Pepperstone Stock Trading Options Analyzed

A reputable Australian broker, Pepperstone is favored by many novice traders for its appealing trading conditions, quick order execution, and a wide array of available instruments. In particular, the broker is popular among traders who prefer stock trading. However, Pepperstone features quite specific options for such traders, and we’re about to analyze them and explain how you can use these options to earn.

How Pepperstone works

Founded by a team of professional traders in 2010, Pepperstone is a relatively well-known provider of brokerage services headquartered in Melbourne, Australia. The founders aim to outperform any other brokers with their exceptional tech equipment that provides extremely low delay in order execution (up to 30 ms). Moreover, the broker is well-regulated by ASIC and FCA, and the company stores all of the funds of its clients in major banks.

Pepperstone is also known for its relatively low fees and a great choice of trading tools. There are lots of available assets you can trade, but only in the form of CFDs, and all the Pepperstone stock trading options are also mediated by contracts for difference. That means you don’t actually get to trade any asset — instead, you get to receive or lose the difference between the current price of a certain asset and its price at some specified time in the future.

Which stocks you can trade

Pepperstone features many stocks from all over the world in the form of share CFDs. The US shares supported include various major companies like Apple, Microsoft, and so on. You can also access lots of shares from the Australian, British, and German markets. However, the fees charged by the broker differ depending on the market: for example, the trading fee for US stocks is $0.02 per share, but you have to pay from 0.07% to 0.20% of every transaction when trading on other markets.

Why Pepperstone

While some traders prefer direct access to the stock market and therefore avoid trading CFDs, lots of traders actually choose CFDs over other options, and Pepperstone is a great broker to trade them. It’s user-friendly and secure, and share CFDs actually make short-selling stocks easier. You can also use leverage to multiply your profits and start earning even with a small deposit: the maximum rate for the CFDs offered by the broker is 1:20. These instruments are great for hedging, too.

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