Plus500CY is the issuer and seller of the financial products described or available on this website.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
Due to regulatory obligations, bonuses are not applicable to Plus500CY Retail customers.
Plus500 is mainly compensated for its services through the Bid/Ask spread.Check our Fees & Charges.
The information on this website is general in nature. Please consider the information in light of your objectives, financial situation and needs.
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Plus500 Ltd operates through the following subsidiaries:
Plus500CY Ltd is authorised and regulated by the Cyprus Securities and Exchange Commission (Licence No.250/14). Cryptocurrency CFDs are not available to UK Retail Clients. Office Address: Plus500CY Ltd, 169-171 Arch. Makarios III Avenue, Cedars Oasis Tower, Floor 1, 3027, Limassol, Cyprus.
Plus500UK Ltd is authorised and regulated by the Financial Conduct Authority (FRN509909). Cryptocurrency CFDs are not available to Retail Clients.
Plus500AU Pty Ltd holds AFSL#417727 issued by ASIC, FSP No.486026 issued by the FMA in New Zealand and Authorised Financial Services Provider#47546 issued by the FSCA in South Africa.
Plus500SEY Ltd is authorised and regulated by the Seychelles Financial Services Authority (LicenceNo.SD039).
Plus500EE AS is authorised and regulated by the Estonian Financial Supervision and Resolution Authority (Licence No.4.1-1/18).
Plus500SG Pte Ltd (UEN 201422211Z) holds a capital markets services license from the Monetary Authority of Singapore for dealing in capital markets products (License No. CMS100648).
Plus500AE Ltd is authorised and regulated by the Dubai Financial Services Authority (F005651).
The S&P 500, Dow Jones Industrial Average and S&P/ASX 200 Indices are products of S&P Dow Jones Indices LLC (“SPDJI”) and/or its licensors. S&P 500®, USA 500, USA 30 are trademarks of Standard & Poor’s Financial Services LLC (“S&P”); Dow Jones® is a trademark of Dow Jones Trademark Holdings LLC (“Dow Jones”). ASX® is a trademark of the Australian Securities Exchange. Plus500 products are not sponsored, endorsed, sold or promoted by SPDJI, Dow Jones, ASX or their affiliates and none makes any representation about investing in such product(s) or has any liability for any errors, omissions, or interruptions of the indices.
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FAQs
You can go long or short with CFDs
If you think the asset's price will go up, you'll 'buy' (go long) and if you think the price will fall, you'll 'sell' (go short). The outcome of your prediction will determine whether you make a profit or incur a loss.
What happens when you buy or sell a CFD? ›
But, unlike shares, when you trade a CFD you don't own the underlying asset. Instead, you speculate on its price movement. You agree to pay the difference in price of the underlying asset between when the contract opens and closes: if you 'buy' a CFD (a 'long trade'), you expect the value of the asset to increase.
Why trade crypto CFDs? ›
Trading cryptocurrencies through CFDs enables you to: Make money in rising or falling markets. Trade using leverage* Use orders, trade alerts, and stop losses to protect your position.
When should I sell CFD? ›
CFD traders can bet on the price moving up or down. Traders who expect an upward movement in price will buy the CFD. Those who see the opposite downward movement will sell an opening position.
Are CFDs illegal in the US? ›
CFDs are illegal in the US because they are an over-the-counter (OTC) trading product. OTC trading products aren't listed on regulated exchanges like the New York Stock Exchange (NYSE), bypassing US regulatory bodies. However, US traders have alternatives such as forex, options and stocks.
Why do most CFD traders lose money? ›
Over-leveraging. CFDs are highly leveraged financial derivatives, making them incredibly risky. While leverage allows CFD traders to control larger positions with a smaller amount of capital, it can very quickly escalate losses when the market moves against you.
What are the disadvantages of CFD? ›
Disadvantages of the use of CFD
Some of the main disadvantages of the use of Computational Fluid Dynamics (CFD) are: Complexity. CFD simulations can be complex to set up and run, requiring specialized software and expertise in fluid dynamics and numerical methods. Computational resources.
Why is CFD trading so hard? ›
While a popular and often rewarding market, people may consider CFD trading difficult for valid reasons. It's fraught with volatility and can lead to substantial losses if not properly managed. It also requires a combination of financial knowledge, technical skills, risk tolerance, and a robust trading psychology.
How long should you hold CFDs? ›
CFDs don't have an expiry date so they can be held indefinitely, regardless of whether you have opened a long or short position. However, there are spreads and overnight fees attached to CFD trades, so holding a CFD for long periods can incur significant additional costs.
What is the problem with CFDs? ›
There are three problems with the conventional CfD: produce-and-forget incentives, distortion on intraday and balancing markets, and the fact that volume risks remain unhedged.
I've been a CFD broker myself and have seen clients that make money on a regular basis, and it's all down to being professional and disciplined with risk management. Our guide on how to trade CFDs explains some basic strategies that can help you reduce your risk and potentially become more profitable.
What is an example of a CFD in crypto? ›
Trading Crypto CFDs allows traders to forecast whether the digital currency price will increase or decrease. For example, the price of BTC/USD is $1,000/1,050, and you buy 1 CFD of Bitcoin for $1,050, your CFD is worth 1 Bitcoin, and the position size is $1,050.
Do you buy or sell CFD? ›
When trading CFDs, you're predicting whether an asset's price will rise or fall. If you think the asset's price will go up, you'll 'buy' (go long) and if you think the price will fall, you'll 'sell' (go short). The outcome of your prediction will determine whether you make a profit or incur a loss.
Is CFD trading gambling? ›
Research and analysis are probably the two key distinctions between CFD trading and gambling. Whereas CFD trading is heavily based on extensive monitoring of markets and understanding data, gambling is not.
Can you lose more money than you invest in CFD? ›
78% of retail investor accounts lose money when trading CFD with this provider. You should consider whether you can afford to take the high risk of losing your money. No. As a retail client, you can never lose more funds than you initially deposited into your Trading 212 account.
Is CFD trading just gambling? ›
Research and analysis are probably the two key distinctions between CFD trading and gambling. Whereas CFD trading is heavily based on extensive monitoring of markets and understanding data, gambling is not.
What is the difference between buying shares and CFD? ›
The main difference between CFDs and investing is that CFDs are leveraged, while investing in shares is non-leveraged. We offer CFD trading on shares, indices, commodities, forex, options, futures and more. Share dealing is available for investing in shares and ETFs. View our markets below.
What happens to CFD if stock price goes up? ›
If the trader who has purchased a CFD sees the asset's price increase, they will offer their holding for sale. The net difference between the purchase price and the sale price is determined. The net difference representing the gain from the trades is settled through the investor's brokerage account.
What is the difference between investing and CFD trading? ›
In traditional investment, investors buy the underlying assets outright and become the legal owners of them, giving them the right to dividends, voting rights, or interest payments. CFDs, in contrast, offer exposure to the price swings of the underlying asset without entailing ownership of it.