A CFD is also known as an agreement for difference. It variates from stocks as a consumer does not own any physical existence of securities or goods. They are settled in cash, which means the trader will pay out the opening & closing price difference of an underlying stock (any other instrument) instead of any physical delivery of the goods. They have developed to replicate the underlying instrument’s advantages without actually owning it.
CFDs only need a small deposit while opening a position (to cover up the potential losses), contrary to paying in full amount for a share. When it comes to your money, you ensure that it should be in reliable hands. Having introduced essential aspects for you to consider, here we have mentioned the four best CFD broker UK
- It has regulated by the (FCA) Financial Conduct Authority & listed on the London stock exchange
- More than 2,500 financial instruments
- Protection from negative balance
Above 2,000 stocks, Plus500 is a more manageable platform having a lot of educational material, with a demo account & 24/7 customer support. There is a minimum deposit of £100, but consumers do not bear any fees for Deposits, Live share’s CFD prices, rolling position, and opening and closing of the trade. Although Plus500 is a user-friendly platform, CFDs are ‘difficult financial products’; hence, they are not suitable for novice traders.
- Very well regulated
- No limit on the minimum deposit
- Low fees & mostly free withdrawals
- Good customer support
Pepperstone offers exceptional market analysis & trading ideas. Customer support is available through phone, email & live chat with promptly answered. It is regulated by the ASIC, FCA, CySEC, DFSA, BaFin, SCB, and CMA. Pepperstone uses MetaTrader 4 and 5 & cTrader platforms. MetaTrader is one of the best CFD platforms. It offers access to 25 key stock indices, 60+ shared CFDs, 21 cryptocurrencies & 17 top commodities.
- It has regulated by the Financial Conduct Authority
- With low fee
- Quick withdrawal & deposit against no fee
XTB is a trustworthy all-around broker who has established in 2002. It is listed on the Warsaw Stock Exchange. XTB uses the xStation 5 platform, which provides good personalization, and search functions with modern design. It includes all the standard educational resources & research tools as a platform. Although all cryptocurrency trading gets paused on weekends, it has more than 2,000 stocks.
- The minimum deposit limit is 1 dollar
- A large selection of the most famous trading instruments
- Several reliable & well-known financial regulators
The OANDA name is an acronym of “Olsen & Associates” or “Olsen and Associates.” It has registered in the U.S. & provides financial services to its clients in several countries of the world. The company originated in 1996 and is currently regulated under four jurisdictions. The primary regulator of the broker is the Financial Conduct Authority UK (FCA). Oanda Canada has received its license from IIROC. The company got significant awards to its credit, such as “Best Trading Platform” from F.X. Week, “Best Forex Trading Technologies” from the U.K. Forex Awards, and “Best Customer Service” from the U.S. Foreign Exchange Report. CFDs are unavailable for the U.S., while in Australia & the BVI, OANDA provides 124 symbols & 71 forex pairs and trading in Bitcoin, Ethereum, & Litecoin as a CFD. Trading in Cryptocurrency is available at OANDA through CFDs but unavailable for trading the underlying asset (such as buying Bitcoin).