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Plus500

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Plus500
TypePublic
IndustryOnline trading
Founded2008 (2008)
Headquarters
Haifa
,
Israel
Key people
[1]
ServicesOnline trading platform
RevenueIncrease US$ 792.4 million (2025)[2]
Increase US$ 342.6 million (2025)[2]
Increase US$ 281.3 million (2025)[2]
Websiteplus500.com

Plus500 is a global multi-asset financial technology company headquartered in Haifa, Israel, that provides online trading services in contracts for difference (CFDs), share dealing, futures trading, prediction markets and options on futures. It is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index and the STOXX Europe 600.

History

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Foundation and early development

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The company was founded in 2008 by six alumni of the Technion: Alon Gonen, Gal Haber, Elad Ben Yitzhak, Omer Elazari, Shlomi Weizman, and Shimon Sofer, with an initial investment of $400,000.[3][4][5]

The platform was originally a software application for Windows, but a web-based version launched in 2010. Mobile versions for iOS and Android launched in 2011 and 2012, respectively. By January 2013, 40% of transactions were conducted via mobile devices.[3]

In 2013, Plus500 became a publicly traded company on the Alternative Investment Market of the London Stock Exchange. Its market capitalisation was $202 million.[6][7][3] By mid-2013, Plus500 operated in 51 countries across 30 languages, offering over 1,800 assets.[3] The company launched its Windows Store app in 2014.[8]

IPO and regulatory issues

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In October 2012, Plus500UK Ltd. was fined £205,128 by the UK's Financial Services Authority (FSA), the predecessor of the Financial Conduct Authority (FCA), for inaccurate transaction reporting between June 2010 and November 2011. Of 1,332,000 reportable transactions, none were reported accurately and 189,000 were not reported at all.[9][10] The regulator found that Plus500UK had failed to ensure adequate systems and controls, documented procedures and staff training for transaction reporting.[11][12]

In 2014, the Financial Conduct Authority launched a review of Plus500UK's customer-onboarding practices after concerns were raised by competitors. The Times reported that the review examined, among other issues, whether clients were fully verified only when withdrawing funds rather than when opening accounts.[13]

In 2014, co-founder Shimon Sofer sold 1.5 million shares for an estimated £4.1 million, causing an 8.7% drop in the share price.[14]

In May 2015, Plus500UK imposed restrictions on existing customer accounts and stopped onboarding new clients as part of an FCA review of its anti-money-laundering controls. Under a voluntary requirement agreed with the FCA, transactions by existing customers were restricted until additional customer due-diligence documentation had been provided and verified.[15][16] The restrictions followed concerns over the company's customer-verification procedures.[17][18] The restrictions roughly halved Plus500's market capitalisation, from £860 million to £459.6 million.[19][20] During this crisis, Plus500's management agreed to sell the company to Playtech, an online gambling company that was expanding into trading, for $703 million, roughly half its pre-freeze valuation. However, in November 2015, Playtech withdrew after failing to secure regulatory approval.[21][22] Following the FCA issues, 72% of affected UK clients resumed trading, though Q2 2015 revenue still declined by 47.5% to $43 million.[23] The short seller Simon Cawkwell publicly criticised the company during this period.[13]

2016–present

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In January 2016, Plus500UK resumed onboarding new customers in the UK.[24] In September 2016, Plus500IL Ltd., the company's Israeli subsidiary, received a Trading Arena Licence from the Israel Securities Authority (ISA).[25]

In autumn 2016, Plus500's founders sold 13% of the company's shares, raising £100.75 million but causing a 16% drop in the share price. They retained a 22% stake.[26]

In December 2017, Plus500's Singapore subsidiary, Plus500SG Pte Ltd., obtained a Capital Markets Services licence from the Monetary Authority of Singapore (MAS) to trade in securities and leveraged forex.[27]

In June 2018, Plus500 launched an Economic Calendar, providing global financial events and indicators in partnership with Dow Jones & Company, along with a list of impacted instruments per event.[28] That same month, Plus500 moved from AIM to the Main Market of the London Stock Exchange. It joined the FTSE 250 Index in September.[29][30] By 2018, Plus500's trading apps supported 32 languages, including English, German, Italian, Spanish, French, Arabic, and Chinese.[31] For 2018, Plus500 reported revenue of $720.4 million, up 65% from $437.2 million in 2017, while net profit rose 90% to $379.0 million.[32]

