Scope Markets launches new Invest account

· “Investing for the masses” underpins innovative new product

· Fractional trading makes access to expensive stocks easier

London, May 20 2024 – Scope Markets, the globally regulated group of brokers, has today announced the launch of its new Scope Invest account. Supporting the company’s initiative to make investing in financial markets as accessible as possible, the account structure offers a low cost and flexible solution, allowing customers to invest in more than 2,000 global CFD equities.

Pavel Spirin, CEO of Scope Markets commented:

“As a progressive business, we are passionate about ensuring that easy financial market access is available to the widest possible audience. Whilst our traditional contract for difference (CFD) products continue to prove incredibly popular, the Invest account is unleveraged and only allows ‘long’ positions to be taken, a combination that significantly reduces the risk of capital losses.”

A CFD allows traders to gain the market exposure to an asset without taking physical ownership. Rather than transactions having to be undertaken on exchange – with the accompanying trading costs and access restrictions – traders can enter into the contract for difference directly with a broker, such as Scope Markets.

Traditionally, CFDs have been used on a leveraged basis, where traders only need to deposit a percentage of the transaction’s value. It is also popular for a trader to sell an asset they don’t own on the expectation the price will fall. Whilst this has the potential to increase the size of any returns, if markets move in the wrong direction, losses can quickly mount. The Invest account addresses these challenges.

Pavel Spirin, CEO at Scope Markets, added:

“CFDs undoubtedly provide a versatile and cost-effective way of gaining exposure to a wide range of assets from across the globe. However, the risks associated with leverage and short selling mean that the product isn’t suitable for all. Our Invest account provides customers with many of the benefits of share ownership but by using CFDs, transaction and holding costs can be eliminated whilst the capital risk is significantly reduced.”

The Invest account is on offer to Scope Markets retail customers globally and can be denominated in GBP, USD or EUR. The addition of fractional trading allows customers to invest in as little as 1/100th of a stock. With all trades being commission free and with no leverage offered, there are no overnight rollover fees (swaps) to pay. The minimum account opening deposit is $50; and, whilst investors do not own the underlying asset, they do continue to receive the benefit of corporate actions including dividend payments.