Abstract：When it comes to online trading and investment, Plus500 has established itself as a prominent global fintech company, offering trading on over 2,800 CFD-based financial instruments, covering forex, commodities, indices, global stocks, ETFs and cryptocurrencies. Whether you're new to trading or an experienced investor looking for a reliable platform, understanding how to open, use, and manage your Plus500 account is essential. This guide will walk you through the key aspects of Plus500 accounts, from opening a demo account to making withdrawals.
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About Plus500
When it comes to online trading and investment, Plus500 has established itself as a prominent global fintech company, offering trading on over 2,800 CFD-based financial instruments, covering forex, commodities, indices, global stocks, ETFs and cryptocurrencies. Whether you're new to trading or an experienced investor looking for a reliable platform, understanding how to open, use, and manage your Plus500 account is essential. This guide will walk you through the key aspects of Plus500 accounts, from opening a demo account to making withdrawals.
✅Where Plus500 Shines:
- A reputable broker with multiple regulated entities in various regions
- Beginer-friendly entry barrier, making trading here easily accessible
- Fully digital account-opening process
- Advanced trading tools and user-friendly trading app
- An unlimited demo account with virtual funds of $100,000 can be opened
- Trade on a great range of tradable assets
- Competitive pricing in some regions
❌Where Plus500 Falls Short:
- Not supporting copy trading
- Limited choices of trading platforms
- Trading conditions vary depending on regions
- Leverage capped to 30:1 for retail traders
Getting Started with a Plus500 Demo Account
Before committing real capital, it's advisable to familiarize yourself with the Plus500 platform using their demo account. This risk-free environment allows you to practice trading strategies, explore the platform's features, and build confidence without putting your money at risk.
Step 1: Visit the Plus500 website and locate the “Try Free Demo” button, which is usually prominently displayed on the homepage.
Step 2: Click on the button to begin the registration process. You'll be asked to provide some basic information, including your email address and a password for your account.
Step 3: For added convenience, Plus500 offers the option to sign up using your Google, Facebook, or Apple account. This can save time and simplify the login process in the future.
Step 4: Once you've submitted your information, your demo account will be created instantly. There's no need for any additional verification at this stage, as you're not dealing with real money.
Step 5: You'll then be directed to the Plus500 trading platform, where you can start exploring and practicing your trades immediately.
The Plus500 demo account has no time limit, meaning you can use it indefinitely without restrictions. This is particularly beneficial for those who want to thoroughly test their trading strategies or take their time learning the intricacies of the platform. Moreover, if your virtual balance falls below €200, it will automatically be replenished to the original amount, ensuring you always have funds to practice with.
One of the most attractive features of the Plus500 demo account is its flexibility. Unlike some other platforms that impose time limits on demo accounts, Plus500 allows users to practice indefinitely. This means you can take your time to learn the ropes, experiment with different strategies, and build your confidence at your own pace.
Another notable advantage is its close simulation of real market conditions. You'll receive real-time quotes, market notifications, and access to the same range of instruments available on the live platform. This allows you to experience the volatility and dynamics of the financial markets without any financial risk.
Understanding Plus500 Account Types
Plus500 trading account is primarily based on regulatory distinction and client classification. Major account options include the CFD account, the Professional account, the Invest account and the Futures account.
OANDACFD Account: This is the primary account type available to most international clients, providing access to over 2,800 trading instruments, including forex, stocks, indices, commodities, cryptocurrencies, and options. The CFD account features commission-free trading with competitive spreads, making it an attractive option for traders looking to minimize costs.
- OANDA Professional Account: Available to EU-based traders who meet specific criteria, this account type offers higher leverage and additional benefits. To qualify, traders must meet at least two of the following conditions: significant trading activity over the past year (at least 10 transactions per quarter), a financial portfolio exceeding €500,000, or relevant professional experience in the financial sector for at least one year.
- OANDA Invest Account: This account is designed for those interested in unleveraged equity trading. It offers access to stocks from 17 exchanges in the US and Europe, with low commission rates starting from €2.00 to €6.00 per trade. However, availability is geographically restricted.
- OANDA Futures Account: Exclusively available for US-based clients, this account allows trading in futures and options contracts from seven major exchanges. It's particularly suited for advanced traders looking to diversify their portfolio with derivative products.
Key Features of Plus500 Accounts
While the demo account is free and doesn't involve real money, it's important to understand the account types and fee structures you'll encounter when you transition to real trading. Plus500 offers a standard CFD trading account for retail clients, as well as a professional account for those who meet certain criteria.
- User-Friendly Platform: Plus500's proprietary WebTrader platform is known for its intuitive interface and ease of use. It's available on desktop, web, and mobile devices, ensuring traders can access their accounts and execute trades from anywhere at any time.
- Competitive Pricing: With a commission-free model and tight spreads, Plus500 keeps trading costs low. The minimum spread for major forex pairs starts from as low as 0.8 pips, which is competitive within the industry. For example, the average spread for EUR/USD is around 0.9 pips, while for GBP/USD it's approximately 1.2 pips.
- Advanced Risk Management Tools: Plus500 provides various order types, including stop-loss, take-profit, and guaranteed stop orders, allowing traders to manage their risk effectively. The platform also offers negative balance protection, ensuring traders can't lose more than their account balance.
