We found 11 online brokers that are appropriate for Trading Commodity.
In case you notice that your brokerage offers various financial trading products including the commodity, it will be good news for you as the opportunity to make more money is widened.
But firstly, you will need to know all the basics. When it comes to this, understanding the definition of commodity is paramount.
The commodities existence is very important because these can affect the quality of the goods and services production. The quality of the commodities can be different from one producer to another.
Therefore, to get into the trading, there will be a standard to meet.
The commodities base grade is a determining factor which can affect the conditions of specific commodities in the exchange. But before going any further, let us define the commodity itself first.
The idea of the commodity trading is not a new thing. We use the commodity daily for personal use, commercial, non-profit, or other purpose.
In short, a commodity is all-natural resources or specifically agricultural products which are traded in bulk. The companies offer the commodity in large quantities.
The buyers are usually the bigger companies with the intention to produce something from the commodity they are buying.
Commodities are ones of the most pivotal asset classes in the investment. The existence is as crucial as the other assets like stocks, real estate, and bonds.
Some people have misunderstood the commodities as the final product. Well, it is different as commodities should be raw materials or agricultural products.
Commodities trade scales are usually too big for the individual investors, although some individuals in the world can afford this. Because of the bulk trade, individuals with smaller capital tend to avoid it.
Some of the common commodities are corn, wheat, cattle, cotton, lumber, coal, oil, and so on. As mentioned, the commodities qualities are not equal. Therefore, the commodities which have the same grade tend to be interchangeable.
For instance, if two companies produce the same commodity such as corn in the same quality, then it is exchangeable. For the buyers, it does not matter where they get their corn, so long as the quality has met their standard.
It is straightforward to comprehend how the commodities trading work. Commodities can be traded on the future’s financial markets.
In these markets, the buyers and sellers’ bargain for the payment of the commodities. It is for the future date when the commodities are delivered.
There are some parties who are involved in commodities trading such as farmers and miners, businesses who use commodities, investors, and speculators, as well as consumers and strategic users.
These parties take on the potential of the commodities as these are usually traded in bulk.
You might wonder how these parties interact and benefit each other. Here are some examples which you could consider.
The first example to take is a farmer in a farm who wants to sell his wheat in the futures market.
Then there is a commodities buyer who decides to contract with him to buy his crops. The farmer will not lose if the wheat price declines between the planting and the harvest.
He will not even be bankrupt because he has reserved a specific contract to sell his wheat to the buyer. In this case, the buyer will take the risk.
It also takes place in the aviation industry. An airline would strategize to get the fuel at the fixed price with the futures contract as their method.
This means they have reserved the spot so their economy will not get affected by the market volatility. If they do not use the futures contract, they might end up paying more than what they require.
Another example can be seen at a coffee drink producer who buys bulk sacks of raw coffee for the future use in manufacturing their coffee products.
Using the futures, they pay based on the current rateas then there is no issue with regard to the the market volatility. It is not an option for them to purchase the raw coffee at the last minute since they could spend more than what they need.
Commodities are not for beginners although some of them fail trying. It is not necessarily a good option for the individuals.
When you are trading commodities, you will not necessarily collect the asset by yourself, instead to have its obligations.
For individuals, it is indeed risky because the commodities can go wild in the future.
One need to have large capital because commodities are traded in bulk. Due to its nature, it is sensible to avoid commodities if you are an individual investor with limited capital to start off with.
If you are a lone trader, you could consider other options such as mutual funds, stocks, bonds, ETFs, etc.
We have conducted extensive research and analysis on over multiple data points on Commodity Definition to present you with a comprehensive guide that can help you find the most suitable Commodity Definition. Below we shortlist what we think are the best Commodity brokers after careful consideration and evaluation. We hope this list will assist you in making an informed decision when researching Commodity Definition.
Selecting a reliable and reputable online Commodity 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 Commodity more confidently.
Selecting the right online Commodity 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 Commodity trading, it's essential to compare the different options available to you. Our Commodity 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 Commodity broker that best suits your needs and preferences for Commodity. Our Commodity broker comparison table simplifies the process, allowing you to make a more informed decision.
Here are the top Commodity Brokers.
Compare Commodity brokers for min deposits, funding, used by, benefits, account types, platforms, and support levels. When searching for a Commodity broker, it's crucial to compare several factors to choose the right one for your Commodity needs. Our comparison tool allows you to compare the essential features side by side.
All brokers below are Commodity brokers. Learn more about what they offer below.
You can scroll left and right on the comparison table below to see more Commodity brokers that accept Commodity clients.
