Is Pepperstone or CMC Markets better for index CFDs in Australia?
Verdict
- Pepperstone is our pick for index CFDs in Australia: it publishes minimum and average spreads for each index, charges no commission on index CFDs and lists 26 index CFDs.
- Pepperstone's published averages include AUS200 1.5 points, US500 0.4, NAS100 1, US30 2, GER40 1 (Razor) and JPN225 7.4.
- CMC Markets' index spreads aren't in our data, so we can't rank it on cost; its advantage is a guaranteed stop-loss, which Pepperstone doesn't offer.
- Under ASIC rules both cap retail leverage on major indices at 1:20.
If you trade the ASX 200, S&P 500 or Nasdaq through CFDs, the questions are what each point of spread costs, what hours you can trade and how you limit a gap. Pepperstone answers the cost question in a published table; CMC answers the gap question with guaranteed stops.
Why Pepperstone is our index pick
Pepperstone Group Limited (AFSL 414530) publishes an index fee table for its Australian clients with both minimum and average spreads, taken from August 2026 data, and adds no commission on top. That makes the spread the whole dealing cost. Razor and Standard accounts are priced identically on AUS200 (1.5-point average) and HK50 (5), while Razor is slightly tighter on GER40, UK100, US500, NAS100 and US30. Index CFDs can be traded on the Pepperstone app, MT5, cTrader, and on Razor also MT4 and TradingView.
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Pepperstone index spreads, Razor vs Standard
For an AUS200 day trader making four round trips a session, the spread cost is about 6 index points a day at the published average. Index forwards cost more to enter: AUS200-F has a 3-point minimum spread against 1 point on the cash CFD, and US500-F 1 point against 0.4.
| Index | Razor average | Standard average |
|---|---|---|
| AUS200 | 1.5 | 1.5 |
| US500 | 0.4 | 0.5 |
| NAS100 | 1 | 1.2 |
| US30 | 2 | 2.3 |
| GER40 | 1 | 1.3 |
| UK100 | 1.5 | 1.9 |
| JPN225 | 7.4 | 9.4 |
| HK50 | 5 | 5 |
Where CMC Markets has the edge
CMC Markets Asia Pacific Pty Ltd holds AFSL 238054, and the CMC group also has a separate stockbroking company, CMC Markets Stockbroking Limited, under AFSL 246381. The clearest difference for index traders is risk control: CMC offers a guaranteed stop-loss order, with a fee to attach that is refunded in full if the stop isn't triggered. Pepperstone's Australian PDS contains no guaranteed stop, so a weekend gap on the ASX 200 can fill your stop well beyond its level.
- CMC's index spreads, contract sizes and trading hours aren't in our data; check them on CMC's Australian site.
- CMC lists margin rates rather than leverage ratios on its UK site (from 5% on indices); for Australian retail clients, ASIC limits apply.
Leverage and protection on index CFDs
- Pepperstone retail: 1:20 on major indices, 1:10 on minor indices, 1:5 on currency indices.
- Pepperstone pro: up to 1:400 on major indices, with only a one-time negative-balance protection up to USD 100,000.
- Retail clients at Pepperstone have their account restored to zero if it goes negative.
How to choose
- List the indices you trade and compare Pepperstone's averages with CMC's live spreads on the same instruments.
- Decide whether you need guaranteed stops; if yes, CMC is the better fit.
- Check your platform: CMC offers its Next Generation platform and MT4, Pepperstone offers MT4, MT5, cTrader, TradingView and its own app.
Sources
Does Pepperstone charge commission on index CFDs?
No. Index CFD costs at Pepperstone are in the spread only, on both Razor and Standard.
What is Pepperstone's AUS200 spread?
A 1-point minimum and 1.5-point average on both Razor and Standard, per its August 2026 data.
Can I get a guaranteed stop on index CFDs?
Not at Pepperstone. CMC Markets offers guaranteed stop-loss orders for a fee that is refunded if the stop isn't hit.
Trading CFDs with leverage can lose you money quickly, including all of the funds you deposit. Nothing here is personal advice; broker terms change, so confirm them on the broker's own site and in its Product Disclosure Statement.