Which brokers offer the cheapest index CFDs?
Verdict
- Pepperstone has the cheapest index CFDs we can verify for UAE traders: no commission on any index, and published Razor averages such as 0.4 points on US500, 1 on NAS100 and 1 on GER40.
- On indices, Razor is never dearer than Standard at Pepperstone, because neither account charges index commission; on HK50 and AUS200 the two are identical.
- A spread in points only means something next to the index's price and your stake per point, so compare costs per trade, not headline numbers.
- Capital.com and XS publish no index spreads in our verified data, so the cost comparison below covers Pepperstone's accounts and contracts.
Cheap index trading has three parts: the spread, any commission, and the cost of holding overnight. Pepperstone is our pick because it publishes all three openly and charges no commission on index CFDs. Here are its eleven published index spreads side by side, the forward contracts that cost more to enter, and the costs a spread table never shows.
Why Pepperstone is the low-cost choice we can verify
Pepperstone lists average and minimum spreads per index for both of its account types, and it states that index CFDs carry no commission. That makes Razor the cheaper account for anyone who mostly trades indices; the per-lot commission Razor charges applies to forex, not to index CFDs. A UAE client can open either account from a $10 minimum deposit, in AED or four other currencies. The averages below come from Pepperstone's index-fees page (August 2026 data); live spreads change with the market.
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Pepperstone index CFD spreads, Razor vs Standard
| Index CFD | Razor average | Standard average |
|---|---|---|
| US500 | 0.4 | 0.5 |
| NAS100 | 1 | 1.2 |
| GER40 | 1 | 1.3 |
| UK100 | 1.5 | 1.9 |
| AUS200 | 1.5 | 1.5 |
| US30 | 2 | 2.3 |
| HK50 | 5 | 5 |
| JPN225 | 7.4 | 9.4 |
| FRA40 | 1.2 (account not stated) | Not published in our data |
| EUSTX50 | 1.8 (account not stated) | Not published in our data |
| CN50 | 10.2 (account not stated) | Not published in our data |
Why a lower number isn't always a cheaper trade
A 7.4-point spread on JPN225 is not seven times dearer than a 1-point spread on NAS100: each index has its own price level and its own value per point, so the same number of points is a different share of the price. Two fair ways to compare are cost per trade at your actual stake, and the spread as a share of the index level at the moment you trade. Within one index, though, the comparison is direct. On US30, a trader staking $5 a point pays $10 a round trip on Razor and $11.50 on Standard; across 50 trades a month that is $500 against $575.
Forward contracts cost more to open
Pepperstone also lists index forwards, with published minimum spreads well above the cash CFDs: US500-F 1, AUS200-F 3, GER40-F 3, UK100-F 3, NAS100-F 3, US30-F 5, HK50-F 10 and JPN225-F 16. If you only want short trades, the cash CFD is the cheaper contract to get in and out of. Forwards are priced for holding over time, so judge them against the overnight financing you would otherwise pay on a cash position.
Costs a spread table leaves out
- Overnight financing on cash index CFDs held past the daily rollover; the rate varies by index and by direction.
- Currency conversion when an index is priced in a different currency from your account.
- Account fees: Pepperstone lists no inactivity or account-keeping fee, though accounts holding under 10 currency units and unused for three months or more may be archived.
- Swap-free status: Pepperstone does not offer its swap-free account to UAE residents. Capital.com and XS do, so a trader who needs one should compare their live index quotes.
Sources
Which Pepperstone account is cheaper for index trading?
Razor. There is no index commission on either account, and Razor's published averages are equal to or tighter than Standard's on every index where both are listed.
Which index has the tightest spread at Pepperstone?
US500, at a 0.4-point Razor average. Remember that points are not comparable across different indices.
Are there hidden fees on index CFDs?
The main extra cost is overnight financing on positions you hold past the rollover. Pepperstone lists no inactivity fee.
Low costs do not make CFDs low risk. Index CFDs are leveraged, and you can lose money rapidly. Spreads shown are past published averages, not a promise of future pricing. This is not investment advice.