Broker | eToro | XTB | XM | Pepperstone | AvaTrade | FP Markets | SpreadEx | Plus500 | Admiral | Trading212 | IB |
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Regulation | 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), Cyprus Securities and Exchange Commission (CySEC), Australian Securities and Investments Commission (ASIC) | 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), ASIC (406684), Financial Services Authority (FSA), South African Financial Sector Conduct Authority (FSCA), Financial Stability Board (FSB), The Financial Services Agency (JAPAN FSA), Financial Futures Association of Japan (FFAJ), Abu Dhabi Global Markets (ADGM), Financial Regulatory Services Authority (FRSA), Polish Financial Supervision Authority (KNF), Israel Securities Association (ISA), British Virgin Islands Financial Services Commission (BVI), BVI (SIBA/L/13/1049), Central Bank of Ireland | Australian Securities and Investments Commission (ASIC), Cyprus Securities and Exchange Commission (CySEC), FSCA (FSP Number 50926), Capital Markets Authority (CMA), Securities Commission of the Bahamas (SCB) | Financial Conduct Authority (FCA) | Plus500UK Ltd authorized & regulated by the FCA (#509909), Plus500CY Ltd authorized & regulated by CySEC (#250/14), Plus500AU Pty Ltd (ACN 153301681), ASIC in Australia AFSL #417727, FMA in New Zealand, FSP #486026 and Authorised Financial Services Provider in South Africa FSP #47546, Plus500SEY Ltd is authorised and regulated by the Seychelles Financial Services Authority (Licence No. SD039) FSA, Plus500SG Pte Ltd (UEN 201422211Z) holds a capital markets services license from the Monetary Authority of Singapore (MAS) for dealing in capital markets products (License No. CMS100648-1), PLUS500AU (PTY) LTD is regulated by the FSCA (Financial Sector Conduct Authority), Plus500 adheres to MiFID rules, Plus500EE AS is authorised and regulated by the Estonian Financial Supervision and Resolution Authority (Licence No. 4.1-1/18), Plus500AE Ltd is authorised and regulated by the Dubai Financial Services Authority (F005651) DFSA | Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC) | Financial Conduct Authority (FCA) Firm reference number 609146, Financial Supervision Commission (FSC), Cyprus Securities and Exchange Commission (CySec) License number 398/21 | Financial Conduct Authority (FCA) |
Min Deposit | 100 | No minimum deposit | 5 | 200 | 100 | 100 | 1 | 100 | 200 | 1 | 10000 |
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Used By | 30,000,000+ | 1,000,000+ | 10,000,000+ | 400,000+ | 300,000+ | 10,000+ | 10,000+ | 24,000,000+ | 10,000+ | 15,000,000+ | 10,000+ |
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Platforms | Web Trader, Tablet & Mobile apps | MT4, Mirror Trader, Web Trader, Tablet & Mobile apps | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | MT4, MT5, TradingView, DupliTrade, myFXbook, Mac, Web Trader, cTrader, Tablet & Mobile apps | Web Trader, MT4, MT5, AvaTradeGo, AvaOptions, DupliTrade, ZuluTrade, Mobile Apps, ZuluTrade, DupliTrade, MQL5 | MT4, MT5, cTrader, IRESS, Mac, Web Trader, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | Web Trader, NinjaTrader, Tablet & Mobile apps |
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Learn More |
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Up with etoro |
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Up with xtb |
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Up with xm |
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Up with pepperstone |
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Up with avatrade |
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Up with fpmarkets |
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Up with spreadex |
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Up with plus500 |
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Up with admiralmarkets |
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Up with trading212 |
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Up with interactivebrokers |
Risk Warning | 76% of retail investor accounts lose money when trading CFDs with this provider. | 76-85% 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. 72.89% 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. | 74-89 % 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 | Losses can exceed deposits | 82% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you can afford to take the high risk of losing your money. | Losses can exceed deposits | CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 79% 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. | Losses can exceed deposits |
Demo |
eToro Demo |
XTB Demo |
XM Demo |
Pepperstone Demo |
AvaTrade Demo |
FP Markets Demo |
SpreadEx Demo |
Plus500 Demo |
Admiral Markets Demo |
Trading 212 Demo |
Interactive Brokers Demo |
Excluded Countries | 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, | 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, TR | MY, BE, CA, CN, ID, PH, TG, NG, DO, MA, ZW, PR, TZ, TN, UG, BW, AO | US, CA, JP, SG, MY, JM, IR, TR | US, CA | US |
eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% 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.
Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.
Copy trading is a portfolio management service, provided by eToro (Europe) Ltd., which is authorised and regulated by the Cyprus Securities and Exchange Commission.
Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
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.
You can compare Commodity Brokers 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 Commodity Brokers for 2024 article further below. You can see it now by clicking here
We have listed top Commodity brokers below.
eToro is a multi-asset platform which offers both investing in stocks and cryptoassets, as well as trading CFDs.
Please note that CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 76% 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.
Past performance is not an indication of future results. Trading history presented is less than 5 complete years and may not suffice as basis for investment decision.
Copy trading is a portfolio management service, provided by eToro (Europe) Ltd., which is authorised and regulated by the Cyprus Securities and Exchange Commission.
Cryptoasset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
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.