In 2021, Plus500 appointed Jacob A. Frenkel, former chairman of JP MorganChase International and former governor of the Bank of Israel, as chairman.[33] The company announced its agreement to acquire Cunningham Commodities LLC and Cunningham Trading Systems LLC, finalising the acquisition by July as part of its expansion into the U.S. futures market.[34][35]

During the summer of 2021, Plus500 opened a new R&D centre in Tel Aviv[12] and introduced "Plus500 Invest", a stock-trading platform featuring over 2,000 instruments.[36]

In March 2022, Plus500 acquired Japan-based EZ Invest Securities, specialising in securities and derivatives trading.[37] Later, in September, it launched TradeSniper, a futures trading app for U.S. retail clients.[38]

In August 2024, Plus500 announced plans to return $185.5 million to shareholders through a $110 million share buyback and $75.5 million in dividends. The company had benefited from periods of heightened market volatility associated with events including the COVID-19 pandemic, the Russian invasion of Ukraine, and the Gaza war, and was positioning for potential volatility around the 2024 U.S. presidential election. Plus500 also said it would focus on expansion in the U.S., UAE, and Japanese markets.[39][40] In March 2025, Plus500 agreed to acquire the entire share capital of Mehta Equities Limited, an Indian financial services company regulated by the Securities and Exchange Board of India (SEBI), for approximately $20 million.[41]

In February 2026, Plus500 reported revenue of $792.4 million for 2025, compared with $768.3 million in 2024, while operating profit rose to $342.6 million from $336.1 million and net profit rose to $281.3 million from $273.1 million. The company also announced $187.5 million in shareholder returns, comprising $87.5 million in dividends and a $100 million share buyback, and said its non-OTC business had generated more than $100 million in revenue for the first time.[2] In the same month, Plus500 completed its acquisition of Mehta Equities[2] and expanded its U.S. retail offering into event-based prediction markets through a partnership with Kalshi.[42] In February, chief executive David Zruia, chief financial officer Elad Even-Chen and chief marketing officer Nir Zats sold shares worth about £67 million to Goldman Sachs. It was their first share sale since the company's 2013 flotation, and the shares had fallen by 15% by early March.[43]

In June 2026, Plus500 expanded its U.S. prediction-market offering by launching sports event-based contracts, including contracts linked to the NFL, NBA and MLB, through its futures platform using event contracts listed on Kalshi.[44] In July, it entered a partnership with Canadian investment platform Wealthsimple to provide clearing, order-routing and risk-management infrastructure for access to U.S. futures.[45] In August, Plus500 launched single-stock futures in the U.S., giving customers access to CME Group-listed futures tied to individual U.S. equities.[46]

In August 2026, Plus500 reported first-half revenue of $462.9 million, up 12% year-on-year, and announced $182.5 million in shareholder returns.[47]

Business model

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In August 2024, The Times reported that around 80% of retail CFD accounts with Plus500 lost money.[48]

While comparable companies such as IG Group and CMC Markets hedge much of their exposure to client positions, Plus500 only partially hedges its exposure. As a result, client trading performance can directly affect Plus500's revenue: losses by clients may increase the company's revenue, while client gains may reduce it.[49][50][51]

Alongside its OTC CFD business, Plus500 also operates share dealing and futures and options on futures platforms.[2]

By 2026, Plus500 held 17 regulatory licences internationally, following licences obtained in Canada, the UAE and Colombia in 2025 and the acquisition of Mehta Equities in India.[51]

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Platform failures and financial discrepancies

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Plus500 has faced numerous complaints over platform failures and questionable practices, with reports of clients wrongly accused of market abuse and profitable trades cancelled.[52]

In February 2019, The Times highlighted discrepancies in Plus500's financial reporting. While the company's 2017 Annual Report stated it had no net revenues or losses from market profit and loss in 2015–2017, a later report revealed a $103 million loss from client trading activity in 2017.[53]

Lawsuits and fines

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In October 2017, several hundred former clients filed a lawsuit against Plus500, accusing the broker of failing to manage their money adequately. In addition, the platform suffered failures that left clients unable to close positions when they wanted to.[54]

In April 2017, Plus500 paid a €550,000 fine to Belgium's FSMA for offering CFDs without the required prospectus and failing to submit ads to the regulator. Although Plus500 denied any wrongdoing, it complied with FSMA's demand to close its Belgian website and inform Belgian clients of the issue, offering free account closures.[55][56]

