Choosing the right broker is essential for any trader, and IG and Plus500 are two of the most well-known brokers in the Forex and CFD trading industry. Both provide a variety of instruments, competitive pricing, and user-friendly platforms. However, the two brokers cater to different types of traders. IG is designed for those who seek advanced trading tools, professional features, and extensive market access, while Plus500 focuses on offering a more straightforward, easy-to-navigate experience for beginner and intermediate traders. This comprehensive comparison will break down the key aspects of IG vs Plus500 to help you make an informed choice.
Regulation and Trustworthiness
When evaluating brokers, regulation and trustworthiness are critical factors, ensuring that your funds and data are secure.
IG
IG is one of the most well-regulated brokers in the financial market, with licenses from several top-tier regulators such as the Financial Conduct Authority (FCA) in the UK, the Australian Securities and Investments Commission (ASIC), and the Commodity Futures Trading Commission (CFTC) in the US. This global regulatory coverage highlights IG’s commitment to providing a transparent and secure trading environment. As one of the industry’s oldest brokers, founded in 1974, IG has a long-standing reputation for reliability and protecting client funds by holding them in segregated accounts.
Plus500
Plus500 is also a well-regulated broker, holding licenses from the Financial Conduct Authority (FCA) in the UK, the Cyprus Securities and Exchange Commission (CySEC), and the Australian Securities and Investments Commission (ASIC). Plus500 has built a strong reputation for providing a secure and regulated trading environment. The broker is publicly listed on the London Stock Exchange (LSE), further boosting its credibility in the financial markets.
| Feature | IG | Plus500 |
|---|---|---|
| Regulation | FCA, ASIC, CFTC | FCA, CySEC, ASIC |
| Founded Year | 1974 | 2008 |
| Listed on Stock Exchange | No | Yes (LSE) |
| Broad Regulatory Coverage | Yes (Global) | Yes (Global) |
Verdict: Regulation and Trustworthiness
Both IG and Plus500 are highly trustworthy, regulated by top-tier authorities. IG’s presence in the US market and broader global coverage give it an edge in terms of regulatory oversight. However, Plus500‘s public listing on the LSE also strengthens its credibility. In terms of trust and regulation, both brokers offer high levels of security and transparency for traders.
Trading Platforms
The type of trading platform a broker offers can significantly impact your trading experience.
IG
IG offers a range of platforms designed to meet the needs of both beginner and advanced traders. These include its proprietary platform, MetaTrader 4 (MT4), and the L2 Dealer for Direct Market Access (DMA). IG’s proprietary platform is known for its intuitive interface and advanced features, such as robust charting tools, customizable indicators, and seamless TradingView integration for enhanced technical analysis. Additionally, the IG platform is available on desktop, web, and mobile, making it accessible no matter where you are. Professional traders will appreciate the L2 Dealer platform, which offers DMA for more control over trade execution.
Plus500
Plus500 operates exclusively on its proprietary platform, which is designed to be user-friendly and straightforward, making it ideal for beginner and intermediate traders. The platform offers real-time market data, charting tools, and risk management features such as guaranteed stop-loss orders. While Plus500’s platform lacks the advanced features of MetaTrader 4 or direct market access, it is easy to navigate and available on desktop, web, and mobile devices.
| Feature | IG | Plus500 |
|---|---|---|
| Platforms | MT4, L2 Dealer, TradingView, Proprietary | Proprietary |
| Mobile Trading | Yes | Yes |
| Direct Market Access (DMA) | Yes | No |
| Guaranteed Stop Loss | No | Yes |
Verdict: Trading Platforms
IG stands out by offering more platform variety and professional-grade tools, including MetaTrader 4 and DMA via L2 Dealer. This makes it a top choice for advanced traders. Meanwhile, Plus500‘s platform is more straightforward and beginner-friendly, catering to those who prioritize ease of use over advanced features. Traders looking for advanced charting, execution control, and platform options will prefer IG, while those who prefer a simple trading experience might opt for Plus500.
Trading Instruments
The range of markets and instruments available is another critical factor when choosing a broker.
IG
IG offers one of the most extensive selections of trading instruments in the industry, with access to over 17,000 markets. These include Forex, indices, commodities, stocks, ETFs, options, bonds, and cryptocurrencies. IG’s broad asset range allows traders to diversify their portfolios across various asset classes. The broker is also known for its vast selection of CFDs on global stocks and indices.
Plus500
Plus500 offers access to over 2,000 trading instruments, including Forex, indices, commodities, cryptocurrencies, and shares via CFDs. While Plus500 provides a solid selection of instruments, it does not offer the same extensive range of markets as IG. However, Plus500 does provide a strong selection of CFDs on global stocks and popular cryptocurrencies, appealing to traders who focus on these markets.
| Trading Instruments | IG | Plus500 |
|---|---|---|
| Total Markets | 17,000+ | 2,000+ |
| Currency Pairs | 80+ | 50+ |
| Cryptocurrencies | Yes | Yes |
| Commodities | Yes | Yes |
Verdict: Trading Instruments
IG has a clear advantage in terms of market variety, offering a much broader selection of instruments, including Forex, commodities, and stocks, as well as options and bonds. Plus500 offers a strong selection of CFDs but is more limited in comparison. Traders looking to access a wide range of markets will prefer IG, while those focused on CFDs and cryptocurrencies may find Plus500 sufficient.
