We found 11 online brokers that are appropriate for Trading CFDs And Commodities Investment Platforms.
This table compares CFD trading and commodity trading.
Feature | CFD Trading | Commodity Trading |
---|---|---|
Underlying Asset | Contract based on the value of a commodity | Physical commodity (e.g., oil, gold, wheat) |
Ownership | Do not own the underlying commodity | Own the underlying commodity upon purchase |
Settlement | Cash settlement - exchange the difference in price | Physical delivery or cash settlement depending on contract |
Leverage | Typically available, allowing for amplified gains (and losses) | May be available with futures contracts, but with higher margin requirements |
Minimum Investment | Generally lower due to leverage | Can be high due to the cost of the underlying commodity |
Trading Venue | Over-the-counter (OTC) market | Exchange-traded futures contracts or spot market |
Regulation | May vary depending on jurisdiction | Heavily regulated by exchanges and government agencies |
Complexity | Generally considered simpler due to no physical delivery | Can be more complex due to factors like storage and delivery |
Disclaimer: This table is for must not be taken as financial advice in anyway, its only for info and learning. Please consult with a financial professional before making any investment decisions.
CFD is an abbreviation for contract for differences. It is a common type of financial derivative in which differences in the settlement between commencement and end of a contract are exchanged. No party deals in actual property. It means no physical goods or securities are delivered.
In other words, it is an advanced trading strategy and best for experienced traders. It is not suggested for amateurs or beginners. It is not allowed in the United States.
Commodities are economic goods having full or substantial fungibility. The prices of commodities are determined concerning the functions of the related markets as a whole. If the commodities have wide availability, the profit margins are smaller.
Most commodities are essential resources, raw materials, mining products like iron ore, precious metals like gold and silver, and agricultural goods like rice, wheat, maise, sugar and grains.
Commodities are traded in exchanges like London Commodity Exchange, Nasdaq Commodities, Australian Securities Exchange, Dubai Gold & Commodities Exchange, Chicago Mercantile Exchange and New York Mercantile Exchange.
Understanding both CFDs and commodities can help traders choose the type of investment that best suits their financial goals, trading strategy, and risk tolerance. Each has its advantages and considerations, making them suitable for different types of investors.
Nature of Investment: CFDs offer broader access to various markets through a single platform and are purely financial, while commodities might require understanding specific physical market dynamics.
Purpose: CFDs are typically used for short to medium-term speculation or hedging, whereas commodities can be traded for both speculative reasons and practical use in production or consumption.
Risk Exposure: Both carry significant risks; however, CFDs with leverage can lead to rapid losses beyond the initial investment, while commodities, especially through futures, offer a somewhat predictable and contractually bound exposure.
Commodity trading is trendy among investors, and it is a vast sector to capitalise on supply and demand. It can be traded in a physical sense as well as a range of other ways, including CFDs.
Trading commodities in a physical sense brings several headaches while there is no headache of goods or securities delivery in CFD's even though the basis of transactions is the same. Sometimes due to specific entry barriers, commodity trading becomes a difficult choice for small traders. It is not in the case of CFD's.
Trading commodity is expensive as it involves buy, ship and store whether the underlying asset is coffee, oil, wheat or livestock. If a trader wants to buy 100 barrels of oil, he needs to think about the shipping and storing aspects, which incur additional costs. Small traders cannot think of all these.
As an experienced commodity trader, I often encounter questions about the differences between trading Crude Oil as a Contract for Difference (CFD) and as a traditional commodity on global financial markets. Let's use an example to illustrate these differences and highlight the potential outcomes and risks involved.
Both trading Crude Oil as a CFD and as a traditional commodity have their own advantages and risks. CFDs offer higher leverage and the potential for significant returns with a smaller initial investment, but they come with increased risk of substantial losses. Traditional commodity trading requires more capital upfront, offering potentially lower leverage and risk. Understanding these differences and carefully managing risk is crucial for successful trading in the volatile Crude Oil market.
Imagine you have $10,000 to trade Crude Oil, which is currently priced at $76.02 per barrel. You decide to take a position expecting the price to rise.
Here are some of the key advantages of trading commodities with CFDs:
Many Financial Markets Available: CFDs can be traded on the price of stocks, indices, commodities, and even crypto with no real asset ownership.
