Through CFD trading, high sums can be moved even with a small capital investment due to the leverage effect. In this way, it is possible to achieve enormous profits in a very short time.

In addition to a suitable CFD trading strategy, it is essential to choose a good CFD broker. In this online broker test, we determine which is currently considered the best CFD broker.

Of course, we don’t just leave it at determining a test winner, but we also explain how to register and trade with our test winner.

The best CFD brokers in comparison 2021:

The Best CFD Broker: eToro, Our Test Winner!

We will continue to explain why eToro is the best CFD broker based on hard criteria. The trading of shares and ETFs is completely free of charge. This means: 0% fees on trading in shares & co. In addition, only very low spreads are incurred.

In addition, eToro is fully regulated and licensed.

For this reason, not only do important features and attractive conditions play a role in this CFD broker comparison, but eToro was also able to convince with its security, acceptance and respectability.

eToro has a very clear and modern design, which makes it easy for users to operate the broker. There is also an in-house app that allows you to trade CFDs and ETFs from anywhere. It also allows you to keep an eye on the market around the clock.

Another main focus at eToro is social trading. This means that you can easily and quickly copy the portfolios of other traders – quite legitimately. eToro is therefore also referred to as a social trading platform.

Furthermore, the CFD broker offers a wide range of trading options: Shares, CFDs, ETFs, commodities, cryptocurrency and much more are on offer. So there should be something for every investor.

With the help of the demo version, the blog and social trading, even beginners can expand their knowledge of trading.

Register now with Etoro

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Register with eToro: Step by step guide to trading with the test winner CFD broker

1. registration with eToro

Registering with eToro is very simple: go to the official eToro website and enter your username, email and password in the registration form.

You will then receive a confirmation email from eToro, which you must confirm via the verification link.

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2. first deposit with eToro

After registering, you need to decide how much money you want to deposit with eToro. The minimum deposit amount is €250.

Once you have decided on an amount, you need to click on the “Add money” button after registering with eToro.

Now you can choose between different deposit methods including PayPal, credit card or bank transfer.

Here is an overview of all the payment methods available at eToro:

Payment optionpossible?
CFD trading with credit card✔️
CFD trading with PayPal✔️
CFD Trading with SOFORT Bank Transfer✔️
CFD Trading Rapid Transfer✔️
CFD Trading with Skrill✔️
CFD trading with bank transfer✔️
CFD trading with Neteller✔️
CFD Trading with UnionPay✔️

3. CFD trading at eToro

After the deposit, the money appears in your account under the menu item “Account“.

First, search for the desired trade pair using the search bar at the top and then click on the “Trade” button.

A small window opens (see screenshot) where you can set the price and the number of shares CFDs you want to trade. You can also set stop-loss and take-profit, i.e. at which price the share should be sold again in the event of a profit or loss. These two fields are optional.

The Leverage field allows you to control whether you want to buy the real share (x1 leverage) or a CFD (x2 or more leverage).

Clicking on “Place order” completes the purchase and the stock CFDs appear in your portfolio.

Register with eToro now

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CFD Broker Test 2021 – Which factors are important?

If you do not define criteria from the outset when comparing CFD brokers, you run the risk of making an arbitrary assessment. The following aspects played a role in our decision:

  • Is it a CFD broker without margin calls?
  • Are they German CFD brokers or is the offer at least available in German?
  • Is it both a stock CFD broker and a Forex CFD broker?
  • Cheapest CFD Broker?
  • Does the CFD broker offer a demo account?
  • Is there a CFD broker bonus when choosing a provider?

CFD Broker Fees & Costs – What is the cheapest CFD Broker?

It is not so easy to determine which is the cheapest CFD broker. This is mainly because there are different financing models. Some, for example, earn by charging fees on deposits and withdrawals. Other CFD brokers, on the other hand, only make profits through the spread.

The term “cheapest CFD broker” is always relative. Favourable for whom? Some providers are particularly favourable for professional traders with high trading volumes, while others are more favourable for those who only trade occasionally. For this reason, we have decided to set a healthy average.

So we compare the fees of the largest brokers with the following example:

  • Purchase of shares CFDs worth €1,000
  • Hold the shares CFDs for one month and sell them afterwards
  • No price changes in the 30 days

With these assumptions we now compare the fees of Libertex, eToro & Plus500:

ProviderLibertexetoroPlus500
Depositfree of chargefree of chargefree of charge
Purchase fees2,20€0%3,08%
Holding feesfree of chargefree of charge0,05%
Sales charges2,20€0%3,08%
Paymentfree of charge5 USD1,9%
Total fees4,40€4,22€92,32€

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2. CFD Broker Demo Account

Attentive readers of this article already know: All CFD brokers that made it onto the ranking list of the best providers are CFD brokers with a demo account. This criterion was extremely important to us. Platforms that do not have such an option in our online broker test have far worse chances from the outset. Why?

Especially for beginners, it is absolutely necessary to try out the first steps in CFD trading in this way. Even as an advanced trader, it is advisable to refine your CFD trading strategies by first testing them on the demo account.

