FAQs

How to apply for a trading account?
Opening a new account via SharetheMarkets.com is very simple. To get started, click the 'Register' button. You will be taken to a form where you will be asked to fill in your name, email address and phone number. Then sit back. You will be contacted by an account manager from one of our preferred platform providers who will walk you through the process of opening an account.
What is CFD Trading?
CFD stands for Contract for Difference.

A CFD is an agreement between two parties to exchange the difference between the price of an asset at the time the contract is entered into and the price of the asset at a stipulated time in the future. CFDs have become a popular form of trading, enabling traders to speculate on the future price movements of a wide range of assets without actually buying the assets in question and without paying the higher broker commissions normally associated with doing so. Some of this popularity stems from the fact that brokers often allow investors to acquire positions which are much larger than the amount invested would normally permit. This is known as 'leverage'.

For example, an investor may want to acquire 100 shares in GloboCorp PLC, believing that they will increase in value. GloboCorp shares are trading at $50 per share, so the investor would need to pay $5,000 plus deal fees to acquire the shares. Alternatively, the investor could acquire a CFD in relation to 100 GloboCorp shares - the CFD would typically cost a fraction of the price of buying the shares outright. Let's assume the investors acquires the CFD for $500. Under the CFD, the investor will receive the difference between the opening price of the shares ($50 per share) and the price of the shares at the time the trade ends. So if the price increases to $100 per share, the investor will receive $5,000 (100 shares x $50). However, whilst leverage may help the investor to maximise gains, it also leaves the investor open to significant losses if the share price falls, which may equal or even exceed the amount of the initial $500 investment. For example, if GloboCorp shares fall to $10 per share, the investor would be liable to pay $4,000 to the broker, i.e. $3,500 more than the original investment of $500.

This is a greatly simplified example and CFDs are complex products, but it serves as a basic illustration of the potential risks and rewards of CFD trading. Suffice to say that prices can go down as well as up and gains and losses can fluctuate significantly due to leverage. Our preferred partners' websites will have far more in depth information about how their CFD products work, so please read this and ensure that you have understood the risks and can afford to absorb any losses before entering into a trade.

Is there a minimum deposit amount?
The minimum deposit amount varies depending on the platform provider, but deposits can be be as low as $200 or the local currency equivalent.
What is the cost of using SharetheMarkets?
SharetheMarkets will not charge you any commission or fees, but the platform provider with whom you open an account may do so. Please check their terms before trading.
What assets can I invest in?
You can trade in a wide range of assets and financial products. You could elect to trade directly in your chosen asset, or trade indirectly via a CFD or other form of derivative.
Is it possible to have multiple investments at once?
Yes. Trading platforms are designed to handle multiple investments at any one time. Once you’ve opened an account, you can choose to invest in a single asset or to spread your investment across different assets and markets, allowing you to take advantage of multiple opportunities.
Do I have to invest all of my money?
Of course not. A minimum deposit will be required to open your account, but if you want to deposit and invest more, you can. If you’d prefer to start with smaller investments and learn the ropes using a demo account, you can do that too.
What is forex trading?
In simple terms, forex trading is a means of speculating on currency exchange rate fluctuations.

Trading platforms generally support two types of forex trading: spread betting and contracts for difference ('CFDs').

With spread betting, trading always happens in pairs e.g. GBP/USD. When you execute a trade, the currency on the left of the pair is known as the 'base currency', and the purpose of the trade is to predict whether the base currency’s value will increase or decrease relative to the currency on the right. The investor and broker take opposite positions - one predicting that the base currency will increase in value relative to the other currency and the other predicting that it will fall. For every incremental rise or fall in the relative price of the currency pair the broker and trader will be liable to pay amounts to the other.

With CFDs, the investor speculates whether, at a particular time in the future, a particular currency will be more or less valuable than it is when the CFD is entered into. If the investor predicts correctly, he will receive an amount reflecting the difference between the opening and closing value of the currency. If the investor does not predict correctly, a payment will be due to the broker. See 'What is CFD Trading' above for further information.

What are commodities, futures and indices?
A commodity is a raw material that can be bought or sold on special commodities exchanges.

For example, tradable commodities include gold, silver, oil and cotton. Investors may trade directly in commodities on special exchanges, but can also gain exposure to commodity price movements through a form of derivative known as a 'future'.

A future is a contract to acquire a specified amount of a commodity at a fixed price at a specific time. Once entered into, the contract can be brought and sold to other investors in the same way as any other tradeable asset. As the price of the commodity fluctuates, the value of the contract itself rises and falls too - i.e. if the price stated in the contract is less than the price of the commodity, the contract will increase in value, but if the commodity price is lower than the contract price, then the contract will be worth less. Investors can also speculate on the price movements of commodities in other ways; e.g. via contracts for difference ('CFDs'). See 'What is CFD Trading' above for further information.

Indices are official lists of asset prices. For example, the FTSE and AIM lists of the London Stock Exchange are share price indices. Investors can speculate on the rise or fall of the overall value of an index through products like contracts for difference ('CFDs'). See 'What is CFD Trading' above for further information

What are cryptocurrencies?
In simple terms, cryptocurrencies are currencies that use decentralised digital ledgers (blockchains) to record and confirm transactions. Bitcoin was the original cryptocurrency, but there are now dozens of alternatives, which are collectively called altcoins.
Is cryptocurrencies trading legal?
Trading in cryptocurrencies is legal in the UK, and UK resident traders can also gain exposure to crypto price movements via contracts for difference ('CFDs'). See 'What is CFD Trading' above for further information. Please note that this site is not intended for non-UK residents and as such it makes no representation as to the legality of cryptocurrency or CFD trading in any other country.
If I lose money, can I claim for compensation?
No, trading involves the risk of losing some or all of your capital. These losses will not be covered by the Financial Services Compensation Scheme.
What are the risks associated with crypto trading?
Like any investment, crypto trading has its risks. Cryptocurrency remains a relatively new asset class and trading in it is largely unregulated. As a result crypto prices can be volatile, with large and sometimes sudden changes in value.
How can I contact SharetheMarkets?
We can be contacted at any point between 09:00 - 17:00 Monday - Friday, excl bank holidays. For contact details, see below:
Phone: +44(0) 203 9500 950 / Email: [email protected]

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CFDs, forex and other derivatives are complex instruments and come with a high risk of losing money rapidly due to leverage. The majority of retail CFD accounts lose money. Your capital is at risk.