No Stamp Duty: Since CFDs do not involve the actual purchase of an asset, traders in many countries do not have to pay stamp duty. This can reduce the cost of trading compared to buying the actual stocks or other assets outright.
Hedging Opportunities: CFDs can be used as a form of hedge for an existing physical portfolio. For instance, if you hold stocks in your portfolio and believe that the market might fall, you can open a short position via CFDs to help mitigate potential losses in your stock holdings.
Trade Execution Speed: CFD trading is typically executed quickly and easily through online platforms, which allows for efficient market entry and exit. This is beneficial in fast-moving markets where prices can change rapidly.
Lower Entry Requirements: Compared to traditional trading, the cost of entering the market with CFDs is usually lower. This is partly due to the margin requirements which allow for smaller investments.
No Expiry: Unlike options or futures, most CFDs do not have an expiry date. This means you can hold onto a trade for as long as you like, depending on your strategy and market conditions.
Here are the main disadvantages to consider:
High Risk Due to Leverage: While leverage can increase potential returns, it also amplifies potential losses, sometimes exceeding the initial investment. This makes CFD trading particularly risky, especially for inexperienced traders who may not fully understand the implications of trading on margin.
Market Volatility: Commodities can be highly volatile due to various factors like weather events, political unrest, and changes in economic policies. This volatility can result in large price swings, which, when combined with leverage, can lead to significant losses.
Overnight Holding Costs: Holding a CFD position open overnight incurs charges known as swap fees or overnight funding charges. These costs can add up, especially if a position is held for a long period, which can eat into any potential profits from the trade.
Lack of Ownership Rights: When trading commodities as CFDs, traders do not own the actual commodity. This means they miss out on certain benefits, such as the ability to hold a physical asset or receive dividends from a stock CFD, which could have additional financial benefits.
Regulatory Risks: CFD trading is not permitted in some countries due to its high risk, and in regions where it is allowed, the sector is often subject to heavy regulation. Changes in regulatory frameworks can impact how these instruments are traded or introduce new rules that traders must comply with.
Market Gaps: Commodities markets can experience price gaps, where prices jump significantly from one level to another without any trading in between. This can occur after weekends or holidays, or following major news events. Such gaps can cause significant losses, especially if they move against a trader’s position.
Counterparty Risk: When trading CFDs, the trader is exposed to the credit risk of the broker. If the brokerage firm faces financial difficulties, it could affect their ability to fulfill their obligations to traders, potentially leading to the loss of investment.
Limited Trading Instruments: Some CFD platforms may offer a limited selection of commodity CFDs, which can restrict trading opportunities for traders looking to diversify their commodity trading or who are interested in less common commodities.
Psychological Pressure: The combination of leverage, potential for significant loss, and market volatility can create substantial psychological pressure on traders. Managing these stresses and making calm, calculated decisions is crucial but can be challenging for many.
Choosing between trading CFDs and commodities depends largely on an individual's trading objectives and risk tolerance. CFDs offer significant advantages such as leverage, the ability to go long or short, and access to a broad range of markets without owning the underlying assets. However, they come with high risks, particularly from leverage and market volatility.
Commodities trading, while also volatile, provides opportunities to trade in tangible goods which can be appealing for those interested in physical markets. Both trading forms require a robust understanding of market factors and risk management to be successful, but CFDs offer more flexibility and lower entry barriers at a higher risk level.
We have conducted extensive research and analysis on over multiple data points on CFDs Vs Commodities to present you with a comprehensive guide that can help you find the most suitable CFDs Vs Commodities. Below we shortlist what we think are the best CFDs And Commodities Investment Platforms after careful consideration and evaluation. We hope this list will assist you in making an informed decision when researching CFDs Vs Commodities.
Selecting a reliable and reputable online CFDs And Commodities Investment Platforms trading brokerage involves assessing their track record, regulatory status, customer support, processing times, international presence, and language capabilities. Considering these factors, you can make an informed decision and trade CFDs And Commodities Investment Platforms more confidently.
Selecting the right online CFDs And Commodities Investment Platforms trading brokerage requires careful consideration of several critical factors. Here are some essential points to keep in mind:
Our team have listed brokers that match your criteria for you below. All brokerage data has been summarised into a comparison table. Scroll down.
