5 “Best” CFD Trading Platforms 2023: The Only Guide You Need

Generally, the CFD brokers in the UK listed on our pages provide demo accounts. So traders can take their time, read the detailed review, and try out the platforms themselves before making a choice. Once you have all the information, you can then decide on the best CFD broker in the UK for you. Some CFD brokers, like eToro, don’t charge traders much in commission.

If you’re trading CFDs over shares you’re also facing greater risks. This means using borrowed funds to amplify both profits and losses. It also means that you can lose more than your initial investment, unlike when you purchase shares directly. While CFDs and stocks are both used by traders, they’re very different investment products. Some of the most common markets you can access with CFDs are shares, indices, forex, bonds, cryptocurrencies and commodities like oil or gold.

What Is CFD Trading?

One of the factors that any UK trader must take into account is access to different instruments because it will offer new trading opportunities. On this note, XTB offers a wide variety of markets, especially when it comes to ETFs, with 138 Exchange Traded Funds available. Through the use of CFDs, UK traders have market access to different instruments, although they don’t own the underlying asset they can participate in the movement of the instrument. Of course, there is a risk warning because the position can result in a win or a loss. Most traders with Pepperstone are likely to use one of the MetaTrader trading platforms. The tight spreads offered by Pepperstone for a large range of asset classes (+700 CFD instruments) are a result of the deep price competition among different liquidity providers.

However, XTB has stopped promoting pro accounts, reserving them mostly for legacy clients. Fortunately, there are still some platforms that accept US clients. But on the whole, for US citizens it does mean more shopping around is required.

There are no restrictions on the types of assets you can use for copy trading. This is because it is essentially copying another trader, so you aren’t limiting what you can do. To do so, you must use the available assets on the copy trading platforms of your choice. However, when it comes to the most user-friendly, accurate, and safe method to do this, eToro has proven to be the most appropriate option. As part of the platform’s features, you will find educational tools to improve your currency trading skills. The site offers a variety of webinars and seminars that are conducted regularly and cover various topics in extensive detail.

Best CFD Trading Platforms

For this reason, the FCA has banned these types of incentives, as they persuade investors to place positions that might not be in their best interest. Some platforms are not based in the UK but still advertise their services to British traders. So, when comparing the best CFD brokers in the UK, remember that a low margin requires smaller deposits.

Ultimately, this allows you to try the platform out before making a financial commitment. In addition to the trading experience itself, the best CFD platforms should make the process of depositing and withdrawing funds a simple one. The best online CFD trading platforms ensure that you have multiple order types to choose from. When we went through the research process ourselves, we found that eToro offers the perfect combination between zero commissions and tight spreads. As such, make sure you check what assets your can trade before opening an account with a CFD trading platform. You will not need to pay any commission if the asset in question is priced in the same currency as your Trading 212 account.

Make sure you fully understand leveraged trading before you invest. In addition, UK traders can take advantage of negative balance protection and the knowledge that all client funds are held in separate segregated accounts. In addition to the choice of platforms, AvaTrade stand out for their fixed spreads. This feature is an advantage over most of the competition and can give you an insight into the spread cost before you place your trade, allowing for a more precise trading strategy.

Pepperstone CFD Trading Offer

Whilst in an ideal world you would always be at your desktop making your trades, sometimes this will not be possible. Ideally, your CFD platform is going to be easy to use and have a quick trade execution time. If you can get access to quality daily market research and analysis, then it can be a crucial edge over the rest of the market when CFD trading. Many trading strategies benefit from up-to-date daily market analysis and investment education.

The firm offers CFDs and multipliers, alongside proprietary synthetic products which can’t be found elsewhere. Deriv provides both its own in-house trading software and the hugely popular MetaTrader 5. Trade CFDs on popular markets, including the broker’s exclusive synthetic indices which are available 24/7.

The First Thing To Do Is To Use A CFD Demo Account

Having a quality trading app that lets you manage and exit your trade if need be is a priority. Being able to manage your trades on your mobile phone with an app is crucial. Some of the brokers in the UK will provide you their analysis and education materials. https://g-markets.net/helpful-articles/forex-trading-vs-stock-trading/ Even if you are ready to live and start risking real money you will first want to test out the platform in demo mode to make sure you are comfortable with it. These include; MetaTrader 4, MetaTrader 5, and their own platform called LiberTex.

• Both of these platforms, MetaTrader 4 and 5, are the most popular trading interfaces around.
• Like other CFD brokers, the margin interest and leverage afforded differ based upon the financial instrument and the market.
• Overtrading is a frequent issue for many traders, particularly beginners.
• As well as their unique trading features, the BDSwiss trading platform also supports as many as 20 languages so you are fully supported around the world.

Furthermore, since less money is needed for each trade, it is possible to diversify your trades without putting more money in your account. With CFDs, you are not the asset owner, as the share certificates are held digitally in an account where the shares can be traded, so you do not need to intervene to buy and sell them. Therefore, not all brokerage firms manage to earn the revenue to pay their overheads and may go under. This can be dangerous if unregulated, as client money may be at risk. Crucially, regulated CFD brokers in the UK will not provide any financial incentives for joining, since these are banned by the FCA. If you plan to research your trades on the same CFD platform where you ultimately trade, you’ll want to ensure it has the best research tools available.

Types of CFD brokers

CMC Markets offers its industry-leading Next Generation trading platform which has the best trading conditions for share and CFD trading. One of the main reasons this is the case is due to some of the lowest commissions in the industry. The other is the sheer number of share CFDs that CMC Markets gives UK traders access to.

CFDs are considered a derivative in the U.S. and are therefore subject to the licensing requirements of the U.S. Residents can trade CFDs using most forex brokers’ trading platforms – as long as the broker accepts clients from your country of residence. A contract for difference, or CFD, is a tradeable instrument that tracks the price of an underlying security or asset. CFDs are available for a wide variety of asset types and classes, such as forex, shares, and cryptocurrencies. This popular – and risky – form of derivative trading takes place off-exchange or in the over-the-counter (OTC) markets with online brokers.

IG Markets – Best Australian CFD Broker for Multiple Trading Platforms

With that said, IG also offers a demo account feature that does not require a deposit. Supported payment methods include debit/credit cards and bank transfers. This is a newbie-friendly web trading platform that was designed by Skilling itself. If you like the sound of Skilling but are concerned with safety – this CFD platform is regulated by CySEC and the FSA.