- Regulatory Compliance: Plus500 is regulated by multiple tier-1 authorities, including the UK's Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), and Australian Securities and Investments Commission (ASIC). This multi-jurisdictional regulation ensures a high level of investor protection and operational integrity.
- Educational Resources: While not as extensive as some competitors, Plus500 offers some educational materials through its Trading Academy. This includes e-books, video guides, and FAQs to help traders improve their skills and market knowledge.
How to Open a Plus500 Account?
The process of opening a Plus500 account is straightforward and can be completed entirely online. Here's a step-by-step guide:
Step 1: Visit the Plus500 website and click on the “Start Trading Now” button.
Step 2: Provide your email address and create a password to proceed. Alternatively, continue with your google account.
Step 3: Complete the application process by providing personal information, employment details, and financial background.
Step 4: Verify your identity by submitting copies of government-issued ID and proof of residence. This step is crucial for compliance with anti-money laundering (AML) and know-your-customer (KYC) regulations.
Step 5: Once verified, fund your account using one of the available payment methods, which typically include credit/debit cards, bank transfers, and e-wallets like PayPal and Skrill.
The minimum deposit for a Plus500 account is $100 or equivalent in other currencies, and thus investors find it is accessible to trade with this broker. Besides, it should be notable that while there are no deposit fees, a currency conversion fee of up to 0.7% may apply if you're funding your account in a currency different from your account's base currency.
Managing Your Plus500 Accounts
Once your account is set up, it's crucial to understand how to manage it effectively. Plus500 provides several tools and features to help you monitor and control your trading activities:
- Funds Management: This section allows you to deposit funds, request withdrawals, and view your transaction history.
- Risk Management Tools: Plus500 offers several risk management features, including stop loss orders, guaranteed stops (for a fee), and negative balance protection for retail accounts.
- Account Settings: Here you can change your password, set up two-factor authentication for added security, and manage your communication preferences.
- Education Center: Plus500 provides a range of educational resources, including video tutorials, trading guides, and an economic calendar to help you stay informed about market events.
- Customer Support: If you encounter any issues or have questions, Plus500 offers 24/7 customer support via live chat and email.
OANDA Fee Structure
Plus500 operates on a spread-based model, and notably, there is an inactivity fee of $10 per month charged if your account remains dormant for 3 months or more.
- Spreads: These vary by instrument and market conditions. For example, the EUR/USD spread can be as low as 0.6 pips during normal market hours.
- Overnight Funding: For positions held overnight, there's a daily funding fee (or credit) based on the instrument and position size.
- Inactivity Fee: A fee of up to $10 per month may be charged if your account is inactive for three months or more.
- Deposit and Withdrawal Fees: OANDA does not charge any internal deposit or withdrawal fees.
- Guaranteed Stop Order Fee: This is charged if you use a guaranteed stop, and the fee varies by instrument.
Notably, Plus500 does not charge commissions on trades, which can make cost calculation more straightforward for some traders.
Trading Experience and Platform Functionality
Plus500's WebTrader platform offers a streamlined trading experience that balances simplicity with functionality, which comes with some shining features as below:
- Customizable Charts: Traders can analyze price movements using various chart types and timeframes, with over 100 technical indicators available.
- Real-Time Quotes: The platform provides free, real-time price quotes for all available instruments.
- Economic Calendar: An integrated calendar helps traders stay informed about important economic events that could impact market movements.
- Sentiment Indicator: This unique tool shows the percentage of Plus500 traders currently buying or selling a particular instrument, offering insight into market sentiment.
- Mobile Trading: The Plus500 mobile app replicates the functionality of the web platform, allowing traders to manage their accounts and execute trades on the go.
While the platform is robust for most traders, it's worth noting that Plus500 doesn't support automated trading or the integration of third-party tools, which may be a limitation for some advanced traders who prefer more customizable setups.
Customer Support and Service
Plus500 provides customer support through various channels, including 24/7 live chat and email. Support is available in multiple languages, reflecting the company's global presence. While the lack of phone support may be a drawback for some, the company generally receives positive feedback for its prompt and helpful responses to customer inquiries. According to some popular review sites, Plus500 has a rating of 4.1 out of 5 based on over 14,000 reviews, indicating a generally positive customer experience.
Conclusion: Is Plus500 Right for You?
Overall, Plus500 offers a compelling package for traders seeking a user-friendly platform with competitive pricing and a great variety of financial instruments. Its strengths lie in its simplicity, particularly suitable for beginners and intermediate traders. The tailored account options targeting different trading styles and regulatory environments, while the robust security measures and regulatory compliance provide peace of mind.
However, advanced traders looking for sophisticated analytical tools, automated trading capabilities, or extensive research materials may find the platform somewhat limiting. Additionally, the geographic restrictions on certain account types and instruments mean that not all features are available to traders in all locations.
Ultimately, whether Plus500 is the right choice depends on your individual trading goals, experience level, and geographic location. Remember, CFD trading carries a high level of risk, and it's crucial to understand these risks and trade responsibly within your means. Consider starting with a demo account to familiarize yourself with the platform and develop your trading strategies before committing real capital.