When choosing a broker for CFDs And Commodities Investment Platforms trading, it's essential to compare the different options available to you. Our CFDs And Commodities Investment Platforms brokerage comparison table below allows you to compare several important features side by side, making it easier to make an informed choice.
By comparing these essential features, you can choose a CFDs And Commodities Investment Platforms broker that best suits your needs and preferences for CFDs And Commodities Investment Platforms. Our CFDs And Commodities Investment Platforms broker comparison table simplifies the process, allowing you to make a more informed decision.
Here are the top CFDs And Commodities Investment Platforms.
Compare CFDs And Commodities Investment Platforms brokers for min deposits, funding, used by, benefits, account types, platforms, and support levels. When searching for a CFDs And Commodities Investment Platforms broker, it's crucial to compare several factors to choose the right one for your CFDs And Commodities Investment Platforms needs. Our comparison tool allows you to compare the essential features side by side.
All brokers below are CFDs And Commodities Investment Platforms. Learn more about what they offer below.
You can scroll left and right on the comparison table below to see more CFDs And Commodities Investment Platforms that accept CFDs And Commodities Investment Platforms clients.
Broker |
IC Markets
![]() |
Roboforex
![]() |
eToro
![]() |
XTB
![]() |
XM
![]() |
Pepperstone
![]() |
AvaTrade
![]() |
FP Markets
![]() |
EasyMarkets
![]() |
SpreadEx
![]() |
FXPro
![]() |
---|---|---|---|---|---|---|---|---|---|---|---|
Rating | |||||||||||
Regulation | Seychelles Financial Services Authority (FSA) (SD018) | RoboForex Lid is regulated by Belize FSC, License No. 000138/7, reg. number 000001272. RoboForex Ltd, which is an (A category) member of The Financial Commission, also is a participant of its Compensation Fund | FCA (Financial Conduct Authority) eToro (UK) Ltd (FCA reference 583263), eToro (Europe) Ltd CySEC (Cyprus Securities Exchange Commission), ASIC (Australian Securities and Investments Commission) eToro AUS Capital Limited ASIC license 491139, CySec (Cyprus Securities and Exchange Commission under the license 109/10), FSAS (Financial Services Authority Seychelles) eToro (Seychelles) Ltd license SD076 | FCA (Financial Conduct Authority reference 522157), CySEC (Cyprus Securities and Exchange Commission reference 169/12), FSCA (Financial Sector Conduct Authority), XTB AFRICA (PTY) LTD licensed to operate in South Africa, KPWiG (Polish Securities and Exchange Commission), DFSA (Dubai Financial Services Authority), DIFC (Dubai International Financial Center), CNMV (Comisión Nacional del Mercado de Valores), KNF (Komisja Nadzoru Finansowego), IFSC (Belize International Financial Services Commission license number IFSC/60/413/TS/19) | Financial Services Commission (FSC) (000261/4) XM ZA (Pty) Ltd, Cyprus Securities and Exchange Commission (CySEC) (license 120/10) Trading Point of Financial Instruments Ltd, Australian Securities and Investments Commission (ASIC) (number 443670) Trading Point of Financial Instruments Pty Ltd | Financial Conduct Authority (FCA), Australian Securities and Investments Commission (ASIC), Cyprus Securities and Exchange Commission (CySEC), Federal Financial Supervisory Authority (BaFin), Dubai Financial Services Authority (DFSA), Capital Markets Authority of Kenya (CMA), Pepperstone Markets Limited is incorporated in The Bahamas (number 177174 B), Licensed by the Securities Commission of the Bahamas (SCB) number SIA-F217 | Australian Securities and Investments Commission (ASIC) Ava Capital Markets Australia Pty Ltd (406684), South African Financial Sector Conduct Authority (FSCA) Ava Capital