Metal brokers help their clients to trade precious and non-precious metals on financial exchanges such as the New York Mercantile Exchange, Nadex, Dubai Gold & Commodities Exchange, Shanghai Futures Exchange, and London Metal Exchange.
A metal broker offers services like CFDs and Spreadbetting to trade metals such as gold, silver, copper, platinum, and palladium. But, first, let’s check the best metal trading platforms.
In This Guide
Here we have listed the best metal trading platforms to meet your trading needs.
You can trade metals online with eToro in most cases. The broker allows you to purchase gold via an ETF with over 13 million clients. Although the SPDR Gold Shares market is the most popular, this platform offers the best SPDR ETFs.
On eToro, shares and ETFs are not subject to commissions. Furthermore, there is no monthly fee to keep your metal investment for as long as possible. At eToro, you can also trade metals in other markets. CFDs on gold, for example, can be traded with a leverage of up to 1:20. In addition to shorting gold, you can also sell it if you believe it is overpriced. eToro offers commission-free metals CFDs as well.
eToro requires a minimum deposit of $10 to open an account. On the stock market, shares and gold ETFs start at $10, and investments in ETFs start at $500. However, CFDs can be accessed with even less capital, especially if leverage is used. eToro accepts debit/credit cards, e-wallets, and bank transfers for deposits. In addition, eToro, a broker regulated by the FCA, has an excellent mobile investment app that allows you to invest in metals.
67% 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.
More than 3,000 shares from the US, UK, and Europe are available for CFD trading on Capital.com. In addition, Capital.com offers a wide selection of shares with leverage up to 5:1, which makes it easy to go long or short.
Capital.com offers commission-free trading and some of the most competitive spreads. Additionally, there is no charge for deposits, withdrawals, or inactivity.
Capital.com offers a wide range of other assets to trade and stock CFDs. For example, the site offers 140 currency pairs, 84 cryptocurrencies, and dozens of commodities, ETFs, and stock indexes to trade.
Capital.com stands out for its custom trading platform available on mobile devices and the web. It provides several technical indicators and highly intuitive charts. In addition to integrating with TradingView, the platform also offers custom indicators for analyzing price movements. Capital.com's platform tracks patterns in your trades and suggests ways to improve your win rate based on their artificial intelligence.
This broker offers a variety of educational resources for new traders. There are dozens of videos and tutorials explaining the basics of trading CFDs and popular trading strategies. With the platform's dedicated mobile app for education, you can even test your trading abilities.
CySEC and the FCA regulate Capital.com. If you encounter any issues with your account, you can easily resolve them through phone, email, and live chat support. With Capital.com, you can open a bank account for as little as £20 and deposit funds with a credit card, debit card, or bank transfer.
81.40% 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.
The Libertex platform is another excellent trading platform to consider. Over 2.2 million registered users from more than 60 countries have used Libertytex since 1997. Libertex's CySEC regulation makes it one of the safest stock trading platforms. In addition, it offers a variety of tradeable assets, such as stocks and cryptocurrencies.
There are two different fees to pay when you trade with Libertex. First, when you open a position, you pay a transaction fee, which varies according to the asset and size of the trade. Furthermore, Libertex is a CFD broker, which means traders will also pay the spread, the difference between an asset's buy and sell price. Libertex offers exceptionally tight spreads for stock CFDs, averaging 0.1% and 0.2%.
Libertex customers can deposit as little as €100 (£85) using credit/debit cards, bank transfers, or e-wallets (Skrill). Libertex's web-based trading platform and mobile app support MT4 and MT5. In addition, it offers retail clients up to 1:30 leverage on its tradeable CFDs, allowing them to maximize their potential gains.
Your Money Is At Risk.
There is no doubt that TD Ameritrade is among the world's most reputable brokerage firms. It offers a huge library of stocks, ETFs, and investment funds and has been around for more than four decades.
However, TD Ameritrade also operates a fully-fledged metal trading facility. The platform offers gold and silver trading.
The platform's global client base can trade all supported metals 23 hours daily. TD Ameritrade's 'Thinkorswim' platform is best suited for experienced traders.
Due to its professional-level tools and features, it may appear daunting to the untrained eye.
