Plus500.com is an established, UK based online Forex broker. The company recently received regulation from the Financial Services Authority, and is a reputable and popular broker.
Pip Spread: Low – 2 on EUR/USD
Minimum deposit: £100
Max leverage: 1:50
Getting started with Plus500 is easy. The minimum deposit is £100, which is higher than some micro accounts at other brokers, but still affordable. Leverage of up to 1:50 is available, and the minimum deal size is 5,000.
Plus500.com is available in English, French, and Spanish. It offers three trading platforms – a full-featured downloadable trading platform for Windows, and a web-based platform, and a mobile device client. Between these offerings, almost everyone should be able to find something that they can use.
As well as forex trading, Plus500 allows trading in stocks, CFDs, Indices, Oil, and several other things. There’s no commission, and spreads are fixed.
The trading platform offered by Plus500 is a proprietary one. It was developed in-house, and has been designed to be easy-to use, and to present all the important information on one screen. This proprietary platform may be an issue for experienced traders that have come to know and love one of the other well-known trading platforms – for example Meta Trader 4. Plus500’s platform is slick and stable, but it does not offer as much information as Meta Trader 4. It is ideal for beginners, and for those that do not want to have to navigate massive amounts of information. If you are the kind of trader who wants to be able to view more than one chart at a time, however, then another online Fx broker would probably be a better choice.
Last year, Plus500 released a new iPad and iPhone version of their trading software, which became very popular on the Apple App Store. They also expanded their trading offering to include 1000 different stocks from several different markets around the world.
In early 2012, they released a version of their mobile software to run on Android. This software works with most Android tablets and smartphones, which puts them ahead of many other forex brokers in terms of flexibility and availability on a range of mobile devices. For those who are unable to run one of the mobile clients – either because their Android device does not meet the system requirements, or because they use an alternative platform such as Windows, Blackberry, or Symbian, there is a web client that can run in most desktop web browsers, and most mobile browsers too.
Account and Trading Information
Plus500 offers an unlimited time forex demo account. This is not a unique offering, but there are still many companies that have only time limited demos, so it is a nice bonus. The site also has a small training area, but the resources it provides are not as comprehensive as the ones offered by many rival sites, so beginners would be wise to shop around – even if they like the trading platform offered by Plus500, they’ll benefit greatly by using the educational articles, videos, and tutorials that other platforms provide.
When it comes to customer support, Plus500 is a mixed bag. The website is fairly bare bones, and there’s no detailed knowledge base. If you run into problems, then your only recourse is to contact the company by email or fax. There’s no phone service, and no live chat. That said, they claim to offer 24/7 support, and most users report fairly fast response times.
In terms of payment options, Plus500 accepts Visa/MasterCard, Moneybookers, and Wire Transfer. The account funding system is easy to use, and clearly documented in the FAQ. The company is based in London, England, and is regulated by the FSA. They are an established company and their payment methods are secure and reliable. Plus500 makes money via the spread, and the only time additional fees are charges is if a position is held overnight.
There are a number of bonuses for first time users. Novices that simply want to test the waters can take advantage of £20 free to use for trading with a real money account. More established traders that plan on depositing right away can earn a first depositors bonus of anything from £20 on a first deposit of £75, up to £6,000 on a first deposit of £50,000. To prevent fraud, the ability to withdraw this money is contingent upon the depositor earning TPoints, which are accrued by active trading.
Forex is not the only thing that can be traded via Plus500. The site also allows trading in a small range of stocks, and commodities.
In conclusion, Plus500 is a good starting broker. Their trading platform is standardised across PC, Mac and mobile, and it is easy to set up and use. Experienced traders may find that it is too simplistic (or they may love the bare-bones, but reliable, interface). Considering there is a free trial, I believe that it is definitely worth taking the time to give it a look. Many novice traders may find that the peace of mind of working with a broker based in the UK and regulated by the Financial Services Authority is valuable, and enough to make them choose this particular broker over others that may be preferable to experienced brokers that want more flexibility and more options from their trading platform.
Plus500 will not be a one-stop-shop for sophisticated online forex traders, however the benefits of having a solid and stable mobile platform that works on a range of mobile devices could well outweigh the bad. The spread that they charge is competitive, and the free £20 with no deposit required makes it tempting for people to at least check out the service. In addition, the account limits are also decent – although traders on a budget may want to look for a micro account with another broker.
As always, those considering trying a new broker should practice due diligence before making a deposit. Things change rapidly in the world of online FX trading, and the best source of information is your fellow daytraders and online currency traders.
Areas of Activity
Plus 500; the major player in CFDs, basks through comprehensive regulation through Financial Services Authority in UK, which enables it to allow speculators in Europe and Asia trade under a regulated shade. You are each provided segregated bank accounts from where transactions occur, so that there is no chance of a breach in fair-play. Still, if you have complaints, you can always access through emails and expect fast response.