Plus500 is a well-known broker, one of the best online financial firms for trading. They trade in a range of financial markets at low spreads, and no commission charged. They are an authorized broker licensed by Financial Conduct Authority (FCA) and have been registered in the U.K. since 2008.
Plus500 provides trading on various different assets including forex, stock indexes, equities, commodities, cryptocurrencies, ETFs, bitcoin, CFDs and options. They were the first to offer bitcoin CFDs in 2013. They do not charge any commissions on trades as all costs are contained within the spread for over 2000 trading instruments on their platform.
Since 2013 they were included on the AIM section of the London Stock Exchange, with a $2.25 billion market ownership and clients in more than 59 countries of the world.
- Plus500 offers bitcoin, ethereum and other crypto currencies
- No extra charge or commission for trading
- Offers access to around 2000 trading instruments
- Limited amount of educational material
- The tools offered by Plus500 cannot be paired with other trading tools
- Though there are 2000 trading instruments available, there are not a lot of tools to analyze with
Though Plus500 offers no deposit insurance, they are registered with many trusted accountability and visibility partners like the FCA, ASIC, FSCA, CySEC, MAS, FMA, and the ISA. They are required to make sure that funds from clients do not get mixed up with corporate funds.
In this way it ensures that should Plus500 become bankrupt, all client money will be protected. Under the financial services compensation scheme (FSCS) any downfall of funds up to £50,000 will be compensated for. An amount up to £85,000 will be compensated for in case the custodian bank holding client’s funds is liquidated. Negative balance protection is another solution offered by Plus500 where the client will not lose more money than what they have invested.
Desktop Experience 3.2/5
No matter what browser you use, the Plus500 WebTrader platform is easy to access. It has a clear and simple layout which makes it easier to analyze and monitor trades. Their technical analysis charts can be viewed in full screen. They also have over 100 indicators applicable to numerous time frames. Though Plus500 offers access to many platforms, MetaTrader is one exception that they do not offer, even though Metatrader has better functions and is easier to customize. Plus500’s WebTrader is easily understood with more than 2000 trading instruments to analyze and monitor trades with, and everything can be done in the same window with just a few clicks.
The Plus500 application is also available for all types of mobile devices like the Android, iPhone, and iPad. It is similar to the desktop version as it has all the features offered on the desktop application. Over 2000 trading instruments can be accessed on the mobile version. This platform has different security measures like fingerprint unlock, amongst many. Traders can use the available tools to analyze and monitor trades similar to the desktop application. What might be a concern though is the lack of advanced security measures, especially taking into consideration that these applications directly link to funded accounts. The MT4 mobile application cannot be used from here even though it is better customizable.
Research Tools And Insights 1.5/5
In regard to research, analysis, commentaries and tools, the platform has very little to offer. There are no news feeds, research articles or videos. They do however provide access to an earnings calendar and customizable charts for conducting technical analysis. Additionally, Plus500 has a “Trader’s Sentiment”, an indicator that shows the percentage of Plus500 clients purchasing a particular instrument.
Many brokers offer online courses, videos, eBooks, and articles to educate people on the different markets they wish to invest in. Plus500 does not offer anything of this sort. Generally, brokers also post the Key information Document featuring all the basics and tools required for trading, but Plus500 doesn’t provide any such document. They expect the individual to be familiar with the workings of the trading markets.
Special Features 0/5
Plus500 does not have the special features typically offered by a broker. They do not allow automated trading through trading algorithms. They also do not provide back testing or managing third party funds through PAMM or MAM platforms. They only offer a Webtrader platform with access to trading apps for iPhone, iPad and Android. Its clear to see that they target only those clients who need to execute trades without a lot of extra functionality.
Investment Products 4/5
They don’t charge commission on trades, as all costs are contained within the spread for each of its more than 2000 instruments. They also do not offer volume discounts for large volumes. Spreads are the same for one lot or for a 1000 lots. You also do not incur charges for withdrawals or for terminating an account. However, should your account be inactive, a fee will kick in after 3 months. As a beginner you can open an account with a minimum of £100.
As a trader you can qualify for a professional account offering you a higher leverage. With this account you can increase maximum leverage 10-fold, from 1:50 to 1:500.
They offer access to options trading, however these are not standardized, as they can be customized for risk tolerance.
Commissions and Fees 4.1/5
Plus500’s spread is one of the lowest on the market. In exchange the trader pays with limited research and analytical tools and a substandard trading platform.
Customer Support 3.6/5
Plus500 offers both online chat and email support around the clock. No service phone number or toll-free number is available to contact them regarding queries. Any inquiries made through the email support system or through the online chat system gets a quick response. The customer support is still good since the online chat offers prompt and correct response or provides links to resources. It also has a wide variety of FAQs and the customer service response to the requests are quick and clear.
What You Need To Know
According to this review on business24.7 Plus500 is one of the most effective, cost-conscious traders there are. Their profits are made only through the spread and no extra fee is charged; however, they also do not have additional features like auto trading, the Metatrader 4 and expert advisors. There are additional security measures if you trade with the UK version of Plus 500, through FCA (Financial Conduct Authority) regulation. Plus500 permits traders toaccess and place options on several markets, which is similar to the exchange-traded version except it is non-standardized. This implies the options from Plus500 are customizable and modified accordingly for your risk tolerance and strategy goals.
Below is a short video overview about the Plus500 trading platform, how to open an account and how to start trading in minutes.