ATTENTION! SEC regulation does not allow brokers to provide CFD (contract for difference) instruments for US residents. This means no regulated broker
will accept citizens from the USA to trade CFDs.
Plus500 is a well-known provider of Contracts for Difference (CFDs) with offices based in the UK, Cyprus and Australia. Plus500 was founded in 2008 and is one of the oldest providers of CFDs. Plus500 Ltd is listed on the AIM section of the London Stock Exchange. Plus500UK Ltd is authorised and regulated by the Financial Conduct Authority (#509909), which makes it one of the most reliable providers of CFDs.
One of the biggest success factors of Plus500 is its attractive trading platform specifically designed for a large audience, who would like to have access to a simplified and efficient online trading tool.
Because of its stock exchange listing, Plus500 is required to report quarterly to its shareholders. It is therefore entirely transparent in its approach and inspires investors over the long term. Over the years, the company’s share prices increased significantly. Every quarter, it announces a record number of new users, thanks to a broad set of instruments that sets it apart from the competition.
Plus500 is a generalist broker. For those who don’t want to trade Forex, the broker also offers stocks, commodities, and cryptocurrencies such as Bitcoin and Ripple. Like eToro, the broker does not use MetaTrader (independent software) to trade Forex: only one platform is available either via a website (inhouse WebTrader) or mobile (Android & iOS) or via software to be installed (Windows only). The platform is really thought out for traders, you are up for an impressive experience when you give it a try.
The Plus500 platform is one of the most user-friendly platforms out there, yet, it includes advanced features attractive to experienced traders. Plus500 offers more than 50 currency pairs with spreads that are the most competitive on the market. Back in October 2014, the online broker lowered its EUR/USD spread to just 1 pip (against 2 previously), the lowest commission on the market. It can allow this kind of spread because it is Market Maker (Dealing Desk) in its own right. Because of this it does not reflect the order book available on the global markets, but it has its own fixed range.
A handy risk management tool will allow you to easily manage your positions. Like eToro, Plus500 chose not to opt for the MetaTrader software solution, which is very complex and not necessarily suitable for CFD traders. On the practical side, the online WebTrader adapts to your screen: you have access to all the information without having to scroll through your screen. The mobile applications of Plus500 are developed with ease-of-use in mind. If you are regularly on the move, you will surely be delighted.
Deposits and withdrawals at Plus500
The forex broker Plus500 is also the platform that offers the most payment methods, both for deposit and withdrawal. In this case, you can of course use your credit card (Visa, Mastercard), but also electronic wallets like PayPal or Skrill. It is one of the few forex brokers to offer PayPal deposit. If you wish, you can also make a wire transfer to deposit your money.
Withdrawals are completely free of charge. By default, Plus500 offers you to make a transfer to the account from which you made the deposit. For any withdrawal, Plus500 will ask you for an identity card and proof of residence. The trading platform asks for these documents because it is required by the financial regulators to prevent money laundering.
As have been said before, Plus500UK Ltd is regulated by the English FCA under license number #509909. The consequence of this is that it must be fully transparent about its activities. This also has an advantage as it can be proud to be one of the few to offer the UK Government guarantee to every trader (up to GBP 50,000 per account) in case Plus500UK can’t pay you back. Plus500UK uses account segregation, which means that clients’ money and the broker’s own money are on different accounts.
If you are not a citizen of the United Kingdom, other rules may apply. It depends on the country of residence which set of guarantees apply to you. Here is an overview:
- Plus500CY Ltd authorised and regulated by CySEC under #250/14 (Cyprus, EU).
- Plus500SG Pte Ltd licensed by the MAS under #CMS100648-1 (Singapore).
- Plus500AU Pty Ltd (ACN 153301681) licensed by ASIC in Australia, AFSL #417727.
- FSB registered in South-Africa under #47546.
- FMA registered in New-Zealand under FSP #486026.