TD Ameritrade Fees:
Interactive Brokers was founded in 1978 and is a US-based company offering free trading platforms regulated by several financial authorities, including the UK's Financial Conduct Authority, the US Securities and Exchange Commission, the Commodity Futures Trading Commission, and Hong Kong's Securities and Futures Commission. The firm is also a member of the NYSE FINRA SIPC.
With a market capitalization of $28.08 billion, Interactive Brokers is regulated by numerous global authorities and traded on NASDAQ under the ticker symbol IBKR. Additionally, Interactive Brokers is a publicly-traded company that publishes its financial statements, making it a trusted trading platform for millions of traders.
The most attractive features of Interactive Brokers are commission-free trades and no account minimums. Furthermore, Interactive Brokers offers one of the most extensive product and market offerings. You can trade traditional stocks and ETFs, futures, CFDs, and forex through this discount broker on a commission-free basis, diversifying your portfolio at a low cost.
With Interactive Brokers, you can invest in stocks listed on international exchanges to diversify your investment portfolio. Using this free trading platform, you can also trade and invest in fractional shares of stocks. Thus, beginners and experienced traders can invest as much money as possible to meet their trading objectives and time horizons and diversify their portfolios without determining how many whole shares they can afford to purchase.
Interactive Brokers Fees:
According to a new study, metals markets are becoming more difficult to regulate due to more subtle forms of manipulation and new trading platforms.
In line with the report, opaque pricing mechanisms and weakly regulated market platforms are vulnerable to manipulation by powerful market participants, including trading houses, major producers, and financial institutions.
Politicians need to combat such practices urgently to prevent the substantial economic harm these distortions may cause and prevent the international tensions they can start.
In the final report of a two-year investigation released last week, the US Senate raised charges of alleged manipulating of oil, aluminum, and coal markets by Wall Street banks. In addition to other regulatory burdens and listless markets, these factors have led many banks to give up physical trading and ownership of commodities.
That has raised concerns that risks may be transferred to companies with less regulation.
The report notes that national authorities regulate commodity markets and that unclear and overlapping jurisdictions often hamper this process. For example, the Financial Conduct Authority regulates the London Metals Exchange in London, but it does not consider itself responsible for its approved warehouse network.
Usually, gold, silver, and platinum are involved in metals trading. Therefore, the outlook for the global economy and major currencies is closely tied to the metals trading market.
Platforms that trade metals aim to make money. Exactly how they do this varies from platform to platform. Therefore, you should always check what fees will be charged when trading metal on your chosen site.
Each time you place a buy or sell order, some metal trading platforms charge a commission. Except in a few rare cases, this will be a variable percentage. For example:
As a result, the best metal trading platforms in 2022 will offer commission-free trades. Among these are eToro, Capital.com, Libertex, and others. You will only pay a spread fee in this scenario.
There is a spread between the raw material price and the finished product price created from that commodity. There are some favorite trades in the futures market based on commodity-product spreads.
An investor typically trades on the spread by taking a long position in raw materials and a short position in a finished product.
Leverage is likely needed unless you have substantial capital in your metal trading platform account. In addition, you will incur overnight financing fees when you trade leveraged products.
That is a fee you pay to the platform you choose to keep the open position overnight. The fee will be deducted from your account balance daily and charged to your credit card. Due to this, you should check the cost of your chosen platform. It is usually expressed as a percentage and multiplied by the stake. The greater the stake and the greater the leverage, the more you'll pay.
The best metal trading platforms also charge fees in other areas.
Making consistent profits from trading metals online is difficult. That is especially true for those who are new to the field. Therefore, you should check if your chosen platform offers a variety of tools and features that can help you succeed at currency trading.
As discussed earlier, metals trading can be challenging without substantial capital. As a result, if you're looking to day trade, you'll be targeting very small profit margins.
Therefore, if leverage is something you need, check whether your chosen metal trading platform offers it. You will again be limited by your country of residence - with the UK, Europe, and other regions capped at 1:30.
Many types of orders are available on the best metal trading platforms. Along with buy/sell and market/limit orders, this should include take-profit and stop-loss orders. You will be able to trade metal online in a risk-averse manner.
You can also place orders for:
The best way to stay on top of the game is to choose a metal trading platform that provides alerts. It would be even better if these alerts were delivered to your mobile phone in real-time.
You might be notified if a major metal pair breaches a key residence line. Alternatively, the platform might alert you when a story breaks that might impact the price of a currency pair in the future.
With the best metal trading platforms, you'll never miss out on significant fundamental and technical events.
