Scope Markets Launches Commission-Free, Swap-free, Unleveraged CFDs 'Scope Invest' Account

Scope Markets has launched its new unleveraged Scope Invest account. The account aligns with the company's goal of expanding access to financial markets and offers a cost-effective and flexible solution, allowing customers to invest in over 2,000 global CFD equities.

Pavel Spirin, CEO, Scope Markets

Pavel Spirin, CEO of Scope Markets, commented on the company's commitment to accessibility: "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."

The Invest account utilises CFDs, which enable traders to participate in an asset's price movements without direct ownership. By working with a broker like Scope Markets, investors can avoid some of the costs and limitations often associated with exchange-based transactions.

CFDs are often used with leverage, requiring only a small deposit relative to the transaction's value. They are also used for short-selling assets in anticipation of price declines. While these strategies can increase potential returns, they also carry the risk of losses if markets move unfavorably. The Invest account aims to mitigate these risks.

Pavel Spirin further explained the advantages of the Invest account: "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 available to Scope Markets' retail customers globally, with the option to denominate the account in GBP, USD, or EUR. Through fractional trading, customers can invest in as little as 1/100th of a stock, making higher-priced equities more accessible. The account features commission-free trades and eliminates overnight rollover fees (swaps) due to the absence of leverage. With a minimum opening deposit of $50, investors can benefit from corporate actions, such as dividend payments, without owning the underlying asset.