Plus500

What Is Plus500? 

Plus500  is the first broker to introduce a Bitcoin CFD in 2013. In addition, the company offers access to options trading in many markets. These are very similar to regular call and put options traded on exchanges, but they are not standardized. This means that the option premium can be adjusted according to your risk tolerance and strategy objectives.

The investment platform offers clients in more than 60 countries access to CFDs. For example, you can invest via CFDs in forex, stock indices, individual stocks, commodities, ETFs, options and cryptocurrencies.

The Plus500 brand is owned by Plus500UK Ltd. This is an Israeli project that appeared in 2008. It specializes in trading contracts for difference in asset prices of currency, stock, commodity and crypto markets. Its capitalization exceeds $1 billion.

Plus500 is a member of the London Stock Exchange. Its activities in the field of servicing traders are regulated by the British FCA. In 2012, the organization fined Plus500UK Ltd. for 200 thousand pounds sterling for failure to provide reports for 1.5 years.

Plus500UK Ltd. has two divisions:

• Plus500CY Ltd. Operates in Europe under license from CySEC.
• Plus500 AU Pty Ltd. Provides services in Australia, New Zealand, South Africa. The regulator is ASIC.

The broker does not indicate his address. But it is on the FCA website: 78 Cornhill, London, EC3V 3QQ UNITED KINGDOM.

Plus500 Key Facts 

Project Founders 

Plus500 is based in Israel. In 2008, a group of Techninon (Technological Institute in Haifa, Israel) graduates created a company that today is a very prominent player in the brokerage market. The group consisted of six people: Gal Haber, Alon Gonen, Omer Elazari, Elad Ben-Izhak, Shimon Sofer and Shlomi Weizmann.

The idea of ​​creating a brokerage company belongs to Haber and Gonen. It was they who invited four of their university friends to participate in the project. The youngest at that time was only 29 years old, and the oldest was 34 years old.

Alon Gonen was the only one who invested his money ($400,000) in the company. The remaining members of the group worked for free or received a symbolic reward.

In 2009, the broker developed and launched the first version of its WeTrader trading platform. It was based on Windows OS.

In 2010, a version of the platform was launched for Mac and Linux users.

In 2011, a version for iPad and iPhone appeared.

In 2012, a version for Android was launched.

In 2021, Plus500 named Professor Jacob Frenkel, former Chairman of JP MorganChase International and former governor of the Bank of Israel as its new Chairman. David Zruia is the Chief Executive Officer.

Is Plus500 Regulated? 

Plus500CY Ltd is authorized & regulated by CySEC (#250/14), the Cyprus Securities and Exchange Commission which is the financial market regulator of Cyprus. Plus500 also holds licenses from  the FCA (Financial Conduct of Authority) and ASIC (Australian Securities and Investments Commission). In addition, Plus500 is listed on the stock exchange and financial data is made public. Payment is always made within a few days. All client funds are held in segregated bank accounts in accordance with the Cyprus Securities and Exchange Commission (CySEC) regulations for client funds. 

Markets Available on Plus500

Plus500 offers over 2,000 trading instruments, besides FOREX-forex and CFDs, these are futures, commodities, stocks, cryptocurrencies, ETFs.

How to Register on Plus500?

To register, you need to go to the official website of the broker, then use the "Login" function, and then switch to the "Create an account" box. The amount of data to enter is limited, in particular:

Email. The broker regularly sends news about the launch of bonus programs, and loyal customers receive promotional codes;

Password. A strong password consisting of 8 characters is generated.
Implemented an option to quickly log into your personal account through the social networks Google+, Facebook and AppleID. According to Plus500 reviews, it turns out that when registering through a social network, you still have to enter additional data: to complete account verification.

How Does Plus500 Work? 

To open an account with Plus500, it is mandatory to complete the account creation process. As soon as the client makes a deposit of $100 or more, the order opening function will become available on the authoring platform.

