Best CFD Brokers In Singapore For Every Investor Type

Here are some of the best CFD brokers in Singapore offering low-cost investing, expanded trade markets and intuitive trading platforms.

This blog post will take a slight departure from our usual ones. We’ll be assuming that since you clicked on this article, you have enough knowledge in trading to know what CFDs stand for, and how they should be used in an investment portfolio.

On the other hand, if you’ve no idea what CFDs are, or are still fuzzy about the difference between trading and investing, you might want to skip on ahead to the section headed IMPORTANT before reading the first half. 

Buckle up – here we go!

• FOREX.com
• IG
• Plus500
• CMC Markets
• SAXO
• OANDA
• IMPORTANT (for those unfamiliar with CFDs)

FOREX.com: For active traders in CFDs and Forex

The broker offers an appealing combination of generally low fees (stock CFD fees are rather high, though), diverse research tools and fuss-free account opening. 

And the cherry on top would be the ongoing rebate programme which rewards active traders with cash rebates every month. 

Trading is available via web, mobile app or desktop app, with the first two options offering a more streamlined and user-friendly interface. 

As far as tools go, FOREX.com offers a good variety of order types such as Guaranteed Stop Loss and Knock-out options, allowing investors nimble and flexible controls over trades.

IG: Experienced traders looking for wider exposure to more products 

In terms of sheer number of trading products, IG counts among the leaders of the pack given its easy-to-use trading platforms. They also come with highly customisable interfaces and tools across its website, mobile app and desktop software, along with one of the most extensive libraries of research and learning resources.

On offer are news reports, market data analyses and – via its IG Academy – webinars, courses and livestreams by professionals.

While made for more experienced traders, beginners shouldn’t pass up the treasure trove that is IG’s stellar learning library. At the very least, IG’s excellent Trade News and Ideas blog deserves a spot on your daily reading list.

Plus500: For CFD-focused traders who appreciate a robust protection policy

Trading CFDs is already risky enough, so you don’t need your broker to do funny things with your trading funds without your knowledge, thank you very much.

Plus500 makes it a point to offer investors peace of mind via a robust client money protection policy, ensuring your trading funds are used only for trades you authorise, and nothing else. 

Your funds are held in segregated accounts, and never used for hedging nor invested for other purposes. To be fair, all brokers operating in Singapore must abide by these and other stipulations set forth by MAS. However, financially prudent investors may also like that Plus500 does not initiate speculative positions, and has no exposure to corporate or sovereign debt.

Plus500 seems catered to the younger, Internet-savvy generation, judging by its sleek user trading platforms offered over web and mobile. It is also active in sports, being an official sponsor of legendary basketball team The Chicago Bulls, as well as leading football clubs Legia Warsaw and BSC Young Boys.

Besides the lifestyle-themed branding, another factor that may appeal is the platform's low cost. Plus500 does away with most fees and charges, stating that most of its compensation comes from the spread. While the platform does have a long list of different instruments, do remember they are all available for trade as CFDs, so be sure to take the necessary precautions. 

CMC Markets: For traders seeking advanced interface and good research tools

Multiple-award winner CMC Markets prides itself on its intuitive and powerful web trading platform and native app. 

Savvy investors should take note; as your hard-earned money is at risk, you need a good user interface to give you every edge you can get. The last thing you want is to misread a trade because of poor interface design, after all.

The broker also offers weekly economic outlooks and trading webinars aimed at traders of all skill levels, so both beginner and experienced traders should feel right at home here.

There’s also no minimum deposit to open an account, which means you can sign up and take a peek inside for free. However, you’ll need to put in sufficient funds before you can start trading. 

⚡Flash Deal⚡: For a limited time only, be one of the first 30 sign-ups daily to receive an additional S$20 Shopee voucher when you submit an eligible application! Valid till 30 June 2025. T&Cs apply.

SingSaver Exclusive Offer: Open a CMC Markets account and get S$20 cash via PayNow or S$40 Shopee Voucher. Valid till 30 June 2025. T&Cs apply.