In 2021, the Tel Aviv District Court approved a $29 million class action against Plus500 Israel. It was alleged that during the Brexit referendum's volatile aftermath, Plus500 restricted trading in put options for 90 minutes, selectively allowing call options, to prevent customer profits.[57][58][59]

In September 2023, a class action was filed in Australia against Plus500AU and Plus500 Limited on behalf of customers who traded CFDs during a period beginning in September 2017 and ending in March 2021 and lost money. The proceeding alleges negligence and misleading, deceptive and unconscionable conduct in the marketing and sale of CFDs.[60][61][62] In December 2025, the Federal Court of Australia refused Plus500AU's application to stay the representative proceeding in favour of arbitration, holding that an arbitration clause in its standard customer terms was an unfair contract term and void under the Australian Securities and Investments Commission Act 2001 (Cth).[63]

Marketing and sponsorships

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Plus500 has used affiliate marketing to acquire clients through websites and social media platforms such as Facebook and Instagram.[19] The organisation's aggressive affiliate marketing programme has attracted scrutiny from the financial industry. The programme allowed website owners to earn commissions for new client referrals.[13]

In 2015, Plus500 became the Atlético de Madrid's main sponsor and kept that title for the next seven years until June 2022.[64] The company expanded its sports sponsorships in 2016 with the ACT Brumbies of Super Rugby,[65] and, in 2020, signed with three football clubs, including Swiss Super League champions Young Boys[66] and Poland's champions Legia Warsaw.[67] In 2023, beIN Sports blacked out Serie A club Atalanta and Young Boys broadcasts due to restrictions on CFD advertising by the Autorité des marchés financiers (AMF).[68]

In 2022, Plus500 entered a multi-year partnership with the NBA's Chicago Bulls[69] and launched an advertising campaign featuring actor Kiefer Sutherland in the United Kingdom, Italy, the Netherlands, Germany, and Australia.[70]

