IG Group has two types of accounts - this explains the difference
IG Group is one of the largest global financial spread betting provider and CFD broker in the World. There are two busineses underpinning IG Group - IGIndex
and IG Markets
- IGIndex is a financial spread betting business. IG Index is a spread betting provider where customers set a stake that they could win or lose depending on the movement in the market.
- IG Markets allow you to buy lots, contracts or shares depending on the market using CFDs or Contracts for Differences.
There are some key differences between the accounts
Degree of leverage
Both accounts are still leveraged but the amount size of the leverage can differ between them.
At IG Index the cost of opening and closing all trades is included in the price you see, whereas IGMarket share trades incurs a commission charged separately. All other products on IG Markets have the charges included in the spread but as they offer DMA (Direct Market Access) on Markets the share price you trade is exactly the same as the underlying exchange and the charges are therefore applied separately.
There are other differences with tax depending on your domicile. IGIndex gains might be capital gains tax free depending on your tax domicile.
While the two accounts are similar, they do differ and if you have an Index account it does not mean that you also have a Markets account or vice versa. You can, however hold an Index and a Markets account so you are not restricted to just having one of the two types.