Plus, grab up to S$100 additional cash when you fund a min. of S$500 and make 5 eligible trades within 30 days of account opening. Valid till 30 June 2025. T&Cs apply.

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SAXO: For high-volume traders

SAXO stands out for two things: low minimum fee per trade, and cash rebates that stack up the more the trade. This combo makes SAXO ideal for high volume traders. 

Especially so since the online broker offers more than just CFDs for trade; it also provides other leveraged products such as options and futures. Between CFDs, options and futures, traders have plenty of room to rack up the trade volume needed to earn cash rebates, which can be used to offset trading fees and market losses.

If leveraged plays aren't quite your cup of tea, know that SAXO also offers conventional instruments such as stocks, ETFs, bonds and mutual funds.

OANDA: For investors new to trading CFDs and forex

For newbie traders dipping their toes into the complicated waters of CFDs, OANDA’s automated trading platforms should provide some welcome guidance. 

The broker offers numerous technical indicators and a wide range of order types for a combination of visibility and flexibility when trading whether via the web, mobile app or desktop software. 

Perhaps the most helpful tool for beginners is OANDA’s range of APIs, through which traders can set up and test their own automated trading strategies free of risk.

Enhancing the newbie-friendly environment is OANDA’s in-depth learning library, which includes free webinars and other online learning events. 

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IMPORTANT: A message to the uninitiated

CFDs (Contracts-for-Difference) are a type of financial derivative that is traded on leverage. Depending on how much leverage is deployed, CFDs can generate large profits or losses relatively quickly, making them a high-risk, high-reward trading strategy. 

Strictly speaking, CFDs should be considered trading, and not investing. If you're looking to invest, CFDs may not be right for you. But if you're comfortable with trading, and have enough experience to know what you're doing, CFDs could play a role in your overall portfolio approach. 

But since we always believe in letting our readers judge for themselves, consider the following facts about CFDs.

CFDs are tricky - As many as 75% to 80% of retail investors lose money trading CFDs, even at some of the world’s leading brokers. This alone should alert you to the fact that CFDs are not like regular investment products, and require in-depth knowledge and a disciplined approach.

CFDs do not grant ownership - CFD, or Contract-for-Difference, is an agreement to receive (or pay) the difference in the price of an underlying asset between the opening and the closing of the contract. With CFDs, there is no direct ownership of the underlying asset, which means you will not be entitled to shareholder rights, such as dividends, or ownership stakes in a company. 

CFDs can be highly leveraged - What makes CFDs so alluring is that they can be traded using extremely high leverage. This means you can make a lot of money in return but you can also take losses very quickly. Importantly, losses in leveraged trades can exceed the amount with which you first started investing, putting your account in the negative (which means owing your broker more money than you deposited). 

CFDs are used for speculating - So what determines whether you make or lose money? So say, you short a CFD for Commodity A at 10x. The further the price of Commodity A falls (A.K.A a short position), the more money you make. If however, the price rises instead (A.K.A a long position), you’ll lose money. The higher it rises, the more money you lose.

On the other hand, if you opened a long position instead, the opposite happens: you’ll make money if Commodity A’s price rises, and lose money if it falls.

So that begs the question: How do you know whether to open short or long? Answer: You won't know for sure, but careful study of the market and accurate use of technical indicators can improve your chances.

CFDs can be rewarding, but demand expertise 

CFDs are highly complex and volatile trading products, especially when leverage is involved. However, this just means that traders wishing to trade CFDs should come armed with the necessary knowledge and experience.

A full guide on how to trade CFDs is beyond the scope of this blog, but there is a wealth of information, articles and guides out there to get you started.

One tip we can give is to ensure you build up basic skills, such as technical analysis, learning how to read economic calendars, and keeping up with market news and developments.

Be wary of claims of outrageous success and get-rich-quick schemes. Remember that CFDs can be rewarding, but success requires having thorough understanding of how they work, so be prepared to do your homework.  

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