Spreads and Fees
Competitive spreads and low fees are essential for minimizing trading costs and maximizing profits.
IG
IG offers competitive spreads, particularly on major currency pairs in Forex, where spreads can start as low as 0.6 pips. The broker also charges commissions on stock CFDs, while spreads remain tight across other asset classes. Importantly, IG does not charge fees for deposits or withdrawals, and there are no inactivity fees, making it a cost-effective option for long-term traders.
Plus500
Plus500 offers commission-free trading, with all fees built into the spread. Forex spreads typically start from 0.8 pips, depending on market conditions. Plus500 does not charge commissions on any trades, but it does charge an inactivity fee after three months of no trading activity. Additionally, Plus500 offers risk management features like guaranteed stop-loss orders, which come with a premium.
| Feature | IG | Plus500 |
|---|---|---|
| Forex Spread (EUR/USD) | From 0.6 pips | From 0.8 pips |
| Commission on Trades | Yes (for stocks) | No |
| Inactivity Fee | No | Yes (After 3 months) |
Verdict: Spreads and Fees
IG offers lower spreads on Forex and provides a more transparent pricing structure with no hidden fees. In contrast, Plus500’s commission-free model is appealing for traders who prefer a simple fee structure, though spreads may be wider during times of market volatility. Overall, active traders may benefit from IG’s lower spreads, while Plus500 is suited for traders seeking commission-free trading.
Leverage
Leverage allows traders to increase their market exposure but also comes with additional risks.
IG
For retail traders, IG offers leverage of up to 1:30 in regulated regions like the EU and Australia. For professional clients and traders outside these regions, leverage can go as high as 1:200, depending on the asset class. This higher leverage is appealing to experienced traders who understand the risks associated with leveraged trading.
Plus500
Plus500 offers similar leverage limits, with retail clients in the EU and Australia capped at 1:30 due to regulatory restrictions. However, for professional traders or those trading outside these regions, leverage can go up to 1:300, depending on the asset.
Verdict: Leverage
Both brokers offer comparable leverage for retail traders, adhering to regulatory guidelines. However, Plus500 offers higher leverage (1:300) for professional traders, which may be attractive to those seeking greater exposure. IG offers a more balanced approach with competitive leverage across multiple asset classes.
Customer Support and Education
Having access to quality support and educational materials can significantly enhance your trading journey.
IG
IG provides extensive customer support, available 24/5 via live chat, phone, and email. The broker also excels in educational resources, offering IG Academy, which includes webinars, tutorials, and in-depth articles designed for both beginners and advanced traders. This makes IG one of the best brokers for trader education.
Plus500
Plus500 offers 24/7 customer support through live chat and email but does not offer phone support. The broker provides basic educational materials, primarily designed for beginner traders, focusing on platform use and trading basics. However, the educational resources are more limited compared to IG.
Verdict: Customer Support and Education
IG takes the lead with its comprehensive educational materials and more robust customer support options. Plus500 offers convenient 24/7 live chat support but lacks the depth of educational content that IG provides, making IG the better choice for traders seeking extensive learning resources.
FAQs
Here are the most frequently asked questions about IG vs Plus500:
Does Plus500 charge an inactivity fee?
Yes, Plus500 charges an inactivity fee after three months of no trading activity. IG, on the other hand, does not charge an inactivity fee, making it more cost-effective for traders who may not trade frequently.
Which broker is better for beginners?
Plus500 is generally better suited for beginners due to its simplified platform and commission-free structure. IG also caters to beginners but offers more advanced features, which might be overwhelming for those new to trading.
What is the difference between IG and Plus500’s leverage?
IG offers leverage up to 1:200 for professional clients, while Plus500 offers slightly higher leverage up to 1:300 for professional traders. For retail traders, both brokers are capped at 1:30 in compliance with regulatory requirements. Therefore, Plus500 may be more appealing to traders seeking higher leverage options outside of regulated regions.
Which broker offers more trading instruments?
IG provides access to over 17,000 markets, including Forex, indices, commodities, stocks, ETFs, options, and bonds. In comparison, Plus500 offers over 2,000 trading instruments, primarily focusing on CFDs for Forex, commodities, indices, and cryptocurrencies. If you’re looking for a broader selection of markets, IG is the better choice.
Does IG offer guaranteed stop-loss orders?
No, IG does not offer guaranteed stop-loss orders for all trades, although they are available as an option in some cases. In contrast, Plus500 does offer guaranteed stop-loss orders, but they come with an additional premium fee.
Conclusion: IG vs Plus500 – The Final Verdict
In this comparison of IG vs Plus500, both brokers cater to different types of traders with unique preferences and needs. IG is the superior choice for experienced and professional traders who require access to advanced platforms like MetaTrader 4 and L2 Dealer, a wider range of trading instruments, and in-depth research tools. With its lower spreads and diverse account types, IG is ideal for traders who need more flexibility and control.
On the other hand, Plus500 excels in providing a simple, intuitive platform that is beginner-friendly. Its commission-free structure and streamlined interface make it a great option for traders looking for an easy-to-use platform without the complexity of advanced tools. While it may lack the depth of features offered by IG, Plus500 is still a solid choice for traders focused on CFDs, cryptocurrencies, and straightforward trading.
Ultimately, the choice between IG and Plus500 will depend on your trading experience, goals, and the specific features that best support your trading strategy.