Plus500 is one of the best platforms out there for proprietary trading that offers an impressive range of features and financial products.
The platform is available in both mobile and web formats, so it’s convenient to use for active traders.
I recommend this broker platform for contract-for-difference (CFD) traders only, and not for those who are looking for a quick profit by dipping in and out of the market or retail investors.
It’s also not suitable for passive traders, as it has inactivity fees.
The platform is user-friendly and has an educational demo feature that new users can use. Read on and find out more if this is the right provider for you.
81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
Table of Contents
Introduction to Plus500
Plus500 was established in 2008 in Israel by alumni of the Israel Institute of Technology – Gal Haber, Alon Gonen, Elad Ben-Izhak, Shlomi Weizmann, Omer Elazari, and Shimon Sofer.
The company reached new heights when it was listed on the London Stock Exchange in 2018, making it an FTSE 250 company.
It’s one of the most popular CFD broker platforms in the UK, with around 200,000 active customers and $800 billion or £629.6 billion traded value since inception.
It has also reported a growing profit to $453.8 million or £372.6 million thanks to the boom of pandemic traders at the end of 2022.
How to Create and Close an Account at Plus500
One of the strengths of Plus500 is how easy it is for you to sign up. The registration process is swift.
You can open either a regular account with a minimum deposit of only £100 via debit/credit cards or electronic wallets. But it also caters to account opening via bank transfer, with a slightly higher minimum deposit of £500.
Before you fill in the personal details section, you need to prepare several documents. The first document is your proof of identity, such as a driving license or passport. You should also provide proof of residency, such as a bank statement or utility bill.
The registration process is seamless and completely digital, and most accounts will be verified in a day. If you have any issues, you can always contact their very helpful customer support.
One of the downsides to Plus500 is the fact that you have to pay an inactivity fee. So it might make sense that passive traders might want to close an account when it’s no longer feasible for them to keep it.
To close an account, go to https://www.plus500.com/Help/ContactUs; then enter the name of your account and your email address.
Select other issues and fill in the text “account closure request”.
After writing down your reason for closure, send and confirm.
Product Range of Plus500
The platform offers a diverse range of products such as stock index, ETF, stock, forex, and commodities.
Below are the asset classes available in Plus500.
- Commodity CFDs: There are 20+ commodities available such as precious metals, oil and gas, and agricultural products.
- EFTs CFDs: There are over 90 EFTs including VXX Volatility. You can also set the stop order position and limit your losses.
- Forex CFDs: You can trade over 60 currency pairs in Plus500 including EUR/GBP and GBP/USD. You can also set the stop order position and limit your losses.
- Indices CFDs: It provides access to the most well-known indices such as USA 500 and France 40.
- Options CFDs: You can put options on Germany 40, Oil, and Meta.
- Shares CFDs: You can access markets in USA, Germany, and UK with tools that can aid you to maximise profit and minimise loss.
- Cryptocurrency CFDs: Due to regulation in the UK, Plus500 has stopped services for trading cryptocurrency for retail users, but professional accounts can still access it.
Plus500 also has a free lifetime demo feature that you can use before you dive in with real money so that you can get used to the system and learn more about Plus500.
It’s a handy little feature that you can use while waiting for your account to be verified and start trading after registration.
Features of the Plus500 Trading Platform
When I visited the platform, I can safely say that it’s very user-friendly and optimised for multiple devices.
So you can easily check your account when you’re out and about with your mobile.
Below are some of the features that I decided to highlight from the platform.
- Search functions: You can easily find any asset by typing into the search bar.
- Order placement: You can put five order types at Plus500, which are market, limit, stop, trailing stop, and guaranteed stop.
- Charting: You can choose from 100 technical indicators with time frames to analyse your portfolio.
- Alerts and notifications: You can receive notifications via email, SMS, or push notifications on your mobile.
- Portfolio and fee reports: Aside from your portfolio composition, there will be a comprehensive report on your fees and payments. I think this feature makes it easier for traders to decide whether or not this platform is worth the effort.
- Plus500 research: A market analysis and charting tool, but it doesn’t have any newsletter. Compared to other platforms, this feature is not very competitive or informative.
- Plus500 Insights: A newly developed tool that provides an up-to-date analysis of trades in real time. A very nice feature that’s helpful and exclusive to its users.
- Plus500 education: This is the demo account that you can use for free, and you can also enjoy the Trading Academy filled with eBooks, FAQs, and instructional videos. It’s perfect for new users and serves as a bridging knowledge to trading in Plus500.
Is it Expensive?
Before you open an account at any trading platform, it’s important to find out if it has any hidden fees to watch out for.
The fees in Plus500 can be classified into two: trading-related fees and non-trading-related fees. I’ll explain below the fees incurred – which can be both unexpected and complicated.
These are the trading-related fees for Plus500:
- Spread fee: Instead of the usual transaction fee, Plus500 makes its money based on the spread, or the difference between the prices for buying and selling. You can find out more by checking out the Plus500 website for detailed information on each instrument spread fee.