CFD Broker Bonus

There are more and more platforms. As a result, competition is also increasing. For this reason, more and more providers offer a CFD broker bonus. This means, for example, that a certain amount is credited to the account upon initial registration. This aspect has not been disregarded.

However, we are convinced that this is not decisive. Which is the best CFD broker depends on other factors. After all, a CFD broker bonus is usually something one-off. Whether someone is successful, however, only becomes apparent in the long run. And here, completely different things are important.

We therefore consider it a CFD broker bonus if, for example, there is the possibility of being kept optimally informed through stock exchange news and being provided with numerous opportunities for further training.

4. customer service & support

It is obvious. A CFD broker whose support is difficult to reach does not have what it takes to be the best CFD broker. After all, traders entrust their money to this platform. Conversely, they must naturally also assume that their money is in safe hands.

If you don’t even have the opportunity to contact the operators, you certainly don’t have a good feeling about this. However, one thing is certain: In this CFD broker comparison, our test winner eToro has the best and most reliable support. So no uncertainties are to be expected in this regard.

Register now with Etoro

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5. licence

The regulation of a CFD broker is equally important. This is also an important clue that can be used to determine whether the provider is reputable or fraudulent.

Here, too, the following applies: All tested CFD brokers can be recommended without hesitation, as they are regulated by different authorities. This ensures, for example, that the trader’s investment income must be held in trust accounts. All in all, this creates great advantages for CFD traders.

Our test winner eToro also has a government deposit guarantee of €20,000 and is fully regulated and licensed.

6. the range of CFD brokers

AssettseToroLibertexPlus500
Shares 
ETFs  
Cryptocurrency 
Raw materials 
Forex 
CFD

It should be noted that Libertex and Plus500 are pure CFD and Forex brokers. eToro, however, also offers the purchase of physical assets.

CFD broker without margin call

A margin must be deposited for CFD trading. Due to the leverage effects, losses can exceed the stake. In most cases, the positions are then closed by the CFD broker if the trader does not comply with the broker’s demands to inject additional capital.

In UK, it is de facto no longer legal to offer a margin call. Consequently, all tested providers are CFD brokers without margin calls. Nevertheless, it is important to proceed strategically and to prepare the CFD trading strategy in advance. Risk management is essential to avoid total loss.

Register now with Etoro

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7. functions of the CFD brokers

FunctionseToroLibertexPlus500
iOS & Android 
Apple Watch compatible  
Real-time charts 
Price alerts 
Watchlist 
Mobile Trading
Account management 
Demo account 

8. deposit options of the CFD brokers

Deposit optionseToroLibertexPlus500
Credit cards 
PayPal  
Instant bank transfer 
Skrill 
Neteller 
Giropay
Bank transfer 
Other 

What is a CFD Broker?

CFD brokers are financial service providers that specialise in Contracts For Difference, or CFDs. On the one hand, there are Forex CFD brokers, on the other hand, there are also stock & cryptocurrency CFD brokers. However, both are possible on the most common and popular platforms.

Via the CFD broker, it is possible to trade different CFDs and speculate on the price rise or fall of certain underlyings. Due to the leverage, only relatively little money needs to be invested, and yet large sums can be moved on the market.

In addition, the best CFD brokers also provide sufficient information. This allows traders to find out about real-time prices and current financial news, for example.

Shares CFD Broker

With a share CFD broker, it is possible to speculate on the price development of numerous shares. However, it is important to bear in mind that the shares are not purchased.

Anyone who wants to buy shares is not well advised to use CFDs. Consequently, those who decide to trade in CFDs do not have the same rights as shareholders – for example, they do not have the right to vote at the annual general meeting.

With long positions, however, there is certainly the possibility of indirectly participating in dividend payments. However, these are not distributed by the company to the CFD trader, but at best by the broker.

Forex CFD Broker

By means of forex trading, it is possible to speculate on the development of currency pairs. In this type of forex trading, only one currency is ever traded; the speculation always relates to the relationship between two currencies. Different brokers are also available for this type of trading. A forex broker comparison is advisable, as the different providers differ considerably from each other.

Crypto CFD Broker

With crypto CFD brokers, you can trade cryptocurrencies without actually owning them. This is advantageous because you don’t have to worry about storing them in a crypto wallet.

At this point we must once again recommend our test winner broker eToro: At eToro it is possible to trade crypto CFDs with leverage as well as to buy real cryptocurrencies and store them in the integrated eToro Wallet!

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CFDs or normal trading – Which is better?

CFD trading

  • Fee advantage when trading
  • Regulated by the state and subject to deposit protection: you are protected against hacks and attacks
  • No complicated set-up of a depot required
  • Trading with leverage
  • No “real” trading values – Thus also no voting at annual general meeting
  • Fee disadvantage for long-term investors
  • Risky investment: Large losses possible in case of leveraged (leveraged) trading

“Real” trade

  • Ownership of real trading pairs that you can manage yourself
  • Voting at Annual General Meeting
  • Dividend distribution
  • Steep learning curve
  • Those who want to trade for the long term have an advantage here in terms of fees
  • Vulnerable to hacks and cyber attacks
  • You are responsible for managing the custody account – if the passwords are lost, the trading assets cannot be recovered.