The number of tools introduced for a beginner is limited, and an increase in profitability is possible if you use experts’ or your own forecasts. The category of the navigation menu "Tools" reflects the basic pages: the economic calendar – a source for moderate analytics; risk management – warning information; trader's guide – primitive teaching materials.

To ensure profitability in the market, an investor can participate in an affiliate program. The company provides clients with tools for marketing, and a fixed payment is made for each user attracted. It is recommended to use the demo account option as a tool for testing your own strategy for working with selected trading assets.

As mentioned above, plus500 is a CFD broker. For example, you can trade in securities and crypto by means of leverage. With CFDs you speculate on a falling price. The leverage cannot be chosen, each instrument has its own leverage which can be seen in the details of the instrument. For example, you can opt for a leverage of 1:30. When a stock increases in value by 1%, you will receive a 30% gain if you speculate that the stock will increase in value. The other way around, however, is that you can lose 30% if a share drops 1%. The benefit of  leverage is that you can make bigger profits than when you trade securities, but also that the chance of losing your assets is greater. For more information about leverage or trading CFDs, you can navigate to the Plus500 website.

With the investment platform you can invest in cryptocurrency using CFDs. This way you can invest with leverage. When you invest in crypto you do not need a separate exchange account. Because the chance of profit and loss is greater when you start trading with Plus500 due to the fluctuating price, many investors find it interesting to invest in crypto.

Plus500 provides a client terminal for trading in the form of a downloadable program, as well as in the form of a web terminal operating through an Internet browser. Both options allow you to submit the following types of applications:

• Limit entry order.
• Stop loss order.
• Stop limit order.
• Trailing stop.
• Buying and selling at market prices.

The downloadable version of the program runs under Windows and requires installation on the client's computer. The program is provided by the broker free of charge and provides quick and convenient access to trading operations for Plus500 clients. 

Another version of the program, Plus500 Web Terminal, works with almost all devices that have access to the Internet. It is supported and works through Internet Explorer, Mozilla Firefox, Safari, and Chrome browsers. The web terminal does not require separate installation procedures and runs in a browser without administrator rights. The terminal is also accessible from mobile devices including iPad and iPhone.

Trading Conditions

Leverage

The amount of leverage depends on the jurisdiction of the broker you have chosen. CySEC and FCA regulated European traders receive a maximum leverage of 1:30. ASIC and FSP will offer leverage up to 1:300 for Forex, 1:20 for stocks and indices, and 1:30 for cryptocurrencies.

Analysis options

Each broker offers different options for analysis. These options are useful, for example, to find out for yourself what the past is of what you want to invest in. You can draw your own conclusion from this whether it is an interesting investment option for you.

A broker that offers some form of education gives investors the opportunity to broaden their knowledge through courses, training or webinars, for example. Plus500 does not offer a very wide range of options, but it does offer some options. For example, the Plus500 video guide can help you with topics such as slippage (the difference between the signaled entry and exit of a trade). Plus500 also offers an eBook in which more can be learned about the basics of trading.

Technical analysis

Technical analysis options make it easy for you as a self-investor to take a look at graphs and historical results of the relevant investment option. Self-investors can perform various analyzes via the Plus500 platform. These capabilities are offered in the form of indicators (such as trading volume indicators), other chart styles and types, analytical drawing tools, and smart checks. In addition, on the Plus500 platform it is possible to use candlesticks to get an easier overview of turning points in graphs of investment options

Stop loss

With a stop loss order, the broker gives you the opportunity to indicate a point at which you 'take your loss'. When this point is reached, your order will be sold automatically. This point can be set for yourself, if there is a feeling that a lot of money will be lost if the investment continues in this way. By setting this stop loss order, a lot of loss can be prevented.

Minimum deposit

At the time of writing this Plus500 review, the minimum deposit was €100. This is similar to other CFD brokers. Please note: this applies to deposits via IDEAL, Paypal and by credit card. Would you rather make the transfer through your bank? Then keep in mind that the minimum deposit is €500.