If you are just started as an online metal trader, it's best to choose a platform that can help you improve your knowledge of the industry. For example, eToro offers everything from metal trading guides and videos to weekly webinars.
In the case of research, the best metal trading platforms offer financial news and market insights. That is great for keeping abreast of key market developments and can help with your trading decision-making process.
The best metal trading platforms provide advanced chart reading tools for technical data. In addition, they should provide customizable screens, technical indicators, and chart drawing tools.
Metal trading has alarming pace-exchange rates change seconds after they're set. So you'll want to make sure that your chosen metal trading platform offers a great end-to-end user experience. For example, is it easy to find a metal market you like and is it easy to place orders?
We found that there is often a huge difference in how user-friendly a metal trading platform is during our research process.
Some platforms, such as TD Ameritrade, are more suitable for seasoned metals professionals. The reason is that TD Ameritrade's metal trading facility is packed with advanced functionalities and features. Experienced traders may find this useful, but beginners may find it overwhelming.
The demo account allows you to practice your metal trading endeavors without risk. Many metal trading platforms allow you to open a demo account that simulates real trading conditions.
That is great for learning the ropes of a complicated metal trading scene - as you can keep practicing until you are ready to risk your own money. However, there is a time limit on how long you can use the demo account facility on some forex platforms - usually 30 days.
There is a wide variety of everyday payment methods available on the top metal trading platforms we reviewed. That makes depositing and withdrawing money incredibly easy. eToro, for example, not only supports instant deposits through debit and credit cards and e-wallets.
However, our review of metal trading platforms found that some only accept bank transfers. Therefore, you may still be entitled to an instant deposit if you use a platform based in your country of residence. However, bank transfers can take several days to arrive in many cases.
The top metal trading platforms provide a live chat facility available at least 24 hours, seven days a week. Moreover, support agents will be able to assist you in real-time without picking up the phone.
Some metal trading platforms we encountered only offered email support at the other end of the spectrum. So, unfortunately, you might have to wait several hours to hear back.
Having read this guide up to this point, you should now understand how to choose a metal trading platform. Your next step is to place your first metal trading order.
To ensure you understand what this entails, we will walk you through the setup process of the commission-free platform eToro.
You will still need to open an account with eToro even if you use the demo account. However, it should only take a few minutes.
You need to go to eToro's website, click 'Join Now,' and follow the instructions. A few personal details, contact information, and your national tax number are required.
Due to its regulated status, eToro must verify all new account holders. The process at eToro takes just a few minutes and requires the following two documents:
You will now be asked to deposit funds into your newly created metal trading account.
The following deposit options are available:
Unless you select a bank transfer, all deposits on eToro are instantly processed.
You can search for the metal pair you wish to trade once your deposit has been processed.
Then, you have to click on the 'Trade' button.
Your next step will be to set up a metal trading order.
You will need to fill out the following fields:
To order commission-free metal trading on eToro, click on 'Open Trade'!
The platform you choose to trade metal online is one of the most important decisions you need to make.
Ultimately, you risk your hard-earned money - so make sure a reputable body regulates the provider. Furthermore, you must ensure the platform offers your chosen metal and allows you to enter positions cost-effectively.
The best metal trading platform on the market right now, based on our research, is eToro. Metal can be traded without commission and at low spreads on this heavily regulated platform.
It takes minutes to get started at eToro, the platform is easy to use, and you can make a deposit instantly with a debit/credit card or eWallet!
Metal trading fees should be taken into account when considering commissions and spreads. For example, the provider of eToro charges no commissions and offers tight spreads on most of its markets, making it the best-priced metal trading platform.
Consider using eToro if you are looking to access the multi-trillion-dollar metal trading market for the first time. Newcomers will find the popular online platform ideal because it was designed with them in mind.
All the metal trading platforms discussed on this page are safe - as they are all licensed by reputable financial organizations. Unfortunately, there are also metal trading platforms operating online without regulatory approval. Therefore, be cautious.
The majority of metals trading platforms make their money through commissions. The metal trading platforms can also make money by charging fees for deposits, withdrawals, overnight funding, inactivity, and overnight funding of accounts.
eToro accepts Paypal deposits and withdrawals. Skrill and Neteller are also supported.
eToro is probably the best metal trading platform for US residents. It offers metals - all of which can be traded commission-free - on a heavily regulated platform.
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