See also

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References

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  1. ↑ "Board of Directors". Plus500. Retrieved 1 September 2026.
  2. 1 2 3 4 5 6 "Preliminary unaudited results for the year ended 31 December 2025" (PDF). Plus500. Retrieved 1 March 2026.
  3. 1 2 3 4 "Plus500: Absolutely Israeli". Globes. 18 August 2013. Retrieved 7 September 2018.
  4. ↑ "Plus500 Launch of Plus500 Invest, a New Share Trading Platform". Financemagnets.com. 22 July 2021. Retrieved 15 May 2022.
  5. ↑ "Plus500 completes purchase of Cunningham as it plots US growth". Morningstar. 20 July 2021. Retrieved 15 May 2022.
  6. ↑ Finberg, Ron (2 July 2013). "CFD Broker Plus500 Announces IPO Plans on London's AIM". Finance Magnates. Retrieved 29 October 2024.
  7. ↑ "Plus500 Decides To Go Public With IPO". www.fxempire.com.
  8. ↑ "Annual Report 2014" (PDF). Plus500. p. 13. Retrieved 7 September 2018.
  9. ↑ "FSA issues fines totaling £250,000 on Plus500UK Limited (Plus500) and James Sharp and Company (James Sharp)". FCA. 24 October 2012. Retrieved 18 October 2024.
  10. ↑ "FCA Transaction reporting fines". Financial Services Authority. 30 May 2016. Retrieved 15 September 2018.
  11. ↑ McCrum, Dan (26 January 2015). "The trading magicians of Plus500". Financial Times. Retrieved 22 October 2024.
  12. 1 2 "Plus500 to Establish R&D Centre in Tech Hub Tel Aviv". Finance Magnates. 4 March 2021. Retrieved 31 October 2024.
  13. 1 2 3 Fletcher, Rob (22 September 2014). "Rivals put Plus500 in regulator's spotlight". The Times. Retrieved 22 February 2025.
  14. ↑ Tsipori, Tali (28 January 2014). "Plus500 falls after founder sells 1.5m shares". Globes. Retrieved 29 October 2024.
  15. ↑ "Plus500UK Limited – Voluntary Requirement" (PDF). Financial Conduct Authority. 15 May 2015. Retrieved 1 September 2026.
  16. ↑ "London-listed spreadbetting firm Plus500's stock bombs after freezing accounts". Business Insider. 18 May 2015. Retrieved 7 September 2018.
  17. ↑ McCrum, Dan (18 May 2015). "Plus500: the big freeze". Financial Times. Retrieved 18 October 2024.
  18. ↑ Mizrahi, Avi (18 May 2015). "What Really Caused Plus500's Share Price to Crash Today?". Finance Magnates. Retrieved 29 October 2024.
  19. 1 2 Williams-Grut, Oscar (5 June 2015). "Plus500 may have been brought down by its rivals, who hated the way it simplified the business". State Journal-Register. Retrieved 29 October 2024.
  20. ↑ "Plus500 shares fall 36% after client accounts suspended". Financial Times. 18 May 2015. Retrieved 29 October 2024.
  21. ↑ "Playtech folds on Plus500 deal after regulatory concerns". Financial Times. 23 November 2015. Retrieved 7 September 2018.
  22. ↑ Slav, Irina (23 November 2015). "Breaking: Playtech Abandons Plus500 Deal amid Regulatory Concerns". Finance Magnates. Retrieved 29 October 2024.
  23. ↑ Golovtchenko, Victor (30 June 2015). "Plus500 Revenues Almost Halved in Q2 Compared to Previous Quarter". Finance Magnates. Retrieved 29 October 2024.
  24. ↑ Finberg, Ron (6 January 2016). "Plus500 Welcomes Back New Customers to UK Entity". Finance Magnates. Retrieved 31 October 2024.
  25. ↑ Golovtchenko, Victor (29 September 2016). "Israeli Regulators Grant First Five Retail Trading Licenses". Finance Magnates. Retrieved 1 September 2026.
  26. ↑ Golovtchenko, Victor (28 September 2016). "Breaking: Plus500 Founders Set to Sell 13% of the Company's Shares". Finance Magnates. Retrieved 31 October 2024.
  27. ↑ "Grant of operating licence in Singapore". FT.com. 11 December 2017. Retrieved 7 September 2018.
  28. ↑ "Check our Economic Calendar to follow financial events, anticipate possible market movements and make trading decisions accordingly". Plus500. 4 June 2018. Retrieved 7 September 2018.
  29. ↑ Murphy, Hannah (26 June 2018). "Cryptocurrency surge propels 500 into the main market". Financial Times. Retrieved 3 July 2018.
  30. ↑ "Plus500 Officially Joins FTSE 250 Index". 6 September 2018. Retrieved 11 May 2021.
  31. ↑ "Plus500 Ruthlessly Reviewed & Rated at Commodity.com". Commodity.com. Retrieved 22 February 2018.
  32. ↑ "Plus500 Annual Report 2018" (PDF). Plus500. Retrieved 1 September 2026.
  33. ↑ "Online trading platform Plus500 appoints Jacob Frenkel as its new chairman". Calcalistech.com. 25 March 2021. Retrieved 10 May 2021.
  34. ↑ "Cunningham Acquisition Announcement" (PDF). plus500.com. Retrieved 15 August 2021.
  35. ↑ "Plus500 enters the market with the purchase of Cunningham". bitfinance.news. 21 April 2021. Retrieved 11 May 2021.
