traders. Clients have the ability to choose from over 2,000 instruments and analyze them on a customized technical analysis chart. They can also place trades in just a few clicks all within one window. Plus500 is a closed platform. Advanced traders who depend on third-party automation and analytical tools to help them trade will be disappointed that they cannot be integrated directly.

Disclaimer: The prices shown in the graphic are only indicative.

Plus500 does not offer the same special features as other online CFD brokers. It does not allow automated trading via expert advisers or other trading algorithms. Additionally, it does not offer back-testing functionality and clients cannot manage third-party funds via PAMM trading platforms. It provides a simplified WebTrader platform and similar mobile trading apps for iPhone and Android that clients can use to place and monitor trades.

Certain markets offer guaranteed stops. However, they have a higher spread and cannot be added onto previously opened trades.

Plus500 offers three order types, with the option to attach “take profit” or “stop loss” orders. The trader has the option to select between trailing and guaranteed stop options by filling out an order ticket before execution.

• Market – This is the simplest way for a trader to indicate that they want their request to be executed at market rates.

• Limit – An order that is pending and the entry is at a predetermined level below or above the current market rate, depending on whether the trader is a buyer or seller. This order can also be extended by the trader.

• Stop – An order that is pending and the entry is at a predetermined level above or below the current market rate, depending on whether the trader is a buyer or seller. This order can also be extended by the trader.

Plus500 Pending Order w/GSLO.

Disclaimer: The prices shown in the graphic are only indicative.

All of the functionality found in the Plus500 desktop applications is available on the mobile application. All Plus500 product details, account details, and charting can be accessed from the Android, iOS and Windows 10 apps.

To provide greater clarity and ease of use during analysis, the dynamic charts can be extended to full-screen mode. The mobile app allows clients to deposit and withdraw money. Some traders may be concerned about the absence of security enhancements, particularly since these apps provide direct access to funds accounts. The MT4 mobile app is not available to clients. It has more functionality and may offer a familiar interface for investors who are experienced.

Plus500 also provides Multiple Charts View that allows you to view up to 9 charts simultaneously.

Plus500 offers access to over 2000 CFDs in a variety of asset classes including:

• Indices – Sector and Country

• Forex

• Commodities

• Individual shares

• ETFs

• There are many options

• Cryptocurrencies (availability subject regulation)

Plus500’s call and put options CFDs work in a similar way to exchange-traded options standard options. However, the major difference is that they can be settled cash. The trade you make on the underlying asset is not yours to exercise.

Plus500’s customer support options are limited to WhatsApp chat or email support, which are available 24 hours a day. One of the most important omissions is the inability to provide a phone number for sales inquiries. Prospective clients and current clients need to submit inquiries via chat messages or an electronic ticketing system that’s available 24 hours a day. Although the customer service options available are limited, Broker Review received replies to all chats and emails within a few minutes. This is a relatively quick response time. There is no in-person support.

We tried the email service. We tested the email service. Their responses to our request for information about average spreads on EUR/USD/USD was somewhat strange. They were unwilling to reveal this. Plus500 claims that its revenue comes from spread, which would indicate that such data could be collected and should be made available to potential clients in the same way as other competitors. The email response was as follows:

“Unfortunately, the data requested is not available. These FX pairs come with a dynamic spread that follows the market spread. It is an additional compensation for our services.

Plus500 offers resources to help you start trading CFDs through the platform. A Trading Academy is also offered by Plus500. This includes an eBook, video guides, FAQs, and a Trading Academy. These educational products are designed to make trading easier for both novice and advanced traders. You can also find market news and risk management resources. One legally required “Key Information Document” (KID), is provided by the broker. It outlines the basic information about each instrument and the risks associated trading them. The KID contains information about commodities, cryptocurrencies, ETFs and forex (availability subject regulation), options, indexes, and equities. Although Plus500 offers a decent amount of educational material, it is wise to search for additional materials elsewhere due to the high risk nature of CFD trading.

You can access basic, real-time information about the account such as balances and transaction activity. Profit/loss breakdowns and profit/loss breakdowns also are available. However, there is no built in tool to analyze trading activity. Plus500 doesn’t offer a trading journal nor tax accounting tools.

Plus500 offers very little in the way of research, analysis and tools. There are no videos or articles available from the company. However, the broker provides useful economic and earnings calendars. A news section and market insights are also available.

Plus500 offers customizable charts that allow traders to conduct technical analysis on any instrument under consideration. It also provides a “Traders’ Sentiment” indicator, which shows traders how many Plus500 clients are buying or selling an instrument. A “Live Statistics” indicator shows the instrument’s performance over 5-minute, 60 minute, and 1-day periods.

To eliminate market risk and protect itself from material losses, the company acts as principal. Plus500 is not a deposit insurance provider, but it is registered with all relevant regulatory authorities in Europe and Asia-Pacific.

• Plus500UK Ltd has been authorized and regulated under the Financial Conduct Authority (FCA #509909). Mailing Address: Plus500UK Ltd., 8 Angel Court. Copthall Avenue. London EC2R7HJ

• Plus500CY Ltd has been authorized and regulated under the Cyprus Securities and Exchange Commission License No. 250/14)

• Plus500AU Pty Ltd has AFSL #417727 from ASIC, FSP Number. 486026 issued in New Zealand by the FMA and Authorised Financial Services Provider #47546 by the FSCA South Africa

• Plus500SEY Ltd has been authorized and regulated in Seychelles by the Seychelles Financial Services Authority (License Number. SD039)

• Plus500SG Pte Ltd (UEN201422211Z) is a licensed capital market services provider from the Monetary Authority of Singapore. This license allows them to deal in capital markets products (License Number. CMS100648-1)

Plus500 must comply with the U.K. FCA’s client money rules by keeping client funds separate from corporate funds. This will help protect client money and assets in case of insolvency. Any funds that are not available to Plus500 may be compensated under the Financial Services Compensation Scheme, (FSCS).

Plus500 also provides negative balance protection. This is required by ESMA rules, which were in effect in 2018. Clients cannot lose more than what they have invested into their accounts. You can use guaranteed stop loss orders on certain instruments, but this is subject to market conditions.

If the mobile and web applications are not being used, there is a timer which will log the user out.

Plus500 is a platform that allows trade execution without the need to have advanced functionality. Spreads are low which helps keep costs down. The proprietary WebTrader platform is also intuitively useful. Plus500 U.K. clients have the added security of being regulated by the Financial Conduct Authority.

This broker is not suitable for technical traders because it does not offer MT4 as an alternative platform and there is no auto-trading. Plus500 isn’t the best place for beginners to trade because of the complexity and high risk involved in CFD trading. For experienced investors, however, the trade-off in functionality may be worth the lower costs.