Plus500 is a CFD broker operating out of Israel. A huge accomplishment for this company is that it is a FTSE 250 listed brokerage, which brings with it the respect and prestige that many smaller brokers have not earned.
The background of the founding team is in technology, and the broker’s proprietary platform is the crowning accomplishment of this team. In addition to the pride it has about its trading platform, Plus500 is proud to display its impressive ratings at Google Play and in Apple’s App Store, which they trumpet as a measure of their popularity. The broker does not provide research or education, but they attempt to compensate by offering a trading platform that is extremely easy to use.
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Regulation and Security
Plus500 is among the most highly-regulated brokers in the world, which is a huge advantage for traders wishing to trade with a reliable broker that is based locally. The primary regulator of Plus500 is the Financial Conduct Authority (FCA) in the UK which is counted among the strictest and most reliable Forex brokers in the world. Traders are protected under the Financial Services Compensation Scheme (FSCS), up to £85,000, as per regulatory requirements. This brokerage also operates a subsidiary regulated by the Cyprus Securities and Exchange Commission (CySEC). Plus500 is, therefore, under the Financial Instruments Directive 2014/65/EU or MiFID II and the EU’s 4th Anti-Money Laundering Directive. Traders are protected by the Investor Compensation Fund (CIF) with maximum coverage of €20,000, as stipulated by the EU Directive 2014/49/EU.
Plus500 also serves traders through regulated entities in Australia, regulated by the Australian Securities and Investments Commission (ASIC), in New Zealand under supervision of the Financial Markets Authority (FMA), in South Africa authorized by the Financial Services Board (FSB), and in Singapore regulated by the Monetary Authority of Singapore (MAS). The brokerage also has an Israeli branch regulated by the Israel Securities Administration. Per regulatory requirements, client funds remain segregated from company funds. Plus500 is serving traders from a proper regulatory framework (or, more precisely, several regulatory frameworks), and traders may trust this broker with deposits.
The FCA is the primary regulator of Plus500 in the UK.
Additional entities are managed across several regulatory environments.
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Plus500 derives the majority of its revenues from spreads charged on over 2,000 assets. Trading costs for currency pairs are competitive, with the EUR/USD listed at 0.6 pips, and no commissions are charged by this broker. Some asset classes are priced higher than other brokers, so it’s a good idea to check before placing your trades, if you maintain multiple brokerage accounts. If not, you can rest assured that Plus500’s fees aren’t among the highest in the industry, and that some super-low fees will balance out the more expensive ones.
Swap rates on overnight leveraged positions apply. Traders can access the precise amount from inside the proprietary trading platform by clicking on “Details” next to the asset. Some traders have complained that swap rates at Plus500 are higher than those at other brokers, but we could not verify these claims during this Plus500 review. Corporate actions, like dividends, splits, and mergers, are passed on to traders. An inactivity fee of $10 per month applies if the account has been dormant for three months. While this may sound like an annoying fee, other brokers charge as much as $50/month as an inactivity fee, so Plus500’s fee is considered on the low side. A 0.3% currency conversion fee, as well as third-party payment processing fees, complete the fee structure at Plus500.
Trading costs are competitive for pure Forex trader, though fees on other assets may be higher. Plus500 does provide good transparency regarding trading fees.
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What Can I Trade
Asset selection at Plus500 is excellent for retail traders through small portfolio management operations. Over 2,000 CFDs are provided across the Forex market, cryptocurrencies, commodities, equities and indices, ETFs, and options markets. Traders can properly diversify portfolios and take advantage of trading opportunities across the global financial spectrum.
Forex traders can suitably manage currency-only portfolios in a cost-effective trading environment through more than fifty currency pairs.
Cryptocurrency selection is sound and exceeds essential names, an area where Plus500 outperforms many retail brokerages.
Commodities are effectively presented and offer proper hedging capabilities for traders.
Index CFDs provide traders with a useful diversification tool and complements the equity CFD selection.
ETF CFDs support passive trading, a growing trend across portfolios.
Options complete the cross-asset trading environment at Plus500.