  36. ↑ "Plus500 Launch of Plus500 Invest, a New Share Trading Platform". Finance Magnates. 22 July 2021. Retrieved 31 October 2024.
  37. ↑ "Plus500 Enters Japanese Market, Acquires EZ Invest Securities". Finance Magnates. 21 March 2022. Retrieved 1 March 2025.
  38. ↑ "Plus500's Management Team Held the Company's First Ever Capital Markets Day Event". Finance Magnates. 22 September 2022. Retrieved 31 October 2024.
  39. ↑ Kalia, Yamini (19 August 2024). "Plus500 sees annual results above market view, shares hit record high". Reuters. Retrieved 31 October 2024.
  40. ↑ "Plus500 powers to all-time high on guidance upgrade and bumper returns promise". Shares Magazine Co UK. 19 August 2024. Retrieved 31 October 2024.
  41. ↑ "Acquisition of Mehta Equities". London Stock Exchange. 24 March 2025. Retrieved 1 March 2026.
  42. ↑ "Fintech broker Plus500 expands into US prediction markets with Kalshi deal". Reuters. 3 February 2026. Retrieved 1 March 2026.
  43. ↑ "Directors' Deals: Plus500 trio ships £67.2mn in shares to Goldman Sachs". Financial Times. 6 March 2026. Retrieved 24 June 2026.
  44. ↑ "Fintech broker Plus500 starts sports events based prediction contracts in the US". Reuters. 29 June 2026. Retrieved 1 September 2026.
  45. ↑ Adoni, Adonis (29 July 2026). "Plus500 Expands B2B Infrastructure Playbook with Canadian Wealthsimple". Finance Magnates. Retrieved 1 September 2026.
  46. ↑ "UK listed Plus500 expands US trading push with single stock futures". Reuters. 3 August 2026. Retrieved 1 September 2026.
  47. ↑ "Trading platform Plus500 reports higher core profit as US business gains traction". Reuters. 10 August 2026. Retrieved 1 September 2026.
  48. ↑ Martin, Ben (19 August 2024). "Plus500 enjoys £30m windfall from betting against its customers". The Times. Retrieved 2 June 2026.
  49. ↑ Martin, Ben (17 April 2024). "Plus500 makes £25m betting against its own customers". The Times. Retrieved 23 February 2025.
  50. ↑ Martin, Ben (20 April 2026). "Plus500 never lets a good crisis go to waste". The Times. Retrieved 2 June 2026.
  51. 1 2 "Plus500 Annual Report 2025" (PDF). Plus500. 20 March 2026. Retrieved 1 September 2026.
  52. ↑ "Giambrone calls for claimants in global fight against Plus500". Giambrone. 19 September 2017. Retrieved 31 October 2024.
  53. ↑ Hosking, Ben Martin. "Plus500 'may have misled shareholders' over losses". The Times. Retrieved 15 February 2019.
  54. ↑ "Bitcoin and share trading app Plus500 faces litigation over 'rigging' claims". ABC. 21 October 2017. Retrieved 31 October 2024.
  55. ↑ Patterson, Jeff (25 April 2017). "Breaking: Plus500 Settles with Belgium Regulator for €550K". Finance Magnates. Retrieved 31 October 2024.
  56. ↑ "Règlement transactionnel - Plus500" (in French). Financial Services and Markets Authority. 25 April 2017. Retrieved 1 September 2026.
  57. ↑ Grinzaig, Avishai (25 October 2021). "Court approves class action on alleged Plus500 manipulation". Globes. Retrieved 31 October 2024.
  58. ↑ "Trading Firm Plus500 Facing $29 million Class Action Lawsuit". Calcalist. 26 March 2018. Retrieved 31 October 2024.
  59. ↑ Sherman, Gabriel (26 October 2021). "Class Action Suit Against Major Broker Moves Forward". Daily Forex. Retrieved 31 October 2024.
  60. ↑ Shome, Arnab (8 February 2024). "CFDs on Trial: IC Markets Faces Class-Action Lawsuit in Australia". Finance Magnates. Retrieved 31 October 2024.
  61. ↑ "Plus500 Class Action". CASL Governance Ltd. Retrieved 18 October 2024.
  62. ↑ "New class action targets online trader Plus500 over CFDs". Lawyerly. 19 September 2023. Retrieved 31 October 2024.
  63. ↑ "Symmetry vs. Substance: Unfairness in Arbitration Clauses". King & Wood Mallesons. 27 January 2026. Retrieved 1 March 2026.
  64. ↑ "Plus500 and Atletico Madrid end long term relationship". Finance Magnets. 14 June 2022. Retrieved 8 August 2022.
  65. ↑ "Plus500 Signs Official Sponsor of Brumbies". Financial Times. Retrieved 30 May 2021.
  66. ↑ "BSC Young Boys secures Plus500 partnership". Insider Sport. 4 June 2020. Retrieved 30 May 2021.
  67. ↑ "Plus500 reaches sponsorship deal with Legia Warsaw". Share Cast. Retrieved 30 May 2021.
  68. ↑ "BeIN hampered by French legislation over Plus500 sponsorship in Champions League". SportBusiness. 19 September 2023. Retrieved 29 October 2024.
  69. ↑ "Plus500 and Chicago Bulls announce multi-year global partnership". Calcalist. 4 October 2022.
  70. ↑ "Kiefer Sutherland to Front New International Advertising Campaign for Plus500". Finance Magnates. 14 June 2022. Retrieved 29 October 2024.
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