Statista said 2022 saw a whopping 29.32 billion futures contracts globally, a sharp increase of 141.73% from 2013. The number is also quite impressive for the United Kingdom.
The recent boom in futures trading has led to an explosion of platforms vying for your attention. But be warned, these platforms aren’t created equal. To unlock the full potential of futures trading Uk, you must find the best broker for your needs. This blog cuts through the noise and unveils the top 9 UK futures trading platforms. Stay tuned for rich insights and embark on a lucrative trading journey.
Top 9 Platforms For Futures Trading UK:
The allure of futures trading, with its potential for high profits, has captivated many investors. Nevertheless, navigating the complexities of this market requires the right tools. Fortunately, several platforms in the UK cater to futures traders. In this list, we have delved into the top 9, offering a comprehensive overview of their features and functionalities:
1. Bazed:
Bazed is worth investigating if you’re looking for a potentially up-and-coming platform for Futures Trading in the UK. Unearth what Bazed offers regarding features, tradable instruments, and commissions.
With an innovative user experience, Bazed offers essential tools for analysing markets, executing trades, and monitoring your positions effectively. Expect a myriad of futures contracts from numerous exchanges worldwide. Bazed is the top-notch destination for diversifying your portfolio and capitalising on opportunities across different markets.
2. SAXO Capital Markets:
Established as a reputable futures broker, SAXO Capital Markets caters particularly to professional and advanced traders. It offers many investment products and services, including various futures contracts.
Are you an experienced trader seeking a platform with a deep pool of assets to execute your strategies? SAXO Capital Markets deserves your consideration. Their platform has advanced features and functionalities tailored to professional trading needs.
3. Interactive Brokers:
Interactive Brokers is a strong contender for the experienced trader looking for a robust platform with extensive features. They offer access to various products, including futures contracts from over 35 market centres worldwide. You can trade futures alongside stocks, options, and other asset classes on a unified platform.
IBKR boasts a sophisticated platform called Trader Workstation (TWS). It caters to advanced traders by providing a customisable workspace with a broad suite of analytical tools. You can leverage these tools to design and execute complex trading strategies, such as combination orders and spreads.
Furthermore, IBKR is known for its competitive pricing structure. Hence, you can focus on making informed trades without worrying about excessive commissions eating into your profits.
4. Trade Station:
Trade Nation establishes itself as a prominent player in the UK market for both forex and contracts for CFD trading. They prioritise tight spreads, meaning the difference between a futures contract’s buy and sell price. It translates to lower transaction costs for you.
Furthermore, Trade Nation equips you with a comprehensive suite of market analysis tools. You can conduct thorough research and make informed trading decisions. This combination of competitive spreads and a robust analytical toolkit positions Trade Nation as a compelling choice for active trade futures in the UK.
5. Degiro:
Degiro sets itself apart by focusing on low-cost trading across various financial instruments, including futures contracts. This focus on affordability can be a significant advantage if you’re a cost-conscious trader seeking to minimise transaction fees.
When you keep your trading expenses low, you can maximise your returns. Remember that a low-cost platform might offer a different depth of features or advanced functionalities than some competitors.
6. MEXEM:
MEXEM offers a user-friendly platform for futures trading in the UK. It spreads betting and CFD trading on various financial instruments, including futures contracts. They boast a focus on providing exceptional customer service and educational resources. If you are a beginner, it’s a fantastic choice.
MEXEM’s platform is accessible from web browsers and mobile devices, allowing you to trade from wherever you are. They offer competitive spreads, margin requirements, and risk management features like stop-loss and take-profit orders.
7. Optimus Futures:
Optimus Futures caters to experienced traders seeking a robust platform with advanced features. Their platform provides fast execution speeds and a wide range of order types. You will be able to implement sophisticated trading strategies.
Its access to a global network of exchanges gives you a vast selection of futures contracts to trade. They also provide in-depth market research and analysis to help you make informed trading decisions. However, remember that Optimus Futures might have higher minimum deposit requirements. It might also be better suited for traders with a larger capital base.
8. IG:
IG is a well-established online trading platform that offers a wide selection of futures contracts alongside other financial instruments. It is known for its user-friendly platform and extensive educational resources, making it a good option for both beginners and experienced traders.
IG provides various tools to help you analyse the markets and make informed trades. They also offer competitive spreads and margin requirements. With a regulated platform and focus on customer safety, IG can be a good choice for those seeking a secure trading environment.
9. AMP Futures:
AMP Futures is a discount broker specialising in futures and options trading. It offers a stripped-down platform that prioritises low commissions and transparent fees. This can be a good option for experienced traders who prefer execution speed and cost-effectiveness over a feature-rich platform.
AMP Futures provides access to a wide range of futures contracts and offers margin financing to help you leverage your trades. However, compared to other brokers on this list, they may have limited educational resources and customer support.
Are Futures Trading Platforms In The UK Safe?
While the platforms for futures trading in the UK can be safe due to regulations and security measures, they are not without risks. You need to have strategic know-how and act responsibly to avoid significant losses. Below, we have suggested our expert risk management practices that can help mitigate these risks.
Take a look at these and approach futures trading with a more informed perspective:
• Regulations:
The good news is that the UK has a robust regulatory framework for financial markets. The Financial Conduct Authority (FCA) is the primary watchdog, ensuring that futures trading platforms operate fairly and transparently.
When choosing a platform, we suggest you choose one that is FCA-registered. It provides some assurance that the platform adheres to strict financial regulations.
• Security Measures:
Beyond regulations, investigate the platform’s specific security measures. Reputable platforms will implement robust security protocols to safeguard your personal information and financial assets. Look for features like two-factor authentication, data encryption, and regular security audits.
Two-factor authentication adds an extra layer of security by requiring a second verification step beyond just your password. Encryption scrambles your data, making it unreadable in case of a breach.
• Beware of Unregulated Platforms:
While the FCA regulates most futures trading platforms in the UK, be cautious of unregulated platforms that might appear online. These platforms may be subject to different levels of scrutiny and could put your money at risk.
We recommend sticking to FCA-registered platforms to benefit from the protections offered by financial regulations.
• Mitigating Your Risk:
Even with regulations and risk management strategies, the best futures trading platforms carry inherent risks. These markets can be highly volatile, meaning prices fluctuate rapidly, leading to significant potential losses.
To manage these risks, you must develop a sound trading strategy incorporating risk management techniques like stop-loss orders. A stop-loss order automatically exits your position when the price reaches a predetermined level, limiting potential losses.
• Education is Key:
Before venturing into futures trading, we suggest you educate yourself thoroughly about the markets and the associated risks. Many reputable platforms offer educational resources like articles, webinars, and seminars.
Take advantage of these resources to understand futures contracts, trading strategies, and risk management before putting your money on the line.
Our Final Words:
Now that you’ve explored a range of futures trading platforms in the UK, we hope you understand that each platform offers distinct advantages. Before diving in, remember that futures trading carries inherent risks. Equip yourself with a strong understanding of futures contracts, risk management strategies, and the specific platform’s interface and fees.
Many brokers offer educational resources and demo accounts. Invest time in learning! You will be empowered to make informed decisions and navigate the dynamic world of futures trading more confidently.
Stay tuned to Live Casino Review for more updates on Futures Trading news and current practices.