CFD (Contract for Difference) trading is a popular way to speculate on financial markets without owning the underlying asset. Two of the biggest names in the UK CFD trading space are Plus500 and IG, but which platform is best suited for your needs? In this in-depth comparison, we’ll look at their features, fees, security, usability, and more.
What to Look for in a CFD Trading Platform
Before comparing Plus500 and IG, here are key factors to consider when choosing a CFD trading platform:
Regulation & Security – FCA regulation ensures investor protection.
Trading Fees – Low spreads and minimal commissions improve profitability.
Range of Markets – More assets mean greater trading opportunities.
Leverage & Margin – Essential for maximising potential returns.
Platform Usability – A user-friendly interface is key for seamless trading.
Risk Management Tools – Negative balance protection and stop-loss features help manage risk.
Customer Support – Reliable service is crucial in fast-moving markets.
Now, let’s compare how Plus500 and IG stack up.
1. Platform Overview
Plus500 is a well-known CFD broker offering commission-free trading with competitive spreads. It provides a simple, easy-to-use trading platform that appeals to beginners and intermediate traders.
Pros:
No commissions on CFD trades
User-friendly platform
Competitive spreads
Negative balance protection
FCA-regulated
Cons:
Limited educational resources
No access to traditional share dealing
IG is one of the most established brokers in the UK, offering a broad range of markets. It provides CFD trading alongside share dealing, forex, spread betting, and other instruments.
Pros:
Access to over 17,000 markets
Advanced trading tools and charting features
Educational resources for traders
FCA-regulated with high investor protection
Multiple platforms, including MetaTrader 4
Cons:
Higher trading costs compared to Plus500
Minimum deposit requirements
2. Ease of Use
Plus500 is designed with simplicity in mind. Its web-based and mobile platforms offer a clean, intuitive interface that makes it easy to place trades, manage positions, and monitor the markets. Beginners will appreciate the straightforward approach to trading.
IG, on the other hand, provides a more sophisticated trading experience. It offers a proprietary platform, MetaTrader 4, and ProRealTime for advanced charting and automation. While this makes IG ideal for experienced traders, beginners might find it slightly overwhelming at first.
For ease of use, Plus500 takes the lead due to its simple and intuitive platform.
3. Trading Fees & Costs
Plus500 operates on a spread-only model, meaning there are no commissions on trades. While its spreads are competitive, overnight funding fees and inactivity fees apply if you don’t trade for three months.
IG offers both spread and commission-based trading. It has tighter spreads for forex and indices but charges commissions on shares. Additionally, IG has overnight financing costs and inactivity fees for accounts that remain idle for more than 24 months.
If you’re looking for a low-cost CFD broker, Plus500 is generally cheaper, particularly for casual traders.
4. Market Availability
Plus500 offers CFDs on stocks, forex, indices, cryptocurrencies, commodities, and ETFs. While this is a solid selection, it doesn’t match IG’s market range.
IG provides access to over 17,000 markets, including CFDs on shares, forex, commodities, options, interest rates, and bonds. If you’re looking for diverse trading opportunities, IG is the better choice.
5. Leverage & Margin
Both Plus500 and IG offer leverage on CFD trades, following FCA regulations. The maximum leverage for retail clients is typically 1:30 on forex, 1:5 on stocks, and 1:20 on indices.
Professional traders can access higher leverage, but both platforms require eligibility checks.
6. Risk Management Tools
Risk management is essential in CFD trading due to market volatility. Plus500 provides negative balance protection, stop-loss orders, and trailing stops to help traders manage risk effectively.
IG offers similar features but also includes guaranteed stop-loss orders (GSLOs), which ensure trades close at the requested price, even in volatile conditions. While GSLOs come with an additional cost, they provide extra security for risk-averse traders.
For better risk management tools, IG is the winner.
7. Educational Resources
Plus500 provides a basic knowledge centre but lacks the depth of training materials found on other platforms.
IG, in contrast, has one of the best educational offerings in the industry. It includes webinars, trading courses, and an in-depth trading academy. New traders will find IG’s resources invaluable for building their skills.
If you want to learn trading from scratch, IG is the better platform.
8. Customer Support
Both brokers offer 24/7 customer support, but their approaches differ.
Plus500 provides support via live chat, email, and WhatsApp, ensuring accessibility for traders who need quick responses.
IG offers phone support, live chat, and email, but response times can vary. However, IG has a strong reputation for professional support, particularly for serious traders.
For faster customer support, Plus500 has the edge, but IG is better for in-depth assistance.
Which is Best for CFD Trading?
Best for Beginners: Plus500 – Simple interface and commission-free trading.
Best for Market Variety: IG – Over 17,000 markets available.
Best for Low-Cost Trading: Plus500 – Lower spreads and no commissions.
Best for Advanced Traders: IG – More trading tools, platforms, and professional-grade features.
Best for Risk Management: IG – Guaranteed stop-loss orders and advanced risk tools.
Best for Education: IG – Extensive trading courses and webinars.
FAQs
1. Is Plus500 better than IG for beginners?
Yes, Plus500 is easier to use and has lower fees, making it ideal for beginners.
2. Does Plus500 or IG have lower trading costs?
Plus500 generally has lower costs due to its spread-only model, while IG charges commissions on some assets.
3. Can I trade forex on both platforms?
Yes, both platforms offer forex trading with leverage up to 1:30 for retail clients.
4. Which platform has better risk management tools?
IG offers guaranteed stop-loss orders, which Plus500 does not, making it better for risk management.
5. Is my money safe with Plus500 and IG?
Yes, both platforms are FCA-regulated and offer investor protection.
Final Thoughts
Choosing between Plus500 and IG depends on your trading style. If you want a simple, low-cost platform, Plus500 is a great choice. If you need advanced tools, education, and market variety, IG is the better option.
No matter which platform you choose, always manage your risk and trade responsibly.
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