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Plus500 provides the same CFD account to all traders, while a professional account is available if two of three requirements are fulfilled. Different services are offered for traders with a pro account, as is common in today’s industry, and required by many regulators. Leverage for the standard account is limited to 1:30, but professional portfolios enjoy an upgrade to 1:300. The Australian entity regulated by ASIC grants leverage of 1:300 for standard accounts and presents the best choice for relevant traders.
Qualified traders may ask for an upgrade to a professional account.
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Plus500 provides traders with only its proprietary trading platform, which is a surprising strategy considering the popularity of the MetaTrader suite of platforms. The platform was designed with novice traders in mind, and is touted as one of the most user-friendly platforms in the industry. The plus side (no pun intended!) is that new traders can place trades easily and navigate through different assets smoothly. The downside is that automated trading is not supported, third-party plugins are unavailable, and critical trading functions for advanced traders are largely absent.
While it would be nice for Plus500 to offer the MetaTrader 4 platform, that platform is available at most brokers, and it’s somewhat refreshing to see Plus500 stand by its principles to offer something unique and solid.
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As mentioned earlier, the most unique offering of Plus500 is its trading platform and impressive choice of tradable assets.
Though 2019 numbers weren’t yet available at the time of this Plus500 review, the 2018 numbers published by the company are in fact impressive.
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Research and Education
Unfortunately, there is no research offered by Plus500. The company does offer a limited education section called the Trader’s Guide, which has a few videos that can help traders get started. They also have a fairly comprehensive Risk Management section which explains to traders how to best mitigate their risks while trading. Some brokers have made the case that advanced traders don’t need education, as they already know how to trade, and there is some validity to this claim. However, since Plus500’s platform is relevant to traders at all levels, it would be nice if the company would expand their educational offerings.
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Clients have access to customer support 24/7 via live chat or e-mail, which is nice, as most brokers only offer support 24/5. An FAQ section covers the most basic questions. The website covers thirty-two languages, and customer support is equally multi-lingual. Broadly speaking, most traders never require assistance from a broker’s support team. In case the need arises, Plus500 provides adequate support capabilities, highly rated by over 8,100 ratings.
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Bonuses and Promotions
Plus500 does not offer bonuses or promotions to its traders, in keeping with regulatory requirements.Back to Top
Opening an Account
Account openings are processed through online applications, as is the standard operating procedure across the brokerage industry. Plus500 requires an e-mail address and password for the first step of the account opening process. Traders may login with their Google or Facebook accounts, which is a nice, easy touch. New traders need to submit a copy of their ID and one proof of residency document to complete the AML/KYC verification process, as stipulated by regulators. With high regulation and connections to some of the most trustworthy apps and services on the internet, traders may trust this broker with their information.
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Deposits and Withdrawals
Plus500 supports bank wires, credit/debit cards, Skrill, and PayPal. Regional payment methods may be available, but full details can be seen only from inside the trading platform, due to geotargeting efforts (so that traders aren’t bothered by irrelevant information). Processing times and potential fees are not provided. In compliance with AML requirements, the name on the trading account and payment processor need to be the same. Withdrawals are processed the same route as deposits. The deposit and withdrawal procedures mirror those at other brokerages, and appear to be in keeping with industry standards.
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- Broker's Name : Plus500
- Headquarter : Israel
- Regulation : CySEC, FCA, ASIC, FMA, FSB, MAS
- Type of Broker : Market Maker
- U.S. Clients Allowed :
- Minimum Deposit : $100
- Maximum Leverage : 1:30
- Commissions / Spreads : Spread
- Account 1 : CFD
- Demo Account :
- Islamic Account :
- Segregated Account :
- Managed Accounts :
- Institutional Accounts :
- Deposit Options :
- Withdrawal Options :
- ETFs :
- CFDs :
- Commodities :
- Metals :
- Stocks :
- Oil :
- Gold :
- Binary Options :
- Indices :
- Type of Platform : Proprietary platform, Web-based
- Platform Languages :
- OS Compatibility :
- Trading Signals :
- Charting Package :
- Market Analysis :
- Chart Trading :
- Automated Trading :
- Scalping :
- Hedging :
- Mobile Alerts :
- E-mail Alerts :
- Trailing Stops :
- Guaranteed Stop Loss :
- Guaranteed Limit Orders :
- Guaranteed Execution :
- One-click Execution :
- OCO Orders :
- Interest on Margin :
- Web-based Trading :
- Mobile Trading :
- Website Languages :
- Support Hours : 24/7
- E-mail Support :
- SMS Support :
- Chat :
Pros and Cons
- Highly regulated
- Multi-language website
- Demo account
- No Swap Account
Can you make money with Plus500?