- Overnight funding fee: The fee will be added or subtracted when you hold a position for a certain amount of time.
- Guaranteed stop order fee: This is a fee you’ll incur when you choose to close at a specific trading rate. The fee will be based on the amount of spread.
These are the non-trading related fees for Plus500:
- Inactivity fee: This is the reason I recommend this platform for active traders only. Once you hit the three-month mark of being inactive, you’ll be charged a $10 fee per month. That’s why if you tend to buy and hold, you’d be better off looking for providers with no inactivity fee.
- Deposit and withdrawal fee: The platform doesn’t charge deposit or withdrawal, as long as you stick with the quota, which is 5x withdrawal per month. For additional withdrawals/deposits, you’ll be charged £10 per transaction.
- Currency conversion fee: The platform charges a 0.7% conversion fee if you trade on instruments in a different currency than when you first set up your Plus500 account.
Savings Account & Withdrawal
Similar to its sign-up process, you can easily withdraw money from your Plus500 savings account.
First of all, you need to click the menu symbol that you can find on the top left of your screen. Then click withdraw and choose your method of withdrawal. Decide the amount and write it down on the designated field and then finish by selecting “open a withdrawal”.
According to the site, you can get your money in 1 to 3 business days. This is comparatively faster than other brokers, which is why it’s scored high in online reviews from users.
Safety and Security
In terms of safety and security, there’s no doubt that Plus500 is top tier. The site itself is secured by SSL, which protects against hackers.
If you’re a resident of the UK, you’ll also be protected by the Financial Services Compensation Scheme which will provide a maximum of £85,000 compensation should the company become insolvent.
Since it’s already listed on the London Stock Exchange, it’s also regulated by financial authorities such as:
- The UK’s Financial Conduct Authority (FCA licence number #509909)
- Australian Securities and Investments Commission
- Cyprus Securities and Exchange Commission
- Monetary Authority of Singapore
- Financial Markets Authority of New Zealand
- Financial Sector Conduct Authority of South Africa
- Seychelles Financial Services Authority
- Israel Securities Authority
- Estonian Financial Supervision and Resolution Authority
- Dubai Financial Services Authority
Customer Support
In my opinion – as well as many others who have tried this provider – Plus500 has excellent customer service. You can contact the team via online chat, email, telephone, or Whatsapp.
I tried to contact its support team via the online chat system, and customer support responded immediately within minutes of my query. Not only are they quick, but they also answered all my questions appropriately as well.
The system is available 24/7, and you can easily spot it on the bottom right corner of the page. Due to its responsiveness and very helpful support team, I think its customer service is one of the platform’s strengths.
Who Should Use Plus500?
With numerous product ranges, Plus500 is suitable for active traders who are looking for a more efficient and streamlined interface.
The trading platform has a pricing scheme that’s competitive compared to others and wonderful customer support.
On the other hand, the simple design may throw off some advanced or experienced traders who are looking for more comprehensive functions and information.
Alternatives to Plus500
Plus500 may not be suitable for all traders, so here are some alternatives that you might want to consider:
- eToro: For trading stock and ETFs, there are also zero commissions and low minimum amounts for investments. This means a low barrier to entry for beginner traders.
- BingX: If you’re more into cryptocurrencies, this FinTech company offers services on both spot and derivatives trading.
- RoboMarkets: A European brokerage offering a wide selection of US stocks and ETFs. It’s perfect for a more passive trader because unlike Plus500 it doesn’t have an inactivity fee.
Pros & Cons
Overall, the platform offers plenty of helpful features but still has its own shortcomings in terms of content and fees.
Here are the pros and cons of Plus500:
Pros
- Helpful customer support and service are available 24/7
- Easy sign-up
- Simple and user-friendly interface
- Highly trusted
- Comparatively faster withdrawal
Cons
- Inactivity fee and average CFD fees
- Limited content on Research Plus500, especially the newsletter
- Limited features as it doesn’t offer MetaTrader 4 for experienced traders
Plus500 Review – Final Thoughts
Plus500 is a worthy platform for active CFD traders with great customer support and a wide range of investment products.
It also offers faster withdrawal and is highly trusted and regulated since it’s a publicly traded company.
Its research and newsletter segment might be lacking, but it provides a great educational feature for new users with a streamlined and optimised interface.
If you’re a passive trader that’s used to the buy-and-hold strategy, I don’t recommend you to use this platform because it has inactivity fees.
Hopefully, with this review, you can decide whether or not this platform is for you.
81% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money.
FAQs
Is Plus500 good for UK?
Plus500 is a well-known online trading platform and is commonly used in the UK. It offers a user-friendly interface, a wide range of financial instruments, and competitive pricing.
How long does Plus500 withdrawal take UK?
Withdrawals from Plus500 to a bank account in the UK generally take around 5-7 business days from the authorisation of the withdrawal. However, it’s important to note that withdrawals to a bank account can occasionally experience additional delays depending on the banking institution and jurisdiction involved.