Both CFD trading and “real” asset trading have their advantages and disadvantages. Ultimately, this decision also depends on one’s own investment strategy. Do you want to trade in real shares? Or are you more interested in crypto CFDs?

Overall, CFD trading has a big fee advantage over trading real assets. In addition, CFD trading is regulated and there is also no complicated set-up of a custody account required.

With real trading, however, you have the advantage of physical possession of the asset, as well as the right to vote at a company’s annual meeting. Real trading is generally recommended for those who want to trade for the long term.

Depending on which investment strategy you choose, we recommend our test winner eToro. Because with eToro you can take advantage of CFD trading as well as real trading.

Register now with Etoro

Your capital is at risk!

German CFD brokers or international providers?

Whether the headquarters of a CFD broker is in UK is basically not decisive. It is much more important for most people whether the platform is available in German, whether it is subject to European law and whether it is sufficiently regulated. In this CFD broker comparison, this applies to all tested providers.

Is CFD trading serious? How dangerous is CFD trading as a beginner and how can you protect yourself?

CFD trading is just as serious as trading with real assets. CFD trading is also regulated. Our test winner in the CFD broker comparison eToro is fully licensed and regulated – and is therefore also ideally suited for beginners as well as experienced traders.

It is important to always be aware of the risk. CFDs have a risk like any other investment on the stock exchange. Due to the leverage effect, the risk can be correspondingly high. Even as a beginner in trading, you should at least acquire some basic knowledge before you start trading.

In addition, contracts for difference enable private investors to hedge securities portfolios efficiently and temporarily with small contract sizes and low costs.

Forex broker comparison – our top 3 in detail

The Forex & CFD Broker Reviews on Kryptoszene.de

Are you looking for a rating for a specific online broker? We have tested the most popular CFD and FX brokers: Choose a broker -> Follow the link -> Get informed!

Here you can find all of Kryptoszene.de’s test reports on Forex and CFD brokers:

  • 247 Cryptocurrencies
  • Admiral Markets
  • ActivTrades
  • ATFX
  • AVA Trade
  • BDSwiss
  • eToro
  • Markets.com
  • OnVista
  • Plus 500
  • Skilling
  • Stormgain
  • Agora Direct
  • Banx
  • CapTrader
  • CMC Markets
  • direktbrokerFX
  • Easy Markets
  • ETX Capital
  • FBS
  • Fortrade
  • FxFlat
  • FxPro
  • GKFX
  • GMO Trading
  • IQ Option
  • JFD Brokers
  • Naga Trader
  • Nextmarkets
  • Smart Markets
  • XM
  • XTB
  • The Best Mt4 Forex Brokers
  • The Best Paypal Forex Brokers
  • The Forex Demo Account Comparison

Best CFD Broker for Beginners – Conclusion

There are many different providers on the market. That’s why many people can’t see the wood for the trees – and that’s why a CFD broker comparison is so helpful.

All tested platforms were CFD brokers without margin calls, at least insofar as minus amounts are apparently not called in practice – which, according to BaFin, is no longer legal for German traders.

In the large CFD broker test 2021, the offer from eToro with its extremely attractive conditions appealed to us the most.

At this point in our CFD broker comparison, we would like to highlight the diversity of the test winner eToro. CFD trading, forex trading, assets trading, share investments and the possibility to buy cryptocurrencies directly. An excellent choice for beginners and professionals alike.

Register now with Etoro

Your capital is at risk!

Frequently asked questions about CFD brokers:

What does CFD stand for?

CFD is the abbreviation for Contracts For Difference. These are highly speculative financial derivatives. Investors should always be aware of the investment risk. On the other hand, there are rich profits and the possibility of multiplying the capital invested.

What exactly is acquired?

Those who trade with a CFD broker, for example, do not buy shares in companies. Instead, they speculate on the price trend of the selected share. The same applies, for example, to a Forex CFD broker: no currencies are acquired, but speculation is made on currency constellations. For example, will the euro fall against the US dollar, or vice versa? If you speculate correctly, you can quickly make a lot of money with a CFD trader.

How long has CFD trading existed?

The idea of CFD trading was developed in London by Brian Keelan and Jon Wood. Since the 1990s, private individuals have also been able to use various CFD brokers to profit from fluctuations on the stock markets.

How does leverage work?

First of all, it is important to know that leverage can always work in both directions. This means that explosive profits are possible, but also losses. However, there are CFD brokers without a margin call, which significantly reduces the risk. If, for example, you bet 1,000 euros on a share underlying, or on its price gain, and choose a leverage of 5, you will already receive double the capital invested with a price gain of only 20 percent.

All trading is risky. No guarantee of profit .Any content on our website is for information purposes only and does not constitute a recommendation to buy or sell. This applies to assets, products, services or other investments. The opinions communicated on this site do not constitute investment advice and independent financial advice should always be sought where possible. This website is available to you free of charge, but we may receive commissions from the companies we feature on this website.

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Raphael Lulay

Raphael, who studied political science, is our man for detailed analyses and features. He delivers particularly exciting topics and deals with developments on the stock exchange floor, digitalisation trends as well as cryptocurrencies. [email protected]

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