It is certainly possible to make money with Plus500. At the time of updating this review, Plus500 reported according to regulatory requirements that 23.6% of their retail investor accounts were making money when trading CFDs.
How do I withdraw money from Plus500?
You can withdraw money from Plus500 through bank wires, credit/debit cards, Skrill, and PayPal. Click on the “Withdrawals” section when logged in for exact instructions on how to execute a withdrawal from your Plus500 account.
How long does it take to withdraw money from Plus500?
Plus500 is usually able to get your withdrawal paid to you within 2 or 3 days at most. Plus500 clients report that PayPal tends to be the quickest withdrawal method from Plus500.
Does Plus500 allow scalping?
No, Plus500 does not allow scalping.
Is Plus500 regulated?
The UK Financial Conduct Authority (FCA) remains the principal regulator for Plus500. This broker is additionally regulated by the Cyprus Securities and Exchange Commission (CySEC), the Australian Securities and Investments Commission (ASIC), the New Zealand Financial Markets Authority (FMA), the South Africa Financial Services Board (FSB), the Israel Securities Authority, and the Monetary Authority of Singapore (MAS).
Is Plus500 good for beginners?
Yes, Plus500 is good for beginner traders because it is generally reported to be a user-friendly broker by its clients.
What is the minimum deposit on Plus500?
The minimum deposit required to open an account with Plus500 is $100 but may be higher depending upon the payment method used to fund the account.
Where is Plus500 based?
Plus500 is headquartered in London, UK, per its FTSE250 listed entity. It additionally manages a global headquarters in Israel while each operating subsidiary possesses its regional one.
How does Plus500 make money?
Plus500 charges a spread on over 2,000 assets. As a market maker, this broker also profits from client losses.
How can I deposit into a Plus500 account?
Bank wires, credit and debit cards, Skrill, Neteller, and PayPal compose the main payment options supported by Plus500. Regional ones may be available, but this broker solely provides this information from inside its trading platform.
What is the minimum lot size at Plus500?
This information is nor provided, but since Plus500 is a CFD broker, the minimum transaction size is presumed to be 1 CFD.
When does a margin-call take place at Plus500?
When the account balance fails to satisfy the maintenance margin requirement, a margin call is issued. Precise requirements are provided inside the trading platform, as the maintenance margin is asset dependent.
What is the maximum leverage offered by Plus500?
The maximum leverage is capped at 1:30 for retail clients and 1:300 for professional clients, but retail traders under the ASIC regulated entity have access to 1:300.
How do I open an account with Plus500?
Plus500 has an online application form, which is the standard operating procedure.
What trading platforms does Plus500 offer?
Plus500 merely provides its sub-standard proprietary trading platform.Back to Top
Plus500 is a well-regulated broker, operational since 2008, which gives it experience and tenure that many of today’s young brokers don’t have. At first glance, this brokerage comes across as a market leader, and its operational statistics are certainly impressive. The best feature provided is the asset selection, and the broker’s weakest offering is its education and research sections.
While this brokerage is in full compliance with its regulators, it has run into some problems in the past (though they have been resolved without the company filing for bankruptcy or insolvency, which is a strongly positive sign).
Plus500’s only platform is its proprietary platform, which can be both an advantage and disadvantage for traders. New traders will love the easy-to-use platform, and advanced traders may appreciate the simplicity as well, at least as a secondary option for traders who want to take advantage of Plus500’s other offerings.
Trading costs for currency pairs are competitive and make Plus500 an attractive broker. Our conclusion is that despite some flaws, Plus500 offers advantages where it really counts – with a wide asset offering, user-friendly platform, and competitive spreads.Back to Top
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