CMC Markets vs Trading 212: Comparison and Analysis

CMC Markets vs Trading 212: A Comparison Summary

When it comes to choosing a broker for trading and investing, security, account opening, trading fees, markets offered, platforms, and education/customer care are some of the key factors to consider. In this comparison summary, we will compare two popular brokers, CMC Markets and Trading 212, based on these factors.

Security:

CMC Markets has an impressive security rating of 95 and is regulated by several reputable authorities such as ASIC, FCA, MAS, FMA, and IIROC. Trading 212 also has a strong security rating of 94 and is regulated by FCA, FSC, and CySEC.

Demo:

Both brokers offer unlimited demo accounts. CMC Markets demo account comes with $10,000 virtual funds and allows multiple accounts with the same email. Trading 212 demo account comes with $50,000 virtual funds and can be restored by contacting customer support.

Account Opening:

CMC Markets requires no minimum deposit and offers a variety of account options, including CFD, stockbroking, spread betting, FX active, corporate, and professional accounts. The account currency can be GBP, EUR, USD, AUD, CAD, NOK, NZD, PLN, SEK, or SGD. Trading 212 requires a minimum deposit of $1 for the Invest account and $10 for the CFD account. The account currency can be GBP or EUR, and the account options include CFD, Invest, ISA, and Professional accounts.

Social-Copy Trading:

Both brokers offer social-copy trading features. CMC Markets offers this feature directly on its proprietary platform, Next Generation. Trading 212 offers Autoinvest, where traders can copy each other’s stock investing strategies.

Markets:

CMC Markets offers a wide range of markets, including Forex (338), Commodities (110+), Indices (82), Crypto Assets (124), Bonds (55), CFD Shares and ETFs (12,500+), and Stocks, ETFs, Warrants, Options (35,000+). CMC Markets offers both CFD and real stocks, making it a good choice for both short-term and long-term investments. Trading 212 offers Forex (200), Commodities (23), Indices (1500+), Stocks (3000+), ETFs (400+), Futures, and Options (80+). Trading 212 offers stocks and ETFs both as CFDs and as real assets, and with the availability of Autoinvest, it is also a good option for long-term stock investing.

Trading Fees:

CMC Markets offers variable spreads, starting from 0.7 pips on Forex and from 0.3 pips on Indices, which is below the market average. CMC Markets also offers $0 brokerage commission on US, UK, Canada, Japan, and Aussie shares up to $1,000 per stock per trading day. Trading 212 also offers variable spreads, starting from 1 pip. However, it does not charge any commissions for Invest account holders.

Platforms:

CMC Markets offers a proprietary platform for both CFD and real stocks trading, which is available via web and mobile. It also offers the popular MT4 platform, which is available via desktop and mobile. Trading 212 offers a proprietary platform, which is available via web and mobile devices.

Education/Customer Care:

CMC Markets provides a wealth of educational materials, including webinars, ebooks, podcasts, video trading, and trading guides. It also offers easy-to-contact customer care via email, phone, and live chat. Trading 212 provides basic educational materials, suitable mainly for less experienced traders. It also offers easy-to-contact customer care via email and live chat, and you can contact Trading 212 in any language thanks to an automated translator.

Summary:

Overall, the choice between CMC Markets and Trading 212 will depend on individual preferences and trading needs. CMC Markets may be a better choice for those looking for a wider range of markets, lower spreads, and more comprehensive educational materials. Trading 212, on the other hand, may be a better choice for those interested in long-term stock investing, with no commissions for Invest account holders and a larger selection of real stocks and ETFs.