Plus 500 fees

Of course, Plus 500 has to pay its employees and therefore they have to charge for something. As a result, you pay for spreads. This is the difference between the buy and sell price. If the price of a share is €100, but you buy the share for €105, Plus500 makes a profit of €5.

You also pay an overnight premium. This is a premium if you want to hold a certain position for more than a day with a CFD on a trading product. There are also costs involved if you do not use the account for more than 3 months. You also pay a fee if you want to exchange euros for dollars or another currency. The exchange Plus500 costs are 0.7%

Payout Duration Payment

Requests are processed within 1-3 business days. After your withdrawal has been processed, it usually takes 1 or 2 days for the money to appear in your account. Relatively speaking, this represents a fast payout.

Demo-account

You can try the Plus500 broker completely risk-free with a free demo account.

Forex Training with Plus500

Trading education is not included in Plus500 services. The broker introduces its clients only to the basics of CFD trading and the most popular terms, which are outlined in several videos.

In addition, the broker provides for review the legally required “Key Information Document” (KID). It outlines the features of each instrument available and the risks associated with trading it.

Support/Customer Service

Plus500 customer service  gives you the opportunity to contact an employee 24/7 in the form of an e-mail or online chat. In addition to this and the social media form of contact, this broker also offers an FAQ page. On this page you can find answers to the most frequently asked statements. If you cannot find an answer to your question here, you can always fall back on an email, online chat or social media. All these support features are made available by Plus500 in a wide range of languages. 

Plus500 Pros & Cons 

Pros  

• Licensed by reputable regulators.
• A large number of trading assets.
• The broker has a simple, easy-to-use trading platform, with a very well-designed mobile app. 
• The account opening process is smooth and you can trade without commission costs and pay only low fees.
• Plus500 has one of the top-rated trading apps in the iTunes and Google Play stores. The WebTrader app has all the bells and whistles of the standard platform.
• A free demo account can be used forever if you have a hard time adjusting to the real thing.

Cons 

• Some standard research tools, such as recommendations and fundamental data, are not available. 
• The costs for CFDs are average. In addition, you must put at least €100 on your account if you want to start trading CFDs, but this is also the case with many other brokers. 
• The ban on the use of scalping and trading automation.

FAQ – Frequently Asked Questions

What is Plus500?
This is an online broker that provides access to CFD trading.

Is Plus500 scam?
No! Plus 500  is not a scam. The broker is under strict supervision by the FCA. In addition, the website of the organization is reliable. You can therefore deposit money into an account without any problems.

How to trade on Plus500?
To perform trading operations, the company's clients are provided with the WeTrader online platform. It can be used on a PC, tablet or smartphone.

How long does it take for Plus 500 to be paid out?
Our Plus500 review shows that the company processes payments on average within 1-3 days.

Can I trade cryptocurrencies at Plus 500?
It is possible to trade CFDs, Forex, Commodities, ETFs, index funds and you can buy shares in Etoro. In addition, since July 2021 it is possible to trade in cryptocurrencies again.

How to withdraw money from Plus500?
To do this, you need to apply for the withdrawal of funds from the trading account. This can be done from the Fund Management section in the trader's personal account.

How to delete a Plus500 account?
To close a trading account, you must send an application to the broker, to which you must attach a copy of the account holder's document.

How to open a PAMM account with Plus500?
There are no PAMM accounts in the brokerage company.

What is the minimum deposit on Plus500?
The minimum deposit amount to start trading is €100.

Summary

Plus500 Broker is a trusted CFD provider with a wide range of instruments and an OTC business model. Plus500 is considered a safe broker for trading and investing due to heavy regulation by the FCA and other global regulators. Plus500 is a fairly low risk broker. 

The broker's spreads are competitive, which reduces the costs for traders when performing trading operations, and its WeTrader platform is fully functional. 

In terms of service quality, Plus500 can meet all the needs of different types of traders. However, the Plus500 platform is only suitable for experienced traders. Although Plus500 is a very user-friendly platform, CFDs are complex financial products, so this platform is not suitable for beginners or inexperienced traders.