Markets Pty Ltd (45984), Financial Services Agency (Japan FSA) Ava Trade Japan K.K. (1662), Financial Futures Association of Japan (FFAJ),, FFAJ, Abu Dhabi Global Markets (ADGM)(190018) Ava Trade Middle East Ltd (190018), Polish Financial Supervision Authority (KNF) AVA Trade EU Ltd, Central Bank of Ireland (C53877) AVA Trade EU Ltd, British Virgin Islands Financial Services Commission (BVI) BVI (SIBA/L/13/1049), Israel Securities Association (ISA) (514666577) ATrade Ltd, Financial Regulatory Services Authority (FRSA) | CySEC (Cyprus Securities and Exchange Commission) (371/18), ASIC AFS (Australian Securities and Investments Commission) (286354), FSP (Financial Sector Conduct Authority in South Africa) (50926), Financial Services Authority Seychelles (FSA) (130) | Cyprus Securities and Exchange Commission (CySEC) (079/07) Easy Forex Trading Ltd, Australian Securities and Investments Commission (ASIC) (Easy Markets Pty Ltd 246566), British Virgin Islands Financial Services Commission (BVI) EF Worldwide Ltd (SIBA/L/20/1135), Financial Sector Conduct Authority South Africa (FSA) EF Worldwide (PTY) Ltd (54018), FSC (Financial Services Commission) (SIBA/L/20/1135), FSCA (Financial Sector Conduct Authority) (54018) | FCA (Financial Conduct Authority) (190941), Gambling Commission (Great Britain) (8835) | FCA (Financial Conduct Authority) (509956), CySEC (Cyprus Securities and Exchange Commission) (078/07), FSCA (Financial Sector Conduct Authority) (45052), SCB (Securities Commission of The Bahamas) (SIA-F184), FSA (Financial Services Authority of Seychelles) (SD120) |
Min Deposit | 200 | 10 | 50 | No minimum deposit | 5 | No minimum deposit | 100 | 100 | 25 | No minimum deposit | 100 |
Funding |
|
|
|
|
|
|
|
|
|
|
|
Used By | 200,000+ | 730,000+ | 35,000,000+ | 1,000,000+ | 10,000,000+ | 400,000+ | 400,000+ | 200,000+ | 250,000+ | 60,000+ | 7,800,000+ |
Benefits |
|
|
|
|
|
|
|
|
|
|
|
Accounts |
|
|
|
|
|
|
|
|
|
|
|
Platforms | MT5, MT4, MetaTrader WebTrader, Mobile Apps, iOS (App Store), Android (Google Play), MetaTrader iPhone/iPad, MetaTrader Android Google Play, MetaTrader Mac, cTrader, cTrader Web, cTrader iPhone/iPad, cTrader iMac, cTrader Android Google Play, cTrader Automate, cTrader Copy Trading, TradingView, Virtual Private Server, Trading Servers, MT4 Advanced Trading Tools, IC Insights, Trading Central | MT4, MT5, R Mobile Trader, R StocksTrader, WebTrader, Mobile Apps, iOS (App Store), Android (Google Play), Windows | eToro Trading App, Mobile Apps, iOS (App Store), Android (Google Play), CopyTrading, Web | MT4, Mirror Trader, Web Trader, Tablet, Mobile Apps, iOS (App Store), Android (Google Play) | MT5, MT5 WebTrader, XM Apple App for iPhone, XM App for Android Google Play, Tablet: MT5 for iPad, MT5 for Android Google Play, XM App for iPad, XM App for iOS (App Store), Android (Google Play), Mobile Apps | MT4, MT5, cTrader,WebTrader, TradingView, Windows, Mobile Apps, iOS (App Store), Android (Google Play) | MT4, MT5, Web Trading, AvaTrade App, AvaOptions, Mac Trading, AvaSocial, Mobile Apps, iOS (App Store), Android (Google Play) | MT4, MT5, TradingView, cTrader, WebTrader, Mobile Trader, Mobile Apps, iOS (App Store), Android (Google Play) | easyMarkets App, Mobile Apps, iOS (App Store), Android (Google Play), Web Platform, TradingView, MT4, MT5 | Web, Mobile Apps, iOS (App Store), Android (Google Play), iPad App, iPhone App, TradingView | MT4, MT5, cTrader, FxPro WebTrader, FxPro Mobile Apps, iOS (App Store), Android (Google Play) |
Support |
|
|
|
|
|
|
|
|
|
|
|
Learn More |
Sign
Up with icmarkets |
Sign
Up with roboforex |
Sign
Up with etoro |
Sign
Up with xtb |
Sign
Up with xm |
Sign
Up with pepperstone |
Sign
Up with avatrade |
Sign
Up with fpmarkets |
Sign
Up with easymarkets |
Sign
Up with spreadex |
Sign
Up with fxpro |
