We found 11 online brokers that are appropriate for Trading Derivatives Investment Platforms.
Trading derivatives (also known as derivatives when trading on the commodity market) refer to any financial instrument that can be converted from one form to another. These types of financial instruments are most often currencies, interest rates or stock indices. It is not uncommon for financial institutions to use derivatives to hedge their exposure to risks associated with their portfolio. For example, banks will buy a stock at a given price, which they might think will rise but then sell it back to the investor at a higher price (called a derivative).
A derivative is used when a trader wants to borrow a certain amount of money at a certain interest rate. When this happens, the trader must pay interest (either by selling or buying the derivative) and receive the full amount. The trader must also buy an option (a right). This contract, also known as a forward, means that the buyer of the option buys the derivative at the strike price but must not exercise the option until it is fully paid. Swaps give the trader a similar structure. Instead of borrowing cash, the trader must buy (swap) a certain quantity of a fixed interest rate (treasury bills, bonds or other securities) from another financial institution.
Trading derivatives are contracts that give the purchaser the right to sell a certain asset at a certain date at a certain price, without any additional risks from the contract. To view the contract, you will need to know the name of the derivative and the term or period associated with it. You can view derivatives in many forms. They can be options, stocks, bonds, or futures. The underlying assets or instruments will not change as there are no additional risks inherent to the contracts.
An options trading derivative gives the purchaser the right to purchase an option. It can be done for an underlying stock, currency, or index, but it is most commonly done for an option. When the option is purchased, the purchaser must pay the seller the strike price, which is the option's value at the time of the sale. Options can have multiple underlying assets; therefore, the risk associated with buying them can increase. This type of risk management strategy can greatly increase the number of your profits.
Trading derivatives is by far one of the greatest ways to take your trading to the next level without blowing your funds. With derivatives, you can add incredible leverage to your trades, make complicated trades across many different currencies, or speculate on the underlying price of traditional assets. However, not all derivatives are created equally, and not all trading strategies will work the same for each trader. What works well for one may not necessarily work for another, even if they involve trading in financial instruments with the same basic structure.
One factor to consider when trading derivatives is the financial asset you want to manage. For example, a particular currency may be expected to lose in value over time, but the underlying stock may outperform the currency. Suppose you are speculating on whether a currency will rise or fall versus its own financial instrument. In that case, you will need to use a portfolio with more equity invested in stocks than bonds or commodities.
As with any transaction, there are both pros and cons involved with forward contracts. The main thing to know about forward contracts is that they are essentially contracts where a product or service will be transferred from one party to another once agreed upon. This transfer does not have to occur in actual cash but rather in the form of a stock, currency or other assets that can be traded on a futures exchange. It means that once the other party has created a contract, it can legally sell or buy the underlying product during the agreed upon contract period. Once the contract has ended, so too the sale or purchase of the asset. The main benefit of trading derivatives through forward contracts is they allow for flexibility - the potential to profit greatly from little movements in the market.
Leverage and derivatives trading in the Global Derivatives Trading Market has increased rapidly due to the global financial recession. The impact of the crisis on financial markets in the United States has been immense. Stock markets and bond markets have taken a huge beating, and people have lost jobs at a rapid rate. Global financial institutions all over the world are on the brink of collapse. These factors have created immense liquidity problems for financial trading platforms.
In a derivatives trading system, the trader who is buying an underlying asset receives payments from sellers in the form of cash advances. The investor uses the Derivatives Trading platforms to convert the cash flows from selling their assets into stock shares or derivative instruments. The trader's leverage level depends upon the amount of equity they have access to. Leverage is increased through borrowing funds from the platform. The leverage level that the investor has access to depends upon the size of their social trading account. The higher the social trading account, the higher the leverage that an investor can obtain.
We have conducted extensive research and analysis on over multiple data points on What Is Trading Derivatives to present you with a comprehensive guide that can help you find the most suitable What Is Trading Derivatives. Below we shortlist what we think are the best Trading Derivatives Investment Platforms after careful consideration and evaluation. We hope this list will assist you in making an informed decision when researching What Is Trading Derivatives.
Selecting a reliable and reputable online Trading Derivatives 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 Trading Derivatives Investment Platforms more confidently.
Selecting the right online Trading Derivatives 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 Trading Derivatives Investment Platforms trading, it's essential to compare the different options available to you. Our Trading Derivatives 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 Trading Derivatives Investment Platforms broker that best suits your needs and preferences for Trading Derivatives Investment Platforms. Our Trading Derivatives Investment Platforms broker comparison table simplifies the process, allowing you to make a more informed decision.
Here are the top Trading Derivatives Investment Platforms.
Compare Trading Derivatives Investment Platforms brokers for min deposits, funding, used by, benefits, account types, platforms, and support levels. When searching for a Trading Derivatives Investment Platforms broker, it's crucial to compare several factors to choose the right one for your Trading Derivatives Investment Platforms needs. Our comparison tool allows you to compare the essential features side by side.
All brokers below are Trading Derivatives Investment Platforms. Learn more about what they offer below.
You can scroll left and right on the comparison table below to see more Trading Derivatives Investment Platforms that accept Trading Derivatives Investment Platforms clients.
Broker | IC Markets | Roboforex | eToro | XTB | XM | Pepperstone | AvaTrade | FP Markets | EasyMarkets | SpreadEx | FXPro |
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Regulation | Australian Securities and Investments Commission (ASIC), Financial Services Authority (FSA), Cyprus Securities and Exchange Commission (CySEC) | RoboForex Ltd is regulated by the FSC, license 000138/437, reg. number 128.572. 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), 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) | Cyprus Securities and Exchange Commission (CySEC), Australian Securities and Investments Commission (ASIC), Financial Services Authority (FSA), British Virgin Islands Financial Services Commission (BVI) | Financial Conduct Authority (FCA) | Financial Conduct Authority (FCA), Cyprus Securities and Exchange Commission (CySEC), Financial Sector Conduct Authority (FSCA), Securities Commission of the Bahamas (SCB) |
Min Deposit | 200 | 10 | 100 | No minimum deposit | 5 | 200 | 100 | 100 | 100 | 1 | 100 |
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Used By | 180,000+ | 1,000,000+ | 30,000,000+ | 1,000,000+ | 10,000,000+ | 400,000+ | 300,000+ | 10,000+ | 142,500+ | 10,000+ | 1,866,000+ |
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Platforms | MT4, MT5, Mirror Trader, Web Trader, cTrader, Windows, Mac, iOS, Android | MT4, MT5, Mac, Web Trader, Tablet & Mobile apps | 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 | MT4, MT5, Web Trader, TradingView, Tablet & Mobile apps | Web Trader, Tablet & Mobile apps | MT4, MT5, cTrader, Tablet & Mobile apps |
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Risk Warning | Losses can exceed deposits | Losses can exceed deposits | 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. | 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, | 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 Trading Derivatives 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 Trading Derivatives Investment Platforms for 2024 article further below. You can see it now by clicking here
We have listed top Trading Derivatives Investment Platforms 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.
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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.