Risk Warning | Losses can exceed deposits | Losses can exceed deposits | 61% of retail investor accounts lose money when trading CFDs with this provider. | 69% - 83% 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. | CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 74.12% 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. | 75-95 % of retail investor accounts lose money when trading CFDs | 71% of retail investor accounts lose money when trading CFDs with this provider | Losses can exceed deposits | Your capital is at risk | Losses can exceed deposits | 75.78% of retail investor accounts lose money when trading CFDs and Spread Betting with this provider |
Demo |
IC Markets Demo |
Roboforex Demo |
eToro Demo |
XTB Demo |
XM Demo |
Pepperstone Demo |
AvaTrade Demo |
FP Markets Demo |
easyMarkets Demo |
SpreadEx Demo |
FxPro Demo |
Excluded Countries | US, IR, CA, NZ, JP | AU, BE, BQ, BR, CA, CW, CZ, DE, ES, EE, EU, FM, FR, FI, GW, ID, IR, JP, LR, MP, NL, PF, PL, RU, SE, SJ, SS, SL, SI, TL, TR, DO, US, IT, AT, PT, BG, HR, CY, DK, FL, GR, IE, LV, LT, MT, RO, SK, CH | ZA, ID, IR, KP, BE, CA, JP, SY, TR, IL, BY, AL, MD, MK, RS, GN, CD, SD, SA, ZW, ET, GH, TZ, LY, UG, ZM, BW, RW, TN, SO, NA, TG, SL, LR, GM, DJ, CI, PK, BN, TW, WS, NP, SG, VI, TM, TJ, UZ, LK, TT, HT, MM, BT, MH, MV, MG, MK, KZ, GD, FJ, PT, BB, BM, BS, AG, AI, AW, AX, LB, SV, PY, HN, GT, PR, NI, VG, AN, CN, BZ, DZ, MY, KH, PH, VN, EG, MN, MO, UA, JO, KR, AO, BR, HR, GL, IS, IM, JM, FM, MC, NG, SI, | US, IN, PK, BD, NG , ID, BE, AU | US, CA, IL, IR | AF, AS, AQ, AM, AZ, BY, BE, BZ, BT, BA, BI, CM, CA, CF, TD, CG, CI, ER, GF, PF, GP, GU, GN, GW, GY, HT, VA, IR, IQ, JP, KZ, LB, LR, LY, ML, MQ, YT, MZ, MM, NZ, NI, KP, PS, PR, RE, KN, LC, VC, WS, SO, GS, KR, SS, SD, SR, SY, TJ, TN, TM, TC, US, VU, VG, EH, ES, YE, ZW, ET | BE, BR, KP, NZ, TR, US, CA, SG | US, JP, NZ | US, IL, BC, MB, QC, ON, AF, BY, BI, KH, KY, TD, KM, CG, CU, CD, GQ, ER, FJ, GN, GW, HT, IR, IQ, LA, LY, MZ, MM, NI, KP, PW, PA, RU, SO, SS, SD, SY, TT, TM, VU, VE, YE | US, TR | US, CA, IR |
You can compare CFDs And Commodities Investment Platforms ratings, min deposits what the the broker offers, funding methods, platforms, spread types, customer support options, regulation and account types side by side.
We also have an indepth Top CFDs And Commodities Investment Platforms for 2025 article further below. You can see it now by clicking here
We have listed top CFDs And Commodities Investment Platforms below.
eToro is a multi-asset platform. The value of your investments may go up or down. Your capital is at risk.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 61% 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.
Copy Trading does not amount to investment advice. The value of your investments may go up or down. Your capital is at risk.
eToro does not approve or endorse any of the trading accounts customers may choose to copy or follow. Assets held in your name. Capital at risk. See PDS.
This communication is intended for information and educational purposes only and should not be considered investment advice or investment recommendation. Past performance is not an indication of future results.
Crypto assets are unregulated & highly speculative. No consumer protection. Capital at risk.may not suffice as basis for investment decision.
Crypto investments are risky and highly volatile. Tax may apply. Understand the risks here
Don't invest unless you're prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong. Take 2 mins to learn more.
eToro USA LLC does not offer CFDs and makes no representation and assumes no liability as to the accuracy or completeness of the content of this publication, which has been prepared by our partner utilizing publicly available non-entity specific information about eToro.